Introducing Zuckerbid: The Open Auction for Facebook Apps
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Introducing Zuckerbid: The Open Auction for Facebook Apps

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Learn why the Facebook app market is heating up and how you can get involved, with or without coding chops!

Learn why the Facebook app market is heating up and how you can get involved, with or without coding chops!

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    Introducing Zuckerbid: The Open Auction for Facebook Apps Introducing Zuckerbid: The Open Auction for Facebook Apps Presentation Transcript

    • The Open Auction for Facebook Apps
    • How Does Zuckerbid Work? 5 Days 12 Hours 35 MinutesDeveloper App Buyer Zuckerbid is an open auction where developers can list their Facebook apps for sale.
    • What’s Considered a “Facebook App” A Definition
    • What’s Considered a Facebook App? Our Test:If Facebook died tomorrow, would your app still work? If your app would also die, or at least be mortally wounded, it’s probably a Facebook app.
    • Facebook’s DefinitionFacebook lists 3 types of apps that are eligible to be listed in the app center:1) It works on Facebook.com in a canvas page2) It’s a native mobile app built for iOS or Android but uses Single Sign On (SSO)3) It’s a mobile web app or website that uses Facebook Login and has an immediately personalized logged-in experience
    • Canvas Apps1) Works on Facebook.com in a canvas page • Never have to leave Facebook.com to use the app. • App loads on a “canvas” area designated within Facebook through an iframe. • A Popular choice for games
    • iOS/Android Platforms2) A native mobile app built for iOS or Android but uses SingleSign On (SSO) • The app is built native to iOS or Android platforms • New users sign up/login using their Facebook identity • Single Sign On (SSO) gives the app access to the user’s Facebook profile information and the social graph
    • iOS/Android Platforms3) A mobile web app or website that uses Facebook Login andhas an immediately personalized logged-in experience • Mobile web apps that are built with responsive design and mobile-friendly markup like HTML5 • Websites that use FB login and have an experience built around the Facebook integration
    • What’s The Big Deal With Facebook Apps? An Explosive Market
    • Y U THINK FACEBOOKAPPS SUCH A BIG DEAL?!? • As of April 2012, there are over 9 million Facebook apps • Collectively, they generate $BILLIONS for developers each year • There is no way for these developers to sell their app like a business • Zuckerbid gives developers an exit strategy for their Facebook apps
    • Signs of a Market That’s Heating UpThere is a growing number of startups that have used the Facebook platform to achieveastonishing results for their app in record time. They are like tremors before the earthquake…
    • Tremor: Zynga • Social gaming company built on Facebook’s open graph • Grew to over 2,000 employees within 4 years of its inception • $1.16B of revenue in 2011 • Acquired 14 other companies to date and has expanded operations internationally • Has given over $6mm to charitable causesWithin 4 years, Zynga started booking revenue in thebillions. They account for over 15% of Facebook’s totalrevenue.
    • Tremor: BranchOut • Attracted 30 million users in less than two years • Raised $50mm in venture capital • Full-time staff of 45 and growing • Multiple non-advertising dependent revenue streams, including a unique tool for recruiters With astronomical growth, three rounds of funding, and alliances with players like CareerBuilder, BranchOut shows promise for entrepreneurs seeking to build a legitimate business on the Facebook platform.
    • Tremor: SocialCam • Sought to become the “Instagram for video” • 20 million monthly active users within the first year • Acquired by Autodesk for $60mm within 18 months of its launchSocialcam demonstrates the potential for accelerated growthby leveraging the power of viral user acquisition on theFacebook platform.
    • What is the lesson here?Facebook apps are not just annoying gamesthat waste time; they are growing intolegitimate, value-producing businesses.
    • Recent Events That Have Raised The Stakes Increasing App Value
    • Recent Events That Raised The Stakes• May 2012: Facebook App Center was released• June 2012: Facebook Announces they’ll phase out their credit system and replace it with credit card billing for in-app purchases• July 2012: Facebook introduces new monetization opportunities for developers, including subscription payments.
    • The Facebook App Center In May 2012, Facebook started the App Center.Developers rejoiced. It was like the Zuckerclausdumped out pirate chests full of new app users.
    • The Facebook App CenterQ: Why is the App Center such a big deal? A: It’s a massive free distribution channel that can catapult apps to success overnight.• Users browse by category, making apps easier to find.• Users get customized recommendations for apps based on their friends’ activity.• Rapidly growing apps are listed in the “trending” category—AKA free exposure to millions of eyeballs.• In the first month, has generated 240% more app installs for developers.
    • The Facebook App CenterOne more little nugget about the App Center: The App Center will likely attract talented developers who need a distribution channel for their HTML5 mobile apps, since they are not eligible for the Apple or Android stores.
    • New Monetization Options In the summer of 2012, Facebook announced 3 new payment features:1) Developers will be able to sell premium apps, like inthe Apple app store2) No more in-app purchases using Facebook credits.Users will make payments using a credit card in theirown currency3) Developers will be able to sell subscriptions to theirapps. This is perfect for premium content publishers
    • Let’s Review• The Facebook app is a proven business model, which has gained interest from top venture capital firms.• It’s easier than ever to accelerate user growth through free distribution channels like the app center.• Developers can get paid for virtual goods or charge subscriptions in every major world currency.
    • The Open Auction for Facebook Apps Beta Release in Fall 2012