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The social games market

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Is social gaming the biggest web market? By Nadya Jahan …

Is social gaming the biggest web market? By Nadya Jahan

Nadya is an entrepreneur passionate about video games, she speaks regularly at conferences on the topic of social gaming. After a very strong business development experience in a videogame company, she launched her own structure: Mandala games that will release its first social game on facebook very soon. She analyzed in detail the world of social gaming and will share her knowledge about the reality of this market and its players.

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  • 1. $1.6 billion were spent in 2009 on virtual goods. Why?
  • 2. Birth of the first video game: Pong (1972)
  • 3. Film industry Video game industry € 20,9 billion € 29,2 billion
  • 4. #1 In every real man a child is hidden that wants to play. Nietzsche
  • 5. #2 Video games generateémotions Le jeu vidéo génère des emotion: fear – joy – Pourquoi ? – desire… frustration
  • 6. #3 The number of Internet users worldwide has doubled over the past five years.
  • 7. #4 The simplicity of the game makes it accessible to all players: The casual game.
  • 8. #5 Limited playing time: Pushes the player to come back every day.
  • 9. #6 The social dimension of the game: I need my friends to progress.
  • 10. Friends become accessible through the game: Social game becomes an interaction object.
  • 11. Did you know? 50% 20% of Facebook users log in specifically to play games have spent money in a game
  • 12. The social games audience Ready ? GO !
  • 13. What is the average age of Facebook players? 23 yrs/old 33 yrs/old 43 yrs/old?
  • 14. Players are on average… 43 years old!
  • 15. 69% of social gamers are… Women
  • 16. Who spends money to play? … Women at 74%
  • 17. 46% are more than… 50 years old!
  • 18. 2008 $ 0,2 billion! 2009 0,7! 2010 1,3! 2011 3,1! 2014 15,0! The social games market
  • 19. Top Wii game Top Facebook game 45,7 million sales 80 million players
  • 20. Business model : Virtual goods sales
  • 21. Virtual currency Advertising opportunities Adversiting The social games business model
  • 22. Conversion ratio: 2% - 4% Expense of playing player/month : 20$ Example : If 3% of FarmVille players spend €5/month … They generate €12 million /month The social games profitability
  • 23. The social games ecosystem $1,380,000,000 Nov 09: EA has acquired Playfish for $400M! June 10: Zynga has raised $147M! Invested in 87 virtual goods related companies in 2009! July 10: Disney has acquired Playdom for $763M!
  • 24. Divinitiz on Facebook www.mandalagames.com
  • 25. Thanks! Nadya JAHAN Founder & CEO @nadyajahan nadya@mandalagames.com