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reddit[Effort Post] How and how much money does Supercell make with F2P players?

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[Effort Post] How and how much money does Supercell make with F2P players?
  1. How does Supercell make money w/ F2P players?

You might think they just provide an active and engaging player base. But with millions of daily players, Supercell gains access to something extremely valuable: Data.

The App Store's Privacy overview of Clash Royale

As seen in the screenshot, with the download you allow Supercell to track your coarse location, User ID, Device ID, Product Interaction and Advertising Data (details). Supercell can sell these informations that are linked to your device to advertising and tracking companies.

Let's look at an example (I assume that the data linked to you can be sold too, but I'm not 100% sure) :

You access amazon.com, Amazon instantly requests and pays for data about you. Then they could analyze.

  1. Do you live in a rural area? → cheaper prices to sell more (dynamic pricing)
  2. Do you spend a lot in Clash Royale? → higher prices
  3. How do other Clash Royale players behave? → adjustment for the recommendations

You may see more Clash Royale videos in your YouTube recommendations, even if you never searched for the game.

  1. How much money does Supercell earn from this?

I will take a deep dive in the unknown. "We derive a value of approximately $47 for the average user’s behavioral data in 2016.". When you play a game daily, I would imagine that your data is worth something. Let's guess $2 per year. 2 years ago u/hawlcon concluded that Clash Royale had within 3 months a player base of 14 million different accounts. Of course the data of inactive players does not become worthless but for simplicity I calculate with this number.

14.000.000 players x $2 x 5 years = $140.000.000

Note: I actually assume that the number is larger, but this value is just an orientation.

For Orientation: The 2016-2020 revenue of Clash Royale is 2 Billion Dollar.

Tip: When you are on iOS: Settings → Privacy → Tracking → Allow Apps to Request to Track → off

TLDR: They could've made above $100.000.000 with user data.

When this post receives some traction, I may take a dive into Supercells' China connections.

submitted by /u/dudumm
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