Facebook Credits is expected to advance beyond simply virtual goods...look at how Facebook Credits can be used to create your own proprietary loyalty program and how the currency may eventually form the foundation of the future Facebook Bank

1. FUSE Marketing Group Facebook Credits for Marketers April 2011

2. Agenda What are Facebook Credits? Social gaming and the virtual currency economy How marketers can leverage virtual currency

3. facebook credits What Are They?

4. A virtual currency you can use to buy gifts, and virtual goods in many games and applications on the Facebook platform

5. 100 million users Over 50 million users What are consumers spending it on?

6. Why are social games so popular?

7. Game Mechanics Fulfill Human Desires *Gamification 101: An Introduction to the Use of Game Dynamics to Influence Behavior, Bunchball, 2010

8. Real money Premium goods FB Credits Virtual donations for real causes

9. Buy them directly from Facebook

10. Purchase them in-game

11. Buy them in Canada @ Walmart or Best Buy Expected to make up one-third of Facebook’s revenue in 2011

12. Redeeming your Facebook gift card Enter PIN code Credits directly applied to Facebook account Visit www.facebook.com/credits * Must be logged into Facebook account

13. Virtual Currency Stats

14. Social game players average 43 years in age …. With over 50% being female Source: 2010 PopCap Social Gaming Research

15. Social gamers are married with children Source: 2010 PopCap Social Gaming Research

16. The virtual goods market continues to rise at a rapid pace… …fueled in large part due to Facebook’s continued growth

17. $7,300,000,000: expected global revenue generated by the virtual goods industry in 2010 $2,100,000,000: The projected size of the US virtual goods market in 2011 100,000,000+: The all-time high number of CityVille players $635,000: New world record for the single largest purchase in an online game 20: percentage of Electronic Artʼs overall revenue generated by digital sales By The Numbers 4,000,000: total number of items in IMVUʼs virtual goods catalog, making it the worldʼs largest 220,000: number of “Summertime avatar baseball caps” sold in Roblox game 90,000,000: number of Pet Society virtual goods sold every single day 2010′s virtual goods sales according to Tech Crunch

19. Over 80% of consumers buy less than $2.50 worth (single transaction)

20. What can you buy?

21. From seasonal plants at 2 credits to Energy boosts at 3 or a pet for only 5Source: Facebook

23. Where’s it All Heading McFly?

24. Loyalty

25. Purchase Physical Goods

26. International Currency …and world domination

28. Then Facebook as a social network

29. Now Facebook as a social network and social gaming platform

30. Tomorrow Facebook as a social network and social gaming platform and a BANK

32. Why Should Marketers Care?

33. Opportunities include the ability to: Incent purchase without having to discount Encourage product / service trial Strengthen brand / product loyalty Cross sell Develop a branded loyalty program At a fraction of leading loyalty program costs Without the standard limitations (limited retailers and card holders)

34. How are brands doing it?

35. Loyalty Rewards Programs

36. Gift with Purchase

37. Gift with Purchase

38. Discount + Gift with Purchase

39. Unique Experiences / new content delivery methods

40. Action Based Rewards

41. How Can My Brand Use Facebook Credits?

43. Trial / sample / register

44. Survey participation

45. Social interactions (Like Facebook Page, rate / review product)

47. FUSE can help: Create Design Develop And Activate… A digital content rewards solution tailored to your consumer audience and sales objectives

48. Create a Proprietary branded online rewards store

49. e-Books Games Music Choose a different digital content format more tailored to your target consumers (also movies, apps, charity, merchandise, coupons)

50. Or Leverage a pre-existing store shared with other brands

51. Books Games Music Consumers can choose from a variety of different digital content formats (also movies, apps, charity, merchandise, coupons)

52. Any Questions?

53. Thank You Jeff Pontes Director Digital Strategy E-mail:jeff.pontes@fusemg.com Twitter: @jeffpontes Blogs: http://bit.ly/CMA_blog LinkedIn: www.linkedin.com/in/yourbrandvoice