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Monetization Craig Relyea, Senior Vice President, Content Strategy and Marketing, LeapFrog Shazia Makhdumi, Global Head of Edu Apps & Games Partnerships, Google Bryan Davis, Senior Vice President, Big Blue Bubble Inc. Judy Belletti, Cofounder, Bright World eBooks Alex Turetsky, Founder and CEO, Intellijoy Warren Buckleitner, Editor, Children’s Technology Review (moderator)

Digital Kids Summit 2015Monetization

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Page 1: Digital Kids Summit 2015Monetization

 MonetizationCraig  Relyea,  Senior  Vice  President,  Content  Strategy  and  Marketing,  LeapFrog  Shazia  Makhdumi,  Global  Head  of  Edu  Apps  &  Games  Partnerships,  Google

Bryan  Davis,  Senior  Vice  President,  Big  Blue  Bubble  Inc.

Judy  Belletti,  Co-­‐founder,  Bright  World  eBooks  

Alex  Turetsky,  Founder  and  CEO,  Intellijoy                                    Warren  Buckleitner,  Editor,  Children’s  Technology  Review  (moderator)

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PAY  DAY  Ways  you  can  make  money  on  an  app.    A  brainstorm  with  Alex  

1.   Charge  a  fee  -­‐-­‐  "Premium"  model  $  charge  Toca  Boca    2.   $Freemium  -­‐-­‐  IAP  (very  popular)  3.   Ads  4.   Subscriptions  5.   Sponsored  -­‐-­‐  the  app  is  an  advertisement  w/product  placement  6.   Beg  (Kickstarter)  e.g.,  Reading  Rainbow  $6  million  7.   Venture,  gov.  Or  foundation  funded.  Get  a  grant  writer.    8.   Commerce  (toys/book/device/Funded  Tiggly)  9.                Organized  Crime  

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Fall  2007  

15  families,  60  minutes  of  self    recorded  footage  

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Rich  kids  have  iPhones  and  iPads  with  data  plans.  

Poor  kids  have  clunky  7  inch  Android  tablets.  Or  nothing.  

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Kids  know  passwords  and  download  “free”  apps.  Most  are  smarter  than  we  think.  

But  they  like  candy,  pink  fluffy  unicorns  dancing  on  rainbows,  and  don’t  always  choose  broccoli.    

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From  Catherine  Allen’s  “Dust”  folder  during  Dust  or  Magic  AppCamp

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“Time  bombs”

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How  to  fit  in.....

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63K downloads/month (Aug 15)

Earnings: $21,000,

Worth $2.6 million (sensorTower)

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• The app stores help guide children to these types of experiences.

• They don’t do crime, but they drive the getaway car.

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Intermittent Reinforcement Crash Course

• From Skinner’s behaviorism. Part of operant conditioning. You get a treat at irregular intervals.

• It works. It is used by casinos, dog trainers, my wife and first grade teachers.

• It’s why you check your email. Sometimes, but not every time, the behavior produces a reward. So you check again. It can turn you into a click mule.

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Freemium business model

Is  dangling  the  fun  in  front  of  the  kid.    Just  when  they  start  to  get  to  the  fun,  you  pull  it  away.    Bjorn  Jeffrey

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Like taking candy (and time) from a kid

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What  should  be  done?

• Show  the  real  price  on  the  app  icon  —  both  in  terms  of  the  number  of  dollars/hour;  and  the  number  of  childhood  minutes.  “Danger  this  app  could  remove  up  to  60  hours  from  your  child’s  life.”  

• Child  appropriate  labeling  (what’s  inside).  

• Make  apps  you’d  want  your  own  children  to  play.  

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Is  the  “vast  wasteland”  getting  worse?

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Star Girl’s Objectives• To provide a solid play experience.

• To get you to share on Facebook

• To make money by getting you to buy, even if by tricking you

• To propagate like a virus (by keeping you on by any means, using cheap thrills and operant conditioning).

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The “Golden Rule” or “Ethic of Reciprocity”

"Do unto others as you would have them do unto you”

“One should treat others as one would like others to treat oneself”

“One should not treat others in ways that one would not like to be treated.”

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The ethic of reciprocity adapted for digital

publishers

“Do unto the children of others as you would have them do to your children.”

Keynote models

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“Would I let my own kids download my own app?

(or the apps I’m selling?)

Keynote models

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“The ultimate test of a moral society is the kind of world that it leaves to its children.”

Dietrich Bonhoeffer

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