Be mobile or be dead: the transition to mobile in social casino games.

1. Be
Mobile
or
Be
Dead:
The
Transi*on
to
Mobile
in
Social
Casino
Games

2. Who
am
I?
Oscar
Fonrodona
Chief
Marke2ng
Officer
at
@Akamon
·∙
Marke:ng
·∙
Commercial
Analy:cs
·∙
Business
Development
·∙
Costumer
Support
@OscarFonro
Oscar.fonrodona@akamon.com
es.linkedin.com/in/oscarfonrodona/

3. A
li:le
bit
on
Akamon
before
we
deal
with
Mobile

4. Once
upon
a
2me
…

5. Vicenç
MarH
CEO
at
Akamon
Carlos
Blanco
Execu2ve
Chairman
at
Akamon
You
know
Vicenç,
people
like
to
play
online
casino
games
for
no
money
May
2011

6. ?

7. And
this
is
called
Social
Casino

8. It’s
a
huge
market!

9. USD
2.7
Billion
2014
E
Source:
Eilers
Research,
LLC

10. Our
Opportunity
Focus
in
Latam
and
South
Europe
markets
N.America
$1,360
M
LatAM
$90
M
Europe
$793
M
Asia
$311,4
M
Oceania
$146
M
Our
Opportunity
+
+
Own
research

11. Focus
on
Latam
&
Spain
Latam
&
Spain
is
a
USD
96
M
market
With
USD
20M
forecasted
for
2014,
Akamon
is
the
undisputed
leader
with
more
than
20%
market
share
Latam
has
a
high
poten2al
market
for
the
next
year
(opportunity
on
Mobile
with
currently
10%
market
share).
SUPERDATA

14. FOUNDATION
July
2011
+ =
FIRST
ROUND
OF
INVESTMENT
May
2013
+ 2,8
Million
€
=
March
2012
Sept.
2012

15. Launch
of
portals
INTERNATIONALIZATION:
October
2011
March
PLATFORM
DIVERSIFICATION
17th
FB
Game
1st
Mobile
Game
1st
Android
Game
May
2013
August
2013
October
2013
First
FB
Game
February
2012
March
2012
Sept.
2012
October
2012

16. Our
games
are…

17. Acquire
with
Local,
Mone:ze
with
Casino/Bingo
Akamon
acquire
users
through
local
culturally
relevant
games
and
mone2se
them
LOCAL
GAMES
GLOBAL
GAMES
LOW
MONETISATION,
HIGH
TRAFFIC
HIGH
MONETISATION
a b
Target
specific
geographies
with
local
games
which
are
used
to
up-­‐sell
traffic
into
more
valuable
global
games
Direct
casino
player
acquisi2on
in
high
value
geographies
with
global
casino
games
Blended
ARPDAU
=
$0.18

18. Social
features
of
our
games
Make
friends
and
compete
Private
chat,
rooms
and
table
Bazar
store:
Tournaments
create
your
own
avatar
Earn
awards
and
bonuses
Offer
chips
to
your
friends

19. Porjolio
of
Facebook
games

20. Porjolio
of
Mobile
apps

21. Strategy:
how
we
planned
to
do
it
A
“wide”
product
strategy
Interna2onal
diversifica2on
Business
model
diversifica2on
Local
&
Global
Focus
in
Latam
and
South
Europe
A
mul2channel
strategy
Placorms
diversifica:on
A
high
value
distribu:on
network

22. OK,
enough
philosophy,
how
dit
it
go
?

23. Financial
Performance:
execu:on
Consistent
4%
to
7%
MoM
revenue
growth
over
30
months
Interna2onal:
every
new
country
grows
faster
than
the
previous
one
mul2channel
Every
new
placorm
grows
faster
than
the
previous
one
Be
profitable
20%
EBITDA
Margin
on
Net
Revenue,
Opera:ng
posi:ve
cash-­‐flow
$0,18

24. Traffic
evolu:on
10M
16M
Jan
‘13
Jun
‘14
Acquisi:on
KPI’s
Registers
evolu:on
350k
500k
Jan
‘13
Jun
‘14
4%
FTD
evolu:on
14K
20K
Jan
‘13
Jun
‘14
4%
Conversion
rate
(FTD
/
Registered)
+60%
+43%
+43%

25. Reten:on
KPI’s
ARPPU
Monthly
Churn
on
reten:on
users
10%
5%
Jan
‘13
Jun
‘14
Paying
Users
(PU)
+83%
30k
55K
Jan
‘13
Jun
‘14
DAU
Evolu:on
400K
+300%
Jan
‘13
Jun
‘14
$0,18
One
of
the
highest
in
industry
130K
ARPDAU
-­‐50%

26. Interna:onal
Diversifica:on
LATAM
0,5M
Focus
in
Latam
and
South
Europe
1,4M
Jan
13
Jun
‘14
700k
1,1M
Jan
13
Jun
‘14
+280%
SOUSOTUH
TEHU
ERUORPOE
P2E0
13
+60%
2,5M
MAU

27. Interna:onal
Diversifica:on
%
PU
out
of
Spain
40%
60%
Jan
‘13
Jun
‘14
%
FTDs
out
of
Spain
40%
70%
Jan
‘13
Jun
‘14
%
Revenue
out
of
Spain
30%
45%
Jan
‘13
Jun
‘14
ü Spain
remains
our
main
market
despite
impressive
growth
of
our
other
targeted
markets
(Latam,
south
of
Europe…)
ü However,
a
majority
of
Non-­‐
Spain
FTDs
suggests
a
more
diversified
revenue
in
the
future

28. Great
people
bring
money
and
glory,
not
the
other
way
around
We
work
hard
and
the
world
no:ces

29. Figh2ng
with
the
best
#16
#14
2012
#15
2013
#14
2014
2014

30. So,
Akamon
won,
right
?

31. Well,
maybe
not
just
yet
?

32. How
deep
in
the
Mobile
effect
on
the
Social
Casino
Industry
?

33. Is
this
a
deal
for
the
industry
or
an
evolu:on
?

34. Is
this
a
deal
for
the
industry
or
an
evolu:on
?
Mobile
accounted
for
51%
of
the
total
Market
Revenues,
surpassing
web/FB
for
the
first
:me
ever
Akamon
mul2plajorm
approach
is
“s:ll”
the
correct
one
in
those
region.
75%
of
Latam
and
Spain
users
are
using
desktop
or
laptop
to
play
social
casino
games.
3,0
Bn
(64%)

35. Social
Casino
Gaming
companies
will
have
to
re-­‐hire
part
of
their
teams…

36. Rethink
Marke:ng
from
scratch

37. This
will
create
new
winners….

38. And
it
will
also
leave
casual:es….

39. How
do
we
plan
avoiding
be
one
of
the
dead
bodies
?

40. Specific
commitments….
70
people
in
the
company
·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙·∙
Of
which
70%
on
the
70
Product
Area
Of
which
70%
on
the
Mobile
Projects

41. Focus
on
Mobile
Placorms
at
the
outset
Akamon
will
con:nue
to
develop
a
mul:channel
strategy
along
with
a
deep
offering
of
new
games
in
all
placorms,
with
emphasis
on
mobile
Games
Pipeline
New
markets
opportuni:es
Facebook
Mexican
Lo:ery
Suite
(Mobile
First)
IOS/
Android
Suite
Belote
New
placorms
New
ver:cals
Social
sport
beung
Gambling
Desktop
New
Bingo
…

42. At
Akamon
we
now
develop
with
Mobile
in
mind

43. Accelerate
placorm
diversifica:on
We
move
and
adapt
to
our
users’
changing
placorm
preferences,
and
work
to
offer
them
a
mul:channel
experience
%
Revenue
non-­‐portal
17%
1%
Jan
‘13
Jun
‘14
%
FTDs
non-­‐portal
87k
30%
5%
Jan
‘13
Jun
‘14

44. So,
will
it
work
?