Examining User Viscosity in the Mobile Gaming Market: A Case Study of Mihoyo

Abstract

Although the mobile game industry is still growing, its rate has gradually slowed. Due to the background of the Chinese mobile game license crunch, mobile game companies need to adapt their production models and focus on improving user retention. This report begins with a basic introduction to the current situation of the mobile game industry. It then analyzes existing research on user retention and uses Mihoyo as a case study to explore why its user retention rates are higher than other companies. The report provides a reference for other mobile game companies through this case study. The study found that Mihoyos competitive advantage in user retention comes from its high-quality products and engagement with platforms that target the same audience. In addition, Mihoyos game development approach, which focuses on building intellectual property (IP), encouraging user-generated content, and creating a solid community that fosters a game-creator-player relationship, are also critical factors for its success. Other mobile game manufacturers should focus on improving game quality, carefully selecting partners, developing IP across multiple industries, and actively engaging with users.