Facebook developers garage taiwan 2010--Jia Shen's presentation

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  • Started with single application on MySpace (2007)Game/App developers coming to RY for reach to help drive installs and expertise on monetization (2008)Building out brand business – working with top brands to provide immersive brand experiences within Facebook social applications (2009)Success of owned and operated social games, Zoo World, Hero World, etc.
  • Index = % Composition Unique Visitors / Corresponding % in universe x 100Significant market penetrationAnything above 120 is very significant
  • Just cuz I like agendas 
  • User acquisition should be easier, but getting harderUsers have longer lifespanStronger sense of community for reengagementPaying user percentage lower
  • 3-5% of paying users on averageVaries from by genreHigh end is 10-15%50% of these users rebuyPeople either don’t spend or spend a lot
  • Virtual Value The key to all monetizationCreate higher value on actions, items, and events due to variables such as difficulty, rarity, time, artwork, and social functionalityThe Physical (or Virtual) Manifestation of Perceived Value is: Currency
  • Progress / Status / LevelDecoration & ExpressionCompetitive StatsItemsUltimately all can be described or converted to currency
  • Total guess. But it’s pretty!
  • You want what you can’t haveYou want it nowIf it’s too easy, you don’t wan t it
  • By providing visible goals and achievements, users are given a clear incentive to continue gameplayAllows for a tightly-regulated system of item release and pacing of usersIt’s important to keep the users entertained whether they come every day or once a month
  • One currency for gameplay functionality and one currency to the dollarControl over in-game economyAs people level up and standard currency becomes more plentiful, the use of a secondary currency that does not inflate allows for continuous monetization, or cross-application functionality (a proposed advantage of FB Credits)Avoids potential loss of paying customers to gameplay loopholes or bugs
  • I really hate the effect on this one 
  • Facebook developers garage taiwan 2010--Jia Shen's presentation

    1. 1. JiaShen<br />Founder<br />Social Game StrategiesOne way to look at it<br />
    2. 2. RockYou Overview<br />RockYou, Inc.<br />Engaging the world through <br />social applications!<br />2007<br />2008<br />2009<br />2010<br />Reach Applications<br />Social Gaming<br />Network Installs<br />Brand Integration<br />RockYou’s evolution as the leader in Facebook Marketing. <br />
    3. 3. RockYou: Top 4 Reach in the US<br />Source: comScore Media Metrix Key Measures – with Unified Sites, May 2010<br />Source: Quantcast U.S. Network Rank, May 2010<br />
    4. 4. Agenda<br />Introduction<br />Creating Virtual Value<br />Converting it to Paying Users<br />Improving Monetization<br />Conclusion<br />Q&A<br />
    5. 5. Show me the funnel!<br />Creating Virtual Value<br />
    6. 6. Collision of Worlds<br />Conventional & Casual Games<br />Entertainment<br />Engagement<br />Online Games<br />Long term engagement<br />Monetization<br />Performance Marketing<br />User acquisition<br />
    7. 7. Understanding the Free2Play Space<br />User acquisition easier, but getting harder<br />Users have longer lifespan<br />Stronger sense of community for reengagement<br />Paying user percentage lower<br />Its all casual<br />
    8. 8. Maximize paying users<br />On Average, 2-5% Users are Paying<br />10-15% is High Percentage<br />50% of Purchasers are repeat customers<br />People who do spend, spend a lot<br />
    9. 9. Virtual Value<br />I Want it!<br />
    10. 10. Conventional Game Value<br />Centered around entertainment content proposition<br />More like TV and Movies<br />Content comes in big chunks<br />DLC is its current incarnation<br />More hit or miss<br />Think Halo, Starcraft, GTA<br />
    11. 11. Social and Online Games<br />Flipped on its head<br />Entertainment / game is foundation<br />Content is bite size<br />Value creation is persistent<br />Tuneable, but can break<br />
    12. 12. Bite Sized Virtual Value<br />Progress / Status / Level<br />Decoration & Expression<br />Skills<br />Items<br />Time<br />
    13. 13. Value converts to Money<br />
    14. 14. Duh I know<br />Time = Money<br />
    15. 15. Time Creates Desire<br />
    16. 16. Limited and Premium Items<br />Premium<br />You just gotta pay to play<br />Limited<br />Get it now or you’ll never see it again. Maybe<br />Consumables<br />Now you have it, now you don’t<br />Warstorm<br />Social City<br />Happy Island<br />
    17. 17. Level Locking<br />Incentives to continue playing<br />Visible Goals to Accomplish<br />Allows Regulation<br />Item Release Structure<br />Pace Power-Users<br />Keep Them Interested<br />Providing the Hope of Future Entertainment<br />
    18. 18. Chance<br />Collectibles<br />Extend perceived value<br />Roulette<br />Pacing<br />Scheduling of new feature releases<br />Fits Power & Casual users<br />First ones free<br />
    19. 19. Time Savers / Boosters<br />Quick Refill<br />Instant Gratification<br />Time Boost<br />Better Balance<br />Speed it up<br />
    20. 20. Level Tuning<br />New User Flow<br />Level up a new user quickly<br />Accomplishment<br />Value<br />Instant gratification<br />Growth Curve Dynamics<br />Maintain pacing to fit hardcore and casual users, as well as new feature release cycles<br />Keep them Interested<br />User Loss<br />Monitor user levels and tweak according to user drop off<br />Throw users into a “lifetime” to earn value<br />Nightclub City<br />Nanosiege<br />
    21. 21. Create difficulty ramp and barriers<br />Determine acceptable rate of increase<br />Create many different interacting barriers<br />Allows for value creation in the future<br />Harder for exploitation of one state<br />Time with perceived value creates demand<br />
    22. 22. Checks and Balances<br />Create different vectors of value to balance<br />Always have a “limited reagent”<br />Never create permanent buffs<br />Monitor value acquisition rate<br />Reduce Inflation and Boredom<br />
    23. 23. Multiple Currencies<br />One currency for game-play functionality and one currency to the dollar<br />Control over in-game economy<br />Standard Currency eventually devalues. Secondary Currency allows application to continuously monetize<br />Cross-application functionality (FB Credits)<br />Avoids potential loss of paying customers<br />Game-play loopholes<br />Bugs<br />Dual Currencies – Created to combat in-game inflation<br />
    24. 24. Value is the incentive<br />Maximize % of Paying users<br />Design Perceived Value<br />Limit access to value<br />Creates demand<br />Raises retention because user derives value<br />
    25. 25. Thank You<br />

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