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How to Make Money from
    Online Games ?
Analytics Tips For Games
Focus on the player
#10. Focus on the player

• Build a player-centric view of game design

• Model your expected user base

• Understand how different players interact with the
  game

• Build a player level revenue forecast
#10. Focus on the player

• Aim to make the players enjoy the gameplay – in the
  different ways they play – sociable, completers,
  explorers

• Length of gameplay is generally a good indication of
  monetisation

• Analytics allows the game to be tailored to individual
  types of players
Collect the right data
#9. Collect the right data

• Understand the information you want to analyse

• Focus on player level, not game level information

• Identify significant events in the game

• Build good data integrity
#9. Collect the right data
Understand the metrics
#8. Understand the metrics

• Metrics generally means dashboards

• This provides historic information

• It tells you the health of your game

• Use metrics to identify the areas of the
  game that need focus
#8. Understand the metrics
• Stickiness

• ARPU / ARPPU

• Payment Size

• Time to First & Second Payment

• Virality

• Demographics

• Paying Players by Country
Segment
  player
behaviour
#7. Segment player behaviour


                                7%
                                                                       %Volume
                               0.55                            6%
                                                              2.34
                                                                       %Paying
                               36%              25%           57%      7Day Ret
                               $0.75
Virality Potential




                                               1.30%          $4.4
                                                                0        CAC
                                                26%
                                        31%    $2.21
                                       0.89%
                                        22%
                      Focusing on the Player
                                       $1.75
                                                14%
                                                       12%
                                                       0.86
                                                       59%
                                                       $3.5
                                                                     Early Enthusiasts
                                                                     Confident Completers
                                                0.97    7
                        5%                      21%                  Social Involver
                        0.19                    $1.9
                        9%                        4
                        $2.3                                         Sporadic Semi Engaged
                         8
                                                                     Losing Momentum

                                                                     Need Guidance
                                Revenue Potential                    Borderline Incompetent
Social interaction
#6. Social interaction

• Connectedness

• Centrality

• Cohesion

• Reciprocity
#6. Social interaction
• Identify player ‘bridges’

• Isolated players

• Gaps and holes, leading to group fragmentation

• Reward highly influential players

• Manage cohesion, caused by influential players

• Reconnect isolated players

• Build bridges and connect sub networks
Identify player value
#5. Identify player value

• Total lifetime value

• This is a factor of both the revenue directly and
  indirectly attributed to the player

• This can be predicted to identify potential value
#5. Identify player value

• Time to first payment (2-4 weeks drive high LTV)

• Payment patterns (regular, increasing, decreasing)

• Triggers for first spend (why now?)

• Time lag to second spend (be quick)

• Reasons for reactivation (paying players stick around)

• All actionable to raise LTV

• Overlay profiles to refine targets
Pattern analysis
#4. Pattern analysis


             1st Event             2nd Event                3rd Event

                                 61%

                                 12%

                                 9%



                                                                        Challenge Start
                                        Intervention here               Gifted item
Use event order to predict and
   encourage next action                                                Visited Home

                                                                        Invite Neighbour

                                                                        Bought Item
#4. Pattern analysis

• Pattern analysis is a powerful technique

• Using it allows behaviours to be tracked and
  identified

• This can be used to react to next best option

• This can also be used to identify actions that precede
  abandonment
Predictive Modelling
#3. Predictive Modelling

• Ability to predict player behaviour

• Identify players likely to undertake an action if
  encouraged

• Provide the means to deliver a marketing
  intervention that is:
   – Timely
   – Personal
   – Appropriate
Actionable results
#2. Actionable results

• The key to Analytics is to provide the tools to
  improve the game

• This can be:
   –   Improve Gameplay
   –   Increase Revenue
   –   Reduce Abandonment
   –   Increase Retention
   –   Reward Loyalty
#2. Actionable results

• Analytics provides the means to identify these traits

• To group players into manageable segments

• To predict their future behaviour

• To intervene to change behaviours and move the
  graph
Analytics is a tool
#1. Analytics is a tool

• Analytics is a tool

• Like a good 3D engine, used well it can improve a
  game

• But turn the findings into actions

• And measure the results – “TEST & LEARN”

• You can raise your game revenues by more than 30%!
Do you need us to maximize
your revenue from your MMO,
casual, social, mobile games ?



UK & Europe                       North America                    France
Chris Wright                      Alan Miller                      Nathalie Lamri
CEO                               Head of Operations               Head of Operations
chris.wright@gamesanalytics.com   alan.miller@gamesanalytics.com   nathalie.lamri@gamesanalytics.com
+44 7971 952 943                  +1 408 718 4145                  +33 (0)6 59 56 05 62




Copyright GamesAnalytics © 2011                                        www.gamesanalytics.com

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How to make money from online games

  • 1. How to Make Money from Online Games ?
  • 3. Focus on the player
  • 4. #10. Focus on the player • Build a player-centric view of game design • Model your expected user base • Understand how different players interact with the game • Build a player level revenue forecast
  • 5. #10. Focus on the player • Aim to make the players enjoy the gameplay – in the different ways they play – sociable, completers, explorers • Length of gameplay is generally a good indication of monetisation • Analytics allows the game to be tailored to individual types of players
  • 7. #9. Collect the right data • Understand the information you want to analyse • Focus on player level, not game level information • Identify significant events in the game • Build good data integrity
  • 8. #9. Collect the right data
  • 10. #8. Understand the metrics • Metrics generally means dashboards • This provides historic information • It tells you the health of your game • Use metrics to identify the areas of the game that need focus
  • 11. #8. Understand the metrics • Stickiness • ARPU / ARPPU • Payment Size • Time to First & Second Payment • Virality • Demographics • Paying Players by Country
  • 13. #7. Segment player behaviour 7% %Volume 0.55 6% 2.34 %Paying 36% 25% 57% 7Day Ret $0.75 Virality Potential 1.30% $4.4 0 CAC 26% 31% $2.21 0.89% 22% Focusing on the Player $1.75 14% 12% 0.86 59% $3.5 Early Enthusiasts Confident Completers 0.97 7 5% 21% Social Involver 0.19 $1.9 9% 4 $2.3 Sporadic Semi Engaged 8 Losing Momentum Need Guidance Revenue Potential Borderline Incompetent
  • 15. #6. Social interaction • Connectedness • Centrality • Cohesion • Reciprocity
  • 16. #6. Social interaction • Identify player ‘bridges’ • Isolated players • Gaps and holes, leading to group fragmentation • Reward highly influential players • Manage cohesion, caused by influential players • Reconnect isolated players • Build bridges and connect sub networks
  • 18. #5. Identify player value • Total lifetime value • This is a factor of both the revenue directly and indirectly attributed to the player • This can be predicted to identify potential value
  • 19. #5. Identify player value • Time to first payment (2-4 weeks drive high LTV) • Payment patterns (regular, increasing, decreasing) • Triggers for first spend (why now?) • Time lag to second spend (be quick) • Reasons for reactivation (paying players stick around) • All actionable to raise LTV • Overlay profiles to refine targets
  • 21. #4. Pattern analysis 1st Event 2nd Event 3rd Event 61% 12% 9% Challenge Start Intervention here Gifted item Use event order to predict and encourage next action Visited Home Invite Neighbour Bought Item
  • 22. #4. Pattern analysis • Pattern analysis is a powerful technique • Using it allows behaviours to be tracked and identified • This can be used to react to next best option • This can also be used to identify actions that precede abandonment
  • 24. #3. Predictive Modelling • Ability to predict player behaviour • Identify players likely to undertake an action if encouraged • Provide the means to deliver a marketing intervention that is: – Timely – Personal – Appropriate
  • 26. #2. Actionable results • The key to Analytics is to provide the tools to improve the game • This can be: – Improve Gameplay – Increase Revenue – Reduce Abandonment – Increase Retention – Reward Loyalty
  • 27. #2. Actionable results • Analytics provides the means to identify these traits • To group players into manageable segments • To predict their future behaviour • To intervene to change behaviours and move the graph
  • 29. #1. Analytics is a tool • Analytics is a tool • Like a good 3D engine, used well it can improve a game • But turn the findings into actions • And measure the results – “TEST & LEARN” • You can raise your game revenues by more than 30%!
  • 30. Do you need us to maximize your revenue from your MMO, casual, social, mobile games ? UK & Europe North America France Chris Wright Alan Miller Nathalie Lamri CEO Head of Operations Head of Operations chris.wright@gamesanalytics.com alan.miller@gamesanalytics.com nathalie.lamri@gamesanalytics.com +44 7971 952 943 +1 408 718 4145 +33 (0)6 59 56 05 62 Copyright GamesAnalytics © 2011 www.gamesanalytics.com