Delivered at Casual Connect USA 2018. Mobile gaming for kids is a fast-growing $2.2 billion industry. However, the challenges of penetrating this industry for kids apps developers are vast and unique, whether it be regulations, promotion or monetization. Natalie will provide insights from established kids apps publishers, legal experts and marketing agencies to help developers navigate the pitfalls and find success in the mobile gaming for kids industry.

1. Overcoming Pitfalls of
Launching Kids Apps

2. Kids App Market Trends

3. F2P leads the pack
Subscription model is
on the rise
Increasing quality of
content
Trends
Increasing role of
brands

4. Monetization Restrictions
Challenges
Marketing

5. Marketing

6. What Growth Channels work best?
21%
Paid Promotion
25%
Viral/
Growth Hack
8%
Cross Promotion
46%
App Store Optimization/ Organic
8%
46%25%
21%
Paid Promotion
Viral/
Growth Hack
App Store Optimization/
Organic
Cross Promo

7. Marketing
Promotion
TipsTest with Target Age Group
Promote among
Parents
Work with Vloggers
and Bloggers
Consider Brand
Partnership
Adhere to International
Rating Systems
Think about
Parents+Kids Segments

8. Monetization

9. Monetization
$2.2 B in 2017
Children's
Mobile Game
Industry
Revenue
Worldwide
2015 2016 2017
$1.9B
$2.1B
$2.2B

10. 2013 2014 2015 2016 2017 2018* 2019*
$19.2
$42.6
$68.7
$101.4
$133.7
$166.6
$195.6
Global Mobile Advertising Spending (+forecast), Bn
In-App Advertising

11. In-App Advertising: Benefits
Keeps Apps “Free”
Highest Revenue Potential
Networks keep ads “kid-friendly”

12. Monetize All Users
Increase Likelihood of IAP
Kids are not bothered by ads
In-App Advertising: Benefits

13. Parents don’t like ads
Limited Video Ads
Limited ad partners
In-App Advertising: Downsides

14. Best Formats for Kids Apps
Rewarded Videos Video Interstitial
Static InterstitialBanner

15. In-App Advertising: eCPM
0
2.25
4.5
6.75
9
Average actual eCPMs of a popular kids apps publisher with over 830M impressions in USA in Jan - Aug 2017
Video
Interstitial
$8.32
Static
Interstitial
$7.74
Rewarded
Video
$7.14
Banner
$0.47

16. App stores indicates when an app contains in-app
In-App Purchases

17. Purchase 5 More Lives
for $1?
In-App Purchases: Benefits
Higher percentage of IAP
Low App Install Barriers
Helps kids progress

18. Purchase 5 More Lives
for $1?
In-App Purchases: Downsides
Parents can block IAP
Risk of accidental IAP
Lower install rate

19. Subscription
PlayKids Club offers popular kids apps with a free trial for its subscription services.

20. Subscription: Benefits
Subscribe for $10 per
Month?
2-3 time more revenue per user
Longer term Engagement
Helps keep track of the cost

21. Requires heavy maintenance
Hard to shift to this model
Subscribe for $10 per
Month?
Subscription: Downsides

22. Paid Apps
Top paid kids apps of
September 2017 in the App
Store

23. Paid Apps: Benefits
Parents more open to spending
Preferable model over IAP
Higher quality perception of apps
Purchase App for
$2.99?

24. Paid Apps: Downsides
Smaller market and Revshare
Harder to reach target audience
Purchase App for
$2.99?
0
30
60
90
120
2011 2012 2013 2014 2015 2016 2017
IAP Paid Apps Other

25. Restrictions

26. COPPA
Contrary to popular misconception, COPPA relates directly to data collection,
and not the content of apps or ads.
The Child Online Privacy Protection Act
Data Collection Restrictions
Communication Restrictions
Parental Consent
1
2
3

27. COPPA
Lawsuits
Loss of
Reputation
Shut Down
of Apps
Fines
Consequences
of COPPA
Non-Compliance

28. Kid-friendly COPPA compliant Ad Networks
With more COPPA compliant ad
networks out in the market
nowadays, it has become easier
for kids apps developers to
monetize with in-app advertising.
Some also have settings to filter
ads unsuitable for children from
being served.

29. Rating Systems
See rating guide:
www.esrb.org/ratings/
ratings_guide.aspx
See rating guide:
www.pegi.info/en/index/id/
33/
See rating guide:
https://
www.globalratings.com/
ESRB PEGI IARC

30. Why Adhere Rating Systems?
Adhering carefully to these guidelines will
make your app eligible for programs, such
as Google Play’s Designed for Families or
the App Store’s Kids Category, which
means your app can be listed under “kids
app” categories and be discovered by the
right audience.

31. Thank you!
bit.ly/AppodeaForKids