Introduction to social gaming analytics - what to measure, how it\'s measure, and some thoughts on how to iteratively improve. Talk given to Girl Geek Dinners - Philadelphia in July 2012.
1. Social Games – Metrics that Matter
Girl Geek Dinner #ggdphl
23 July 2012
2. Today’s Topics
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Why is this topic important?
Which metrics & how to measure them
(calculations & tools)
How do you know what’s good?
The two sides of metrics and reporting: for your
investors, and for you
How to iteratively improve them
The importance of prioritization
(c) 2012 Sepiida - Proprietary & Confidential
3. A bit about me
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15 years in Internet/E-commerce/Technology Product
Management – most of it in San Francisco
Led product for several startups
One funded by Benchmark, sold to AT&T/YellowPages.com
Another spun out of Microsoft Ventures in social networking
Most recently VP, E-commerce Nutrisystem ($750mil+ in
revenue, most of it online)
Search and advertising, B-to-B and B-to-C
platforms, telephony, social networks, gaming, online marketing
Currently Founder & CEO of Sepiida
Clients include Zynga, Haymarket Media, Coveroo, JumpRamp
Games, Ryzing
BA Politics (NYU), MS Computer Science (Stanford)
(c) 2012 Sepiida - Proprietary & Confidential
4. Why is this topic important?
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People think of gaming as creative - it is!
Just like with any interface-enabled product or
technology, there is a business behind it
“Nowadays” business is measured through data and
metrics
Big social gaming studios like Zynga think of
themselves as analytics companies:
http://on.wsj.com/nJsdT9
Great designers have a strong sense of, and respect
for, data and analytics
Investors care about the metrics
(c) 2012 Sepiida - Proprietary & Confidential
5. So, what are these metrics?
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Game-agnostic Metrics
DAU, WAU, MAU
D1, D7, D30 Retention (and so on…)
DAU/MAU
Installs/DAU
K-factor
ARP/DAU
Game-specific Metrics
(c) 2012 Sepiida - Proprietary & Confidential
6. Metrics: DAU, WAU, MAU
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DAU = Daily Active User
WAU = Weekly Active User
MAU = Monthly Active User
Active User – someone with a session in a given time
period
Many game-hosting platforms
(Yahoo, Facebook, Google, etc.) provide this data
publicly!
You should reconcile against your own DB
How valuable is a “session”? Does this metric matter?
(c) 2012 Sepiida - Proprietary & Confidential
7. Metrics: D1, D7, D30 Retention
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“D” = Day
D0 is the day the user first installs the app
D1 is the next day, D7 the 7th day after, and so on
Two ways to compute:
On the day (industry standard)
Within the period (more helpful for running your biz)
Need to compute this from your DB
Use this for cohort analysis as you change features
(c) 2012 Sepiida - Proprietary & Confidential
8. Metrics: DAU/MAU
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DAU divided by MAU
If this value is 1, then all of the people who logged
in over the course of the past 30 days also came
every day within that 30 day period highly
retentive game
If this value is close to 0, people are not using this
anywhere near daily
(c) 2012 Sepiida - Proprietary & Confidential
9. Metrics: Installs/DAU
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An Install is a new user to your game
# of Installs on that day divided by the DAU for that
day
This is a measurement of how many new users you
are getting
But you don’t want this to be close to 1 (especially
well after launch)
Thismeans that people aren’t coming back
Unless you can explain it with big acquisition
marketing efforts
(c) 2012 Sepiida - Proprietary & Confidential
10. Metrics: K-factor
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Measures the virality of your social game
Viral channels are: emails, social network
communication channels, other user-shared
links/entry points
One standard way to measure: Viral Installs / Total
Installs
Metric is beholden to the tempers of the platform
you are running on
(c) 2012 Sepiida - Proprietary & Confidential
11. Metrics: ARP/DAU
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Average Revenue Per DAU
Revenue generated per day / DAU for that day
In the end, you have to make money!
(c) 2012 Sepiida - Proprietary & Confidential
12. Metrics: Game-specific KPIs
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After all the standard ones, you should have a list
of metrics you are monitoring within your specific
game
What makes sense for one game doesn’t for
another
Ifyou have a social building feature, there are metrics
relevant to that
A decorating game would have others
Track a lot, but deeply monitor a few
(c) 2012 Sepiida - Proprietary & Confidential
13. Metrics: Tools for tracking
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Need to capture the data in your DB
Better to do this from the beginning, as you build
each new feature. THINK DATA.
Simple DB queries can help, but that gets old soon.
Tools like Kontagent are big-ticket resources for
social gaming analytics. We also like RJ Metrics for
this.
It’s
all about database analytics that contain
behavioral and transactional data.
(c) 2012 Sepiida - Proprietary & Confidential
14. What’s a good value for a metric?
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It depends
On the state of the social network platform you’re
running on
On the nature of your particular game
On where you are in your evolution
On what you need to succeed as a business
On the state of the industry
(c) 2012 Sepiida - Proprietary & Confidential
15. Good values for metrics (cont’d)
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Need to look at your own business deeply –
connecting one metric with another to draw
conclusions
For example, let’s say MAU is growing really nicely.
DAU is flattish.
What does that mean?
It means you have a lot of churn.
Is that bad or good?
The answer to that is in the eye of the beholder!
(c) 2012 Sepiida - Proprietary & Confidential
16. Good values for metrics (cont’d)
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Beware of researching benchmarks
You’ll get every possible answer if you read online
Older news is old news
Talking to people – they usually inflate
Figure out WHAT YOU NEED
(c) 2012 Sepiida - Proprietary & Confidential
17. Investors!
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They want data
They are talking to their friends who have data
But what data?
Typically, what you need to be looking at to actively
manage your business is pretty different than what the
investors want to look at
For example, what are you supposed to do with the DAU
metric when it’s flat??
Takes much deeper set of analytics to fix it
But the investor just wants to see DAU growing
Have an investor dashboard and then have an internal set
of analytics/reports Keep them separate!
(c) 2012 Sepiida - Proprietary & Confidential
18. Improving your metrics by using
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data
It starts with capturing the data
Go for breadth, go for depth
Part of every feature design needs to be data
Don’t debate too much – A/B test lots of things
If you’re sophisticated enough, tools like Bees & Pollen can be interesting for
going beyond A/B
When you find a top-line metric under-performing, understand its
component parts
Go deep on data
Beware of looking at how other games do a particular mechanic or
feature
Be ready to kill features and/or abandon optimization
Beware of “killer features”
Most big metrics improvements we’ve achieved have occurred through low-
cost optimizations rather than high-cost feature development
(c) 2012 Sepiida - Proprietary & Confidential
19. Prioritization
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With all this data, you can drown
Key is PRIORITIZATION!
If you’re having trouble with D1 retention, don’t
worry about features that are used by more
advanced users
Determine which features are used by whom by
looking at data – not based on your opinion
You’re not going to make a dent in ARP/DAU if you
can’t get people to come back for a second day!
(c) 2012 Sepiida - Proprietary & Confidential