Monetization and Distribution for Flash Games via Social Networks

September 2009

The Problem:Flash games generate a massive audience, but little revenue

“I’ve only made $2,000 from my games”

200 million games played each month totaling billions of minutes²

80 million people in the US play casual games every month¹

“Game portals are frustrating – where’s the money going?”

Sources:1. NeoEdge Networks2. Venturebeat. http://venturebeat.com/2008/10/07/google-launches-in-game-advertising-for-flash-web-games/

In Stark Contrast:Certain social games are monetizing quite well

$15 million per year¹

Sources:1. Eldon, Eric. VentureBeat. “Virtual Goods…” July 23, 2008.2. Lacy, Sarah. Business Week. “Social Gaming Scores in the Recession.” April 30, 2009.3. Gonzalez. Tech Crunch. “Playfish Gets $17 Million for Social Games.” October 28, 2008.

$100 million in 2009²

Raised $17 million Series B³

The Secret:Virality

+Virtual Goods

The Gameyola Solution:

Social Distribution on Facebook

&

Monetization via Virtual Goods

+

Large Flash Game Audience

Flash Game Developers

Flash Game Players

Viral Distribution

Virtual Good Sales

Gameyola

API – Scoring, Currency, Etc.

The Gameyola Ecosystem

Portal

Facebook Hi5MySpace Web

Why Us?Previous viral growth success; technical and business expertise; talented dev team

Perfect Match: 1 Million Users in 8 Days

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1 2 3 4 5 6 7 8

Use

rs

Days After Launch

Progress:Gameyola Has Hit Several Key Milestones During Last Three Weeks

160,000 Users

160,000 Users

• 160,000 Players • First Virtual Goods

Sales• Reached Breakeven• 30 Games on API

160,000 Players During First Three Weeks with No Marketing

Milestones Hit

Financing:We are raising $500k - $1 million; $100k Commitment by Russ Siegelman

Monetization and Distribution for Flash Games via Social Networks

September 2009