maximize app engagement and monetization - droidcon paris 2014

Maximize App Engagement and monetizationJean Maisonnial Mobile Apps Consultant

Droidcon, Paris 2014

Introduction

Build y

our a

ppGrow your

audience

Engage users

Monetize

1 Billion active Android users

1B

60%Mobile share of U.S. Digital Media Spent Time (june 2014)

Mobile momentum

The worldwide market for Google Play downloads continues to grow rapidly

Worldwide quarterlyGoogle Play app downloads

IndexedDownloads

1.5xyear on year Quarterly app downloads

from Google Playgrew approximately 150%from Q1 2013 to Q1 2014

The worldwide market for Google Play downloads continues to grow rapidly

Worldwide quarterlyGoogle Play app downloads

IndexedRevenue

2.4xyear on year

Revenue is soaring, outpacing download growth

Google Play quarterly apprevenue more than doubledfrom Q1 2013 to Q1 2014

Growth in Google Playdownloads and revenuepresents an expandingopportunity for app publishers

Revenue is soaring, outpacing download growth

A growth driven by the gaming industry

3 out of 4 Android users are playing game

An increasingly competitive industry

How to turn your app into a sustainable business

Monetize

earn more from ads and in-app purchases

Promote

grow more by showing your ads across our vast network of apps

Analyze

know more with the power of Google Analytics

Google Confidential and Proprietary

How to leverage app monetization

Understand your audience

Grow IAP revenue

Maximize ad revenue

Google Confidential and Proprietary

UNDERSTAND YOUR AUDIENCE

Learn from your users

Understand your audience

Data loads instantly, so you can take action

immediately

Discover your high value users when you build custom segments

Understand the journey users take in your app

Measure in-app purchase revenue

Google Confidential and Proprietary

Understand your audience

Google Play Referral Flow

Understand your audience

Engagement Flow

Installations

EngagementOptimisation

LTV

Understand your audience

Monitor the Life Time Value

GROW IAP REVENUE

Monetization models

FreemiumUser pays for

additional features

In App Purchases

User purchases virtual goods within

the apps

Paid downloadsUser pays to download

the app

AdvertisingUser click and

interact with ads

IAP takes a big share of app revenue

In-app spending dominates total gaming spend, averaging 91% acrossthese four markets. However…

Grow IAP Revenue

Google Confidential and Proprietary Source: Google AdMob and Park Associates, October 2013

Killer Whales1% mobile gamersSpend >$50 per month700k NA gamersAvg. Month Spend. $68.27

Whales (including Killer Whales)3% mobile gamersSpend $25 – $49.99per month2.5MM NA gamersAvg. Month Spend. $29.37

Dolphins16% mobile gamersSpend $5 – $24.99 per month14.3MM NA gamersAvg. Month Spend. $8.15

Non-payers37% mobile gamersSpend $0 per month31.3MM NA gamers

Minnows43% mobile gamersSpend $0.01 – $4.99 per month35.3MM NA gamersAvg. Month Spend. $0.94

Mobile spend per m

onth ($)

2–6% of users drive 95% of IAP purchase value

Grow IAP Revenue

$0

$20

$140

$120

$100

$80

$60

$40

40% 30% 20% 10% 0%

Percentage of Mobile Games

Mobile spending is based on a power curve in which a small percentage of hardcore consumers spend exponentially more money than others.

“Only 5% of our users buy IAP”

Google Confidential and Proprietary

Hybrid model of ads + IAP = success

Grow IAP Revenue

Our most successful gaming partners are getting the most out of their users by combining different business models

Revenue indexed

Google Confidential and Proprietary Sources: Google Internal, App Annie

In-app purchase ads, step 1: Find premium users

Grow IAP Revenue

Played the game in the last 24 hours

Paid for an item in your game

previously

Google Confidential and Proprietary

In-app purchase ads, step 2: convert premium users

Grow IAP Revenue

User plays User fails Sell item

In-app purchase ads: casual users

Grow IAP Revenue

User plays User fails Show ad

Gamebasics have built a successful hybrid model.75% of revenue comes from IAP, 25% from ads

Grow IAP Revenue

Google Confidential and Proprietary

• Clicking away 3 ads opens prompt to “Buy Premium Matches” with no ads

• 75% in IAP, 25% in in-app ads with AdMob

• F2P• 90%+ non payers

MAXIMIZE AD REVENUE

CPC

Fill Rate

CTR

Impressions

RPM

Know your app’s KPIs

Maximize Ad Revenue

Network 1 Network 2 Network 3 Network 4 Network 5

$3.25

$2.75

$2.25

$1.75

$1.25

$0.75

$0.25Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Maximize Ad Revenue

The limits of basic ad mediation

Google Confidential and Proprietary

Ad Network Optimization + Live CPM

Maximize Ad Revenue

CPM: $4.20

Network A

Network B

Network C

Network D

Network E Network D

Network 1

Network 2

Network 3

Network 4

CPM: $4.60

GoogleDemand

Ad Network Optimization Live CPM

Network A

Network B

Network C

Network D

Google Demand

Free tools to grow your revenue effortlessly

Google Confidential and Proprietary

Flexible ad formats give you more choices and help you strike a balance between content and ads

Maximize Ad Revenue

Video Picture Text

Google Confidential and Proprietary

Maximize Ad Revenue

“Smart” detection of device width and orientation consistently deliver ads that fit the screen

Smart banners

Global average CPM of $2.75

Interstitials have 5X the CTR of banners

Maximize Ad Revenue

Google Confidential and Proprietary

Promote your app

Google Confidential and Proprietary

Promote your app

Dow

nloa

ds /

day

Rank

ing

in fr

ee a

pp s

tore

Downloads Ranking

More downloads = better ranking = more downloads

Radio Skol – High Ranking Delivers Audience

Google Confidential and Proprietary

Jumpstart your user base with house ads

Promote your app

Activ

e us

ers

Time

App A

App B

Google Confidential and Proprietary

Set impression limits on house ad campaigns

within your app

Create direct deals with house ad impression goals

Promote your app

Supplement your income with controlled

campaigns from other app developers

Google Confidential and Proprietary

To wrap up

Understandyour audience with

Google Analytics

Growin-app purchase revenue with targeted campaigns through

In-App Purchase Ads

Maximizead revenue with Ad Network

Optimization and Live CPM, giving you access

to real-time demand

Google Confidential and Proprietary

The App Developer Business Kit

Consumer research in key markets to unlock the secrets of building a great app

The latest case studies and best practices

Interviews with app developers and established industry figures.

Learn how to grow your app idea into a successful business.

Resources

Google Confidential and Proprietary

Find it at: www.google.com/admob

Thank You. Questions?