Boosting Revenue: Monetization Practices for Digital Merchants

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How can you boost revenue for digital goods? See key trends and lessons from PlaySpan on monetizing digital goods.

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Boosting Revenue:Monetization Practices for Digital Merchants Mark Rose VP Product Management PlaySpan Dave Glaser VP Global Services CyberSource

The Digital Goods Environment Models Future Free to Play Connected TV Fixed Price Social Networks PC Mobile Console Platforms Subscriptions Micro- Transactions Content Hybrid Games Apps Video Education Online / Social Media

Make a great user experience Have the right support tools Case Study Next Steps

Present Options Relevant to Customer Dynamic Currency Conversion Local Language Auto Display Relevant Payment Types Reduces PCI DSS Scope

Make the payment process seem like part of the game

Virtual currency ewallet 1 One-click purchases 2 1 In-gamestorefrontmaximizesimmersion 3 5 Recommendationengine & contextualcommerce 2 4 Catalogmanagement 3 4 5 Conversion uplift, higher ARPU, increased retention In-app Wallets and Store Fronts

Smart Analytics Increase conversion through roles-based immediate data insight

Increase Revenue Analytics Insight Example

Increase Revenue Mexico City $20 average payment

Increase Revenue Dubai $40 average payment

Create & Manage Private Virtual Currencies

Rapid response• Spot sampling & review • Refund users preemptively • Detailed investigation reports ,[object Object],Constant Review CyberSource Decision Manager + Digital Add-ons

Dungeons & Dragons Online Relaunch Premium Subscription MMO Next-Generation Business Model Based on original D&D RPG First AAA MMO to embrace free to play In depth e-commerce system Scaled for large population gains Hybrid model with premium subscriptions

Principles Give Customers Choices Time vs. money Unlimited access vs. a la carte Build the Right Model Don’t sell end-game loot Preserve value of new content More Toll-Gates vs. Too Few

Model Impact Subscription Model F2P w/Microtransactions Product Appeal Product Appeal Subscription Price Market Size Market Size

Common Myths “Hybrid Models Don’t Work” “Subscription and MTX can’t co-exist” “You’ll lose your subscribers” Reality ,[object Object]

Results Reduced acquisition costs 3x ad banner click-through rates vs. previous Subscriptions up Subscriber acquisition up 15% Reacquisition up 40% since F2P announcement > 5x concurrencies since launch 22% of players transacting in store 70% cart to checkout rate Customers not afraid to spend money 500% increase in revenues

Constant Fine Tuning Post-Launch Free vs. Premium Adjust Store Pricing New Store Items / Services Re-spec Options Character Transfer Price Plans & Service Levels Tiered VIP Plans? Product Bundles?

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Boosting Revenue: Monetization Practices for Digital Merchants

1. Boosting Revenue:Monetization Practices for Digital Merchants Mark Rose VP Product Management PlaySpan Dave Glaser VP Global Services CyberSource

2. The Digital Goods Environment Models Future Free to Play Connected TV Fixed Price Social Networks PC Mobile Console Platforms Subscriptions Micro- Transactions Content Hybrid Games Apps Video Education Online / Social Media

3. Make a great user experience Have the right support tools Case Study Next Steps

4. Make a great user experience

5. Create an in-app 1-click experience

6. Present Options Relevant to Customer Dynamic Currency Conversion Local Language Auto Display Relevant Payment Types Reduces PCI DSS Scope

7. Make the payment process seem like part of the game

8. In-app Subscriptions

9. Virtual currency ewallet 1 One-click purchases 2 1 In-gamestorefrontmaximizesimmersion 3 5 Recommendationengine & contextualcommerce 2 4 Catalogmanagement 3 4 5 Conversion uplift, higher ARPU, increased retention In-app Wallets and Store Fronts

10. Support Tools

11. Smart Analytics Increase conversion through roles-based immediate data insight

12. Smart Analytics

13. Increase Revenue Analytics Insight Example

14. Increase Revenue Mexico City

15. Increase Revenue Dubai

16. Increase Revenue Mexico City $20 average payment

17. Increase Revenue Dubai $40 average payment

18. Smart Analytics

19. Manage Subscriptions

20. Create & Manage Private Virtual Currencies

21. Manage Catalogues, Items and Pricing

22.

23.

24. Case Study

25. Dungeons & Dragons Online Relaunch Premium Subscription MMO Next-Generation Business Model Based on original D&D RPG First AAA MMO to embrace free to play In depth e-commerce system Scaled for large population gains Hybrid model with premium subscriptions

26. Principles Give Customers Choices Time vs. money Unlimited access vs. a la carte Build the Right Model Don’t sell end-game loot Preserve value of new content More Toll-Gates vs. Too Few

27. Model Impact Subscription Model F2P w/Microtransactions Product Appeal Product Appeal Subscription Price Market Size Market Size

28.

29.

30. Results Reduced acquisition costs 3x ad banner click-through rates vs. previous Subscriptions up Subscriber acquisition up 15% Reacquisition up 40% since F2P announcement > 5x concurrencies since launch 22% of players transacting in store 70% cart to checkout rate Customers not afraid to spend money 500% increase in revenues

31. Constant Fine Tuning Post-Launch Free vs. Premium Adjust Store Pricing New Store Items / Services Re-spec Options Character Transfer Price Plans & Service Levels Tiered VIP Plans? Product Bundles?

32. Merged Application Investigation/Sign-up: CyberSource Account Manager Integration Assistance: CyberSource Global Services Subscription/Billing Optimization: Solution Assessment

Notas do Editor

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Boosting Revenue: Monetization Practices for Digital Merchants

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