𝗭𝘆𝗻𝗴𝗮, a San Francisco company, is looking to expand its global market presence, and to achieve this goal, they are investing in 𝗥𝗼𝗹𝗹𝗶𝗰, a hyper-casual gaming company of Istanbul. 𝗭𝘆𝗻𝗴𝗮 will pay around $𝟭𝟲𝟴 𝗺𝗶𝗹𝗹𝗶𝗼𝗻 to acquire an 𝟴𝟬% share of 𝗥𝗼𝗹𝗹𝗶𝗰. It is the biggest hypercasual gaming company, and its games have more than 250 million downloads.
Hyper-casual games acquire the markets by easy accessibility and gaming interface offered by enhanced excitement and pleasure. These games get their monetization by advertisings. Zynga will buy the rest of the company too in some time after analyzing the profits and targets.
In 2017, Zynga brought a casual card game studio of Peak at $100 million, and in June 2020, it acquired Peak games too for $1.8 billion. Zynga also brought Gram games for $250 million, Natural Motion for $527 million, and also Small Giant games for 560 million USD.
Mr. Gibeau further added that this is the first entry for Zynga in hyper-casual games. He also added that hyper-casual gaming is a growing sector with a vast audience, and it acquires a mass market at a faster pace.Mr. Frank Gibeau
This deal will ensure that Zynga’s entry is the fastest growing mobile sector. Rollic is widely successful with 5 million+ global daily users. Rollic also has 65 million monthly users. Gibeau added in an interview with GamesBeat that Rollic would add 65 million monthly active users to Zynga’s reach, and that will add on to their number to reach 200 million. He then stated that advertisements would be a proper monetization technique as these ads provide extra lives and features that act as the substitute for the transaction methods.
Rollic was founded recently in December 2018 by Deniz Basaran, Burak Vardal, and Mehmet Can Yavuz. The company has 8 games and has been the first game downloaded in US App stores. Rollic recently released a new title Go Knots 3D and Tangle master 3D, and these became the most downloaded games in 2020 in the US App Store.
This deal will strengthen Zynga is South and middle-East Asia, as stated by Gibeau. Zynga will acquire the rest of 20% in the next three years in installments based on the profit factors.
Apart from this, Zynga also made 3 more deals in Istanbul that is the casual gaming hub. Gibeau mentioned how the teams of Zynga and Rollic had a meeting before the COVID-19 pandemic, and they completed the negotiations in the lockdown period.
Moreover, Zynga has several deals and they have a total of 1,981 employees. The company is hiring across the globe to fill the openings. Turkey has a healthy ecosystem and is becoming an industry hub for mobile games, as Gibeau stated.
The deal might face some challenges because of the advertisement factor and ongoing pandemic as marketers have minimized the advertising budgets. However, Rollic has a strong business, as Gibeau mentioned. He also believes revealed how Rollic does not rely on Identifier for Advertisement (IDFA) for the user-level data for their ads, and Zynga has a lot to learn from Rollic. There are several advantages to Zynga by choosing Rollic.