hi5 presentation at sxsw interactive 2011: games of the future

26
Games of the Future Alex St. John

Upload: hi5

Post on 26-Jan-2015

102 views

Category:

Technology


0 download

DESCRIPTION

 

TRANSCRIPT

Page 1: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Games of the FutureAlex St. John

Page 2: hi5 Presentation at SXSW Interactive 2011: Games of the Future

The Shape of Games to Come

1. Production values secondary to gameplay, virality and monetization

2. Quality vs Quantity3. Design vs Evolution4. Marketing vs Virality5. Brands vs Play6. Asymetical Play vs Symmetrical Play7. Blended Synchronous and Asynchonous8. Delivered Online9. Monetized by Many Business Models10.Virality as Currency

Page 3: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Production Values Secondary

Optimized for:•Play Addiction•Virality•Monetization*The DRM Problem

Page 4: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Quality vs Quantity

Angry Birds Crush The Castle

Page 5: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Design vs Evolution

Emergent Game Design

Page 6: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Evolutionary Game Design

Page 7: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Marketing vs. Virality

Blah…blah…blah…blah…

Page 8: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Brands vs Play

Page 9: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Blended Synchronous and Asynchonous Play

Instant gratification = NO VIRALITYThus…

Asynchronous play is for marketing/viralitySynchronous play is for monetization

You need both!

Page 10: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Delivered Online! Duh!

• Consoles are DEAD • Boxed Retail games are DEAD• Brand marketed games are DEAD• Any game company that hesitates

to accept this is DEAD• Game delivery has moved online, it

HAS ALREADY HAPPENED! …all that’s left are a few ghosts in denial

Page 11: hi5 Presentation at SXSW Interactive 2011: Games of the Future

The Quantum Economics Monetization Mantra

Deliver 100% of the play a consumer wants to consume in exchange for 100% of their value

•It costs virtually nothing to satisfy a consumer’s demand for play•If you don’t satisfy 100% of their desire for play they will satisfy the rest somewhere else…•There is a life cycle to monetization that you are designing to capture; that lifecycle is not linear nor is it the same for every player

Page 12: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Many ways to monetize

• Commerce• Advertising• Virality• Engagement

4 ways to pay for an online game:

Page 13: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Quantum Economics: Virality and Engagement can be transformed into currency

$$$ + Advertising =

Page 14: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Asymetical Play vs Symetrical playQuantum Economics Lesson 1: Quantum Teleportation of Value

Reward those who can’t be monetized for entertaining those who can…

Hint: They don’t have to be playing the same game…

Page 15: hi5 Presentation at SXSW Interactive 2011: Games of the Future

What is the monetary value of MajiNoir to a social network?

Romanian hi5 Member•Commerce value: $0•Ad value: $.0001•34,199 friends…

Page 16: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Romanian hi5 Member•Commerce value: $0•Ad value: $.0001•34,199 friends…

Answer? •$238/mo in advertising•$162/mo in commerce

What is the monetary value of MajiNoir to a social network?

Page 17: hi5 Presentation at SXSW Interactive 2011: Games of the Future

$0

I’ll pay $$$

I’ll pay $$$

I won’t pay

I won’t pay

Pay me money NOW!Pay me money NOW!

How Commerce Works

Page 18: hi5 Presentation at SXSW Interactive 2011: Games of the Future

I’ll pay $$$

I’ll pay $$$

Would youlike to payus money?

-OR-

Get thisfor free?

Would youlike to payus money?

-OR-

Get thisfor free?

I won’t pay

I won’t pay

How Ads in Commerce Work

Page 19: hi5 Presentation at SXSW Interactive 2011: Games of the Future

I’ll pay $$$

I’ll pay $$$

SocioPay knows the user will pay $25SocioPay knows the user will not pay

I won’t pay

I won’t pay

How SocioPay Works

Page 20: hi5 Presentation at SXSW Interactive 2011: Games of the Future

ØØ

ØØ

ØØ

ØØ

ØØ

ØØ

ØØØØ

ØØ

₵₵

₵₵

₵₵

₵₵

$$

$$

How Does this Work for Me?

$$

$$$$

₵₵

$$$$

ØØ

Will

ingn

ess

to p

ay

Number of gamers

Commerce onlyAds in commerceSocioPay

$$$$$$

2x revenue>3x revenue

Page 21: hi5 Presentation at SXSW Interactive 2011: Games of the Future

HI5PRICING HI5PURCHASE HI5MONETIZATION

SMART PRICINGSell to any player anywhere in the world – in local currency.

CONVERSIONBest converting payment methods. World-wide.

HYBRIDIZATIONMonetize every player. Increase revenue and engagement.

SOCIOPAYDYNAMICMONETIZATIO

N

SOCIOPAYDYNAMICMONETIZATIO

N

Page 22: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Dynamic Quantum Pricing

Advertising and commerce offers are blended dynamically to produce different “effective” prices for different consumers

even though all consumers percieve

the same price

Is this gift free or paid for?

Paid

Free

Page 23: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Gifts sent

+400%

+30%Commercerevenue

Total revenue

The Results

Commercerevenue

-25%

Page 24: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Important Future Game Genres

• Multiplayer anything• Sim• RTS• RPG• Puzzle• Strategy• God Games Social Collectables• Casino/Gambling (Inconsistent rewards

for consistent behavior)• Survivor Style Social

Page 25: hi5 Presentation at SXSW Interactive 2011: Games of the Future

Why?

• Social• Lend themselves to asymetrical game design• Emergent content• UGC potential• Easily evolved• Based on core play instead of production value• Monetizable many ways• Many viral hooks• Lend themselves to real-time and turn based play

Page 26: hi5 Presentation at SXSW Interactive 2011: Games of the Future

The Anti-Social Networking Solution