igor klyukin, pixonic

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«The ROI Hints: Metrics to Attain» Igor Klyukin Chief Analyst Email: [email protected]

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The ROI Hints: Metrics to Attain -- Igor Klyukin, Leading Analyst at Pixonic (The Winter Nights: Mobile Games Conference 2014 http://www.wnconf.com/).

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Page 1: Igor Klyukin, Pixonic

«The ROI Hints: Metrics to Attain»

Igor KlyukinChief AnalystEmail: [email protected]

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Pixonic is in top-10 Russian publishers by Google Play Revenue outside Russia

Pixonic

AppAnnie research

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The ROI Hints: Metrics to Attain

Agenda:•Why I chose this theme•Main metrics’ trends•Basic math•Metrics to Attain

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648 million times“Angry Birds” app was downloaded in year 2011

2 billion smartphonesare forecasted to be sold on planet Earth by the beginning of year 2015

$15 000 000 per dayis generated by App Store, Google Play and Amazon

This is a serious business

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1 million appswere uploaded at App Store by the beginning of year 2014

60-80% developersare failed to earn enough money with their apps

More than $1.50developers have to acquire a new user

This is a serious business

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Top-Apps’ Revenue per Download

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Main metrics’ trends

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Main metrics’ trends

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Main metrics’ trends

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Main metrics’ trends

X axis

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Main metrics’ trends

X axisX axis

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Main metrics’ trends

X axisX axis

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Main metrics’ trends

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Basic math

DAU* - counts as [DAU *= DAU – Installs]ARPDAU* - counts as [ARPDAU* = Revenue(before tax)/DAU*]

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Basic math

DAU* - counts as [DAU *= DAU – Installs]ARPDAU* - counts as [ARPDAU* = Revenue(before tax)/DAU*]

My goal is$1,000 Daily

Revenue

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Basic math

DAU* - counts as [DAU *= DAU – Installs]ARPDAU* - counts as [ARPDAU* = Revenue(before tax)/DAU*]

$1,000 Revenue (Share) =

$1,429 Revenue (before tax)

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Basic math

DAU* - counts as [DAU *= DAU – Installs]ARPDAU* - counts as [ARPDAU* = Revenue(before tax)/DAU*]

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Basic math

DAU* - counts as [DAU *= DAU – Installs]ARPDAU* - counts as [ARPDAU* = Revenue(before tax)/DAU*]

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Basic math

DAU* - counts as [DAU *= DAU – Installs]ARPDAU* - counts as [ARPDAU* = Revenue(before tax)/DAU*]

CPI: $1.50

1 adv user brings 1 organic

Total CPI: $0.75

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Basic math

DAU* - counts as [DAU *= DAU – Installs]ARPDAU* - counts as [ARPDAU* = Revenue(before tax)/DAU*]

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Basic math

DAU* - counts as [DAU *= DAU – Installs]ARPDAU* - counts as [ARPDAU* = Revenue(before tax)/DAU*]

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Metrics to Attain

• Retention 7: 9-11%• Retention 14: 4-7%

• ARPDAU*: $0.12-0.17• PPU: 1.2-1.4%• ARPPU: $10-12

• Payers Conv. 7: 0.7%-1.1%

• Payers Conv. 14: 0.9%-1.3%

• ARPPU total 7-14: $20-40

Page 23: Igor Klyukin, Pixonic

Pixonic

Igor KlyukinChief AnalystEmail: [email protected]