The document outlines the fundamentals of publishing in the gaming industry, emphasizing the importance of consumer insights, data analysis, and the iterative improvement process to achieve nonlinear results. It also discusses key statistics and examples of successful games, such as 'Kingdoms of Camelot' and 'Fast & Furious 6: The Game,' illustrating effective marketing strategies and collaboration between publishers and developers. Lastly, it details the roles and responsibilities of both parties in game development and user acquisition, highlighting best practices for sustained growth and monetization.

1. PUBLISHING 101
June 2014

2. Agenda
1. Quick Intro
2. Publishing 101

3. INTRODUCTION
Overview

4. Industry
Leader
• Industry-leading engagement – 75M players
• 3+ hours gaming sessions
• Kingdoms of Camelot – Top grossing iOS app in 2012
• Fast & Furious 6: The Game – Editor’s Choice in 100
countries
• Two games in top 10 and 4 Star+ ratings for iOS
• 13 languages and played in 100+ countries
$125M
Raised
• $360MM revenue run rate in 2013
• 4+ years in gaming
• $75MM+ cash in bank
• Profitable
Key
Statistics

5. Launch
Collect
Data
Analyze
Optimize
&
Repeat
Identifying areas to improve through consumer
insights, UA, in game analytics
Constantly iterate and improve
A linear improvement X linear improvement = Nonlinear result
Kabam Philosophy
Iterate and Scale

6. Last Twelve Months Revenue in Western Markets
Source: App Annie
Kingdoms of Camelot
$250M franchise between web and mobile
Top Grossing App for 2012 on iOS
Localized in EFIGS + Br. Portuguese, Turkish,
Russian, Swedish, Danish
Fast & Furious 6: The Game
Named Editor’s Choice in 100 countries
iOS top grossing game application in 66
countries
Localized in EFIGS + Chinese, Japanese,
Korean, Br. Portuguese, Russian
The Hobbit: Kingdoms of Middle-earth
Tolkien themed strategy title
Top 5 iOS grossing game appin 51 countries
Localized in EFIGS + Br. Portuguese
King
Supercell
Electronic Arts
Kabam
GREE
Gameloft
DeNA
Machine Zone
Caesars Entertainment
Storm8
Zynga
Big Fish Games
Glu
Social Quantum
Nordeus
Iterate and Scale
Delivers Consistent Performance

7. • Distribution Rights: Geographic/Language & Platform
• Economic: Upfront (License Fee/Minimum Guarantee/Royalty Advance) + Variable
Revenue Share (Flat, Tiered, No/Partial/Full Marketing Recoup)
• Marketing Commitment: # of Installs, Fixed Dollar, % of Trailing Rev, KPI
Dependent
• Other: IP Ownership, Sequel/Derivate Rights, Term & Termination
Publishing Terms

8. Who is going to be doing what?
Development Operations Marketing
Pre Submission
• Game development
• Handset compatibility
• Source code modification
• SDK implementation
• Localization
• Culturalization
• Server provisioning
and/or hosting
• BI intelligence
• Live op tools (admin)
• KPI setting and marketing
• Promotion plan
development
• Marketing creative
• PR/Event
• Platform BD

9. • Content –ongoing
• Bug fixes (major)
• Server development
• Post loc QA and testing
• Event operation
• Server operation &
monitoring
• Customer support
• Game progression
optimization
• Ongoing user acquisition
• PR/Event
• Platform BD
Development Operations Marketing
Post Submission
Who is going to be doing what?

10. • Game : with commitment to continuously update. Reasonable feature cadence
and bug fixes.
• Implement various SDK for analytics.
• Implement localization.
• Implement other requested features – from product advice/best practices to
platform specific requirements.
• Live Operations. What is the content plan? And what tools are there to run
promotions and events?
Publisher Expectations
for Developer

11. • Funded user acquisition
• Assist with Live Ops
• Best practices (tech to product management)
• Platform BD
• Localization & Culturization
• F2P game design and monetization consulting
How Developers
Help Publishers

12. No simple prescription for success
– rather, a collection of best practices,
a commitment to continuous improvement,
and data driven decisions
And then lots of hard work!

13. User acquisition
• Cohort, Yield-based Bidding/Buying
• A/B test: Creative, Targeting, Source
Retention
• A/B test: Content, Flow/Timing
• A/B test: Game Mechanics
Monetization
• A/B test: Item pricing, Flow/Timing, Track Sources/Sinks
• Loop back to Targeting
Example Areas

14. Beta WW Launch Sustained
Installp/day
Monitor game stability,
conversion funnel and CPI
Evaluate CTR, CPC, CTD and
other funnel metrics
Focus on data validation for
retention, monetization
Ramp spend across multiple
networks, affiliates and
proprietary distribution
Adjust spend to balance
growth and performance
User Acquisition Plan
Sustained spend to support
DAU and Revenue
Optimize spend for ROI
Paid User
Acquisition Strategy

15. • What should you look for in a publishing partner
• Understands your game
• Distribution (either cross promo or funded marketing)
• Fair
• What are publishers looking for
• Games with strong appeal to that publisher’s audience
• Ability to retain players for a long period of time
• Monetization that supports spending marketing dollars
Paid User
Acquisition Strategy

16. PUBLISHING 101
June 2014