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Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
Economics of apps 2010.06.17
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Economics of apps 2010.06.17

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The slides of my talk on "The Economics of Apps" at Mobile 2.0 Europe (17 June 2010 in Barcelona).

The slides of my talk on "The Economics of Apps" at Mobile 2.0 Europe (17 June 2010 in Barcelona).

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  • 1. The Economics of Apps Mobile 2.0 Europe - Barcelona - 17 June 2010 Volker Hirsch (@vhirsch)
  • 2. Mobile Apps... ... can be a bit of a nightmare http://fraizochocolat.wordpress.com/2010/02/
  • 3. You do everything right...
  • 4. ... on the inside... http://blogs.fayobserver.com/faytoz/files/2008/10/davinci_toothed_gears_original.jpg
  • 5. ... on the outside... http://picasaweb.google.com/lh/photo/f-4eoJyuiitoJIPDaqrMJQ
  • 6. ... and on marketing ... and of course with Carriers http://www.ruralmarketingservices.com/images/marketing_road_sign.jpg
  • 7. Something is still missing... http://www.latest-wallpaper.info/free-money-wallpaper.htm
  • 8. The Discovery Dilemma http://www.lanfaxlabs.com.au/images/all-detergents-3-IMGP3918.JPG
  • 9. THe $ Dilemma (carrier model) after overheads after production after porting & QA after License after distributor after carrier after VAT total revenue
  • 10. THe $ Dilemma (carrier model) 2
  • 11. THe $ Dilemma (app store model)
  • 12. THe $ Dilemma (app store model)
  • 13. The Mobile Web then?
  • 14. http://gapingvoidgallery.com
  • 15. And again: loads of them...
  • 16. What is Social?
  • 17. Social refers to the interaction of organisms with other organisms and to their collective co- existence [...] Source: Wikipedia
  • 18. http://commons.wikimedia.org/wiki/File:Bhgs_crowd.jpg
  • 19. And so what ???
  • 20. 475,000,000 circulation of newspapers 825,000,000 registered cars 1,700,000,000 Internet users (PC, Mobile, Web Cafe) 1,800,000,000 unique credit card holders 2,250,000,000 tooth brushes in use 4,000,000,000 FM Radios 4,600,000,000 mobile phone subscriptions http://upload.wikimedia.org/wikipedia/commons/8/85/Numbers_grid_in_NY.jpg various sources
  • 21. Concept: Object-Centered Sociality Prof Dr Karin Knorr-Cetina, Sociologist https://svn-create.freedesktop.osuosl.org/public/create/docs/logo/images/light_bulb_off3.jpg
  • 22. You need Context! http://flickr.com/photos/nolifebeforecoffee/124659356/
  • 23. My app a Social Object? http://adsoftheworld.com/media/print/lego_video_game?size=_original
  • 24. It always was!
  • 25. Object Let’s recap: Social is interaction in context http://upload.wikimedia.org/wikipedia/commons/e/e0/Petanque_players_in_Cannes_(France)_2003.jpg
  • 26. It’s about Engagement - People Interact by nature. - Fans can be Fanatics! - An app and the environment in which it is set matters to its fans. Apps are powerful social objects http://www.windsorfinejewelers.com/media/catalog/product/cache/1/image//t/a/tacori-platinum-round-diamond-semi-mount-engagement-ring.jpg
  • 27. What - Create Fanatics. - Provide avenues for people’s passion. - Incorporate people’s strongest community: their friends! - Keep it in context, i.e. in the app.
  • 28. How - High-Scores (Reward) but make them customizable (Relevant). - Connect to the community (Avenues of Passion). - Person-to-Person Challenges & (Playful contextual interaction). - Awards / Rewards (Fanatics). - In-app transactions & Virtual Currencies (Contextual Monetization).
  • 29. 74% of all buying decisions are made on a friend’s recommendation Source: Bain Consulting http://www.cartoonary.com/madagascar/images/madagascar-marty-alex-gloria-melman-penguins-julien-2048x1536.jpg
  • 30. Monetize Downloadable content and in-app currencies drive additional revenue streams Engage Increase revenues challenges and achievements engage users and Discover let them share their app Cross-promotions, experience. Friend Finding, and Social Network Increase user Integration let activity people connect to each other and get the word out. Increase installed base
  • 31. Discover Increased installed base from more people downloading the games
  • 32. Engage Increased activity in your app: people use it more often
  • 33. Monetise Increased revenues from additional revenue streams
  • 34. One last thing: 123,296,966,069,453 The Law of Big Numbers
  • 35. Connect to any social network * * * * ** * Already integrated ** Scoreloop is the official partner for mobile gaming
  • 36. don’t forget the “other” smartphones! And maybe the other folks are noteworthy, too...
  • 37. Core Social - Social Tools (High-Scores, Player-to-Player Challenges, Recommendations [using any source available], Awards & Trophies. - Full virtual currency (supports in-app purchases, item downloads, dual currency) - Multi-platform: iPhone, Android, BREW, Symbian, MeeGo, RIM, Web.
  • 38. Image Credits http://upload.wikimedia.org/wikipedia/commons/8/85/Numbers_grid_in_NY.jpg http://gapingvoidgallery.com http://upload.wikimedia.org/wikipedia/commons/e/e0/Petanque_players_in_Cannes_(France)_2003.jpg http://upload.wikimedia.org/wikipedia/commons/5/56/Bhgs_crowd.jpg https://svn-create.freedesktop.osuosl.org/public/create/docs/logo/images/light_bulb_off3.jpg http://www.easy-access.com/garagelo/coloring/tools.gif http://www.scorpioshoes.com/accessories-42/shoe-care-44/dr-martens-shoe-polish-black-8128.htm http://picasaweb.google.com/lh/photo/f-4eoJyuiitoJIPDaqrMJQ http://img.wallpaperstock.net:81/car-mechanics-wallpapers_11816_1024x768.jpg http://www.mixedforyou.com/fineart/Renaissance/Flying%20Machine,%20Leonardo%20da%20Vinci, %201490.jpg http://blogs.fayobserver.com/faytoz/files/2008/10/davinci_toothed_gears_original.jpg http://www.adsinn.com/wp-content/uploads/2008/01/1100109100-1.jpg http://adsoftheworld.com/files/images/video-game.jpg http://www.thealarmclock.com/euro/images/flirtomatic.png http://img.glu.com/WSOP_Mobile/images/WSOP_header_logo.png http://villageshow.co.uk/assets/images/trophy.jpg http://images.internetsafety.com/www/images-pm/safe-eyes-mobile-logo.jpg http://www.foldingbikehut.co.uk/images/Toolbox%20Travel.jpg
  • 39. Thank you! +44 7843 599 678 @vhirsch volker@scoreloop.com http://vhirsch.com/blog http://scoreloop.com

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