Benchmark ROAS For Mobile Games In Different Countries And Across Different Ad-Networks

A poorly executed ad campaign can drain resources, while a well-optimized one not only recoups costs but also generates substantial profits. The key to unlocking this potential lies in the concept of Return on Ad Spend (ROAS). But what constitutes a good benchmark ROAS, and how does it vary by country and ad network?

In today's market, the rise of hybrid casual games makes this understanding more critical than ever. According to recent research, hybrid casual games, which strategically combine in-app purchases (IAP) and in-app ad (IAA) revenues, generated $1.5 billion in revenue from IAPs alone in 2023, proving their immense potential.

This blog delves into benchmark ROAS for mobile games, examining variations across countries and ad networks. Through data-driven insights, we’ll help you optimize your campaigns, ensuring every dollar spent on user acquisition yields meaningful returns.

What is ROAS in Mobile Gaming?

(Require Creative Image on ROAS)

Return on Ad Spend (ROAS) measures revenue generated per dollar spent on ads. A 3x ROAS means every $1 spent returns $3. Hence, tracking ROAS is essential to ensuring efficient ad spend.

Your UA strategy will need optimization if you spend more than you earn. However, ROAS benchmarks vary significantly based on several factors. Understanding these variations helps you make smarter ad spend decisions.

Key Factors Impacting ROAS

1. Game Genre: Casual games often rely on in-app ads (IAA), while mid-core and hardcore games focus on in-app purchases (IAP) for higher returns.

• Hyper-Casual Games: Hyper-casual games are predominantly ad-driven, relying heavily on in-app ads (IAA) for monetization with minimal or no in-app purchases (IAP). These games tend to have high ad volume and scale, leading to D7 ROAS of 7.6% (iOS) and 7.8% (Android).

• Hybrid-Casual Games: Hybrid-casual games combine IAA with in-app purchases (IAP), creating a more balanced revenue model. These games typically see slightly higher ROAS than hyper-casual games, reflecting the added value from in-game purchases along with ads.

• Mid-Core Games: Mid-core games, such as RPGs and strategy titles, utilize a mix of IAP and IAA. These games generally see D7 ROAS of 4.3% (iOS) and 6.1% (Android).

• Hardcore Games: Hardcore games are IAP-driven, with high lifetime value (LTV) per user. These games typically generate longer-term ROAS through sustained engagement and regular content updates.

2. Monetization Model: 

• Hybrid monetization (IAP + IAA) boosts retention by 15–20% compared to single-model strategies.

3. User Geography:

• High-LTV markets like North America and Japan require premium bids but yield stronger returns.

4. Ad Network Performance:

• Platforms like ironSource and AppLovin leverage AI to optimize bids, while Unity Ads excels in casual game fill rates.

Ignoring these factors can lead to wasted budgets. Understanding benchmark ROAS across these categories helps allocate ad spending effectively for maximum profitability.

Global ROAS Benchmarks by Country

Not all markets perform the same. Some countries deliver high returns, while others have lower acquisition costs and lower monetization potential. Here’s how benchmark ROAS varies globally:

1. North America (U.S., Canada)

• Average ROAS: 2.5x – 4x

• Key Drivers:

• North America remains one of the most profitable markets for mobile games, driven by high purchasing power and strong IAP spending habits. The U.S. alone has an average revenue per user (ARPU) of $57, projected to rise to $64 by 2027. Strategy and RPG genres dominate, with 35% of the top-grossing iOS games falling into these categories. Mid-core and hardcore games with deep engagement loops thrive due to players' willingness to spend on battle passes, skins, and in-game perks. 

• Top Ad Formats:

• Rewarded video is the dominant format, used by 65% of casual games to drive engagement and IAP conversions. Playable ads are particularly effective for mid-core games like Call of Duty: Mobile, leading to better retention and higher ROAS. 

• Ad Networks: Facebook, Google Ads, Unity Ads 

• Case Study: A U.S.-based hyper-casual studio increased ROAS from 1.8x to 3.5x by integrating rewarded ads alongside limited-time events like Royal Match’s “Ocean Odyssey” challenge, boosting engagement and spending rates. 

2. Europe (UK, Germany, France)

• Average ROAS: 2x – 3.5x

• Key Drivers:

• Europe offers a balanced market with strong LTV but strict GDPR that impacts ad targeting efficiency. However, these regulations also lead to higher-quality acquisitions, improving overall monetization potential. Puzzle and simulation games dominate, with titles like Gardenscapes and Merge Dragons consistently ranking among the top-grossing apps. Players in this region respond well to personalized and socially proof-driven advertising that emphasizes community engagement.

• Top Ad Formats:

• Interstitials generate 40% higher click-through rates (CTR) than banners, making them a preferred ad type for puzzle and hyper-casual games. Social proof-driven creatives, such as “10M players love this game!” enhance conversion rates.

• Ad Networks: Google UAC, TikTok Ads, AppLovin.

• Regional Nuances: The UK shows higher adoption of hybrid monetization models, blending IAP and IAA effectively. Germany, known for its privacy-conscious users, requires localized ad creatives and strong compliance measures to maintain UA efficiency.

3. Asia-Pacific (Japan, South Korea, SEA)

• Average ROAS: 1.8x – 3.2x

• Key Drivers:

• The Asia-Pacific region is a powerhouse for high-LTV players, but the market is highly fragmented. Japan and South Korea lead in IAP spending, with Japan’s average IAP spend per user reaching $94.3. Due to government regulations, platform restrictions, and licensing requirements, China remains a massive but complex market. Meanwhile, India and Southeast Asia (SEA) have lower CPIs but rapidly grow in mid-core adoption.

• Top Ad Formats:

• Video ads with localized storytelling perform best, particularly in countries like Japan, where players engage deeply with culturally relevant content. Titles like PUBG Mobile have leveraged Bollywood collaborations to resonate with Indian users, significantly improving engagement.

• Ad Networks: TikTok (particularly strong in SEA and Japan), ironSource

• Market Trends: The demand for LiveOps events and limited-time gacha mechanics is high in Japan and South Korea, leading to better long-term retention and improved ROAS.

Fact: Honor of Kings generated $1.4B in 2023 revenue via Lunar New Year skins and IP crossovers. 

4. Emerging Markets (Brazil, LATAM, Africa)

• Average ROAS: 1.5x – 2.8x

• Key Drivers:

• Emerging markets offer some of the lowest CPIs globally, making them attractive for UA at scale. However, these regions also experience high churn rates, with Latin America seeing a 97.3% D30 churn on Android. Hyper-casual games dominate downloads, but monetization relies primarily on ad revenue rather than IAPs. Brazil alone generated 37.1M installs in January 2025, making it a key region for scale-focused acquisition strategies.

• Ad Networks: ironSource, Unity Ads, AppLovin.

• Challenges & Opportunities: Africa’s mobile gaming market is still developing, but mobile penetration is increasing rapidly. Localized payment solutions and alternative distribution channels (such as direct carrier billing) are essential for boosting monetization in regions with low credit card adoption.

A one-size-fits-all approach doesn’t work. Adapting your UA strategy by balancing CPI, LTV, and monetization models is key to optimizing benchmark ROAS in each region.

ROAS Performance Across Different Ad Networks

Choosing the right ad network can significantly impact ROAS. Some platforms prioritize scale, while others maximize high-value user conversions.

Comparison of Major Ad Networks for Mobile Games

Key Insights:

• ironSource outperforms for hybrid monetization, leveraging its ROAS Optimizer tool to prioritize high-LTV users 4.

• TikTok Ads excels in APAC and Gen Z markets, with ROAS lifts of 30% for narrative-driven campaigns 10.

• Unity Ads dominates casual games, where rewarded videos drive 80% of IAA revenue.

If your benchmark ROAS is lagging behind these figures, it’s time to adjust your UA strategy by refining targeting, ad creatives, and bidding tactics.

Also read: Understanding Ad Mediation Platforms for Mobile Apps & Games

How to Improve ROAS: 5 Data-Backed Strategies

Scaling profitably requires data-driven decision-making. Here’s how to maximize benchmark ROAS efficiently:

1. Enhance Ad Targeting

Refine your audience segmentation to​ reach users most likely to engage and spend. Utilize data analytics to identify high-value user-profiles and tailor your campaigns accordingly. This precision reduces wasted spend and increases conversion rates. 

Segwise.ai's AI-powered monitoring and alerting feature continuously analyzes data from Mobile Measurement Partners (MMPs) and ad networks to detect anomalies in user acquisition campaigns, enabling proactive adjustments to targeting strategies.

2. Optimize Creative Assets

Develop compelling and relevant ad creatives that resonate with your target audience. A/B testing different formats and messages can reveal what drives higher engagement and conversions, leading to improved ROAS. 

Segwise.ai's AI Creative Analytics & Insights automatically tags visuals, text, audio, and other elements across various ad formats, providing data-driven insights into creative performance. This helps identify winning elements and optimize creatives for better outcomes.

3. Implement Retargeting Campaigns:

Re-engage users who have interacted with your game but haven't converted. Retargeting keeps your game top-of-mind and encourages users to complete desired actions, thereby boosting ROAS. 

Segwise.ai's AI-powered monitoring and alerting can identify underperforming creatives and suggest improvements, enhancing the effectiveness of retargeting efforts.

4. Leverage App Store Optimization (ASO)

Enhance your app's visibility and attractiveness in app stores through ASO. A well-optimized app page can increase organic installs, reducing the need for paid acquisition and improving overall ROAS.

5. Utilize Advanced Analytics

By using analytics tools to track user behavior and campaign performance, marketers can gain valuable insights that help refine their strategies. This approach leads to more efficient ad spending and improved return on ad spend (ROAS).

Segwise.ai offers proactive alerts for campaign data anomalies and AI-driven suggestions to address issues like creative fatigue. This enables marketers to act swiftly, maintaining campaign effectiveness.

By focusing on both campaign monitoring and creative insights, users can achieve smarter spending, boost ROAS, and drive sustainable growth in their advertising efforts.

Also Read: Mastering ROAS for Mobile Games and Apps: The Ultimate Guide

Future-Proofing Your ROAS Strategy: 2025 Trends

As mobile gaming evolves, staying ahead requires adapting to emerging trends that impact user acquisition and monetization. Here’s what will shape ROAS strategies in 2025: 

AI-Driven Personalization

Generative AI will create dynamic in-game content, from NPC dialogues to quests, tailoring experiences based on player behavior. This enhances engagement, increases LTV, and keeps users invested longer, directly impacting ROAS growth.

Privacy-Compliant Targeting 

With Google’s Privacy Sandbox and SKAN 5.0, marketers must rely on probabilistic attribution models to track performance without violating privacy laws. Adapting to these changes ensures efficient UA and sustained ROAS optimization.

Cross-Platform Play

Seamless mobile-to-PC experiences, like Genshin Impact, extend retention windows and monetization potential. Cross-device accessibility increases playtime, leading to higher in-app purchases and stronger benchmark ROAS.

LiveOps Dominance

Frequent in-game events, as seen in Honor of Kings, increase D30 retention by 22%. Limited-time offers seasonal challenges, and fresh content sustains engagement, driving long-term revenue and higher ROAS.

As these trends unfold, staying agile in your approach to user acquisition will be key to maximizing long-term ROAS.

Conclusion

In conclusion, marketing mobile games, especially within the hybrid-casual sector, requires a data-driven approach to ROAS. Developers and publishers can optimize UA strategies and boost ROI by understanding benchmark ROAS variations across countries and ad networks. 

As the hybrid-casual market grows, implementing effective monetization tactics like rewarded video ads and strategic IAP offerings will be key to long-term success. Mastering benchmark ROAS turns UA spending from a cost into a growth engine, helping your game succeed in a competitive market.

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