20140707 social game primer talk

SOCIAL, MOBILE GAME PRIMER TALK

AGENDA• Game Industry at a glance• Key Metrics• Trends• Design to Monetize• Social Casino

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GAME INDUSTRY AT A GLANCE

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At first, we start from an idea…At Last, Games for Players

FROM AN IDEA TO A PRODUCT

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Administration, Finance, Human Resource, and so on

Game Development

In-between, Lots of Work

Publishing / Operation

GAME INDUSTRY

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PEOPLE IN GAME INDUSTRY

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GAME CATEGORIES

-HOG-Match-3-Endless Runner

-Ville/Farm-Tower

Defense-MOBA

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INDUSTRY CHAIN

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MARKET SIZE

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MARKET SIZE PER SEGMENT

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BUSINESS MODEL

KEY METRICS

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Console, PC Purchase (packages, pay per download, try &

buy) Units sold, sales volume

MMOG Subscription, F2P MCCU (PCCU): max./peak concurrent user

(server loading) ACCU: average concurrent user (revenue

base) Apps (Social, Mobile)

DAU: daily active user MAU: monthly active user

KEY METRICS : MAU & DAU

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REFERENCE : DAU OF THE TOP 10 FACEBOOK GAMES

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Acquisition New users UAC/CAC: user/customer acquisition cost LTV: lifetime value

Retention MAU/DAU > 20% Day 2/3/4/5/6/7/15/30

Monetization ARPU: average revenue per user ARPPU: average revenue per paid user Pay rate

KEY METRICS : ARM RELEVANT LTV of EA Social Sports: $56 (Source: AllThingsD, 2012)

Good D2/D7/D30 retention≒ 40% /20%/10%

(Source: Flurry, June 2012)

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REFERENCE: GAME DESIGN FOR BETTER RETENTION

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OTHER KEY METRICS I

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REFERENCE : HOW MUCH IS THE AVERAGE UAC

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OTHER KEY METRICS II

Conversion Rate General Payers/Players

Retention relevant churn/attrition rate : subscription-based aver. # of sessions, aver. session length

Data-driven cohort analysis results tables of in-game systems like match-

making, queuing

REFERENCE: DO WE MONETIZE WELL

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TRENDS

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TREND 1 : FREEMIUM F2P earns more Why? Economical Reasons

Remove barriers Remove the upper limits

Why? Psychological Mechanism Willpower & Impulsive

purchase Virtual currency Instant satisfaction

Why? Teach player to spend

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FREEMIUM EARNS MORE Teach players to spend

Free coins as rewards Free trial to get

addicted Design to monetize

Reasonable Price Structure

Integrate monetization into gameplay/core loop

Good Design: items etc. Implement chance-

based factor to boost payment

PAYMENT: KEY ISSUE IN THE EMERGING MARKET

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PAYMENT OPTIONS

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TREND2 : SOCIAL -Easy to play-Bite Size-Enriched by real relations

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CORE OF SOCIAL: COMPETITIVE & CO-OP

Collaboration & giftingCompetition & rivalry

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SOCIAL IS GOOD FOR RETENTION

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SOCIAL IS GOOD FOR MONETIZATION

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TREND 3 : MOBILE DOMINATES

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CHANGE : MOBILE GAME INDUSTRY CHAIN

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CHANGE: MOBILE GAMES

“Snake” on the feature phone in

the old days“Snake.apk”

With iAP & SNS integration (Facebook, IMs)

-Compare score: leaderboard

-Share Results with friends

-Ask Friends to help, all response

get rewards -Send/Receive

Gifts

-Single player but remain online-Multi players

with rivals and/or team work to

achieve-Pay to revive

-Pay to slow down

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MOBILE GAME TRENDS

DESIGN TO MONETIZE

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STRATEGY

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Satisfy our payers

Please non-payers: Why they matter Revenue stream (via iAD) Viral marketing to reduce our UAC/CPI (invites

/posts to play free) Keep payers stay (Vanity & Special items)

REASONABLE PRICE STRUCTURE

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Pricing Low barrier The higher price,

the better unit price

Promotion Limited time Limited amount

Free Trial of iAP Tutorial Quests Free First Test

RULES: INTEGRATE MONETIZATION IN CORE LOOP

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Core Loop: key sets of activities a player takes in each session Actions: main interactive elements Gates: elements that block progression Sinks: where players spend currency Taps: where players gain currency

Provide options in Taps, path with least resistance Earning in sessions, free gifts (rewards,

comprehension) RMT(real money trading) Social (Viral): friends help, post to wall Spend time/ Skills

SINK DESIGN

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Ultima Online (1997): items wear out MapleStory (2003):

items expire

ITEM DESIGN

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IMPLEMENT CHANCE-BASED FACTOR

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Collectible Trading Items (cards) Normal, Rare, Super Rare, Random cards in packs

Gambling Slots Gacha Lottery

Recycle Compose, Embed, Forge, Enchant

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BEST PRACTICES IProgression Map

Proper Level Difficulty

Randomness as Obstacles

Multiple Goal Structures

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BEST PRACTICES II

Multiple vectors of achievement make completion both harder and more interesting (motivations to pay)

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BEST PRACTICES III

No patience to wait is one of the strongest factor to pay

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BEST PRACTICES IV: CLANS (GUILDS)Team incentives create pressure to keep up with each other and thus spend.

SOCIAL CASINO

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MARKET SIZEIn 2012, the predict market size is $1.7BN by 2013, $2.5 BN by

2015

Social Casino Gaming reaches $2.9BN in 2013, and $4.4 BN 2015e! (Source: SuperData, 2014)

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MARKET GROWTH

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MARKET SHARE BY COUNTRY & PLATFORM

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MARKET SHARE (IOS TOP 10)

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TOP 10 COUNTRIES (IOS)

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KEY PRODUCTS BY MAU

WWW.ASPECTGAMING.COM

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