China is the market which gets investor attention when you raise money. Why is China the market to be at right now? What are the steps to take on the path to a successful launch and impact there? Who is your competition and what to be careful about? Mobvista provides you with the solutions and consult.
5. WORTH
of In-App
Purchases in China
The revenue of in-app
purchase in 2018 has reached
$40 billion in China
Source: App Annie
6. CHINA accounts
for HALF of the
global downloads
and 40% of the
global revenue.
CHINA’S
APP PURCHASE
SHARE
App purchases
globally reached 101
billion USD in 2018,
40% of which came
from China.
Source: App Annie
8. Source: Gamefinery.com
There were 598 million mobile gamers in 2018, and 239
million (40%) of them spend money in games. The
number of mobile gamers is projected to reach 728
million in 2023. 95% of gamers in China play mobile
games.
9. Source: Gamefinery.com
In Q4 of 2017, the average mobile internet user had 40
apps installed on their phone
The average mobile internet user spent 4.2 hours a day
using apps each day
10. Source: Gamefinery.com
As many as 691 million Chinese civilians were mobile
gaming users as of June 2019, which increased from
621 million in December 2018 when Chinese
authorities loosened approval on new games.
14. 3 Main App Monetization Approaches
In-App
Purchase
Often used
in games
Unpaid Income
(ads, corporation, etc.)
Can be used in
most apps
Paid
Subscription
Often used in
utilities/mini-games
15. Differences in Monetization Approaches
• Relatively expensive: $10+/week,
$15+/month, $50+/year;
• Renews automatically.
• Some products offer small
discounts with low frequency.
• Lacks social attributes.
• Focuses on the key function;
• Fewer sources of income.
Paid
Subscription
Free App
Ads
In-App
Purchase
• Relatively affordable: $0.70+/week,
$2+/month, $15+/year;
• Reminds user before next payment.
• Offers big discounts with high
frequency;
• Strong social attributes.
• Building a user-based ecosystem;
• Various sources of income.
Overseas China
17. Most players pay impulsively
Basic Level : To Meet the Need for Convenience
Countdown
The fear of
missing out can
push users to
make the decision
to purchase.
Instant
Consumption
• Pop up purchase site
instantly to stimulate
impulsive consumption.
• Provide 30% discount
Purchases for extra lives, energy, etc. ↑
18. Pay to be better than others
Mid-Level: Meet the Need for Social Comparison
Social Connection
Showing the effect of paid
tools/features to friends and others
(e.g. by becoming more good
looking or more powerful).
Purchase for tools,skins and weapons ↑
19. “Whale” players in China are willing to pay more in order to stand out from the majority
Top Level:Meet the Need for Self-Supremacy
Source: Game Analytics
High spenders from China spend
more than the rest of the world
6.3 USD 9.9 USD
8.9 USD7.3 USD
8.1 USD
8.0 USD
Premium Naming and
Packages
“Essential for the hard-core players”
“Exclusive to the top players”
Top Up Ranks, Collections Sharing
Enable the Whales to show their rare
and valuable tools collections.
Outstanding Visual Differences
Using badges or other symbols to
make the Whales stand out more.
20. Chinese users always prefer great discounts, and game developers are keen on all kinds of promotional
activities.
Any Amount Top Up
Get users to pay for the first time
Lucky Draw
Spend little, Win big
Buy 1 get X free
Get users to keep paying for the game
Diamond Package
Get users to buy more, suitable for tools that
are consumed quickly
% Discount
Attractive for all kinds of users
Discount as a Stimulus
22. I’m convinced I should invest in China –
Why not do this in house?
I have an excellent media team!
23. A recipe for an Omelet:
Ingredients
3 eggs, warmed in hot water for 5 minutes
Pinch salt
1 teaspoon room temperature butter, plus 1/2 teaspoon for finishing omelet
1/2 teaspoon fresh chopped chives
1. Crack the warm eggs into a bowl, add salt and blend with a fork. Heat a 10-inch
nonstick aluminum pan over medium-high heat. Once the pan is hot, add the butter
and brush around the surface of the pan. Pour the eggs into the center of the pan
and stir vigorously with a rubber spatula for 5 seconds. As soon as a semi-solid
mass begins to form, lift the pan and move it around until the excess liquid pours off
into the pan. Using your spatula, move it around the edge of the egg mixture to help
shape into a round and loosen the edge. Let the omelet sit in the pan for 10
seconds without touching.
2. Shake the pan to loosen from the pan. Lift up the far edge of the pan and snap it
back toward you. Using your spatula, fold over one-third of the omelet. Slide the
omelet onto a plate and fold over so that the omelet is a tri-fold. Coat with the
remaining butter and sprinkle with the chives. Serve immediately.
27. Ocean Engine provides
integrated digital marketing
solutions
Ocean Engine
An intelligent platform for content creation and social
interaction
28. • Pop-up after 12s
Support Like, Comment, Share
iOS: traffic to App Store page
Android: direct download
App Download
One click to download in the video.
Extremely effective for game promotion
App Download Download page
Ocean Engine In-Feed Ads
In-Feed Ads
32. Download Ranks - iPhone - China - Jun 1 - Jun 11, 2019
Mobvista Diagnosis
Given the Japanese pixel visual style of the game, the key
to success is to target certain groups of players who love
Japanese animation culture, as they are more likely to
resonate with this game.
RPG Game
It is an RPG game built in lovely pixel visual style, and players choose different heroes to battle enemies.
Objectives: increase user acquisition and ROI
-23%
CPI
15%+
Day5 ROI
RPG - No.300 No.70
Games - No.1000 No.280
Japanese Animation Fans Targeting
Top media that covers the highest
numbers of Japanese ACGN fans and
young mobile users with an advanced
advertising algorithm.
Installed users
Lookalike expansion
Analyze user data to
acquire user labels
Based on previous
similar game targeting
experiences
35. Boost Your Marketing Efforts with Our Expertise
Certified official partner
of all key Chinese
media platforms
Mobvista is an authorized
ad service provider to all of
China’s top media channels.
In-house team of top
media marketing experts
Our China-based media buying
teams are some of the leading
experts in the Chinese media
landscape.
Global support
with local execution
Mobvista offers global campaign support
from our network of local offices alongside
our comprehensive team of experts based
in China, delivering marketing plans that
are tailored to your needs.
36. Comprehensive reporting system that integrates
data across all top media and turns them into
actionable insights
Enhanced Data
Readability & Accessibility
Accelerated
Efficiency
Smart Customizable
Dashboard
China Top Media Marketing Platform
01Report Dashboard Features
Designed to Drive Growth
37. Create Resonance with Japanese Animation Fans
Hundreds of characters,
choosing the best character
combination to fight
Game Features Analysis Player Preferences
Characters with lovely & cute
appearance, dress in finery and
owns powerful weapons
Popular Elements
Add-in funny narration, popular
background music and other
trendy elements
RPG Game Creative Strategy
Choosing characters that look more powerful (swords, bow & arrows, etc.) Show exciting gameplay and add-in funny narration
38. Music App
Several music titles and instrument-simulating games relying on subscription income
Objective: increase number of subscriptions
Mobvista Diagnosis
There are huge differences between Chinese and overseas subscription behaviors. We provided professional
subscription page modification suggestions, which lead to huge increases in terms of advertising performance.
Download Ranks boosted (from one of the game).
-27%
CPS
Subscription Page
Modification
Install + Subscription
Conversion Target Setting
Define and target
Subscribe usersShort video media that
is excellent for music
games advertising
Find the differences between
install and subscription users to
increase targeting effectiveness
Install – increase user acquisition
Subscription – balance CPS
Provide guidelines on how to modify
your page to increase subscription
rates and avoid media policy
limitations
Lower cost per
subscription
39. What we’ve learned
Huge market – Make
an impact
Localize Strategy
Communication
Long-term Investment
40. Mobvista’s “Xplore China” helped us expand our market share
successfully and build up our popularity in the Chinese market
which has so much potential but also many challenges. We
always enjoy working with this knowledgeable and flexible team!
Nir Pochter
Co-Founder & CMO of Lightricks
First is about Mobvista. our main business includes mobile advertising and mobile analytics. Currently we are listed in Hong Kong Stock Exchange market, and we have 14 offices across the globe.
The revenue of in-app purchase in China in 2018 has reached 40 billion usd. China accounted for almost 40 percent of the $101 billion consumers spent on apps worldwide through paid downloads, in-app purchases and in-app subscriptions last year.
China accounted for almost 40 percent of the $101 billion consumers spent on apps worldwide through paid downloads, in-app purchases and in-app subscriptions last year.
First is the absence of Google Store. The Android market is fragmented, there are more than 30 Android stores in China. The good news is the market is dominated by top 5 android markets in China, which are My app, Huawei App Market, Oppo Software Store, 360 Mobile Assistant, Baidu Mobile Assistant.
So here comes the question, now we have a mixed feeling about Chinese market, we see the potential and we see the challenges, what are the things we can do to make your marketing activities more successful? I would like to share in 2 aspects.
First is Monetization Strategy. There are 3 main app monetization approaches, which are in-app purchase, subscription, and unpaid income, including income from ads.
Here we have a brief comparison between China and overseas market. For Paid Subscription, the difference mainly lies in the price. China’s subscription price is much lower than overseas apps, for example, if you subscribe to iQiyi, which is similar to Nextflix, the monthly fee is 20 RMB, which is $3, while Netflix’s basic monthly subscription is $9.
As for in-app purchases, overseas products offer much less discount compared to games in China. Also, most of the games in China are featured with social function.
For Apps that are completely free, most of the apps rely heavily on ads. However in China, companies in China build user-base ecosystem, such as building a community, providing added value services and sell commodities to achieve various income source.
We’ll go into a bit more details about in-app purchases.
First is basic level, usually used by casual games, the users are stopped in the middle of the game and they see an pop-up for 30% discount purchase with an affordable amount, (as little as 1RMB) or they see the count-down and rush to pay in order to keep the game progress. In China market, due to the large market, the economy of scale makes it very profitable.
As for the middle level, the gamer seeks recognition or admiration through the games when they get a very good-looking skin or when they get a very good weapon. People also like to play with friends so social connection with Wechat and QQ and Weibo login are important in Games.
For the top level, usually the players in china are willing to pay more in order to stand out of the majority, according to Game Analytics, the high spenders in China has an ARPU of 9.9 USD, which is 12% higher than the rest of the world.
Last but not least, the discount that works everywhere including in China. And it works extremely well in China. There are various ways of offering discounts, like Get premium package just with any amount of top up, buy 100 diamonds get 100 diamonds free, special package price and lucky draw.
The 2nd part of Strategy for China market, we want to discuss a bit about the media environment in China. When you think about any UA strategy, it’s important to know your KPI and know the platforms before moving to the next step.
The 2nd part of Strategy for China market, we want to discuss a bit about the media environment in China. When you think about any UA strategy, it’s important to know your KPI and know the platforms before moving to the next step.
The market in China is actually very simple. Regardless of countless local apps and platforms, most of the apps are owned by 4 top companies in China, thus you can get reach to pretty much most of the Chinese audience utilizing these platforms. Baidu, Tencent, Alibaba and Ocean Engine takes 77% of the users’ mobile usage time in China.
And when we talk about the top performance platforms, actually it’s the same platforms regardless of popularity or ROI performance.
The media that is most popular and has highest ROI these days is Ocean Engine, they have various popular apps including Douyin, which is the Chinese version of Tiktok.
App Download feature is most commonly used for games. However, we suggest using an agency to help you manage the ads as the platform is only available in Chinese and an experience agency help you get a better outcome.
As for Tencent, it’s the biggest social media platform in china, which owns two biggest messenger apps, QQ and Wechat, both apps have more than 800 million DAU.
Baidu covers more than 70% of the search request in China and it’s suitable for utility and education apps besides games.
As for Weibo, it has more than 172 million DAU and 80% of the users are under 30. We use it to follow our stars and popular contents, thus apps that have IP and strong fan-following effect tend to perform well on the platform.
Last but not least, I would like to quickly go over what supports we can provide as your best partner in China market.
Last but not least, I would like to quickly go over what supports we can provide as your best partner in China market.