AbZorba Games B2B 21 Mar 2013
- 1. Is your social gaming strategy
unclear?
© 2013 AbZorba Games - Confidential
- 2. AbZorba Games
Mobile Social Casino Games
White Label Program
Converting Your Social Gamers to Real Money Gamblers
© 2013 AbZorba Games Confidential
- 3. Social Gaming is Mission Critical for
Conversion
© 2011 AbZorba Games S.A. Confidential
- 4. What‟s it all Worth?
Morgan Stanley‟s Blue Paper “Social Gambling: Press Here to Play”
AbZorba highlighted on Page 36
Nov 2012
“Social gambling is a surprisingly large and high-growth industry. Convergence between
online (real money) and social (virtual currency) gambling is the hottest topic in the gambling
industry. We see social gambling growing from $1.7bn today to $2.5bn by 2015, and see it
as a rich source of customers that could boost growth rates for real money gambling”
“Juniper Research estimates that mobile gambling could reach a global figure of
US$100bn by 2017, driven by social gaming”
MAY 2012
“Juniper Research finds that a growing user acceptance of in-game purchases and
a sharp rise in smartphone adoption will push sales of in-game items from
$2.1billion in 2011 to $4.8billion in 2016
JAN 2012
© 2013 AbZorba Games - Confidential
- 5. AbZorba‟s Neat Proposition
• Launch a fully branded mobile casino in weeks
• Lobby, rooms, tables, cards, chips all „On Brand‟
• Poker, Blackjack, Roulette & Slots on Android & iOS including tablets and
iPad
• Convert your new social gamers to your iGaming brand via in-game links
• Seamless and extended brand experience from social to gaming
• Real gamers play within your brand when they can‟t bet
– Either due to regulation
– Or simply because it‟s not payday
• Leverage AbZorba‟s significant social skill-set from Hub of Fun™ Casino
• Your gamers will join our gamers for greater liquidity and best user
experience
• Social extends deep analytics and player prediction
• All on-going title upgrades and new features are free of charge
• Multiplatform reach from mobile to Facebook to IPTV when ready
• Committed deep consultative support for lifetime of games
© 2013 AbZorba Games - Confidential
- 7. Just Some of the Social Features
Social & Viral:
• Invite friends and earn chips
• Post achievements on
Facebook
• Tweet results for free chips
• Post to friends Facebook wall
• Send app invites for free chips
Avatars:
•Avatars - 10% gamers buy avatars monthly
•1000‟s items bought each month
•Library of items expanding all the time
•Highly engaging game in itself
Cocktail Time:
•6.5% buy from the bar every month
•Chat to those around you openly or in private
•Buy the „hottie‟ a cocktail from the bar
•Buy a whole round and celebrate
•1000‟s of cocktails are sent every month
© 2013 AbZorba Games - Confidential
- 8. Hub of Fun Commercial Model
Hub of Fun™ Blackjack, Poker, Roulette & Slots:
•Revenue Steams - Free-to-play or “Freemium‟:
• In-game purchases: Chips, Virtual Goods, Avatars
• Mini games – lucky spins
• VIP memberships
• Advertising
• Offer Walls
• Billing partners Google Check-Out, iTunes
•One Off Set-Up License Fee Includes:
• Full branded game environments, logos, colour themes, lobby, tables, chips throughout
• Lifetime account consultancy for social media campaigns
• In game links to external pages
• All future feature upgrades
• In game message configurations
• Links to social media accounts
• Push CRM messaging
• Analytics
•Social games revenue split: 50/50
•Affiliate revenue share: Standard affiliate agreements
© 2013 AbZorba Games -. Confidential
- 9. Breakdown of The Freemium Game Model
• The „Freemium‟ Model: The products are totally free to play, yet users are willing to
pay in many circumstances to play the games. AbZorba‟s games encourage in-game
purchases by:
• In-game currency: Diamonds
• Continued gameplay: People want to advance more quickly through game-play.
Players finding a slot machine enjoyable may decide to pay to continue playing,
rather than waiting for chips to reload overnight for free.
• Competition: People are competitive and want to accumulate more chips or awards
than friends or other players. Leader boards and rankings are important
• Self-expression: People want to express themselves by buying virtual goods to
rewards themselves or to attract friends in game with cocktails from the bar
• Gifting: Gifting allows people to play with friends or forge new ones. People may feel
obliged to reciprocate if others send them gifts
• Scarcity: People may value virtual goods because they are branded by real world
companies, or because they are rare
• Game-within-a-game: Mini games fill the time and journey around game play with
enticing ways to chance a win of chips or turns
© 2013 AbZorba Games -Confidential
- 10. Gamer Acquisition
• Gamer acquisition is all about bringing liquidity to the game
• More liquidity provides more social, more retention more conversion to paying
• Acquisition programs can be engaged through multiple 3rd party partners
• Additionally each title offers an effective cross-sell game-to-game and gamer-to-
gamer
• Cost Per Install (CPI) is the preferred model
• CPI rates are „bids‟ set by you as the min/max prepared to offer
• Network accepted bids typically range from $0.75 - $2.50 mobile and $4.00 Facebook
• There are many agencies which run campaigns and A/B testing for your target
profiles and geo-locations
• Targeting can be Gender/Age/Location/Game/History/Country/Time/Device etc. etc.
• Gamer Value is measured by Life Time Value (LTV) minus CPI
• LTV is measured by Average Revenue Per Paying User Per Month (ARPPUPM) x
Months Paying across all titles downloaded by that player
• LTV can greatly be enhanced in several Key Performance Indicators are increased:
– ARPPUPP
– Retention
– Incentivized cross-sell
– Social engagement
© 2013 AbZorba Games -. Confidential
- 11. Some Insight – MORGAN STANLEY RESEARCH
“Social Gambling: Click Here to Play”
November 14, 2012
• AbZorba Games is identified in the report as a key operator in Social Gambling sector (P36)
• Conversion from social gambling to real money gambling could drive growth
• Converting 10% of the existing social casino paying players into online gambling players could drive
30% growth in the online gambling industry
• Over three times more social gamblers than real money online gamblers
• About 3m paying social casino customers in 2012, contributing an ARPU of c.$500. This compares
to an estimated 49m real money gamblers, with an ARPU of c.$700
• There is a significant pool of players who are willing to pay for the entertainment of playing casino
games, but this player pool is only a small fraction of the number of customers who enjoy playing for
free - suggesting social casino gaming will create a new generation of players where real money
gambling is restricted
• People value virtual goods because they are branded by real world companies
• Higher ARPUs for gambling games. The average ARPU for all forms of social games is estimated to
be $5 per user (SuperData Research). For social gambling games this rises to $9. While the
conversion rates to paying customers are similar (c.2%), those customers that do pay seem to be
willing to spend significantly more for gambling products (c.$500 annually) compared to other social
games (c.$300)
• Social gambling games seem to have a more steady ramp-up, and are less hit-driven than other
games
• Around 41% of UK internet users play social games, compared to 7% who use any form of remote
gambling
© 2013 AbZorba Games - Confidential
- 12. Now your social gaming strategy is
Andrew Hughes
Co-Founder & CEO
Cell: +34 667 802643 andrew@abzorbagames.com
abzorbagames.com
© 2013 AbZorba Games - Confidential