NEXON Co Ltd

3659: XTKS (JPN)
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Nexon's Profitability To Improve Through Streamlining Portfolio and Cost Control

Business Strategy and Outlook

Nexon was one of the first game developers to adopt the free-to-play business model in the 1990s. While players can play these games for free, they are incentivized to spend money on in-game items that unlock character cosmetics or character/equipment enhancements and so on. For an online game to keep its user base and remain profitable over the long term, developers need to make an ongoing effort to maintain user loyalty and engagement over a long period so that players will continue to invest their time and money on the games.

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