Oldie is Goodie: Effective User Retention by In-game Promotion Event Analysis

TL;DR

This paper investigates the impact of in-game promotional events on user retention and churn rates, analyzing how different user segments respond to these events to inform more effective retention strategies.

Contribution

It provides empirical evidence on the effectiveness of game events in reducing user churn and highlights how user response varies by character level, purchase frequency, and playtime.

Findings

Game events significantly reduce user churn.

User response to events varies by character level.

Frequency of item purchases influences event effectiveness.

Abstract

For sustainable growth and profitability, online game companies are constantly carrying out various events to attract new game users, to maximize return users, and to minimize churn users in online games. Because minimizing churn users is the most cost-effective method, many pieces of research are being conducted on ways to predict and to prevent churns in advance. However, there is still little research on the validity of event effects. In this study, we investigate whether game events influence the user churn rate and confirm the difference in how game users respond to events by character level, item purchasing frequency and game-playing time band.