Summary
When word-loving mobile game maker PlaySimple needed to improve users’ lifetime value and return on ad spend, Pecan’s predictive lifetime value models provided all the right clues for marketing success.
Challenge
PlaySimple’s variety of hypercasual games is fueled by in-app advertising. That means keeping users engaged and maintaining a high retention rate are critical.
PlaySimple sought a predictive analytics approach that would help them anticipate and manage the lifetime value of campaigns, using retention metrics as a key component. A predictive strategy would help them see as early as Day 2 what their users’ pLTV would be at Day 30. Additionally, a predictive model could incorporate the high correlation between pLTV and high retention to gain the most useful information possible from this insight.
“Our most important metric is user retention,” says Moheth Koppolu, director of growth. “As an IAA game developer, we need not just more players, but long-term players who will help us generate ad revenue over time.”
To find more of those persistent, higher-value players, PlaySimple turned to Pecan to explore an AI solution that could guide marketing decisions with predictive lifetime value (pLTV).
Solution
Pecan provided PlaySimple with highly accurate pLTV models for use in their marketing campaigns. The models predict player LTV at Day 30 based on Day 2 data and achieved 95% accuracy. Since user retention is of high importance for these IAA games, Pecan’s models integrated that variable into their predictions.
The pLTV models help PlaySimple better manage and optimize their marketing campaigns across multiple platforms, including Meta and Google. The PlaySimple team saw significant value in the guidance provided by these models.
“Pecan’s models were remarkably accurate in predicting our players’ lifetime value,” says Moheth. “The pLTV information gave us a window into the marketing campaigns’ results that helped us refine campaigns to draw the right users.”
Regardless of the specific monetization method mobile game developers choose, predictive analytics can play a vital role in improving marketing efficiency and results, as PlaySimple’s results demonstrate. IAA and AI may sound like complementary answers in a crossword, but they’re a winning duo for success.
