There are four primary reasons why you should consider player segmentation when managing your game’s Live Ops.
- Boost Engagement: Group players by behavior, preferences, or spending habits to deliver personalized experiences.
- Increase Revenue: Tailor offers and pricing for different player groups.
- Improve Retention: Identify why players leave and address churn risks for specific segments.
- Optimize Resources: Focus development and marketing efforts on the most valuable player groups.
Key Strategies:
- Use RFM Metrics (Recency, Frequency, Monetary) to analyze player value.
- Leverage tools like UserWise, Metaplay, and PlayFab for real-time segmentation.
- Test content with A/B testing to refine strategies for each group.
- Regularly update segments based on behavior and data trends.
Example Impact: Supercell used segmentation to create customized events for Clash of Clans, driving player engagement and retention.
Player segmentation isn’t just a tool – it’s essential for creating better player experiences and driving game success.
Player Segmentation Fundamentals
What Is Player Segmentation?
Player segmentation is the process of categorizing your game’s users into specific groups based on factors like behavior, demographics, psychology, spending habits, and lifecycle stage. Some common grouping criteria include:
- Behavior: How often they play, session durations, etc.
- Demographics: Age, location, and other personal details.
- Psychology: Motivations, personality traits, and preferences.
- Monetization: Spending patterns and habits.
- Lifecycle: Where they are in their journey as a player.
By breaking down your audience this way, you gain sharper insights into their needs and preferences. This approach lays the groundwork for better resource management and stronger player retention strategies.
Why Use Player Segmentation?
Player segmentation offers several benefits that can directly influence your game’s success. Here’s how it can make an impact:
| Area of Focus | What It Does |
|---|---|
| Resource Allocation | Helps prioritize development efforts based on the value of specific segments. |
| Player Retention | Pinpoints reasons for churn and addresses them for each segment. |
| Monetization | Tailors offers and pricing to match different spending behaviors. |
| Marketing | Targets campaigns to attract players most likely to engage and spend. |
| Game Development | Provides data-driven insights to guide feature and content creation. |
For LiveOps teams, these insights are essential for fine-tuning event schedules and crafting promotional campaigns. As Chuck Ansbacher from Solsten puts it:
"Investing in a robust user segmentation strategy is critical for the long-term success of live video games."
Segmentation Methods and Tools
Main Segmentation Metrics
The RFM (Recency, Frequency, Monetary) framework provides a straightforward way to analyze player behavior and value.
| Metric Type | Key Measurements | Purpose |
|---|---|---|
| Behavioral | Session length, play frequency, in-game actions | Monitor engagement patterns |
| Monetary | Purchase frequency, average spend, lifetime value | Understand spending behavior |
| Engagement | Bounce rate, visit duration, pages viewed | Gauge interaction depth |
| Lifecycle | Days since first/last play, progression stage | Map the player journey |
CleverTap simplifies segmentation by using a 2D graph that combines Recency and Frequency scores into actionable groups. This approach helps teams focus on segments that have already proven effective instead of overcomplicating their analysis.
With these metrics in place, the next step is choosing the right tools for segmentation.
Segmentation Software and Systems
Live ops teams rely on specialized tools to manage and optimize player segments:
- UserWise: Offers fast implementation and personalization, making campaign launches quicker and easier.
-
Metaplay: Provides a comprehensive toolkit with customizable source code.
"Metaplay’s game config tools make it so much easier for us to keep our game fresh, and more quickly test, deliver and optimise new and existing game content."
- PlayFab: Enables real-time segmentation and automation, ideal for large-scale operations.
After defining your segments with these tools, the next step is tailoring content delivery to meet the needs of each group.
Content Delivery by Segment
Delivering the right content at the right time is key to engaging players. For example, Pixowl boosted player participation by combining in-app messaging with push notifications, even reaching players who had disabled traditional push notifications.
Here are some ways to improve content delivery:
- Use feature flags to adjust content dynamically.
- Trigger in-app messages based on real-time player actions.
- A/B test content to measure its impact across different segments.
With nearly half of organizations (49%) facing challenges in connecting systems effectively, it’s crucial to choose platforms that offer smooth integration and real-time data processing.
Success in content delivery hinges on sending the right message to the right group at the perfect time.
"Personalization throughout the player experience, especially when combined with data-driven strategy, is one way to increase revenue per message while delivering a better experience."
Implementation Guide
Setting Up Player Segments
Creating player segments requires clear criteria and careful execution. Start by identifying the segment properties that align with your game’s goals and business needs.
-
Define Segment Properties: Use your game’s configuration system to specify player properties. For example, in Metaplay, you can create segments based on:
- Account creation date
- Time since last login
- Item counts
- In-game currency amounts
- Player progression level
Example segment definition:
// Example: HighGold = { condition: goldAmount >= 1000, property: ‘Gold’ }
- **Configure Segment Rules**: Combine multiple criteria to create meaningful player groups. Here’s how you can categorize them:
| Approach | Criteria |
|---------------|-----------------------------------------|
| Behavioral | Session patterns and gameplay actions |
| Monetization | Purchase history and spending levels |
| Lifecycle | Account age and progression stage |
| Engagement | Activity frequency and retention |
- **Validate Implementation**: Use the LiveOps Dashboard to verify your segments. Start with broader criteria and refine as you gather more data. Once validated, run A/B tests to fine-tune your segments further.
### A/B Testing with Segments
> "A/B testing is most effective when you target specific audience segments based on demographics, behavior, and interests. This allows you to deliver more relevant experiences and gather more actionable insights." \[17\]
When conducting A/B tests, focus on factors like:
- Purchase history patterns
- Recent activity levels
- Geographic location
- Responses from previous tests
**Steps to Implement A/B Testing**:
- **Test Design and Measurement**: Start by testing segments with higher conversion potential. Monitor key metrics such as conversion rates, engagement levels, adoption rates, and revenue.
- **Analysis**: Ensure you reach statistical significance before making decisions based on the test results.
sbb-itb-fd4a1f6
Proven Segmentation Practices
Using Data to Guide Decisions
For effective segmentation, solid data analytics are a must. Modern game analytics tools let developers track and analyze player behavior in real time, helping them make more precise decisions about how to group their audience.
Here are some Key Performance Indicators (KPIs) to focus on for segmentation:
| Metric Category | Key Indicators to Track |
|---|---|
| Engagement | Daily active users, session length, feature usage |
| Monetization | Average revenue per user, conversion rates |
| Retention | Day 1/7/30 retention, churn probability |
| Player Progress | Level completion, achievement rates |
Machine learning takes this a step further by spotting behavioral patterns and predicting player actions. For example, TapNation saw a 50% boost in Lifetime Value (LTV) across 19 games after integrating DataSuite in June 2022.
To keep these insights relevant, it’s important to regularly update your segmentation strategy.
Regular Segment Updates
Player behaviors change, so your segments need to evolve too. Here’s how to keep them dynamic:
Automated Segment Maintenance
- Use AI-driven models to automatically reclassify players as their behaviors shift.
- Leverage real-time data management tools to ensure your data stays accurate.
- Keep an eye on seasonal trends that might affect your segments.
Review Cycle Implementation
- Monitor data weekly, conduct monthly audits, and plan quarterly strategy reviews.
- Watch for immediate behavioral changes and new patterns.
- Measure how well your segmentation strategy aligns with your business goals.
Adrian Crook & Associates suggests using predictive analytics to anticipate player behavior. This allows developers to make smarter decisions about updates and future content, ensuring they stay ahead of player needs while keeping engagement levels high.
Related video from YouTube
Summary and Resources
Segmenting players effectively is crucial for LiveOps success. Why? It boosts engagement, keeps players coming back, and drives revenue growth.
Here’s a quick breakdown of the key components of effective segmentation:
| Component | Focus Area | Outcome |
|---|---|---|
| Analytics Integration | Tracks player behavior and analyzes real-time data | Helps make smarter decisions for content delivery |
| Segmentation Approach | Combines behavioral, demographic, and psychological factors | Targets players more precisely |
| Monetization Strategy | Creates personalized offers based on segment preferences | Boosts conversion rates and ARPPU (Average Revenue Per Paying User) |
Real-world results back this up. For instance, Hot Siberians saw a 37% jump in conversion rates and a 50% increase in ARPPU by tailoring promotional journeys to specific player segments. Industry expert Eric Seufert highlights the growing importance of this approach:
"User-level personalization will create a competitive advantage and overtake user acquisition in terms of resourcing and internal studio infrastructure".
If you’re looking to implement segmentation strategies, expert guidance can make the process smoother and more effective.
LiveOps Support Services
Need help getting started? Adrian Crook & Associates offers expert support in freemium game design. With 17+ years of experience and a successful track record with over 300 clients, they can help you refine your strategy.
You can also explore platforms that specialize in LiveOps and segmentation:
- UserWise: Flexible tools for managing events and building personalized offers.
- Metaplay: Advanced configuration features to optimize your game content.
- Aghanim: Focuses on custom segmentation logic and data enrichment.
With challenges like the 16% drop in in-app purchases reported in 2022, strong segmentation strategies aren’t just helpful – they’re essential to staying competitive.