Having started a new business in the world of gaming, tiktok plans to go big and make a name for itself. From in-app mini games to a global roll-out, tiktok plans to have a huge presence in the gaming industry.
ByteDance
Despite being a relatively new company, TikTok has plans to expand into gaming. The company is owned by Chinese tech firm ByteDance. The company recently purchased Shanghai-based Moonton Technology and has stated that it wants to become a major player in gaming.
TikTok is already testing video game features on its app. The company is working with mobile game developer Zynga Inc. to develop in-app mini-games. This could increase the time consumers spend on the TikTok app.
TikTok plans to expand into gaming in Southeast Asia. The company has been conducting tests to allow games on its video-sharing platform in Vietnam. In addition, TikTok is testing HTML5 minigames.
According to a report from the Financial Times, the company is planning to launch a gaming channel. The channel would have paid content and ads. This move could be done as early as the third quarter. The channel would also have a dedicated tab on the app’s homepage. The gaming channel would include games that are available on TikTok, according to the report.
TikTok’s move into gaming is similar to the efforts of other large technology companies. For example, Facebook launched its Instant Games several years ago. Similarly, Netflix recently added games to its streaming platform.
TikTok’s move to include games in its app is an attempt to boost advertising revenues. Advertising revenue from TikTok could triple this year. The company also plans to expand gaming to Southeast Asia in the next few years. TikTok plans to use the collection of games that ByteDance has developed.
TikTok will likely start with games with simpler gameplay mechanics. These games will be short, and will likely carry ads. The company plans to begin rolling out gaming features in Southeast Asia by 2022. The revenue share from these games will go to both ByteDance and game developers. Until the Chinese state loosens its grip on the gaming industry, TikTok will continue to test video game features on its app.
While TikTok has not yet announced plans to include gaming features in other countries, the company has already started testing HTML5 minigames in Vietnam. The company also plans to extend gaming testing in Southeast Asia in the coming months.
In-app mini-games
Reuters has reported that TikTok plans to launch games in Vietnam. This move would come as early as the third quarter, according to two sources. But it will also require a license. In addition, Vietnam limits games that are violent, gambling-based or contain sexual content.
TikTok is owned by Chinese tech company ByteDance. The company previously announced a deal with mobile game studio Zynga. They worked together to launch the Disco Loco 3D game, an endless runner.
In addition to Zynga’s game, TikTok also launched a game that aims to promote charitable fundraising. It is called “Garden of Good.” Users can grow vegetables, which they can then donate to Feeding America. This charity program is an extension of the company’s partnership with the nonprofit.
TikTok has not announced any plans to add games to the app in other markets. But it has confirmed that it is in talks with third-party game makers. It is also testing video game features on its app. The company has nine games currently available for testing.
TikTok plans to launch HTML5 games on the app, but the games themselves will likely be monetized with ads. The company will split the revenues with its parent company ByteDance. TikTok’s gaming plans are expected to begin with mini-games. These would be simple HTML5-based apps, similar to games on Facebook.
TikTok is also working on a mobile gaming feature that would allow users to stream games live. The company has already begun testing HTML5 games.
ByteDance has a history of gaming, and the company plans to expand their line of games to other parts of south-east Asia and the United Kingdom. Its Douyin and Nitro Games are already available in the United States. The company also purchased Shanghai-based Moonton Technology.
TikTok plans to launch a dedicated game tab on its app. This would allow users to pay for additional content. It would also include a feature that allows viewers to record gameplay.
TikTok’s representatives have said that the company is still testing the HTML5 games, but they have not said when they will release the feature.
Game-sharing in Southeast Asia
Despite its small size, Southeast Asia’s gaming market is still a major player in the global gaming industry. It is expected to register 8.5% CAGR over the forecast period. In 2019, the market generated revenues of USD 4.4 billion. It is primarily mobile-focused, but a growing PC gaming market also contributes to the region’s revenue.
The Southeast Asia game market is characterized by a mix of large and small players. As the market continues to grow, Western game companies are making an effort to get their hands on the region. These companies have begun setting up local offices in the region, and adopting product innovation and service innovation to cater to the Southeast Asian market.
The top-grossing games in Southeast Asia are dominated by Western titles. FIFA, for example, is the top console franchise in the region. The most popular PC franchise in Southeast Asia is League of Legends. The largest number of gamers in Southeast Asia play mobile games. In fact, 82% of Southeast Asia’s urban online population plays games.
In terms of mobile games, it is estimated that more than 25 percent of the region’s gamers spend money on in-game items. The largest percentage of paying mobile gamers is in Thailand. The most common item bought is in-game currencies for women.
The biggest market in Southeast Asia is Indonesia. Its population is the fourth largest in the world, and its gaming audience is growing. The country has the highest percentage of female gamers in the region. While its gaming audience is still small, it has a penchant for e-sports. It is also the largest market for gaming revenue in Southeast Asia.
The “Big Six” markets of Southeast Asia account for almost a third of the region’s gaming population. Each of these countries is different. Each has a different gaming audience. Southeast Asia is unique in its gaming ecosystem.
The market has experienced rapid growth in recent years, with a rising internet and smartphone penetration. These developments have fueled the growth of the gaming industry in Southeast Asia. The region is expected to be the fastest-growing gaming market in the world.
Global rollout plan
Earlier this year, TikTok tested games in Vietnam. This year, the company plans to expand its gaming presence in the region. It has also started testing HTML5 minigames. It will first launch these games in Vietnam.
In addition, TikTok is looking at a new monetization option for its creators. The company is testing Live Subscription, which will allow its creators to receive a monthly subscription. This plan is set to launch in the coming months. Its creators can also earn badges, which can be upgraded over time.
TikTok has a huge user base and has shown steady growth in the last year. The company’s parent company, ByteDance, has been pushing into the gaming market for the past few years. They have been testing games and other monetization methods, such as in-game ads. It’s possible that TikTok is looking to use these methods to create gaming channels that are monetizable. This would give the company the ability to bypass app store commissions.
While TikTok is looking into monetization options, it would still need to ensure that all players have a good experience. A poor consumer experience could lead to a loss of trust, which could affect TikTok’s ability to monetize its games. It will also need to create connectivity to all players.
The company plans to create minigames similar to those on Facebook and YouTube, and it will draw on ByteDance’s game catalogue. It’s not clear if the games will be developed by TikTok or by third-party game developers. These games are meant to increase ad revenue, as well as platform time. They are also meant to create more social sharing options.
TikTok will not be the first social platform to realize that the behavior of its users has changed. In recent years, Facebook has taken forays into mobile gaming. The company has been testing games with its users and is working on a global rollout plan. This move could be made as early as the third quarter of this year.
TikTok is also looking at a global rollout plan. It’s hoping to enter the gaming market by 2022.
