[Vietnam Mobile Day 2013] - Business intelligence driven marketing

Business Intelligence Driven Marketing

©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd


Introduction

Alex Sung• Technical Lead at eBay• Sr. Product Manager at GREE International• CTO at Spicy Cinnamon


Focus Today

Contents• Identifying Key Performance Indicators (KPI)• Designing an Analytics Platform• What’s next & other notes


KPI


KPI

Topics• Purpose• Overview• Important KPI’s• Segmentation


KPI - Purpose

KPI’s evaluate the health of your product and your

business. 3 categories:• Acquisition• Engagement• Monetization

Goal: final cost per user is less than final life time

value of user


KPI - Overview

Acquisition Engagement Monetization•Cost (per user)•Cost-per-impression (CPI)•Cost-per-click (CPC)•Cost-per-install (CPI)•# Impressions•# Clicks•Click-through-rate (CTR)•# Downloads•# Installs•# Activations•Conversion (CVR) •K-factor (Virality Rate)

•DAU•MAU•Stickiness (DAU/MAU)•Retention Rate (RR)•Session Length•Life Time (LT)•Product-specific

•Spending DAU•Spend Amount•ARPU•ARPPU•ARPDAU•Life-time Value (LTV)


KPI - Overview (Today)

Acquisition Engagement Monetization•Cost (per user)•Cost-per-impression (CPI)•Cost-per-click (CPC)•Cost-per-install (CPI)•# Impressions•# Clicks•Click-through-rate (CTR)•# Downloads•# Installs•# Activations•Conversion (CVR) •K-factor (Virality Rate)

•DAU•MAU•Stickiness (DAU/MAU)•Retention Rate (RR)•Session Length•Life Time (LT)•Product-specific

•Spending DAU•Spend Amount•ARPU•ARPPU•ARPDAU•Life-time Value (LTV)


KPI - K-factor (Virality)

Value: • A measure of how virally effective or social the app is• More viral = less cost to hit # Installs KPI• Longer app life time

Definition:• K = # invites & conversion rate (1 = status quo)

Suggestions:• Social network integration (FB, Twitter connect)• Competitive or cooperative systems (raids, trading)• Friend codes• Invitation incentives (HC, speed-up’s)


KPI - Retention Rate (RR)

Value: • Indication of how well the app keeps users returning• More returns = longer user life = more monetization• Highly targetable cohorts

Definition:• Day0 = First time activated users on specific date• DayX RR = # users from Day0 return / # Day0 users• Day0 is constantly rolling (every day is a new Day0)• Day1-14 RR most indicative of user behavior

• Followed by Day30, 60, 90• View DayX RR as trending or averaged over data points

• Averaging Day30 RR requires 2 months


KPI - Retention Rate (RR) continue

Suggestions:• Good product and useful service• Virality – friends are on it• New content (whether by developers or active community)• Incentivized returns (HC)• Special events (discounts, raids, limited time)• Push notification reminders


KPI - Life-Time Value (LTV)

Value: • Ultimately, how much revenue each average user provides

Definition:• Simple, ARPDAU * LT (estimate LT based on RR)

• Most popular, usually assume 30-Day LTV• Strict, create cohort for first time users for each day for LT

# of days. Track & sum up IAP for each user. Average across cohorts.

• Difficult to define: are users that provide community content or are virally active part of value?


KPI - Life-Time Value (LTV) continue

Suggestions:• Improvement to RR & worth paying service / product• Discount events to IAP

• Strong visual indicators (juicy feedback)• Provide enough access points to IAP• Provide enough options for IAP

• There are high-rollers, provide options for them• Allow pay-to-speed-up• Special expression based VG

• Do not allow pay-to-win; risk of damaging community


KPI - Segmentation

Time Acquisition Monetization•First-time users•New vs Existing (30-days)•Cumulative vs Daily

•Hardware•Model•Manufacturer•OS Version

•Marketplace•Ad Network

• Campaign• Creative• Incentivized vs non

•Invitation•Organic

•Geo-location•Language

•Spenders vs non-spenders•One-time spenders•SC vs HC vs real-cash

•Age•Gender•Ethnicity•Occupation

Platform Location Demographic


Analytics Platform


Analytics Platform

Topics• Data Collection & Integration• Data Engine & Big Data Processing• Visualizations & Services


Data Collection & Integration

Ad NetworksClients

App Engine

Data Collector

Analytics Logger

Raw Data

Ad Network SDK

API Integration

Client SDK•Client-side SDK’s simpler to integrate•Some Ad Networks provide analytics•SDK’s must be scheduled in release plan

Server API•API provides scheduling flexibility•Requires client to send uniqueness and segmentation data

Data Collector•Store uniqueness, segmentation, & event data•Collect application data via web log scraping•Collect Ad Network raw data for acquisition to engagement mapping•Sends collected analytics data to Data Engine for processing

Rules EngineJob StatusTracker

Scheduling Framework

Validation Framework

Notification Framework


Data Engine & Big Data Processing

Parse Date

Segment Data

Aggregate Data

ETLPig / Hive

Intermediate Events(HDFS)

Segmentation Buckets(HDFS)

Big Data Processing(Hadoop Cluster)

Summary Containers

Aggregated Storage

Data Collector

Workflow Engine

Analytics Data

Hadoop•Intermediate data storage as files•HDFS custom data mining•Scheduled ETL to process summarized data•Workflow Engine to manage Hadoop jobs

Aggregated Storage•Summary data stored in RDBMS•Connected to Visualization tools

Real-Time•Not everything, identify critical KPI and segmentations

• Revenue• # Sessions

•Enterprise solutions: Vertica, Teradata


Visualizations & Services

Dashboards•Pictures are worth a thousand words

• Tell a story• Reporting is only valuable if it is

actionable (avoid vanity reporting)•Standardized KPI reporting for business health

Services•Funnel analysis & A/B testing for product•Alerts & notifications for engineering

• Sudden drop in # sessions means app engine may be down

•Visual data mining

Tools & Tech•3rd party: Tableau, Microstrategy•HTML5 for web and mobile support


What’s Next


What’s Next

Ad Networks• Obtain internal raw data

• Vendor reporting cannot always be trusted• Cohort to find channels with high-quality users• Strategize between burst vs consistency

marketing campaigns• Normalize channel data


What’s Next continue

Engagement• Acquiring users is expensive• Focus on Live Ops for re-engagement

• Provide fresh content• Provide community and discount events

• If you support multiple apps / games• Cross-Promote (X-Promo) at end of user life• Be careful to not self-cannibalize


Thank You

AiTi-Aptech & Vietnam Mobile Day 2013

We are HIRING!

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[Vietnam Mobile Day 2013] - Business intelligence driven marketing