EGR Power LatAm presentation. Social Games session.

2. Vicenç Martí
CEO and Co-founder of Akamon Entertainment
Previous:
•Managing Director at Cirsa Gaming Corporation
•Chief Marketing Officer at Spanish low-cost airline Vueling
•CEO at fashion label Custo Barcelona
•Graduated in communications from Saint Louis University.
•MBA from IESE Business School.
•Executive program at Stanford University Graduate School
of Business.
Vicenc.marti@akamon.com
@olfar
es.linkedin.com/in/vicencmartidiazplaja

3. So, how did all
of this started ?

5. People want to play CASINO games for no-money

6. And this is called social casino…

7. But my first reaction was…..you should stop taking drugs

8. But all counter-intuitive ideas need time...

9. When in doubt, call a friend…

10. And it all started to make sense…

11. Lots of sense…..

12. And we had the initial asset…..

13. So we went ahead, what the hell…..

14. 2013 E

15. Our Opportunity: focus where everybody else isn´t
Focus in Latam and South Europe markets
Europa
$661
Asia
$100
N.America
$1,146
Oceania
LatAM
$273
$320
- Competitive intensity +

16. FOUNDATION
July
2011
Sept.
March
+
2012
2012
=
FIRST ROUND OF INVESTMENT
May
2013
+
=
2,2 Million €

17. INTERNATIONALIZATION: Launch of portals
March
October
Sept.
2012
2011
2012
October
2012
PLATFORM DIVERSIFICATION
February
2012
First FB
Game
October
2013
17th FB
Game
May
2013
1st Mobile
Game
August
2013
1st Android
Game

18. Our games are…

19. Acquire with Local, Monetize with Casino/Bingo
Local
Global
Traditional
games
HIGH TRAFFIC
-LOW
MONETIZATION
Casino games
CROSS-SELL
UP-SELL
HIGH TRAFFIC – HIGH MONETIZATION
***For illustrative purposes only

20. Social features of our games
Make friends and compete
Tournaments
Private chat, rooms and table
Bazar store: create your own avatar
Earn awards and bonuses
Offer chips to your friends

21. Portfolio of Facebook games

22. Portfolio of Mobile apps
Play and make new
friends with the best
social bingo
Play the former
Mobile Blackjack
with a full Social
integration and
travel throughout
the best Casinos
in the main cities of
the world

23. Strategy: how we planned to do it
A “wide” product
strategy
A multichannel strategy
Platforms diversification
Local & Global
International
Focus diversification
in Latam and South Europe
Business model diversification
A high value distribution network

24. OK, enough
philosophy,
how dit it go ?

25. Financial Performance: execution
Consistent 4% to
7% MoM revenue
growth over 30
months
International: every new country grows
faster than the previous one
multichannel
Every new platform grows faster
than the previous one
Be profitable
15% EBITDA Margin on Net Revenue,
Operating positive cash-flow
€

26. Acquisition KPI’s
Traffic evolution
+325%
Registers evolution
+590%
17M
4M
Jan ‘12
743K
87K
Dec ‘13
3%
Conversion
rate (FTD /
Registered)
Jan ‘12
FTD evolution
+186%
20K
7K
Jan ‘12
Dec ‘13
Dec ‘13
4%
Conversion
rate
(Register /
Traffic)

27. Retention KPI’s
Monthly Churn on retention users
Paying Users (PU)
+55%
20%
10%
Jan ‘12
Dec ‘13
DAU Evolution
+414%
341K
33K
Jan ‘12
Dec ‘13
ARPDAU
0,14€
One of the highest in industry
44K
Jan ‘12
51K
Dec ‘13
ARPPU

28. International Diversification
Focus in Latam and South Europe
2M MAU
LATAM 2013
0,7M
Jan 13
1,4M
Dec 13
+100%
SOUTH EUROPE 2013
600k
Jan 13
850k
Dec 13
+33%

29. International Diversification
% PU out of Spain
% FTDs out of Spain
60%
24%
Jan ‘12
75%
38%
Dec ‘13
Jan ‘12
Dec ‘13
% Revenue out of Spain
45%
 Spain remains our main market
despite impressive growth of
our other targeted markets
(Latam, south of Europe…)
Sept ‘13
 However, a majority of NonSpain FTDs suggests a more
diversified revenue in the future
14%
Jan ‘12

30. Great people bring money and glory, not the other way around
We work hard and the world notices

31. Two things at
the heart of
any good social
casino gaming
company:

33. So, for those that are a little behind..

34. So, Akamon
won, right ?

35. Well, maybe not just yet ?

36. Well, maybe not just yet ?

37. Well, maybe not just yet ?
All OUR (mine and Yours) customers are going Mobile

38. How deep in
the Mobile
effect on the
Social Casino
Industry ?

39. Is this a deal for the industry or an evolution ?

40. Social Casino Gaming companies will have to re-hire part of their teams
…

41. Rethink Marketing from scratch

42. This will create new winners….

43. And it will also leave casualties….

44. How do we
plan avoiding
be one of the
dead bodies ?

45. Specific commitments….

46. Focus on Mobile Platforms at the outset
Akamon will continue to develop a multichannel strategy along with a
deep offering of new games in all platforms, with emphasis on mobile
Games Pipeline
Facebook
New markets opportunities
New platforms
Blackjack
Jogo do Bicho
Suite
Roulette Empire
New Poker
IOS/ Android
Blackjack Android
Lotería Mexicana IOS
New verticals
Slots Android & IOS
Player suite IOS
…
Social sport betting
Gambling

47. Accelerate platform diversification
We move and adapt to our users’ changing platform preferences, and work to
offer them a multichannel experience
% Revenue non-portal
31%
0%
Jan ‘12
Dec ‘13
% FTDs non-portal
43%
87k
0%
Jan ‘12
Dec ‘13

48. At Akamon we now develop with Mobile in mind
Mexican Lottery (Facebook and Mobile)
Videoslots on Mobile

49. So, will it
work ?

52. Let´s do Business.