Retention Radar 2025 Report

Shout out to Aarki and their new Retention Radar Report that I stumbled across.

My key highlights there:

• Retention Decline in Casual Games: Casual titles saw a drop in D30 retention rates, reflecting shifting user engagement and the growing challenge of sustaining player interest over time.

• Rewarded Ads Continue to Dominate: Rewarded video ads outperform other formats, delivering both high retention and revenue impact, especially in Tier 2/3 regions where conversion to paying player (IAP) is harder.

• Regional Monetization Differences: Emerging markets see a higher dependence on ad monetization versus in-app purchases, emphasizing the need for flexible monetization models across regions, this includes eCPM’s and localised IAP pricings.

• RPGs Lead in Long-Term Retention (No Sh*t): Strategy and RPG games show the strongest long-term retention rates (D30 and beyond), highlighting the importance of deep, immersive gameplay and community driving features.

• User Acquisition Costs Rising: Higher UA costs across key markets showcase the need for precision in targeting and creative optimization to maximize ROI and improving IPM’s. Playable Ads and AI UGC are on the rise!

To sum it up:

The report highlights a growing trend we’ve observed in recent years, retention and monetization are becoming increasingly interconnected. Developers must be agile and data-driven, with a strong regional and localized focus to maximize opportunities in Tier 2/3 markets. Creative innovation is essential to remain competitive. Balancing short-term ad revenue with long-term retention and dynamic IAP pricing is crucial for sustainable growth. However, let’s be clear: achieving solid retention numbers, regardless of genre, remains one of the most important pillars for any game’s long-term success and should always remain a focus.