Transcript
Page 1: Mobile apps in the game world

Date: October 31,2013

Mobile  Games  in  the  App  WorldResearch Presentation: By Areen Salam ([email protected])

[ ]Monday, December 2, 2013

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Market Research Figures from Gartner.

Mobile  Apps  -­‐    Stats][

 Mobile  app  revenue  to  hit  $  US26  billion  worldwide  in  2013

Apps  set  to  be  downloaded  in  2013  are  

expected  to  exceed  100  billion,  up  from  

63  billion  last  year

The  report  also  predicts  strong  growth  for  the  sector  going  forward,  with  total  downloads  

predicted  to  268  billion  by  2017,  including  

253  billion  free  apps  and  14  billion  paid  apps.

Percentage  of  app  store  revenue  generated  by  

in-­‐app  purchases  will  increase  48%  in  2017.

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vvv

 First  game  on  the  mobile  phone  was  ‘TETRIS’  on  the  Hagenuk  MT-­‐  2000  device  in  1994

Nokia  launched  ‘SNAKE’  on  selected  models  in  1997

Apple  launches  App  Store  in  2008

Google  play  launched  in  2008  (Formally  known  as  Android  Market)

Mobile  games  ‘ON  THE  GO’

Mobile  games  now  played  by  ‘CASUAL‘      gamers

Mobile  Games  -­‐  Overview][

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Mobile  Games  -­‐  Monetizing  Mobile  Games  

 1-­‐  Advertising

Mobile  advertising  only  really  works  for  large-­‐brand  publishers  and  games  that  go  viral,  such  as  Angry  Birds,  Candy  Crush  etc  because  you  need  a  lot  of  users  in  order  to  make  money.    A  company  called  Jampp  is  trying  to  innovate  in  this  space  and  get  more  people  to  view  ads  by  allowing  users  to  voluntarily  view  advertisements  in  return  for  in-­‐game  currency.  Users  choose  to  watch  ads  and  then  get  something  in  return.

2-­‐  ‘Virtual  Good‘  Purchases

Candy  Crush,    with  their  “freemium”  model  does  not  charge  users  to  download  or  play  the  game  but  instead  encourages  players  to  purchase  “virtual  goods”,  such  as  tickets  for  next  levels,power  up  tools  etc.

A  Chicago-­‐based  startup,  Tap.Me,  brings  the  two  monetization  strategies  together.  It  has  developed  a  platform  that  transforms  the  freemium  games  into  branding  opportunities  for  advertisers.  By  using  Tap.Me’s  solution,  a  brand  can  sponsor  or  augment  an  enhanced  experience.  For  example,  a  player  who  wants  to  improve  his  endurance  in  games  might  choose  a  branded  virtual  good.

3-­‐  Paid  Downloads

Paid  download  are  only  a  one  time  occurrence    and  you  cant  

rely  on  this  strategy

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Mobile  Games  -­‐  Stats][

Market Research Figures from Juniper Research

64.1  billion  games  to  be  downloaded  onto  smart  phones  and  tablet  devices  by  2017.  This  figure  is  over  three  times  from  2012,  which  was  21  billion.

Smartphones  continue  to  outpace  tablets,  with  more  

than  $6  billion  projected  to  be  spent  on  in-­‐app  purchases  in  2016.

Tablet  gamers  will  spend  over  $3  billion  on  in-­‐app  purchases  in  2016,  which  is  more  than  ten  times  of  an  amount  calculated  for  2012  tablet  game  revenue.

 The  research  include  the  likelihood  of  social  and  casual  games  remaining  the  most  popular  genre,  and  that  in  2017,  a  majority  of  mobile  games  will  be  free-­‐to-­‐play,  

with  only  7%  requiring  a  purchase.  

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Mobile  Games  -­‐  Stats

As  per  reports,  gaming  is  one  of  the  top  5  most  essential  uses  of  a  smartphone.  From  the  chart  below,  gaming  grabs  8%  of  the  total  smartphone  users.

Total smartphone time spent daily & Activity shared by devices

][

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Mobile  Games  -­‐  Global  Games  Market  2012-­‐2016

http://www.newzoo.com/infographics/global-­‐games-­‐market-­‐report-­‐infographics/

][

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Mobile  Games  -­‐  Top  10  Highest  Grossing  iOS  Games

http://thinkgaming.com/app-­‐sales-­‐data/Note:  Please  note  daily  revenues  and    active  users  are  subject  to  change  on  daily  basis

Candy  Crush  Saga

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Mobile  Games  -­‐  Top  10  Highest  Grossing  Android  Games

https://play.google.com/store/apps/category/GAME/collection/topgrossingNote:  Please  note  daily  revenues  and    active  users  are  subject  to  change  on  daily  basis

][

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Mobile  Games  -­‐    Cross  Platform  Games

WebCross  platform  convergence  is  an  emerging  trend  in  the  games  industry  that  complicates  the  classification  of  games  by  platform.  Developers  are  now  creating  multiple  versions  of  a  game  that  interact  with  one  another  across  platforms.  

BENEFITS:

More  engaged  players  and  higher  retention

Players  can  use  a  cross-­‐platform  game  on  any  device,  mobile,  desktop  .  Users  can  receive  notifications  and  see  requests  and  feed  stories  from  their  friends  no  matter  which  device  they  use.

Growth  for  your  game

As  the  size  of  each  player's  reachable  network  increases  across  different  platforms,  they  can  invite  more  friends  into  the  game.  

Bootstrapping  on  a  new  platform

If  you  are  launching  your  game  to  a  new  platform  and  have  a  pre-­‐existing  player  base,  by  using  Facebook,  maximize  your  discovery  potential  by  bootstrapping  your  existing  audience.

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Mobile  Games  -­‐    Cross  Platform  Games][

263 MORE  THANMillion  Active  Users

Angry  Birds  is  a  very  popular  game  that  can  be  played  across  multiple  platforms.  It  was  created  by  Rovio  Entertainment  in  2009.

across  all    platforms2  Billion  downloads

MORE  THAN

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Mobile  Games  -­‐  The  Future  of  Mobile  Gaming][

http://www.androidcentral.com/talk-­‐mobile/whats-­‐future-­‐mobile-­‐gaming-­‐talk-­‐mobile

Mobile gaming is on the rise and in just five years, smart phones and tablet gaming has turned the mobile game industry to heights. The next step could emerge to be mobile augmented reality games in the future or simply your mobile could turn into a one platform device that could hook up with your TV.

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Mobile  Games  -­‐  Oculus  Rift  

http://www.youtube.com/watch?v=uq4uCoo1Q-­‐0

][

The  Oculus  Rift  is  a  next-­‐generation  virtual  reality  headset  designed  for  immersive  gaming.

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Mobile  Games  -­‐    GameKlip

http://www.youtube.com/watch?v=KwjBWDhm9xU

][

The  GameKlip  attaches  your  Android  phone  to  a  DualShock3  controller,  normally  used  for  the  PlayStation3.  This  allows  you  to  use  a  real  controller  to  play  your  games  on  your  smartphone.  It  opens  the  Android  platform  up  to  more  than  just  "casual"  gaming  with  touch  screen  controls,  and  really  gives  you  a  full  console  experience  at  a  fraction  of  the  cost.

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Mobile  Games  -­‐    Xperia  Play

The  Sony  Ericsson  Xperia  PLAY  is  the  first  PlayStation  Certified  device  and  the  first  specialized  Android  gaming  phone  to  hit  the  market.  It  features  a  slide-­‐out  gamepad,  4"  LCD  screen  and  a  second  generation  1GHz  Snapdragon  chipset.  

][

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Mobile  Games  -­‐    Analytical  Research  Companies][

IHS  is  a  global  information  company  with  world-­‐class  experts  in  the  pivotal  areas  shaping  today’s  business  landscape:  energy,  economics,  geopolitical  risk,  sustainability  and  supply  chain  management.  We  employ  more  than  8,000  people  in  more  than  31  countries  around  the  world.

Gartner,  Inc.  (NYSE:  IT)  is  the  world's  leading  information  technology  research  and  advisory  company.  We  deliver  the  technology-­‐related  insight  necessary  for  our  clients  to  make  the  right  decisions,  every  day.  From  CIOs  and  senior  IT  leaders  in  corporations  and  government  agencies,  to  business  leaders  in  high-­‐tech  and  telecom  enterprises  and  professional  services  firms,  to  technology  investors,  we  are  the  valuable  partner  to  clients  in  over  13,000  distinct  organizations.  Through  the  resources  of  Gartner  Research,  Gartner  Executive  Programs.

Experian  Marketing  Services  is  a  global  provider  of  integrated  consumer  insights,  targeting,  data  quality  and  cross-­‐channel  marketing  programs.  We  help  organizations  intelligently  interact  with  today’s  dynamic,  empowered  and  hyper-­‐connected  consumers.  By  coordinating  seamless  and  intelligent  interactions  across  all  channels,  marketers  are  able  to  precisely  plan  and  execute  superior  brand  experiences  that  deepen  customer  loyalty,  strengthen  brand  advocacy  and  maximize  profits.

Juniper  Research  was  founded  in  2001  by  the  Wireless  Industry  Consultant  Tony  Crabtree,  in  the  midst  of  the  telecoms  and  dot-­‐com  crash.  

Juniper  specializes  in  identifying  and  appraising  new  high  growth  market  sectors  within  the  mobile  ecosystem.  Market  sizing  and  forecasting  are  the  cornerstones  of  our  offering,  together  with  competitive  analysis,  strategic  assessment  and  business  modelling.

Newzoo  is  an  international  full  service  market  research  and  consulting  firm,  100%  focused  on  the  games  industry.  We  aim  to  provide  the  best  independent  market  data  across  all  game  segments  and  business  models  based  on  our  proprietary  market  research  projects  in  a  broad  range  of  countries.  Using  our  extensive  network  and  deep  involvement  in  the  industry,  we  aim  to  stay  ahead  of  the  curve  and  at  least  two  steps  ahead  of  our  competitors.

Before  Think  Gaming,  the  team  played  games  all  the  time  -­‐  on  boards,  consoles,  computers,  and  phones.  At  work,  we  built  decisioning  tools  for  real-­‐time  media  buying.  The  mobile  gaming  revolution  is  bringing  those  worlds  together.  We  took  proven  algorithms  from  ad  tech  and  adopted  them  to  mobile  gaming.  Our  platform  makes  freemium  games  dramatically  more  profitable.

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