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Knowing How People are Playing Your Game
Gives You the Winning Hand
Bill Grosso
(bill@scientificrevenue.com)
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
This session will present the state of the art of predictive
analytics for gaming, focusing on basic ideas to advanced
concepts such as machine learning that can be used
profitably by almost every gaming studio. We’ll cover:
• An overview of the use of analytics in gaming
• Predicting churn: why and how
• Identifying unusual behavior
• Gold farming, fraud analysis, and unlocking gifting
• What’s next in gaming analytics
Abstract
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
About Bill
• Serial Entrepreneur in Silicon
Valley
– Platform-as-a-Service for 12
years
– Analytics for 8 years
– Gaming for the past 6 years
• Currently head of a
consulting practice (Osolog)
and CEO of a stealth mode
startup (Scientific Revenue)
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
• http://www.linkedin.com/in/williamgrosso
• https://twitter.com/wgrosso
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Agenda
• The Shift in Gaming and the State of Gaming
Analytics
• Six Use Cases for Predictive Analytics
• The Importance of Data and User
Segmentation
• Parting Thoughts
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Game Delivery
Before 2000
• Most games sold via
“packaged goods” model
• Game companies made the
game and handed it off to
retail partners.
• They were done at that point
Today
• Download model
• Everything gets “patched” continuously
(no such thing as done)
• Most games have an incremental
monetization model
– Subscriptions
– DLC
– Free to play
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Multiplayer Gaming
Before 2000
• “Compare High Scores” model
(from arcades)
• Conversation and shared tips
(social model)
• Multiplayer meant “4 people
around a console”
Today
• Social on steroids
– Tweeting
– Facebook games
– Shared videos
• “Always online” games becoming the norm
– PaaS model for gaming infrastructure
• True multiplayer is still pretty rare
– I have 60+ games on my phone
– <10 involve simultaneous activity by people not in the
same room
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Analytics
Before 2000
• Entirely “historical” in nature
– You shipped the game, then you
found out how it did in the wider
market
• Mostly financial
– Sales reports
– Very little telemetry or gameplay
analytics
Now
• Growing trend of “record everything, sort it
out later”
– Though there is some skepticism about the
value of doing so
• Not a lot of QA on the telemetry data
• Most reporting is still financial or “top line”
metrics
– People are very suspicious of having “too
many” metrics
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
http://wgrosso.tumblr.com/post/23556458152/metrics-that-game-developers-
use-correlations-and
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
The Way We Manage Games is
Starting to Change
• If the game is always online and frequently
updated, there’s an opportunity to change the
way we make decisions
• To the extent we can make the game into a
“data driven application” which use server-
side logic for key decisions, we can manage
the individual user experience
– Game developer: To make better games
– Business side: To make more money
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
The Next Step is A Shift In Analytics
• Pre-2000 metrics tell you how you did
– Mostly from a financial perspective
• Current metrics tell you how you’re doing
– ARPDAU doesn’t help you get better
• Next step is predicting what will happen if you
don’t do something
– And enabling you to take action to avoid bad
outcomes
– Really the point of “predictive analytics” – if you know
about bad things early enough, you can take action to
prevent them
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Major Companies Starting to
Announce Predictive Initiatives
You can google and find videos of the talks, and the slides
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Agenda
• The Shift in Gaming and the State of Gaming
Analytics
• Six Use Cases For Predictive Analytics
• The Importance of Data and User
Segmentation
• Parting Thoughts
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Use Case 1: Noob Churn Prediction
• Goal: predict whether a new
player will return for a second day
• Idea: Carefully record player
events and actions during the first
day. Record whether users come
back. Then use supervised
learning to build a predictive
model.
• What would you do if you knew:
– Cancel bad advertising campaigns
– Pro-actively cross-market other
games
– Try harder to get a purchase
– Show more ads
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Use Case 2: Vet Churn Prediction
• Goal: predict whether a
veteran player is losing interest
• Idea: Track simple time-based
engagement in many different
ways using multiple
mathematical transformations
and then use supervised
learning
• What would you do if you
knew:
– Pro-actively cross-market
other games
– Try harder to get a purchase
(the “gosh I loved this game”
nostalgia buy)
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Use Case 3: Survival Analysis
• Goal: get a simple, top-level,
measure of population
dynamics
• Idea:
– Installing a game is like getting
a terminal disease
– Stopping playing is like dying
– Fit ether Cox PH or a Weibull
distribution to the data
• What would you do if you
knew:
– Use the survival curves to
perform top-line assessment
of game changes
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Use Case 4: Gameplay Analysis
• Goal: figure out if a user is getting
stuck, failing to learn a crucial skill, or
picking up bad habits
• Secondary goal: finding cheaters or
other sources of gameplay imbalance.
• Idea:
– Carefully record player events and
actions.
– Measure increasing-skill / success of
players.
– Then perform supervised learning to see
if there are early predictors of skill-
acquisition or success
• What would you do if you knew:
– Focused tutorials and interventions
– Different pairings during matching
algorithms
– Dynamically adjusting the game
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Use Case 5: Fraud Detection
• Goal: Spot people who are
performing a fraudulent action
(gold-farming, selling goods
outside of game, …)
• Idea: Apply anti-money
laundering techniques
(unsupervised learning to
detect outliers, usually via
support vector machines)
• What would you do if you
knew:
– Shut down the gold-farmers
– Open up gifting and third-
party gifting channels
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Use Case 6: Whale Spotting
• Goal: Sport high spending
customers as soon as possible
• Idea:
– Carefully record player events
and actions.
– Measure the life-time spend
of players.
– Then perform supervised
learning to see if there are
early predictors of significant
spend.
• What would you do if you
knew:
– Lots of possibilities here
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
R is the Right Tool
• The six use cases
mentioned
– Supervised learning
– Unsupervised learning
– Anti-money laundering
– Cox-PH / Weibull models
– Mathematical data
transformations
• R is the single best tool for
exploratory data analysis
using a wide-variety of
machine learning
algorithms
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
<<Poll Question>>
Agenda
• The Shift in Gaming and the State of Gaming
Analytics
• Six Use Cases for Predictive Analytics
• The Importance of Data and User
Segmentation
• Parting Thoughts
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
The Basic Idea
• Create a detailed model of the user
– A user is a point in 2000 dimensional
space
• Create a set of questions
– You would like the answers to these
predictively
– You can measure the answers to these
historically
• Create a training data set
– Historical Users x Measured Outcomes
• Sample your data and use standard
algorithms
– CRAN is your friend
– This is just supervised learning. Random
Forests and Neural Nets rule the world.
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Historically Measured Outcomes
• Supervised learning means you need to know
the outcome
– You can’t learn much on day 1
• Not a bad thing. This lets you
– Baseline behavior
– See how far “Two standard deviations” style
reasoning can take you
– Then mix in machine learning
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
The Literature is Extremely Helpful
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Growing Body of Research Papers
• Started with Dmitri Williams in 1990’s
• Small body of productive researchers
– Dmitri Williams
– Anders Drachen
– Christian Thurau
– Alessandro Canossa
– Jeremy Gow
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
There’s a Very Good Book Too
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
And, of Course, Thousands of Papers
from the Telcos
• Literally thousands of
fairly straightforward
and easy to
understand papers
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
There’s a Lot of Data to Record
• Events and activities.
• Outcomes
– Win / lose subgame
– Made it to dungeon level 4
– Completed tutorial
– Achieved goal
• Model skills acquisition
– People generally get better as
they play games
– But the idea of “level” is often
much too coarse
– Leveling up is frequently not the
full story
– User satisfaction is often strongly
related to skills acquisition
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Sample, Summarize, Model
• You’re going to be storing a ton of data
• Player activity streams are verbose
– Every chat generates an event
– Every time a gun gets fired, an event gets generated.
• And data about them (headshot!)
• Nobody actually reasons about individual events
– Store counts and ratios at the “session” level
– Choose representative samples of users to reason about
• Generally speaking, we’re talking about >100 fine-
grained measurements that you use to build a model
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Data Collection in
Cloud
Game
Mess
Bus
Summarization
Large Scale
Storage
• Game is fully instrumented
• Messages sent to server via
message bus architecture (in
background and batched)
Data
Ingestion
• Standard “NoSQL” stack (storage
with Hadoop/Pig layered on top)
• Streaming event aggregation often
done by aggregating into in-
memory caching (memcached or
elasticcache).
• Often the large-scale storage is
simply json files stored in S3
• Large scale storage can run into
tens of gigabytes a day. Can be
significant cost over time
• What we know and
love
Example Architecture
Agenda
• The Shift in Gaming and the State of Gaming
Analytics
• Six Use Cases for Predictive Analytics
• The Importance of Data and User
Segmentation
• Parting Thoughts
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
The World is Non-Stationary
• Games are now online services
with constant tuning
• The people who install a game
are constantly changing
– Early adopters → mass
market
• Social and environmental
expectations change
constantly
• You can’t create a model, tune
it, get some answers, and
move on
• And you really really really
can’t do this on the beta
version of your game
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Cross-Game Doesn’t Work Well
• Games are very different
• There is no generic
“across all games” model
that will work perfectly
without game-specific
tuning
• Figure that “data scientist
per game” (more for
larger games) plus a team
to build data pipelines is
what you’re looking at
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
Technology is No Longer the Reason
for Failure
• You might fail
– You might not have budget
– You might not have data
– You might not get executive
buy-in
– You might run into “cultural
issues” or find out that you’re
upsetting someone’s
applecart
– But ….
© 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
If you have budget and data and buy-in
You will be able to deliver results
<<Poll Question>>

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Knowing How People Are Playing Your Game Gives You the Winning Hand

  • 1. Knowing How People are Playing Your Game Gives You the Winning Hand Bill Grosso (bill@scientificrevenue.com) © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 2. This session will present the state of the art of predictive analytics for gaming, focusing on basic ideas to advanced concepts such as machine learning that can be used profitably by almost every gaming studio. We’ll cover: • An overview of the use of analytics in gaming • Predicting churn: why and how • Identifying unusual behavior • Gold farming, fraud analysis, and unlocking gifting • What’s next in gaming analytics Abstract © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 3. About Bill • Serial Entrepreneur in Silicon Valley – Platform-as-a-Service for 12 years – Analytics for 8 years – Gaming for the past 6 years • Currently head of a consulting practice (Osolog) and CEO of a stealth mode startup (Scientific Revenue) © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential • http://www.linkedin.com/in/williamgrosso • https://twitter.com/wgrosso
  • 4. © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 5. Agenda • The Shift in Gaming and the State of Gaming Analytics • Six Use Cases for Predictive Analytics • The Importance of Data and User Segmentation • Parting Thoughts © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 6. Game Delivery Before 2000 • Most games sold via “packaged goods” model • Game companies made the game and handed it off to retail partners. • They were done at that point Today • Download model • Everything gets “patched” continuously (no such thing as done) • Most games have an incremental monetization model – Subscriptions – DLC – Free to play © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 7. Multiplayer Gaming Before 2000 • “Compare High Scores” model (from arcades) • Conversation and shared tips (social model) • Multiplayer meant “4 people around a console” Today • Social on steroids – Tweeting – Facebook games – Shared videos • “Always online” games becoming the norm – PaaS model for gaming infrastructure • True multiplayer is still pretty rare – I have 60+ games on my phone – <10 involve simultaneous activity by people not in the same room © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 8. Analytics Before 2000 • Entirely “historical” in nature – You shipped the game, then you found out how it did in the wider market • Mostly financial – Sales reports – Very little telemetry or gameplay analytics Now • Growing trend of “record everything, sort it out later” – Though there is some skepticism about the value of doing so • Not a lot of QA on the telemetry data • Most reporting is still financial or “top line” metrics – People are very suspicious of having “too many” metrics © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 10. The Way We Manage Games is Starting to Change • If the game is always online and frequently updated, there’s an opportunity to change the way we make decisions • To the extent we can make the game into a “data driven application” which use server- side logic for key decisions, we can manage the individual user experience – Game developer: To make better games – Business side: To make more money © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 11. The Next Step is A Shift In Analytics • Pre-2000 metrics tell you how you did – Mostly from a financial perspective • Current metrics tell you how you’re doing – ARPDAU doesn’t help you get better • Next step is predicting what will happen if you don’t do something – And enabling you to take action to avoid bad outcomes – Really the point of “predictive analytics” – if you know about bad things early enough, you can take action to prevent them © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 12. Major Companies Starting to Announce Predictive Initiatives You can google and find videos of the talks, and the slides © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 13. Agenda • The Shift in Gaming and the State of Gaming Analytics • Six Use Cases For Predictive Analytics • The Importance of Data and User Segmentation • Parting Thoughts © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 14. Use Case 1: Noob Churn Prediction • Goal: predict whether a new player will return for a second day • Idea: Carefully record player events and actions during the first day. Record whether users come back. Then use supervised learning to build a predictive model. • What would you do if you knew: – Cancel bad advertising campaigns – Pro-actively cross-market other games – Try harder to get a purchase – Show more ads © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 15. Use Case 2: Vet Churn Prediction • Goal: predict whether a veteran player is losing interest • Idea: Track simple time-based engagement in many different ways using multiple mathematical transformations and then use supervised learning • What would you do if you knew: – Pro-actively cross-market other games – Try harder to get a purchase (the “gosh I loved this game” nostalgia buy) © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 16. Use Case 3: Survival Analysis • Goal: get a simple, top-level, measure of population dynamics • Idea: – Installing a game is like getting a terminal disease – Stopping playing is like dying – Fit ether Cox PH or a Weibull distribution to the data • What would you do if you knew: – Use the survival curves to perform top-line assessment of game changes © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 17. Use Case 4: Gameplay Analysis • Goal: figure out if a user is getting stuck, failing to learn a crucial skill, or picking up bad habits • Secondary goal: finding cheaters or other sources of gameplay imbalance. • Idea: – Carefully record player events and actions. – Measure increasing-skill / success of players. – Then perform supervised learning to see if there are early predictors of skill- acquisition or success • What would you do if you knew: – Focused tutorials and interventions – Different pairings during matching algorithms – Dynamically adjusting the game © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 18. Use Case 5: Fraud Detection • Goal: Spot people who are performing a fraudulent action (gold-farming, selling goods outside of game, …) • Idea: Apply anti-money laundering techniques (unsupervised learning to detect outliers, usually via support vector machines) • What would you do if you knew: – Shut down the gold-farmers – Open up gifting and third- party gifting channels © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 19. Use Case 6: Whale Spotting • Goal: Sport high spending customers as soon as possible • Idea: – Carefully record player events and actions. – Measure the life-time spend of players. – Then perform supervised learning to see if there are early predictors of significant spend. • What would you do if you knew: – Lots of possibilities here © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 20. R is the Right Tool • The six use cases mentioned – Supervised learning – Unsupervised learning – Anti-money laundering – Cox-PH / Weibull models – Mathematical data transformations • R is the single best tool for exploratory data analysis using a wide-variety of machine learning algorithms © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 22. Agenda • The Shift in Gaming and the State of Gaming Analytics • Six Use Cases for Predictive Analytics • The Importance of Data and User Segmentation • Parting Thoughts © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 23. The Basic Idea • Create a detailed model of the user – A user is a point in 2000 dimensional space • Create a set of questions – You would like the answers to these predictively – You can measure the answers to these historically • Create a training data set – Historical Users x Measured Outcomes • Sample your data and use standard algorithms – CRAN is your friend – This is just supervised learning. Random Forests and Neural Nets rule the world. © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 24. Historically Measured Outcomes • Supervised learning means you need to know the outcome – You can’t learn much on day 1 • Not a bad thing. This lets you – Baseline behavior – See how far “Two standard deviations” style reasoning can take you – Then mix in machine learning © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 25. The Literature is Extremely Helpful © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 26. Growing Body of Research Papers • Started with Dmitri Williams in 1990’s • Small body of productive researchers – Dmitri Williams – Anders Drachen – Christian Thurau – Alessandro Canossa – Jeremy Gow © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 27. There’s a Very Good Book Too © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 28. And, of Course, Thousands of Papers from the Telcos • Literally thousands of fairly straightforward and easy to understand papers © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 29. There’s a Lot of Data to Record • Events and activities. • Outcomes – Win / lose subgame – Made it to dungeon level 4 – Completed tutorial – Achieved goal • Model skills acquisition – People generally get better as they play games – But the idea of “level” is often much too coarse – Leveling up is frequently not the full story – User satisfaction is often strongly related to skills acquisition © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 30. Sample, Summarize, Model • You’re going to be storing a ton of data • Player activity streams are verbose – Every chat generates an event – Every time a gun gets fired, an event gets generated. • And data about them (headshot!) • Nobody actually reasons about individual events – Store counts and ratios at the “session” level – Choose representative samples of users to reason about • Generally speaking, we’re talking about >100 fine- grained measurements that you use to build a model © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 31. Data Collection in Cloud Game Mess Bus Summarization Large Scale Storage • Game is fully instrumented • Messages sent to server via message bus architecture (in background and batched) Data Ingestion • Standard “NoSQL” stack (storage with Hadoop/Pig layered on top) • Streaming event aggregation often done by aggregating into in- memory caching (memcached or elasticcache). • Often the large-scale storage is simply json files stored in S3 • Large scale storage can run into tens of gigabytes a day. Can be significant cost over time • What we know and love Example Architecture
  • 32. Agenda • The Shift in Gaming and the State of Gaming Analytics • Six Use Cases for Predictive Analytics • The Importance of Data and User Segmentation • Parting Thoughts © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 33. The World is Non-Stationary • Games are now online services with constant tuning • The people who install a game are constantly changing – Early adopters → mass market • Social and environmental expectations change constantly • You can’t create a model, tune it, get some answers, and move on • And you really really really can’t do this on the beta version of your game © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 34. Cross-Game Doesn’t Work Well • Games are very different • There is no generic “across all games” model that will work perfectly without game-specific tuning • Figure that “data scientist per game” (more for larger games) plus a team to build data pipelines is what you’re looking at © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential
  • 35. Technology is No Longer the Reason for Failure • You might fail – You might not have budget – You might not have data – You might not get executive buy-in – You might run into “cultural issues” or find out that you’re upsetting someone’s applecart – But …. © 2013, Scientific Revenue. All Materials Company Proprietary and Confidential If you have budget and data and buy-in You will be able to deliver results