OGDC 2014_Vietnam Mobile Internet 2014: A focus in smartphone game and comparison to Chinese...
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VIETNAM MOBILE INTERNET 2014 – A focus in smartphone game and comparison to Chinese market Hoài Nam （怀南） July 19, 2014 1
Transcript of OGDC 2014_Vietnam Mobile Internet 2014: A focus in smartphone game and comparison to Chinese...
VIETNAM MOBILE INTERNET 2014 –
A focus in smartphone game and
comparison to Chinese market
Hoài Nam （怀南）
July 19, 2014
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Vietnam: A Quick Look At End of 2013
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92.5M Population
36.1M Internet Users
20M Active Facebook Users
134M Active Mobile Subscription
Ranked 13 of 228 countries
Penetration rate 39%
Facebook Penetration 21.6%
Mobile Subscription Penetration 145%
18M Smartphone Users
Smartphone Penetration 19.5%
May-2012
May-2014
Number of smartphones 6M 22M
Number of OTT users WeChat + LINE < 1M Zalo, LINE, Viber > 10M
Smartphone games publishers Less than 10 At least 50
Smartphone game market size Less than $1M monthly More than $10M monthly
What Changed In The Last 2 Years
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Within 2 years, the number of devices has grown almost 4 folds. So has grown rapidly OTT applications and smartphone games market.
Vietnam Mobile Game Market
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1.5
5
8
18
28
32
35
38 233%
60%
125%
56%
14% 9% 9%
0
5
10
15
20
25
30
35
40
2010 2011 2012 2013 2014 2015 2016 2017
Number of smartphone user yoy growth rate
(mil users)
Number of Smartphone User in Vietnam
125% growth, reached 18M at the end of 2013!!! Expected to reach 28M with 56% growth at the end of 2014. The growing speed is likely to slow down in following years as it has
covered most accessible and affordable users.
Vietnam Mobile Game Market
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80
209
382 416
466 509
549 592
161%
83%
9% 12% 9% 8% 8%
0
100
200
300
400
500
600
700
2010 2011 2012 2013 2014 2015 2016 2017
Number of smartphone user Y-o-y growth rate
(mil users)
(Source: eMarketer 2014)
Similar Pattern With China
The growth of smartphone users in Vietnam is very similar to the pattern of China but only 2 year later!!! Cheap Android devices provided by domestic brands has been the drive-force in
China. The same in Vietnam now.
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3G Mobile Subscriber in Vietnam
38.1%
30.7%
28.5%
2.7%
MobiFone
Viettel
VinaPhone
VietnamMobile
12.75M 3G mobile subscribers
who actually used bandwidth in July-2013
MobiFone has the biggest share with 38.1%
Source: Vietnam Information and Telecommunication Ministry, July-2013
Country 3G Data Plan Price
Japan 53$US
(unlimited packet – Softbank)
China 56$US
(9GB packet – China Unicom)
Indonesia 25$US
(3GB packet, speed-max 1Mbps)
Thailand 52$US
(10GB packet, speed-max 384Kpbs, TrueMove)
Vietnam 10$US
(3GB fast + no extra fee + speed-max 7.2Mbps, Viettel)
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3G Data Plan Comparison
3G Data Plan in Vietnam is much cheaper than other countries. The speed is 10-20X times higher than neighbor countries like Indonesia and Thailand. A good condition
for mobile internet service to prosper.
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Where are 3G Mobile Internet Users?
Most 3G mobile internet users are concentrated in Ha Noi, Ho Chi Minh. Considerable number of them are in 2-tier cities in Delta-river zone and Mekong-river zones and Da Nang. A small amount of users from small cities and town across the coast.
Source: opensignal.com
15.5M, 70.5%
3.3M, 14.8%
2.1M, 9.5%
1.2M, 5.2%
Android
iOS
Windows Phone
Others
(source: Mwork, May-2014)
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What Kind Of Smartphone Devices?
70.5% is Android
until May-2014. Android takes the majority for existing active smartphones in Vietnam. Second is iOS and Windows Phone come next. It is not surprise if Android will maintain or increase its share in coming years.
(source: IDC)
$702 $710 $686
$650 $657
$441
$380
$320 $276 $254
0
100
200
300
400
500
600
700
800
2010 2011 2012 2013 2014(e)
iOS Android
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Android Is Cheaper and Cheaper
The average sold price of a new Android device has steadily decreased toward $200-$250 zone while iOS maintain at $650-$700. No wonder why so many Android!!!
2.6X Android is cheaper
than iPhone
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Number of New Sold Devices
in Aug-2013. Among them, 65.7% of that are Android. Windows Phone comes second with 19.5%. ASHA of NOKIA stills has its share but declining softly.
Source: gfk 2013
586K new sold
(source: Appota)
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Waves of Cheap Android Smartphone
Since Feb-2014, Nokia started to sell Nokia X of Android OS at superbly affordable price in Vietnam. Very well sold. Samsung, LG, Asus, HTC … also have new Android models with the price lower than $130.
120$
LG Optimus L1 II Samsung Galaxy Y Asus ZenFone 4 HTC Desire 200 Samsung Galaxy Trend Lite Mobel S58 Nokia X
Popular cheap Androids
61.2%
4.6%
13.5%
5.2%
15.5%
Jelly Bean
KitKat
Ice Scream Sandwitch
GingerBread
Others
(source: Appota, Dec-2013)
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Android Devices by OS Version
61.2% of existing Android devices are Jelly Bean until Dec-
2013
(source: Appota)
7.7%
32.3%
5.5% 11.7%
29.4%
13.4%
iOS 7.1
iOS 7.0.4
iOS 6.0.X
iOS 5.1.X
iOS 6.1.X
Others
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iPhone Devices by OS Version
32.3% of existing iOS devices are iOS 7.0.4 until Dec-
2013
Mobile Game Market
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Vietnam Mobile Game Market
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(mil USD)
Vietnam Mobile Game Market
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60
120
210
310
360
410
50%
100%
75%
48%
16% 14%
0%
20%
40%
60%
80%
100%
120%
-
50
100
150
200
250
300
350
400
450
2011 2012 2013 2014(e) 2015(e) 2016(e) 2017(e)
Market Size yoy growth rate
Vietnam Mobile Game Market will reach $210M at the end of 2014, grow 75% comparing to previous year. The growing speed will decrease in following years and reach $410M in 2017.
$210M in 2014
(source: Mwork)
Vietnam Mobile Game Market
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(mil USD)
Vietnam Mobile Game Market
3%
17%
61%
79%
90% 96% 98%
0%
20%
40%
60%
80%
100%
120%
0
50
100
150
200
250
300
350
400
450
2011 2012 2013 2014(e) 2015(e) 2016(e) 2017(e)
Feature Phone Smartphone Smartphone Percentage
The main drive-force of the expansion of mobile game market is smartphone game. In 2014, 79% of the market share is forecast to come from smartphone. From 2015, feature phone will account for less than 10%.
79% are from
smartphone game in 2014
(source: Mwork)
220
253
291
60
120
210
0 100 200 300 400 500 600
2012
2013
2014 (e)
PC Mobile
(mil USD)
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PC vs Mobile Games Market
Thank to its rapid growing, mobile games market in 2014 will almost equal to PC-based game market in term of market size in 2012.
(source: Mwork, Casual Connect Asia 2014)
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785 946 721 497 304 160 80
128 321
1,474
2,869
4,263 5,160
5,801 39%
73%
53%
36%
16%
11%
-
1,000
2,000
3,000
4,000
5,000
6,000
7,000
2011 2012 2013 2014(e) 2015(e) 2016(e) 2017(e)
Feature phone game revenue Smartphone game revenue yoy growth rate
(mil USD)
Mobile Game Market: the case of China
The same story happens in China. In 2014, it is forecasted that more than 85% of mobile game revenue are from smartphone games. The growth rate peaked itself in 2013 with 73% growth rate and gradually decrease toward 11% per year in 2017.
(source: iResearch 2013)
Vietnam Mobile Game Market
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4 10
50 60
15 30
150
250
0
50
100
150
200
250
300
2011 2012 2013 2014 (e)
Number of local game publishers Number of new game tittles
(source: Mwork)
Game Publishers and New Tittles
The market is growing but so the number of tittles. Not easy game for all but the winners are promised to get big enough rewards. The number of local game publishers does not increases much, instead there will be the joining of foreign company who directly publish to Vietnam market from overseas.
250 new game tittles will be published
in 2014
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Market Share by Genre
3.8%
31.2%
11.3%
17.3%
23.4%
4.3%
8.7%
23.6%
6.1%
15.4%
17.8%
6.6%
24.3%
6.3%
0%
5%
10%
15%
20%
25%
30%
35%
Casual Card Battle SLG MMORPG Turn based RPG Card & Board Others
China Vietnam
It may amaze you but until May-2014, 23.6% of mobile games revenue, including both feature phone and smartphone tittles, is for casual games. As characteristic of casual games, even though ARPU is lower, it can reach to a larger set of player. Avatar, Mobi Army, Audition Mobile, Teen Teen and iGa contribute almost 70% of the sector. Card & Board games hold the second big part with 24.3%. Card battles games are promising to increase its share in 2014.
23.6% for casual games
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Major Mobile Gaming Companies
Vietnam Mobile Developers
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Overview
15,000 + Developers
5,000 + New Developers
112,765 + Games/ Applications
34,000 + New games/applications
70% Devs Cross - Platform
30% Devs One - Platform Source: Mobile vision, MMA
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What u want?
Source: GMGDC 2014
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Monetization
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