The Future of Social Games:... and how to be part of itKai Bolik, CEO GameDuell

Timeline of Social Games

$50M

$40M

1980s 1990s 2000s 2010s

$30M

$20M

$10M

Social Graph “Powered“ Gameplay

Ma

inst

rea

m

Relevance of Social Graph by Genre

Resource + Sim

Social Graph

Nic

he

/ C

ore

Solo

Ma

inst

rea

m

Relevance of Social Graph by Genre

Resource + Sim

Social Graph

Nic

he

/ C

ore

Solo

Midcore

Ma

inst

rea

m

Relevance of Social Graph by Genre

Casino

Resource + Sim

Social Graph

Nic

he

/ C

ore

Solo

Midcore

Ma

inst

rea

m

Relevance of Social Graph by Genre

Casino

Resource + Sim

Arcade

Social Graph

Nic

he

/ C

ore

Solo

Midcore

The Comeback of Arcade Games

2010

10%

2009

0%

2011

20%2012

50%50%

1986

Well-known Game Mechanics

30 Years of Match-3 Games

1978

Lifecycle: Hit Game vs. Evergreen

70

DAU (Mio)60

50

40

30

20

Source: http://www.voncoelln.com/eric/2011/07/06/zynga-making-4-4-cents-per-dau/

June 2009 June 2011

20

10

95% of Revenues from Virtual Goods

5%

Ads

30%

Consumables65%

Durables

• Boosts

• Energy

• Lives

• Decorations

• Permanent

Boosts

<18

3% Whales = 80% Revenues

<18

7% 19-24

9%

25-36

19%

37-48

19%

49+ yrs

46%70%

30%

„Games as a Service“ Drive Monetization

Analytics-Driven Optimization

Comeback of Advertising ?

2011 U.S. Ad Spending vs. Consumer Time Spent

TV Print Web Radio Mobile

Frictionless Payment = 5x More Revenue

accessibleaccessibleaccessibleaccessible

Accessibility Drives Game Usage

Anytime+ Anywhere

WithFriends

only Arcades

@Home

Worldwide

Friends

Closed Portals vs. Open APIs

# of Games

> 3,000

100 – 1,000

Platforms

> 3,000

>250,000

>200,000

Shifts in User Acquisition Model

Viral PaidCrossApps

CrossPlatform

• consolidation

• ad networks

• whales

• niches

• retention

• quality

• offerwalls

• spam

• ad-based

revenues

• mobile

• web (off-

facebook)

Off Facebook

Brands Social Graph

Virtual Economy

Connected across Time and Space

Game Graph

Marketing

Mobile facebook

.com

Mobile facebook

.com

45%

IncreasingIncreasingshareshare ofof crosscross--platformplatform usersusers

+14% more+14% morerevenuerevenue

remaining MAU on GD.comremaining MAU on GD.com

monthly ARPU on GD.commonthly ARPU on GD.com

+25% higher+25% higherretentionretention

CrossCross--Platform BoostersPlatform Boosters

• play 24/7 anywhere

• more brand exposure

• more friend interactions

• more CRM touch points

• cross-promotion

• funneling of whales

CrossCross--Platform BoostersPlatform Boosters

Life should be lived as a game ☺