The gaming community eagerly invests large sums of money to fuel their passion, driving the gaming industry to a current value of $113 billion. Projections suggest it could surpass $300 billion within the next five years. According to Newzoo, the global gamer population stood at 3.22 billion in 2023, expected to rise to 3.32 billion by 2024. Gamers from various demographics constantly seek the latest systems, top games, and enhancements to improve their gameplay. This market’s broad needs allow affiliates to sell $20 games and $5,000 gaming PCs on the same website, even within the same content page.

Gaming Niche Basics

The gaming niche offers a diverse range of options for both mobile and desktop devices, appealing to various types of gamers and advertisers. Popular titles like Gardenscapes, World of Tanks, and games from large-scale game dev companies like Epic Games attract millions of players worldwide.

In game development, teams typically handle purchasing in-house rather than outsourcing it due to the high barrier to entry. In other words, if you take a hypothetical offer like War Thunder and invest in Facebook/Google ads, it will be hard to compete with in-house teams because they have:

• Vast amounts of data
• Expensive production teams creating dozens of creatives weekly
• Incentive programs from advertising platforms available only to large-scale clients
• Lower KPIs since they don’t need to share with partners and can purchase the same inventory at higher prices

However, game dev companies happily buy influencer, affiliate, and branded traffic if you already have their target audience. You won’t face issues with bans, traffic flows well, and platforms encourage scaling by offering rebates and involving you in A/B tests.

What Will You Advertise?

We often recommend that when choosing your niche, you should focus on what you like and are passionate about. But you must know your niche inside out and understand what it comprises. And look for products within the niche you resonate with that can bring you the most profit. 

In general, mobile games generate the most profit, with the market estimated at around $90 billion in 2023. Consoles come second at about $50 billion, and PCs third at $40 billion. 

When it comes to genres, casual games are the biggest moneymakers, but you can go into something other than this genre. What’s essential is an original idea and exciting gameplay.

Here are some products that you could advertise within the gaming niche:

1. Mobile Games

Action Games: Feature fast-paced and dynamic gameplay with sub-genres like shooters and platformers. Popular examples include Fortnite and PUBG Mobile​​.

Adventure Games: Focus on narrative and puzzle-solving rather than action, with titles like Seeker’s Note and The Secret Society.

Casual Games: Easy to play and widely popular, including games like Candy Crush Saga and Homescapes​​.

Puzzle Games: They help challenge the brain, e.g., Sudoku and Tetris​​.

Strategy Games: Involve planning and resource management, such as Clash of Clans​​.

Role-Playing Games (RPGs): Offer character-driven, immersive storylines, like Dungeon Hunter 5 and Arcane Legends​​.

Multiplayer Online Battle Arenas (MOBAs): Team-based strategy games like Arena of Valor​​.

2. PC/Console Games

First-Person Shooters (FPS): Deliver fast-paced action and multiplayer modes with popular games like Call of Duty and Battlefield​.

Sports Games: Simulate real-world sports, featuring titles like FIFA and NBA 2K​​.

Strategy Games: Require tactical planning and resource management, such as Civilization and Total War​​.

Simulation Games: Replicate real-world scenarios, with examples like The Sims and Microsoft Flight Simulator​​.

Adventure and Action Games: Combine exploration, puzzle-solving, and action with titles like The Legend of Zelda and Red Dead Redemption.

3. Online Games

MMORPGs (Massively Multiplayer Online Role-Playing Games): Feature vast worlds with thousands of players such as World of Warcraft​​.

Browser-Based Games: Provide various gameplay experiences directly through web browsers.

Social Games: Integrate with social media platforms, encouraging player interaction​.

4. Ancillary Products

The gaming market also includes various ancillary products that enhance the gaming experience. These products include tech gear like consoles, PCs, computer parts, guides, license keys, headphones, and gaming chairs, forming a significant sub-niche within the market​.

Key Trends and Emerging Niches

The gaming industry in 2024 is set for significant growth and innovation, driven by several key trends and emerging sub-niches.

Virtual Reality (VR) and Augmented Reality (AR) games are gaining popularity. With advancements like Apple’s Vision Pro and PlayStation VR2, VR is becoming more immersive, while AR gaming uses smartphones to blend digital elements with the real world, creating interactive experiences​​.

Cloud gaming services, such as Google Stadia, NVIDIA GeForce Now, and Xbox Cloud Gaming, are revolutionizing gaming. These services allow high-quality game streaming on various devices without the need for powerful hardware, eliminating downloads and ensuring automatic updates​​.

Esports continues growing rapidly, increasing participation and viewership and turning competitive gaming into a mainstream phenomenon. High prize pools and the rise of esports athletes as celebrities highlight its significant impact​.

Subscription-based gaming models, including Xbox Game Pass, PlayStation Now, and Netflix Games, are gaining traction. These services offer curated game selections for a monthly fee, enhancing player retention and engagement​​.

Blockchain technology transforms in-game purchases and asset management, promoting safer transactions and introducing play-to-earn models. This innovation could significantly change game monetization and player interaction with virtual assets​​.

Fitness gaming, which incorporates physical activity into gameplay, is becoming more popular. VR fitness games combine exercise with interactive gameplay, making fitness more engaging and accessible​.

Inclusivity and diversity are becoming increasingly important in the gaming industry. Developers focus on creating diverse characters and narratives to appeal to a broader audience, enhancing player engagement by reflecting a wider range of experiences and identities​​.

These trends and sub-niches drive the industry’s growth and present numerous opportunities for affiliate marketing, each with unique revenue potentials and target demographics.

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Expert Tips to Make Money in Gaming Affiliate Marketing

Earning big in gaming affiliate marketing requires strategic decisions and smart planning. Picking the right gaming affiliate program is essential for maximizing your earnings and aligning with your promotional strategies. Here are tips to make informed choices that will help you succeed:

Location, Location, Location

First, ensure the program targets devices and operating systems you can reach effectively without excessive ad spend. Focus on geo-location by aligning your traffic with the advertiser’s target regions, as user behavior varies by Geos. For example, users in the US and Sweden are generally harder to convert than those in Iran and India. 

However, it seems like everyone targets the USA in gaming because it’s the largest and most profitable market. The only market that can compare is China, but you need a license to enter it. The USA usually accounts for 30-50% of all game traffic.

Next in volume is the Asian market, including Japan and Korea, but not all products are suitable for this segment. It has a lot of local products targeting this audience, making it very difficult to compete. It’s crucial to have your ads localized and understand the nuances of the Asian market.

Following is Latin America, with Brazil and Mexico standing out. These Geos have no specific peculiarities in creatives or approaches, just large markets with normal LTV. Next are major European countries like Germany and France. 

You will find that geographic segmentation differs in the gaming niche from other affiliate niches. Almost any slightly successful game buys traffic worldwide. Without Geo-restrictions, algorithms find purchasing users more easily, making traffic significantly cheaper. 

When choosing the target Geos, you must consider the game’s internet speed requirements for mobile and online games to ensure your audience can support them. So, Iran, Pakistan, and some other countries may not be your first choice.

Evaluate the Product

There are many subgenres in games. Casual and hyper-casual games are probably the most popular. When choosing a game genre, you must determine the type of monetization. There are three types: ad-based, purchase-based, and hybrid. Free games are easier to promote but offer lower payouts compared to paid or freemium games.

Hyper-casual games predominantly use ad-based monetization. During game testing, the most crucial factor is CPI. Many studios have developed very strict benchmarks for key Geos. 

With hybrid and purchase-based monetization, things are much more complicated. You won’t find clear benchmarks; the situation can vary greatly between Geos, and you can only understand it through costly tests. In some projects, the CPI in the US or Japan with value optimization can exceed $50 while still being profitable.

So, you need to check the game’s genre and supported devices. Assess the game’s technical requirements since lighter games are more likely to be retained by users. Ensure there’s a smooth registration process and interesting gameplay.

Review the Partner Program

Examine geographical targeting and device requirements. Use the allowed ad formats and stay aware of daily lead limits to avoid unpaid traffic. Check the advertiser’s landing page for quality and use pre-landers if allowed. Understand payout methods–cost-per-lead (CPL), cost-per-action (CPA), and cost-per-installation (CPI) models each have specific conditions.

Consider Cookie Duration, Commission Rates, and Payout Flexibility

Longer cookie durations better attribute purchases to the referrer. Commission rates vary, typically as a fixed price or a percentage of sales. Programs with reasonable payout frequency and thresholds help maintain consistent revenue.

Create Engaging Creatives

In recent years, most advertisers have used misleading ads. Initially, when a game first launches, everyone tries to use gameplay creatives with their core mechanics. At some point, all creatives with your mechanics start to burn out. To maintain buying at the same level, many start incorporating misleading elements. They refresh creatives by adding elements that could be in the game but aren’t. For example, in a shooter, you give soldiers light blasters instead of automatic weapons, or instead of a city shootout, you change the location to a desert.

There’s nothing shameful in this kind of misleading; it’s already considered industry standard. However, some start to abuse this mechanism and may completely overhaul their game in creatives, retaining only their characters and completely changing the concept and other elements. You must always prepare for dips in your metrics when using misleading ads. Users will eventually realize that some elements/mechanics shown in the creatives aren’t in the game, and some will drop off. However, misleading creatives usually cost much less to buy than gameplay ones, so everyone overlooks the drop in late-day metrics. 

As a general rule, creating compelling gaming ads is all about tapping into the psyche of your audience. Here’s how you can craft ads that captivate and convert:

Resonate Emotionally: Create ads that hit strong emotional notes. Strong emotions are universally engaging, whether excitement, nostalgia, or humor.

Trigger Skill Displays: Show obviously wrong choices in your ads. This triggers an emotional response and drives players to prove their skills by making the right choices.

Spark Curiosity: Use reverse psychology by warning players not to play your game due to age restrictions or other reasons. This tactic ignites curiosity and makes the game more enticing.

Evoke Intrigue: Create ads that leave questions unanswered. A mysterious element can drive players to explore your game to satisfy their curiosity.

Leverage Visual Appeal: High-quality, realistic characters and stunning visuals create a strong connection with your audience. Beautiful graphics draw people in and hold their attention.

Reassure with Details: Provide technical details about your game. This helps users justify their decision to download by making them feel informed and rational.

Tap into Popular Culture: Use characters or elements from cult movies and shows. This leverages existing fan bases and draws in dedicated fans.

Use an Ad Tracker

Managing multiple online advertising campaigns is no easy task. You need to track costs, monitor performance, and ensure data security. Doing all this manually is not an option. 

That’s where Keitaro comes in—a powerful, self-hosted tracking platform that streamlines the management and optimization of your online advertising campaigns.

With Keitaro, you can set up, launch, analyze, and optimize all of your campaigns in one space. It allows you to track any kind of traffic and conversions, including apps, and monitor and analyze real-time campaign performance. The platform helps optimize your ad spend with precise cost tracking and management tools and safeguards your data with robust security measures and GDPR compliance.

This tracking tool also helps manage traffic sources efficiently with advanced distribution and filtering capabilities. You can conduct A/B tests to identify the most effective campaign strategies or creatives and save time by using integrations with major advertising platforms like Google Ads, Facebook, and TikTok. 

The platform offers over 500 templates for traffic sources and affiliate networks and includes features like bot protection, built-in Geo DB, blacklists/whitelists, multi-offer funnels, and local landings with a built-in editor. You can customize your campaigns with scripts, filters, actions, macros (placeholders), and redirects. With S2S postbacks and over 30 metrics in real-time comprehensive reports, all your data is at your fingertips.

By using an ad tracker like Keitaro, you can enhance the effectiveness of your campaigns, improve ROI, and ultimately make more money in gaming affiliate marketing.

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