1. STATE OF PUBLISHING

2. EVALUATE GAMES & DEVELOPMENT PARTNERS

PUBLISHING SERVICES, NOT PRODUCTS

A QUICK MARKET RECAP

0

10000

20000

30000

40000

2008 2009 2010 2011 2012 2013 2014

Global mobile

spending (M$)

IN-APP

PURCHASES

ALLOWED

IPAD

RELEASESAPP STORE

& ANDROID

MARKET

MILESTONES IN MOBILE SPENDING

0

10000

20000

30000

40000

2008 2009 2010 2011 2012 2013 2014

Global mobile

spending (M$)

1.0

2.0

3.0

MILESTONES IN PUBLISHING

1.0

I’LL THROW SOME GAMES OUT THERE,

GET A BUNCH OF FEATURING AND

EVENTUALLY MAKE… “ONE. MILLION.

DOLLARS.”

DR. EVIL

Then the gold rush really kicked off…

“I’M A ONE MAN ARMY AND CAN TAKE ON THE INDUSTRY

ALONE WITH SOME HEAVY UA ARTILLERY.”

2.0 RAMBO

AND NOW? IT’S A REALLY CROWDED PLACE.

< $ 10,000AVG REVENUE

< $ 1,000MEDIAN REVENUE

Source: Rovio Estimate 2015

1000IOS GAMES PER DAY

IN 2015

“..I COULD USE SOME HELP IN VISIBILITY, DISTRIBUTION AND

OPTIMIZING MY FTUE.”

3.0 THE DYNAMIC DUO

“BROTHER, UNITED WE HAVE A FAR BETTER CHANCE OF ACQUIRING,

RETAINING AND MONETIZING.”

THE MOBILE GAMES PUBLISHER OF 2016 IS NO LONGER JUST A PUBLISHER.

THE PUBLISHER HAS BECOME A PARTNER.

WHAT DOES THIS MEANIN PRACTISE?

OLD WORLD

NEW WORLD

RETAIN MONETIZE APPEAL REACH

F2P

DEVELOPER PUBLISHER

“GAME AS A SERVICE” = PARTNERSHIP

WHAT’S THE POINT?

LAUNCH

LAUNCH

X

X OLD MODEL

NEW MODEL

PUBLISHER

PARTNER

HOW DOES THIS AFFECT WHAT YOU’RE GETTING OUT OF THIS PARTNERSHIP?

ROVIO PUBLISHING OFFERING FOR PARTNERS

MARKETING USER ACQUISITION AND CROSS PROMOTION

CHANNEL MARKETING

MATERIAL & CAMPAIGNS

DESIGN & OPTIMIZATIONDEDICATED PRODUCERS & ART DIRECTOR

UX / MONETIZATION DESIGN ASSISTANCE

NATIVE ADS & IN HOUSE AD SALES TEAM

PUBLISHING SERVICES

QA / LOCALIZATION

DEV FUNDING

CUSTOMER SUPPORT

SO HOW DOES ROVIO DECIDE WHICH

GAMES TO PUBLISH?

ROVIO PULL NUMEROUS DATA SOURCES & WE

KNOW:

- EVERY GAME IN SOFT LAUNCH

- A REV/DL ESTIMATE FOR EVERY GAME

- THE CPI COST FOR THAT GENRE

- HOW LONG THE GAME HAS BEEN IN SOFT

LAUNCH.

ONCE WE FIND GAMES WE THINK COULD RESONATE

WITH OUR USERBASE WE MAKE CONTACT WITH THE

DEVELOPER TO SEE IF THEY ARE INTERESTED IN A

PUBLISHING PARTNER AND VALIDATE THEIR DATA.

EXAMPLE MINIMUM SPEC PUZZLE GAME METRICS:

RETENTION: DAY1 = 40%, DAY7 = 20%, DAY30 = 10%

MONETISATION: ARPDAU = €0.08

IF YOU GUYS ARE SO SMART, WHY HAVEN’T YOU PUBLISHED A ROVIO STARS TITLE SINCE EARLY 2015?

THE ONES THAT GOT AWAY, ALTHOUGH THE DEVELOPERS

COULD WELL HAVE NOT BEEN INTERESTED IN A PARTNER

REGARDLESS......

HOW ROVIO CHOOSES ITS EXTERNAL

DEVELOPMENT PARTNERS

FIND ME A KICK ASS

PUZZLE GAME DEVELOPER,

WHO WILL MAKE US BANK

ON AN AB PUZZLE TITLE

FINAL THOUGHT: THE MOST IMPORTANT TERM IN A PUBLISHING CONTRACT

“Net Revenue” shall mean gross revenue actually received

by “the Publisher” from the game less paid user acquisition

expense (done by “the Publisher”) and other approved

media buy expenses.

Example: Net Revenue = Gross Revenue - (Paid UA +

Media Buy Expenses)

Example: 50/50 publishing deal that the publisher can’t

deduct UA costs:

LTV of the game = $3 dollars, the CPI for that genre is

$2.50

The publisher will always refuse to buy under the above

circumstances because the LTV they actually see is only

$1.50 not $3.00 because the cannot deduct paid user

acquisition i.e. They have no incentive to continue building your F2P title at an operation lost for them.

Publishing Services not Products. - Jere Mäkiniemi @ Rovio