PTW sees room for further rise in annual revenue

Pole To Win International Inc, an industry-leading provider of video games and tech solutions, is ramping up efforts to offer improved services to Chinese clients with an eye on the promising China games market, the company's CEO said.

Deborah Kirkham, CEO of the San Francisco-headquartered firm, said China will retake the top slot in terms of revenue in the global gaming market by next year.

For the first time since 2015, the US is projected to grow into the largest gaming market by revenues globally with $36.9 billion this year, while the industry in China is estimated at $36.5 billion, Kirkham said, citing relevant data.

She pointed out that one reason behind the projected lower ranking of the industry in China was the country's nine-month licensing freeze on new games.

"But in 2020, we project the games market in China will overtake the US again (by revenues)," she said.

In the near future, PTW plans to set up another studio in China, with a goal to gain a firmer foothold in the growing China market.

PTW provides its clients - mostly game and tech companies - with integrated solutions, which range from localization, audio production to engineering and development. It owns more than 37 studios worldwide with proficiency in over 40 languages.

Last year, the company worked on more than 350 apps and games. "We have worked with four of the Top 10 technology companies, as ranked by the 2018 Forbes Global 2000 list," Kirkham said, without elaborating.

As for the China market, PTW has won orders from top Chinese companies. Since about four years ago, the company has doubled the revenue growth year-over-year in China. "Year-on-year, we expect this growth to continue," Kirkham said.

Last week, the company merged its two Shanghai subsidiaries into a single studio. The move, Kirkham said, will strengthen PTW's integrated solution offerings and help the company better provide top quality services to clients in China.

"We anticipate a 10-to-20 percent improvement in efficiency for cross-functional projects while maintaining our high quality standards," she said.

In addition, PTW launched its "Gateway to West" program to support Chinese clients in entering Western markets. It was designed specifically to assist Chinese clients in developing the best product and gaming experience for players overseas.

The company's move was buoyed by Chinese game publishers' rising enthusiasm for overseas expansion. During the past two years, Chinese mobile game publishers witnessed a significant increase of 60 percent in overseas consumer payments from Apple Inc's iOS App Store and Google Play Store, a report said.

The findings showed the US market led consumer spending on Chinese games between January and July, while Southeast Asia reported the highest number of downloads of Chinese games.

"It's our duty to ensure our Chinese clients have the avenue to succeed both locally and globally. Gateway to West is the result of our years of experience working with local clients combined with our expertise in Western markets," said Winston Wong, PTW president for the Asia region.

"Through this program, we hope to contribute to the success of our Chinese clients in their overseas ventures," he said.

Dai Bin, App Annie's regional director for China, said Chinese mobile games have built an advantage in emerging markets, while they remain at the initial stage in developed markets. He suggested Chinese publishers place greater emphasis to developed markets and increase investment accordingly, as there remains considerable room for revenue growth in these markets.