GREE: Going Global with GREE – best practice and current trends in social mobile free-to-play

GREE: WHO WE ARE

Cnetl
of n
da
ii Copyright © 2004-2012 GREE, Inc. All Rights Reserved.
1
Confidential Copyright © 2004-2012 GREE,Inc. All Rights Reserved.

CREATING THE WORLD’S LARGEST
MOBILE SOCIAL GAMING PLATFORM

Cnetl
of n
da
2
Confidential Copyright © 2004-2012 GREE,Inc. All Rights Reserved.

GREE Overview

Creating the World’s Largest
Mobile Social Gaming Platform
Tokyo

Founded December 2004

Founder & CEO Yoshikazu Tanaka

International San Francisco
Founded February 2011

CEO Naoki Aoyagi

Acquired OpenFeint April 2011

Cnetl
of n
da
Confidential Reserved.
Copyright © 2004-2012 GREE,Inc. All Rights Reserved.

The Leading Platform in Japan

Established only Approx. 1,000 employees,
8 years ago 3x from 1 year ago
（December, 2011 consolidated base）

Japan’s No.1 advertiser
234 mm users
for TVCMs
（March, 2012）（Number of air-play, November- December, 2011）

Targeting 1.6-1.7 billion
8,000 game titles
euros in revenue
（February, 2012）（Estimated June, 2012）

5.9 billion euro Listed on the
market cap TSE 1st Section
（February, 2012）（June, 2010）

Cnetl
of n
da
ii
4
Copyright © 2004-2012 GREE, Inc. All Rights Reserved.

GREE Current Global Reach

Amsterdam
●●
◎◎
London Beijing Seoul
●
◎ ●●
◎◎
San Francisco ●
◎ Tokyo
●◎
●
◎
Dubai Osaka
●
◎ Singapore

●
◎
São Paulo

Cnetl
of n
da

Growing User and Game Network

200 8000

Live Games
Players (Millions)

180
234 MM 7000 8000
160 Unique User Accounts Live Games
6000
140

5000
120

100 4000

80
3000

60
2000
40

1000
20

0 0
Jul

Sep

Jul

Sep
Jun

Aug

Oct

Feb

Jun
Dec

Apr

Aug

Oct

Feb
Dec
Nov

Jan

Nov

Jan
Mar

May
Jun
Jul
Aug
Sep
Oct

Feb

Jun
Jul

Oct

Feb
Dec

Aug
Sep
Apr

Dec
Nov

Nov
Jan

Jan
May
Mar

2010 2011 2012 2010 2011 2012
*Above data shows users and games numbers of OpenFeint
Cnetl
of n
da

Internet Industry Trends

Smartphone shipments are estimated to exceed PCs and
internet access will become more mobile and more social
Global PC and Smartphone Shipments Trend of Global Time Spent Online
（Millions）（%）

600 15

500

400
10
Social Media
300

200
5
Portal Media
100

2005 2007 2009 2011 2013 (E) 2007 2008 2009 2010
PC SP
Sources: Morgan Stanley「Mobile Internet Trend」

Cnetl
of n
da
ii
7

The Mobile Gaming Market and GREE

GREE games have gained popularity with the
continued growth in the mobile games market in Japan
Gaming Market Growth Top Grossing chart on App Store
in Japan, North America, and Western Europe

（Million Euro）

25000

19,800
20000

15000 14,000
12,400 High LTV
Tsuri-Sta Since 2007
10000

5000 3,060

0
2010 2015

Mobile Game Console Game

*Sources: Ichiyoshi Research Institute Inc.
and Ichiyoshi Securities Co.,Ltd. October, 2011 *Sources： App Store（February 1, 2012） 8
Cnetl
of n
da

GREE Platform Overview
Platform overview
▼①Web Application Web Appli
iOS
Appli
Android
Appli

■The same as the current GREE Platform for feature phone

Development
GREE
Partners
GREE App release

Provide API
Sandbox
Various support

▼② iOS App / ③Android App Web appli iOS
Appli
Android
Appli

■GREE will provide SDK and the games will be distributed on GREE and various App markets.

Various Market

Integrate SDK App release
App

GREE Users GREE API
GREE
Partners

Provide SDK GREE Release as GREE App
Sandbox
Various support

9
Cnetl
of n
da

CREATING THE WORLD’S BEST
MOBILE SOCIAL GAMES

Cnetl
of n
da
ii
10

What’s a social game?

A social mobile game is:
• Casual
• So it helps to have simple rules, game design, and interface
• It also helps if it’s very rewarding
• And it needs to be playable within a short space of time – ideally within 3-5 minutes
• Free to play
• So anyone can try it
• But people play it in different ways – hardcore fans play alongside people who are just
trying it out
• With in-app purchases
• So people are playing for different reasons than pay-per-download games
• And people are paying money for different reasons too – to show off to friends, or to
compete with them.

Cnetl
of n
da
ii
11

What’s a social game?

A social mobile game is:
• Online
• So people can compete or cooperate with friends
• And we can provide players with a new experience every day
• Anywhere, anytime
• People carry their phones with them 24/7, 365 days a year.
• People play on the train, at lunch, taking a break, waiting for a bus, etc.
• So games need to be simple, and quick, and possible to divide across the day
• If you’re making mobile games you’re not competing for your players’ money; you’re
competing for their time
• You need to make users want to come back
• Global
• AppStore and Android Market/Google Play are already global
• So you need to cater to local tastes – co-op is popular in Japan; competition in the west
• And people pay for different things in different places

Cnetl
of n
da
ii
12

Social Game Planning

Creating a game system
which maintains user engagement

User
Retention Monetization
Acquisition

Mechanism to Mechanism to Mechanism to
continuously attract users keep users playing increase revenue
Cnetl
of n
da
ii
13

Social Game Planning

Good planning requires User Acquisition,
Retention, and Monetization

User
Retention Monetization
Acquisition

Ways to attract Increase retention Increase paid users
Details

new users and user return rate and ARPU
Promotion, Decrease
word-of-mouth, unsubscription rate
etc. Acquire new users

Promotion Promotion Game layout
Example

Tie-ups Return bonuses Periodical in-game
Virtual item Periodical in-game events
lineup events
Cnetl
of n
da
ii
14

User Acquisition

Game
Performance × Viral

Game Social Design
Design
Cnetl
of n
da
ii
15

User Acquisition × Game Design

Universally appealing game concepts
featuring easy-to-understand rules

 Fishing Star
 Super satisfying fishing!
 Game rule：catch fish

 Clinoppe
 Raise a mystical pet
 Game rule：raise a pet

 Hakoniwa
 Easy and simple gardening
 Game rule：Plant and
create your own garden
Cnetl
of n
da
ii
16

User Acquisition × Social Design

Encouraging users to play with friends

Play Play
Game Game

Wish for
Invite Virtual Want to
Invite
Friends Currency Play with
Friends
and Items friends

Cnetl
of n
da
ii
17

Retention

Communication
Game Cycle × Among Users

Game Social Design
Design
Cnetl
of n
da
ii
18

A simple game design

The best way to think about the game design
is as a cycle, rather than as a path.
• The basic action needs to be simple and quick or the whole game
cycle becomes boring – about 30 seconds
• Players need to be able to feel a sense of progress
• The UI needs to be simple
• It needs to be rewarding enough to inspire players to come back
for more
• It needs to inspire users, not confuse them
• When creating multiple game cycles it’s important to bear in mind
the following points:
• Make the objective clear：
• Keep it simple
• Make the game cycles complimentary：
• So that the sub-cycles have a clear benefit for the main cycle

Cnetl
of n
da
ii
19

Driland Game System
■Gacha Random Prize Machine ■Synthesis
 Free or Paid chance to get random cards
These chances are key to transactions  Combine cards to make stronger cards

Compete
with
Friends

■Game Top
■Quests ■Battle
 Single Play, Quests are used to Level Up  Battles are won based on cards and levels

Compete
with
Friends

■Raid Battles
 Co-op battles with friends to defeat bosses in given time. Greater Reward incentives

Co-op
with
Friends

Cnetl
of n
da
ii
20

Retention × Game Design

Place a sub-goal
for each short, middle, and long term
game cycle to maintain high retention
✓Game Cycle Aquire Stronger Card!
Get eg) Driland
stronger Get Card ・short term ：complete quest / Level Up
card ・mid term：acquire cards
battle
・long term：acquire stronger cards
result Level Up！
✓Simple but addictive and repetitive gameplay
Essential to create a sense of accomplishment for each game cycle

✓Set a milestone for each sub-goal to increase user traffic
and engage users more in-game play.
eg) in-game event: “Gacha” event where you get random, but strong cards
Gain momentum!

Win Battle users usually Lose!

Cnetl
of n
da
ii
21
Confidential Acquire Strong Card! Reserved.

Monetization

Enforcing Challenges Sharing
and × and
Visualizing Success Connecting Users

Game Social Design
Design
Cnetl
of n
da
ii
22

Monetization× Social Design

Help players to connect with each other!

Type of Level of
User Satisfaction
Connect with Friends Light Small sense of
Invite friends
（85%） accomplishment
Middle
（10%）
Competitive
Share advantage and
Heavy Buy virtual items
honor
（5%） to gain advantage inside game
（ranking and
achievements）

Team up with Friends Play Against Friends
Cnetl
of n
da
ii
23

Social Game Planning Summary

『User Acquisition』『Retention』『Monetization』

Game Design Social Design

User
Acquisition
Game
Performance × Viral

Retention
Various
Game models × Interaction
between users

Connecting Users
Enforcing
Monetization Challenges and
Visualizing Success
× and
Displaying
Accomplishments
Cnetl
of n
da
ii
24

ABOUT METRICS

Cnetl
of n
da
ii
25

We’re mad about metrics

It’s important to use the right metrics and to understand where
they are coming from
• Different metrics matter at different times in the game cycle
• There are a lot of general metrics, but it’s also essential to create
custom metrics for your particular game cycle
• User acquisition and virality-related metrics:
• CTR, CPC, CPI, cohort analysis, k-factor, invites sent per DAU, invite
acceptance rate, % of virally acquired users
• Retention-related metrics:
• 1-7 day retention, drop-off rate, visits per DAU, session times, churn rate
• Monetization metrics:
• ARPU, ARPPU, Payment conversion rate, average transaction value, first
purchase trigger, paying user cohort, LTV

Cnetl
of n
da
ii
26

ABOUT EVENTS

Cnetl
of n
da
ii
27

Keep people playing!

Reduce churn rate and raise retention rates:
• Limited events within a certain number of days of logging on
• Extra experience/gold in the first week
Powerful
• Reduced cost items Yakyuubu
• Incentives for completing tutorial etc. Early morning Gacha

Dragon Collection Pocket Kingdom
Lunchtime Gacha Every day between
10am and 2pm,
experience points are
increased 1.5x

28

Cnetl
of n
da

Keep people playing!

Login incentive example
• Example Login Bonus Campaign
• Login everyday and collect stamps in return for a reward

DAU

DAU

590000
2011年9月17日

2011年9月18日

2011年9月19日

2011年9月20日

2011年9月21日

2011年9月22日

2011年9月23日

2011年9月24日

2011年9月25日

2011年9月26日

2011年9月27日

2011年9月28日

2011年9月29日

2011年9月30日

2011年10月1日

2011年10月2日

2011年10月3日

2011年10月4日

2011年10月5日
Cnetl
of n
da
ii
29

WHY PLATFORMS ARE IMPORTANT

Cnetl
of n
da
ii
30

Growth in Free-to-Play Games

Game Design Has Shifted to Freemium with IAP

Premium games User Revenue
monetize users once
Free-to-play with IAP
$ Paid
Longer play = more $$$$

F2P games monetize users
many times Premium
Game

Virtual goods market
was $7.3B in 2010; will Time game played

double by 2014 Download App

Source: Zynga SEC filing, via In-Stat market intelligence firm.

Cnetl
of n
da

Why Social Games are Special

Social is a unique variant of “freemium” that uses social
network effects to increase LTV and lower CPI/A

SNS or Social Platform

Notifications
from friends
Game Economics
Player
Lifetime
Engagement
Network

= Revenue X
effects

Value
(LTV) Per User

from friends
Cost Per

Requests
Acquisition
(CPA)

Cnetl
of n
da

Social Gaming Platforms Win

Optimize Acquisition, Retention, Monetization

Acquisition Platform provides optimal distribution
through cross promotion

Games and platform
SNS
Social Platform Social & communication tools
Retention
Viral effect between games

Standard virtual currency across all
Monetization
games on platform increases ARPU

Cnetl
of n
da
Copyright © 2004-2012 GREE,Inc. All Rights Reserved. 33

Without a platform...

High CPA Weak Viral
Engagement

• App-store trickery • No clear social graph
• Limited cross- • Diffused viral
promotion channels
• Ad networks • App-store hides
dominate conversion
tracking

… but several platforms are emerging

Cnetl
of n
da

Inefficient User Acquisition

Requires Constant Management and Evaluation

Cnetl
of n
da

Lower Retention Rates

Communication Channels are Fragmented

Cnetl
of n
da

Monetizing is Easier on Platforms

With a Platform…
• Platform re-engagement channels enable developers to target users

• Common currency makes transactions more streamlined on Android

Cnetl
of n
da

Potential Platform Landscape

SNS Focus

Game Focus

Cnetl
of n
da

GREE PLATFORM: ADDRESSING A
GLOBAL MOBILE AUDIENCE

Cnetl
of n
da
ii
39

GREE+ OpenFeint

A New Global Platform for Developers and Gamers

Successful 7,000 over
social games games

Games 234MM users Games

Current Current
New Global
GREE Japan OpenFeint
GREE Platform
Platform Platform

High-ARPU users Users & Developers
& Social know-how

Cnetl
of n
da

GREE Platform Strategy

Providing game developers with the most robust toolset to
best take advantage of the global mobile gaming market

Release your games worldwide and gain access to high ARPU
Global markets for increased revenue opportunities

Generate viral acquisitions and increased downloads by
Social tapping into the world’s largest mobile social user base

Unlock the full potential of your games with a flexible cross-
Open platform API suite that puts developers in control

Cnetl
of n
da

Platform Comprehensive Offering

World’s largest social mobile Cross promotions through
gaming community developer announcements

Unified global platform Promotional programs
Distribution Localization services Acquisition

Friend invites
Wall posting
Incentivized invites
Gifting
Social sharing
Social sharing
Engagement Virality Gifting
Push Notifications

International currency Dashboard access to game
management analytics

Unified virtual currency on Game, player, and
Monetization Android Analytics monetization data

Cnetl
of n
da

GREE Platform Partners

Just some of the major titles that will be available on
the GREE Platform

GREE Platform
Aiming for 1 billion users worldwide

http://developer.gree.net/sp/globalplatform/en/ Reserved. 43
43
Cnetl
of n
da
ii Copyright © 2004-2012 GREE, Inc. All Rights

Japanese GREE Platform Partners

7 Major Developers and More to Come

*Previously released 8,000 titles available
*2nd phase/3rd phase release planned

44
Cnetl
of n
da

China & Korea GREE Partners

11 Major Developers and More to Come

45
Cnetl
of n
da

Our Latest Partnership

Game release scheduled within the year on GREE Platform

46
Cnetl
of n
da

Future Target

10億人が利用する
Creating a
サービスをつくる
1 Billion User Service

Cnetl
of n
da
ii
47

GREE: Going Global with GREE – best practice and current trends in social mobile free-to-play

Recomendados

Recomendados

Más contenido relacionado

Similar a GREE: Going Global with GREE – best practice and current trends in social mobile free-to-play

Similar a GREE: Going Global with GREE – best practice and current trends in social mobile free-to-play (20)

Más de DevGAMM Conference

Más de DevGAMM Conference (20)

Último

Último (20)

GREE: Going Global with GREE – best practice and current trends in social mobile free-to-play