19/2/2025

Games Forum Barcelona: A Blue Ocean of Opportunities

Recently, Hadar Mendelson, our account manager at Z2A Digital, attended Games Forum Barcelona, a key event for the gaming industry. His insights from the conference highlighted a huge potential market that many game studios, especially small to mid-sized ones, may be overlooking.

**A Blue Ocean of Opportunities**

The gaming industry is huge, and within it lies a “blue ocean" of untapped potential. This term, borrowed from business strategy, refers to a market space with little competition and great opportunity for growth. At Games Forum Barcelona, we found that many small and mid-sized game studios represent this untapped market.

While some of the big names in gaming may dominate the space, there are countless smaller studios that are still growing, refining their strategies, and looking for ways to break through. Also, we noticed that many gaming studios miss out on the advantages of performance marketing and affiliate traffic. Your studio has the chance to stand out by mastering the complexities of user acquisition and in-app monetization.

After all, for many game studios in their early stages, growth is a balancing act between acquiring users and monetizing their games. But often, their efforts are constrained by limited knowledge and resources.

Lack of Awareness of Affiliate Traffic

A major takeaway was that many game studios still aren’t familiar with the power of affiliate marketing. While studios may be focused on traditional user acquisition methods, such as Google Ads or App Store Optimization (ASO), they often overlook affiliate traffic, which can be a highly effective channel for acquiring new users.

The issue isn’t just limited to awareness, it's also about understanding how affiliate marketing works and how it can scale. Most studios are hesitant to explore new channels because they’re not sure how to integrate them into their current strategies, or they simply don’t know where to start.

By partnering with affiliates, studios can tap into a network of publishers and marketers who are incentivized to bring in high-quality users. This can drive installs at a lower cost than traditional advertising channels, while also expanding the studio’s reach in untapped markets.

Affiliate marketing also provides the benefit of performance-based pricing, meaning studios only pay for actual installs or conversions, rather than impressions or clicks. This results in more efficient use of marketing budgets.

If you want to learn more about leveraging affiliate marketing for gaming growth, we’ve created a guide for you.

Underperforming Demand-Side Platform (DSP) Capabilities

Another pain point for smaller studios is their underperformance in Demand-Side Platforms (DSPs). While DSPs are a great tool for targeting specific audiences and driving installs, many early-stage studios struggle with utilizing them effectively. Without the right knowledge or resources, their campaigns often fall short of delivering the desired return on ad spend /ROAS.

During the panel UA Playbook for 2025: Balancing Traditional, Rewarded, and Emerging Strategies, on the first day, experts highlighted the evolving landscape of user acquisition. They emphasized the importance of balancing traditional methods with newer tactics like rewarded ads, AI, and influencer marketing. By diversifying their approaches, studios can optimize their budgets, drive better engagement, and create more effective UA strategies, ensuring their campaigns are better equipped to deliver stronger results across various platforms, including DSPs.

Monetization Gaps in In-Game Ads

While studios may be able to drive installs, many are missing out on the monetization opportunities that in-game advertising presents. Monetizing users through in-app purchases is just one side of the coin. Advertising is, however, another and it’s an essential revenue stream for many mobile gaming apps. However, some studios may not even have a solid in-game ad solution in place, which means they are leaving potential revenue on the table.

In-app ads are particularly important when user acquisition costs are rising. Without the ability to effectively monetize users once they’ve been acquired, studios may face challenges in making their marketing efforts sustainable over the long term.

Rising User Acquisition Costs

Like many industries, gaming has seen a surge in user acquisition costs. With more developers competing for the same users, ad prices have climbed, leaving studios scrambling for ways to maintain cost-effective user acquisition. This increase in UA costs only magnifies the importance of improving return on ad spend/ROAS and utilizing more advanced targeting and measurement techniques.

Yes, in an environment where user acquisition costs are rising, improving ROAS is essential. Studios can maximize their ROAS by refining their targeting strategies, testing different ad creatives, and utilizing data-driven approaches to understand which channels, creatives, and user segments deliver the best results. With the right tools and partnerships, studios can reduce inefficiencies in their campaigns and ensure they’re getting the best value for their ad spend.

However, many early-stage studios struggle to scale effectively without the right infrastructure in place. In this context, education becomes just as crucial as strategy. Talks like Rewarded Ads Rewired: Amplifying ROI with the Value Triangle highlighted how rewarded ads can drive engagement and revenue while keeping acquisition costs manageable. Studios can also leverage incentivized traffic to improve monetization and retention, underscoring the importance of diversifying acquisition channels to boost overall performance.

Another critical area for early-stage studios is the use of data and analytics: innovative approaches to post-ATT reporting, combining SKAN data with opt-in insights to generate valuable revenue and ad performance metrics.

The Road Ahead

As we look to the future, it’s clear that the gaming industry is evolving rapidly, as it was often mentioned at the Games Forum Barcelona. While user acquisition will always be a top priority, studios also need to start thinking about sustainable growth. This includes diversifying their revenue streams, optimizing their marketing efforts, and focusing on long-term engagement with players. By embracing affiliate marketing, improving ROAS, and leveraging in-game ads, studios can build the foundation for long-term success.

To explore more on gaming strategies, we also recommend reading some of our recent blog posts:

If you recognize yourself in this or you’re just interested in learning more about how we can help you scale your game, check out our tailored solutions for gaming apps here.

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