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3*3 Developer Tour

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3*3 Developer Tour

  1. 1. Monetization 101: The Attention Gap Sandra Schneider Director of Publisher Relations in ironSource
  2. 2. A little bit about us
  3. 3. OUR MISSION Be the monetization platform of choice for game developers
  4. 4. Mediation 215M DAU Last weekend 64% Growth in 2017
  5. 5. In numbers 80K+ Partnered Apps 1.2B People Reached Each Month 4,200 Apps Installed Every Minute with the ironSource Platform 150B Registered & Analyzed Data Events Every Month Beijing CHINA Shanghai CHINA Bangalore INDIATel-Aviv ISRAEL Shenzhen CHINA London UKNew York USASan Francisco USA SEP. 2010 ESTABLISHED 7.5B+ INSTALLATIONS TO DATE 720 EMPLOYEES 380 R&D EMPLOYEES
  6. 6. IAPIAP Ad Monetization Ad Monetization Share of Revenue / Impact The Attention Gap Share of Attention
  7. 7. ● System-initiated → User-initiated/rewarded: Rewarded ads are more complicated than we think ● Rewarded ads are also a user engagement tool, but aren’t treated as such ● CPM → CPA/I/E/L: Performance campaigns are more complicated than we think ● Lack of information and data Why?
  8. 8. Rewarded Ads
  9. 9. Rewarded ads - the magic ad unit Great eCPMs (= great revenue source) Great UK
  10. 10. Rewarded ads - the magic ad unit Definitely doesn’t hurt retention Definitely doesn’t hurt session length Important to make sure it doesn’t cannibalize IAP
  11. 11. Rewarded ads - the magic ad unit Definitely doesn’t hurt retention Definitely doesn’t hurt session length Important to make sure it doesn’t cannibalize IAP Can actually improve it by ~10% - 25% Can actually improve it by 10% - 30% Can actually improve it by 0 - 8%
  12. 12. Maximizing Revenue - WHAT KPIs? Publisher Network Impressions * Bids Implementation - Placements, Flow Engagement Rate Usage Rate (Imp/engaged user) Visibility Attractiveness Timing Alignment with virtual economy eCPM IPM Creatives Targeting Relationship (granular bidding, post-install events, suppression…) Revenue =
  13. 13. Engagement Rate and Usage Rate 6 Videos a day 100% Users 40% Users 1M DAU 400K EU 2.4M impressions = Usage Rate
  14. 14. Session depth and its effects Imp IPM 1st 6 2nd 5 3rd 4.6 4th 4.1 5th 3.5 6th 3 7th 2.75 8th 2.5 9th 2.25 10th 2 · Sum of RV IPM · Sum of playable IPM
  15. 15. Benchmarks and Targets = Goals
  16. 16. DAU --> Impressions Engagement Rate At least 30% aim for 50% Usage Rate At least 4 aim for 8 Total imp/DAU rate At least 1.2 aim for 4
  17. 17. Impressions --> Revenue IPM At least 3 aim for 5 tier 1 / tier 3
  18. 18. How can we optimize impressions? Current Placements Reward - amount, type dynamic rewarding Visibility & clarity (is it self-explanatory) Awareness - Pop ups? DCP? New Placements User flow & timing (visible + convenient) You know your users Testing Testing Testing
  19. 19. How can we optimize eCPMs? Optimize Bids Choose the right partner to work with IPM ● Monitor it - be aware ● Add placements with the right timing ● Increase ER
  20. 20. Offerwall
  21. 21. OW: Differences Much longer process for the user > 90% CPE Definitely not part of the game flow (unlike what RV should be) Alternative payment method! ● Store, main screen ● Hard currency ● Awareness - pop ups, DCP
  22. 22. OW: Benchmarks & Targets Engagement Rate At least 5% aim for 10% Usage Rate At least 1.2 aim for 2 OW/RV revenue (ARPDAU) rate At least 40% aim for 80%
  23. 23. What does good implementation look like?
  24. 24. RV + OW + IS
  25. 25. RV – 3 placements Free Reward Main screen, reward is changing (Time Warp, MegaBucks), pace - every 2 hours Free Reward Main screen, fixed with a timer, reward is 4 hrs Boost, cap to 6 impressions a day Speed boost Main screen, timer clock, reward is speed boost, cap to 3 impressions a day
  26. 26. What does good implementation look like?
  27. 27. OW – 2 placements Gold – hard currency Main Screen Free gold Store Free gold
  28. 28. What does good implementation look like? ● Place - accessible and visible - Helps ER ● Simplicity - clear call to action, explanation page - Helps ER ● Reward - interesting and valuable - Helps ER + UR ● Available in high quantity (10-12 imp a day) – Helps UR ● Dynamic rewarding – keeps the ER + UR at good values ● User flow - a convenient time to make an install - Helps IPM ● Reward type – soft currency for RV, hard for OW
  29. 29. Display Ads
  30. 30. Display ads 50% of users won’t pay, and won’t engage with rewarded ads Display ads – the only way to monetize them (+ incremental revenue for the rest)
  31. 31. Display ads With no strong virtual items (= weak IAP) - display becomes the main monetization option Can hurt UX, impact retention & session length, and affect probability to purchase Potential risks
  32. 32. Display ads - mitigating the risks ● Timing ● Frequency ● Segmentation ● Rewarded Interstitial ● ‘X’ button
  33. 33. Summary ● More than a revenue tool - Can improve many of your most important KPIs! ● Requires love, attention, professionalism ● know what KPIs to monitor, what GOALS to set, and HOW to get there
  34. 34. Market Trends
  35. 35. Ad Usage Trends in Games ● User segmentation and advanced targeting tools ● Accelerated growth in tier-3 traffic Casual: Midcore: Legacy: Legacy: Future: Future: Rewarded Video Rewarded Interstitial Banner Interstitial Rewarded Video Offerwall Rewarded Video Offerwall Rewarded Interstitial
  36. 36. ✓ Correlating revenue to impression on the user level ✓ Allows smarter User Acquisition ✓ Identify “ad whales”d data Segments & Placements - Taking it to user-level data User-level data
  37. 37. The brands are coming ● Direct brand deals are increasing ● Brands are growing as buyers within ad networks ● Increases in brand buying on networks will reduce the need for direct deals
  38. 38. ✓ Able to support complex ad units (video, interactive, AR, etc.) ✓ Puts UX at the center ✓ The more advanced the game, the greater the need to outsource ad tech ✓ Advanced targeting, viewability, segmentation features ✓ Full-stack monetization solution SDK will remain the predominant method for monetization SDK-based monetization
  39. 39. The challenges of programmatic mediation for video: ✓ Caching ✓ Low Use Rate ✓ Performance ads ✓ Device vs. Server side ✓ SDKs & payment funnel The future of SDK mediation: Programmatic - 2018 forecast What is Programmatic SDK Mediation?

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