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WHAT THE TOP 50 APPS DO WITH IAP THAT THE
REST OF US DON’T
Reach Ÿ Engage Ÿ Earn
MIKE HINES
DEVELOPER EVANGELIST, AMAZON
@...
CREDIBLY	INNOVATE	PHOTO	HERE
WHITE NIGHTS
ST. PETERSBURG 2016
TODAY’S AGENDA
How the Top 50 Did With IAP
What They Do Diff...
SELL IN 236 COUNTRIES AND TERRITORIES
Android	
Devs
iOS	devs Amazon	
Fire	OS
41%
48%
60%
%	Developers	above	Poverty	Line
Source: Developer Economics Q3 2014 © V...
Appstore Programs and Promotions
Overview
5
How the Top 50 apps did
vs. the rest of us
COHORT ANALYSIS
Group A: Top-50 Grossing
Source: Amazon Appstore, March 2014
Group B: Rest of Freemium
DAY 1: INSTALLS
Group A: Top-50 Grossing
iiiiiiiiiiiiiiiiiiiiiiiii
iiiiiiiiiiiiiiiiiiiiiiiii
iiiiiiiiiiiiiiiiiiiiiiiii
iii...
DAY 1: ACTIVE USERS
Group A: Top-50 Grossing
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii
iiiiiiiiiiiiiiiiiiiiiiiiii...
DAY 1: UNINSTALLS
Group A: Top-50 Grossing
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii
iiiiiiiiiiiiiiiiiiiiiiiiii
i...
DAY 1: PAYING USERS
Group A: Top-50 Grossing
iii
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii
iiiiiiiiiiiiiiiiiiiiii...
2.6
2.9
Source: Amazon Appstore, March 2014
DAY 1: ENGAGEMENT
Group A: Top-50 Grossing
iii
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiii...
6.9
7.4
2.6
2.9
DAY 1: REVENUE
Group A: Top-50 Grossing
iii
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii
iiiiiiiiiii...
Source: Amazon Appstore, March 2014
1 DAY LATER…
Group A: Top-50 Grossing
ii
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii
iiiiiiiiiiii...
3 DAYS LATER…
Group A: Top-50 Grossing
iiiiiiiiiiiiiiiiiiiiiii
iiiiiiiiiiiiiiiiiiiiiiiiiiii
Source: Amazon Appstore, March...
1 WEEK LATER…
Group A: Top-50 Grossing
iiiiiiiiiiiiiiiiiii
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii
Source: Amazon Appstore, March...
2 WEEKS LATER…
Group A: Top-50 Grossing
iiiiiiiiiiiii
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii
Source: Amazon Appstore, March 201...
1 MONTH LATER…
Group A: Top-50 Grossing
iiiiiiii
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii
Source: Amazon Appstore, March 2014
Gr...
Hours Since App Download
IN-APP PURCHASING BY HOUR
Source: Amazon Appstore, March 2014
0 24 48 72 96 120 144 168 192 216 2...
PRICE INCREASES OVER TIME
Days User Owned App
80%
90%
100%
110%
120%
130%
140%
150%
160%
170%
1 4 7 10 13 16 19 22 25 28
S...
WHAT WE LEARNED
The top have higher average price points
You can charge more in the right place and time.
Session length a...
Appstore Programs and Promotions
Overview
21
What the top 50 do differently
-- Selling
THE TOP DEVELOPERS KNOW THE NUMBERS
?
ENGAGE
CUSTOMER
EARLY
MAKE IT
EASY TO
COME BACK
GIVE THEM A
REASON TO
COME BACK
37% ...
2016 Swrve data shows
17% OF PAYING
USERS BUY 3+ ITEMS
In any given month.
©	Swrve 2016	Mobile	Monetization	Report	– used	...
THE TOP DEVELOPERS KNOW THE NUMBERS
?
ENGAGE
CUSTOMER
EARLY
MAKE IT
EASY TO
COME BACK
GIVE THEM A
REASON TO
COME BACK
37% ...
Apps with tutorials that introduce IAP
items
HAVE A 2.5x HIGHER
CONVERSION RATESource: Amazon Appstore, July 2013
Apps showing users how to “consume”
GET MORE REPEAT
ORDERS
Games that providing a post-purchasing tutorial
generated 65% m...
Games with bigger selection
RECEIVE MORE
ORDERS PER
CUSTOMER
Developers that add new items regularly are able to
re-engage...
Conversion Rate
INDEX: Average = 100%
DON’T CONFUSE YOUR CUSTOMER
OFFER VARIETY,
BUT NOT TOO MUCH
Source: Amazon Appstore,...
Where do apps
GENERATE
THE MOST
REVENUE
A 2016 study by Swrve
shows that disproportional
revenue is generated from
higher ...
To sell more IAP items,
BE CLEAR
ABOUT VALUE
Make it obvious what the
benefit is for buying different
price items. Confuse...
More than ever it pays to,
TAKE CARE OF
YOUR BEST
CUSTOMERS
The top apps communicate directly
with their top customers to ...
WHAT WE LEARNED
Games with bigger selection
RECEIVE MORE ORDERS
Tutorials that introduce in-app items
HAVE HIGHER CONVERSI...
Appstore Programs and Promotions
Overview
33
What the top 50 do differently
-- Engagement
REDUCE BARRIERS TO FREQUENT USE
Tuning Game Difficulty
WILL ENCOURAGE
LONGER SESSIONS
Too hard, and users will abandon. Too
easy, and they can get bored. ...
When you communicate with
them…
ADVOCATES
DRIVE
RETENTION
Appstore Programs and Promotions
Overview
37
Adopting Social
CAN CREATE BUZZ
AND KEEP USERS
ENGAGED
This will result in mo...
Appstore Programs and Promotions
Overview
38
Leaderboards and
Achievements are
THE MINIMUM BAR FOR
SOCIAL ENGAGEMENT
User	
Acquisition
Alternate
Revenue
Content
Creation
Influencers
Monetization	
Loop
Game
Loop
TURN PLAYERS
INTO FANS
The T...
Design IAP into the
fabric of your game
MAKE IT
EASY TO BUY
Offering ways to buy your IAP
items when they are needed
will ...
WHAT WE LEARNED
Add social and tweak game difficulty to
INCREASE TIME AND COUNT OF
SESSIONS
Cater to your best and longest...
IF YOU ONLY DO ONE THING…
Cater to your best and longest customers
DIFFERENTIATE YOUR IAP CATALOG
IF YOU ONLY DO TWO THINGS…
Cater to your best and longest customers
DIFFERENTIATE YOUR IAP CATALOG
Make sure your IAP cata...
WHEN TO RUN A SALE
When NOT to run a sale
SALES CAN HURT IF THEY…
…train users to wait for sales
…postpone future revenue
…don’t increase rev...
How developers make sales work
SUCCESSFUL SALES HAVE…
…irregular cadence
…timing when user inventory is low
…ways to absor...
Case Study
WHAT GOES ON SALE?
Soft currency in terms of real $
or
IAP items in terms of soft currency?
Case Study
WHAT GOES ON SALE?
An	IAP	item	and	its	cost
Case Study
WHAT GOES ON SALE?
My	Inventory	of	soft	currency
How developers make sales work
SUCCESSFUL SALES HAVE…
…irregular cadence
…timing when user inventory is low
…ways to absor...
Case Study
WHAT GOES ON SALE?
Put	IAP	items	on	sale	to	absorb	soft	
currency	inventory
WHAT WE LEARNED
For Sales without the remorse
INVENTORY MANAGEMENT IS CRITICAL TO
SUCCESSFUL SALES
To absorb in game curre...
Learn more:
http://bit.ly/Top50IAP
http://developer.amazon.com/underground
How did we do:
http://bit.ly/topiapsurvey
Follo...
AN ALTERNATIVE TO IAP
-- AMAZON UNDERGROUND
A NEW SHOPPING APP
DISTRIBUTING
#ACTUALLYFREE
APPS
Turn 100% of your Android users into
revenue-generating customers
Devel...
AMAZON UNDERGROUND
HOW IT WORKS
• Customers go to Amazon and
download the Amazon
Underground shopping app
• Customers down...
AMAZON UNDERGROUND
HOW WILL IT WORK
FOR YOU?
• Back-of-the-napkin
• Back it out of ARPU
$0.002	
for	every	user-minute
$0.1...
AMAZON UNDERGROUND
HOW WILL IT WORK
FOR YOU?
• Back-of-the-napkin
• Back it out of ARPU
10K	Users
150K	Minutes
150K	x	$0.0...
REVENUE = SESSIONS X MINUTES X RATE
For	100%	of	your	users		Every	minute	they	use	your	app
http://bit.ly/undergroundcalcul...
developer.amazon.com/underground
AMAZON UNDERGROUND
WHO IS ELIGIBLE
• Premium apps that will be free
• Freemium apps that make IAP free
Marketplaces with A...
AMAZON UNDERGROUND
WHO IS ONBOARD
Zynga
• Looney Tunes Dash!
MobiSystems
• Office Suite 8 Pro
Halfbrick Studios
• Fruit Ni...
Learn more:
http://bit.ly/Top50IAP
http://developer.amazon.com/underground
How did we do:
http://bit.ly/
Follow us:
@MikeF...
Mike Hines, Amazon
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What the Top 50 Apps Do with IAP that the Rest of Us Don't (White Nights Conference St.Petersburg 2016)

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Mike Hines, Amazon

  1. 1. WHAT THE TOP 50 APPS DO WITH IAP THAT THE REST OF US DON’T Reach Ÿ Engage Ÿ Earn MIKE HINES DEVELOPER EVANGELIST, AMAZON @MikeFHines mikehines45 mihines@amazon.com
  2. 2. CREDIBLY INNOVATE PHOTO HERE WHITE NIGHTS ST. PETERSBURG 2016 TODAY’S AGENDA How the Top 50 Did With IAP What They Do Differently When to Put IAP on Sale
  3. 3. SELL IN 236 COUNTRIES AND TERRITORIES
  4. 4. Android Devs iOS devs Amazon Fire OS 41% 48% 60% % Developers above Poverty Line Source: Developer Economics Q3 2014 © VisionMobile, All Rights Reserved How do we get more Developers earning more revenue? An app must make more than $500 per month if it is to fund future app development and marketing. $500 per month is the app poverty line.
  5. 5. Appstore Programs and Promotions Overview 5 How the Top 50 apps did vs. the rest of us
  6. 6. COHORT ANALYSIS Group A: Top-50 Grossing Source: Amazon Appstore, March 2014 Group B: Rest of Freemium
  7. 7. DAY 1: INSTALLS Group A: Top-50 Grossing iiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiii Source: Amazon Appstore, March 2014 Group B: Rest of Freemium iiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiii 100100 installed
  8. 8. DAY 1: ACTIVE USERS Group A: Top-50 Grossing iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiii Source: Amazon Appstore, March 2014 Group B: Rest of Freemium iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii Iiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiii 4142 In active 5958 active
  9. 9. DAY 1: UNINSTALLS Group A: Top-50 Grossing iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiii Source: Amazon Appstore, March 2014 Group B: Rest of Freemium iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii Iiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiii1318 uninstalled 5958 active
  10. 10. DAY 1: PAYING USERS Group A: Top-50 Grossing iii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiii Source: Amazon Appstore, March 2014 Group B: Rest of Freemium iii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiii1318 uninstalled 5958 active 33 paying
  11. 11. 2.6 2.9 Source: Amazon Appstore, March 2014 DAY 1: ENGAGEMENT Group A: Top-50 Grossing iii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiii Group B: Rest of Freemium iii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiii1318 uninstalled 5958 active 33 paying # of sessions / active session length / active (minutes) × = avg. session length (minutes) 6.9 7.4 1822
  12. 12. 6.9 7.4 2.6 2.9 DAY 1: REVENUE Group A: Top-50 Grossing iii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiii Source: Amazon Appstore, March 2014 Group B: Rest of Freemium iii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiii =× # of items / paying 100% 112% avg. selling price 100% 136% 100% 154% ARPPU 1318 uninstalled 5958 active 33 paying # of sessions / active session length / active (minutes) × = avg. session length (minutes) 18 22
  13. 13. Source: Amazon Appstore, March 2014 1 DAY LATER… Group A: Top-50 Grossing ii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiii Group B: Rest of Freemium ii Iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiii # of sessions / active session length / active (minutes) × avg. session length (minutes) 1725 uninstalled 3437 active 11 paying =× # of items / paying 100% 106% avg. selling price 100% 107% 100% 114% ARPPU 6.7 7.7 3.2 3.5 21 27= # of sessions / active
  14. 14. 3 DAYS LATER… Group A: Top-50 Grossing iiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiiiii Source: Amazon Appstore, March 2014 Group B: Rest of Freemium iiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiii # of sessions / active session length / active (minutes) × avg. session length (minutes) 1928 uninstalled 1923 active =× # of items / paying 100% 107% avg. selling price 100% 122% 100% 131% ARPPU 5.9 7.9 2.6 3.2 15 25 = # of sessions / active
  15. 15. 1 WEEK LATER… Group A: Top-50 Grossing iiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii Source: Amazon Appstore, March 2014 Group B: Rest of Freemium iiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiii # of sessions / active session length / active (minutes) × avg. session length (minutes) 2032 uninstalled 1418 active =× # of items / paying 100% 102% avg. selling price 100% 121% 100% 124% ARPPU 5.7 7.4 2.6 3.2 15 24 = # of sessions / active
  16. 16. 2 WEEKS LATER… Group A: Top-50 Grossing iiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii Source: Amazon Appstore, March 2014 Group B: Rest of Freemium iiiiiiiiiii iiiiiiiiiiiiiiiiiiiii # of sessions / active session length / active (minutes) × avg. session length (minutes) 2134 uninstalled 1014 active =× # of items / paying 100% 111% avg. selling price 100% 108% 100% 120% ARPPU 5.7 7.3 2.5 3.1 14 22= # of sessions / active
  17. 17. 1 MONTH LATER… Group A: Top-50 Grossing iiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii Source: Amazon Appstore, March 2014 Group B: Rest of Freemium iiii iiiiiiiiiiiiiiiiiiiiiiii # of sessions / active session length / active (minutes) × = avg. session length (minutes) 2236 uninstalled 48 active =× # of items / paying 100% 103% avg. selling price 100% 128% 100% 131% ARPPU 5.9 7.3 2.4 3.1 14 23 # of sessions / active
  18. 18. Hours Since App Download IN-APP PURCHASING BY HOUR Source: Amazon Appstore, March 2014 0 24 48 72 96 120 144 168 192 216 240 264 288
  19. 19. PRICE INCREASES OVER TIME Days User Owned App 80% 90% 100% 110% 120% 130% 140% 150% 160% 170% 1 4 7 10 13 16 19 22 25 28 Source: Amazon Appstore, March 2014 +60% average selling price
  20. 20. WHAT WE LEARNED The top have higher average price points You can charge more in the right place and time. Session length and count are important Retention is not the only important metric.
  21. 21. Appstore Programs and Promotions Overview 21 What the top 50 do differently -- Selling
  22. 22. THE TOP DEVELOPERS KNOW THE NUMBERS ? ENGAGE CUSTOMER EARLY MAKE IT EASY TO COME BACK GIVE THEM A REASON TO COME BACK 37% of users who will purchase, purchase on the first day 48% of repeat purchases happen within one hour of a previous purchase 64% of revenue comes from 3rd order + 74% of revenue occurs after first 7 days 56% of revenue occurs after first 30 days
  23. 23. 2016 Swrve data shows 17% OF PAYING USERS BUY 3+ ITEMS In any given month. © Swrve 2016 Mobile Monetization Report – used with permission
  24. 24. THE TOP DEVELOPERS KNOW THE NUMBERS ? ENGAGE CUSTOMER EARLY MAKE IT EASY TO COME BACK GIVE THEM A REASON TO COME BACK 37% of users who will purchase, purchase on the first day 48% of repeat purchases happen within one hour of a previous purchase 64% of revenue comes from 3rd order + 74% of revenue occurs after first 7 days 56% of revenue occurs after first 30 days
  25. 25. Apps with tutorials that introduce IAP items HAVE A 2.5x HIGHER CONVERSION RATESource: Amazon Appstore, July 2013
  26. 26. Apps showing users how to “consume” GET MORE REPEAT ORDERS Games that providing a post-purchasing tutorial generated 65% more repeat orders than the market average. Source: Amazon Appstore, March 2014
  27. 27. Games with bigger selection RECEIVE MORE ORDERS PER CUSTOMER Developers that add new items regularly are able to re-engage their paying customers. 1.14% of the customers generate 30% of sales. Source: Amazon Appstore, March 2014 69% 100% 145% 1-5 Items 6-10 Items 11-15 Items ARPPU by # of IAP items for sale
  28. 28. Conversion Rate INDEX: Average = 100% DON’T CONFUSE YOUR CUSTOMER OFFER VARIETY, BUT NOT TOO MUCH Source: Amazon Appstore, March 2014 147% 101% 52% 0% 50% 100% 150% 200% 1-5 Price Points 6-10 Price Points 11-15 Price Points
  29. 29. Where do apps GENERATE THE MOST REVENUE A 2016 study by Swrve shows that disproportional revenue is generated from higher end price points. © Swrve 2016 Mobile Monetization Report – used with permission
  30. 30. To sell more IAP items, BE CLEAR ABOUT VALUE Make it obvious what the benefit is for buying different price items. Confused customers don’t buy anything.
  31. 31. More than ever it pays to, TAKE CARE OF YOUR BEST CUSTOMERS The top apps communicate directly with their top customers to keep them happy and engaged. © Swrve 2016 Mobile Monetization Report – used with permission
  32. 32. WHAT WE LEARNED Games with bigger selection RECEIVE MORE ORDERS Tutorials that introduce in-app items HAVE HIGHER CONVERSION Showing users how to “consume” GETS REPEAT ORDERS Treating in-app items like a catalogue MAKES IT EASY TO SHOP 1.14% of paying customers generate 30% of sales
  33. 33. Appstore Programs and Promotions Overview 33 What the top 50 do differently -- Engagement
  34. 34. REDUCE BARRIERS TO FREQUENT USE
  35. 35. Tuning Game Difficulty WILL ENCOURAGE LONGER SESSIONS Too hard, and users will abandon. Too easy, and they can get bored. Just right, and it becomes addictive!
  36. 36. When you communicate with them… ADVOCATES DRIVE RETENTION
  37. 37. Appstore Programs and Promotions Overview 37 Adopting Social CAN CREATE BUZZ AND KEEP USERS ENGAGED This will result in more friend-to-friend marketing as players share their achievements and ranks. Players will also compete with friends and leaders and stay engaged.
  38. 38. Appstore Programs and Promotions Overview 38 Leaderboards and Achievements are THE MINIMUM BAR FOR SOCIAL ENGAGEMENT
  39. 39. User Acquisition Alternate Revenue Content Creation Influencers Monetization Loop Game Loop TURN PLAYERS INTO FANS The Top 50 apps
  40. 40. Design IAP into the fabric of your game MAKE IT EASY TO BUY Offering ways to buy your IAP items when they are needed will increase conversion. Apps that made it easy to shop INCREASED REVENUE 75% (ARPPU) Source: Amazon Appstore, March 2014
  41. 41. WHAT WE LEARNED Add social and tweak game difficulty to INCREASE TIME AND COUNT OF SESSIONS Cater to your best and longest customers with clear value DIFFERENTIATE YOUR IAP CATALOG Make IAP items EASY TO BUY WHEN THEY ARE NEEDED
  42. 42. IF YOU ONLY DO ONE THING… Cater to your best and longest customers DIFFERENTIATE YOUR IAP CATALOG
  43. 43. IF YOU ONLY DO TWO THINGS… Cater to your best and longest customers DIFFERENTIATE YOUR IAP CATALOG Make sure your IAP catalogs are CLEAR ABOUT VALUE
  44. 44. WHEN TO RUN A SALE
  45. 45. When NOT to run a sale SALES CAN HURT IF THEY… …train users to wait for sales …postpone future revenue …don’t increase revenue …don’t retain users
  46. 46. How developers make sales work SUCCESSFUL SALES HAVE… …irregular cadence …timing when user inventory is low …ways to absorb new purchases
  47. 47. Case Study WHAT GOES ON SALE? Soft currency in terms of real $ or IAP items in terms of soft currency?
  48. 48. Case Study WHAT GOES ON SALE? An IAP item and its cost
  49. 49. Case Study WHAT GOES ON SALE? My Inventory of soft currency
  50. 50. How developers make sales work SUCCESSFUL SALES HAVE… …irregular cadence …timing when user inventory is low …ways to absorb new purchases
  51. 51. Case Study WHAT GOES ON SALE? Put IAP items on sale to absorb soft currency inventory
  52. 52. WHAT WE LEARNED For Sales without the remorse INVENTORY MANAGEMENT IS CRITICAL TO SUCCESSFUL SALES To absorb in game currency INTRODUCE NEW CONTENT To avoid training users to wait for sales TIME SALES USING OBJECTIVE TRIGGERS
  53. 53. Learn more: http://bit.ly/Top50IAP http://developer.amazon.com/underground How did we do: http://bit.ly/topiapsurvey Follow us: @MikeFHines developer.amazon.com/blog
  54. 54. AN ALTERNATIVE TO IAP -- AMAZON UNDERGROUND
  55. 55. A NEW SHOPPING APP DISTRIBUTING #ACTUALLYFREE APPS Turn 100% of your Android users into revenue-generating customers Developers waive fees on apps and In App Purchase items. Customers get #ActuallyFree apps! Amazon pays developers for cumulative minutes customers spend in an Amazon Underground app.
  56. 56. AMAZON UNDERGROUND HOW IT WORKS • Customers go to Amazon and download the Amazon Underground shopping app • Customers download your app from Amazon Underground • Total user minutes are multiplied by our payout ratio • Developer is paid
  57. 57. AMAZON UNDERGROUND HOW WILL IT WORK FOR YOU? • Back-of-the-napkin • Back it out of ARPU $0.002 for every user-minute $0.12 per hour per user
  58. 58. AMAZON UNDERGROUND HOW WILL IT WORK FOR YOU? • Back-of-the-napkin • Back it out of ARPU 10K Users 150K Minutes 150K x $0.002 = $300
  59. 59. REVENUE = SESSIONS X MINUTES X RATE For 100% of your users Every minute they use your app http://bit.ly/undergroundcalculator
  60. 60. developer.amazon.com/underground
  61. 61. AMAZON UNDERGROUND WHO IS ELIGIBLE • Premium apps that will be free • Freemium apps that make IAP free Marketplaces with Amazon Underground US UK Germany France Premium Apps IAP Apps
  62. 62. AMAZON UNDERGROUND WHO IS ONBOARD Zynga • Looney Tunes Dash! MobiSystems • Office Suite 8 Pro Halfbrick Studios • Fruit Ninja Rovio • Angry Birds Slingshot Stella
  63. 63. Learn more: http://bit.ly/Top50IAP http://developer.amazon.com/underground How did we do: http://bit.ly/ Follow us: @MikeFHines developer.amazon.com/blog

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