Casual Connect iQU.com

Online Marketing under PressureHow to work smarter, not harder in

Free2Play online games

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Structure

• Who is Oliver Kern• Why is Online Marketing under pressure• What is big data• How can this help• How can I apply this to my small data

Who is Oliver Kern?

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http://bit.ly/oliverkern

Why is Online Marketing under pressure?

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P2P F2P

vs. 2010revenues

players

2011

$ 2,571,000,000 +3%

39,400,000 +3%payers

22,300,000 +6%

$ / month

$ 9.61 -3%

P2P F2P

vs. 2010revenues

players

2011

€ 473,000,000 +13%

8,700,000 +11%payers

4,500,000 +13%

€ / month

€ 8.76 +1%

47%53% 58%42%

2011 vs 2010F2P spending

+24%

2011 vs 2010F2P spending

+14%© NewZoo, 2011

Why is Online Marketing under pressure?

Why is Online Marketing under pressure?

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Why is Online Marketing under pressure?

Until today…

• It’s becoming more and more challenging to find affordable traffic sources

• Data has not (really) worked for you• You have been focussing on key traffic sources

and tried to optimize the ROI

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Why is Online Marketing under pressure?

What to do?

1. Get a deep understanding of your user types

2. Use the benefits of online advertising

3. Diversify channel mix

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In the world of marketing, targeting is king.

And in the world of targeting, data rules!

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What is big data?

In IT, big data consists of datasets that grow so large that they become awkward to work with on-hand/manual data management tools.

Difficulties include capture, storage, search, sharing, analytics, and visualizing

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TOOOO MUCH DATA?

What is big data?

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Data Infrastructure

- Behavioral Data- Conversion Events- Appended Data

1st Party Data

3rd Party Data

- Numerous 3rd party data relationships

Gamer iQUData Management

Platform

Secure and Private Environment

Rules EngineSegment Builder

Predictive Optimization

Decisioning

Ad OptimizationLP Optimization

Media OptimizationBidding Optimization

Insights & AnalysisMedia PerformanceAudience InsightAudience Forecasting

So how

can big data help?

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In the World of targeting, data rules

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This is Mae Santos,she is Australian, lives in the Netherlands and loves playing Thirst of Night (kabam).

Thirst of Night (MMORTS)Target audience (2 properties): male, 18-38

What did the ad look like that broughther into the game?

In the World of targeting, data rules

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She viewed the ad on yahoo.co.au from the NetherlandsHer sign-up time was 1.1 minutesShe completed tutorial in 6.8 minutesHer first payment was after 27 days…

If demographic- and geo-targeting are not good enough anymore….

…how else do you build meaningful segments to target?

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How to build meaningful segments

How to build meaningful segments

How to build meaningful segments

How to build meaningful segments

How to build meaningful segments

How to build meaningful segments

How to build meaningful segments

How to build meaningful segments

How to build meaningful segments

The look-a-like Strategy

I only have “small” data.Where can I start?

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5 steps to improve targetingStep 1: Create ads for 4 Segments plus a control group (broad appeal)

Control Group

5 steps to improve targeting

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Step 2: Verify Segments

advert CPM CTR registration-rate return-rate CPRU CPPU*Killer1 $2,50 0,33% 17,95% 32,14% $13,13 $87,54control1 $2,50 0,42% 14,05% 20,03% $21,15 $141,01

Achiever1 $2,50 0,65% 12,80% 44,90% $6,74 $44,96control1 $2,50 0,42% 14,05% 20,03% $21,15 $141,01

Explorer1 $2,50 0,20% 18,65% 18,18% $37,81 $252,08control1 $2,50 0,42% 14,05% 20,03% $21,15 $141,01

Socializer1 $2,50 0,17% 19,25% 14,17% $55,55 $370,31control1 $2,50 0,42% 14,05% 20,03% $21,15 $141,01

5 steps to improve targeting

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Step 3: Track behavior

*CPPU calculated with 15% conversion from active user

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5 steps to improve targetingStep 4: Evaluate Segments

1.61 3.13

1

0.38 0.56

5 steps to improve targeting

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Step 5: Find look-a-like media

13% registration rate45% return rate15% customer rate*

18% registration rate32% return rate15% customer rate*

What to do?

1. Get a deep understanding of your user types(who is playing and how do they behave)

2. Use the benefits of online advertising (target and measure)

3. Diversify channel mix(find appropriate targets across all archetypes)

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Thank You!

E: oliver.kern@iqu.comT: @freewebgames

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