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IS THIS ALL THERE IS?
WHAT'S NEW IN MONETIZATION
Reach  Engage  Earn
MIKE HINES
DEVELOPER EVANGELIST, AMAZON
@MikeFHines mikehines45
mihines@amazon.com
Android
Devs
iOS devs Amazon
Fire OS
41%
48%
60%
%DevelopersabovePovertyLine
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.
MANY MONETIZATION OPTIONS BUT,
Premium In-App Purchase Ads
There’s room for improvement
• “The biggest problem with freemium app models is that 97% of consumers don’t convert,
instead sticking to the free features.”1
• Cost of $3.15 and $1.80 per download for iOS and Google Play respectively in the US
often eclipses user lifetime value (LTV)3
• Free apps attract more users that premium apps
1 WSJ http://www.wsj.com/articles/mobile-game-makers-try-to-catch-more-whales-who-pay-for-free-games-1431306115
3 Chartboost: https://www.chartboost.com/insights/2016
Amazon
Underground
Coins Merch
For customers, Amazon Coins
263k viewers
10MM min watched
65.9 min per unique
Highest single day rev
Configure Coins campaigns to give
coins back to customers who purchase
items from Amazon!
Incent purchase of specific items.
The effect on Power Users
U.S. data from App Annie and internal sales data
What next?
• Create a Coins Rewards Campaign to
target your power users.
• Promote the campaign in social media.
• Promote the campaign on your
YouTube and Twitch channels.
TARGET POWER USERS
Amazon
Underground
Coins Merch
Discounts and
incentives for power
users
merch.amazon.com
Use physical goods to
EARN ADDITIONAL REVENUE
“Many Free to Play devs classify their players as
willing to pay or not willing to pay.
What we've found is some folks who don't want to
pay for digital goods are fine paying for a shirt. ”
Bryan Mashinter
Backflip Studios, creators of DragonVale
Create and upload
your artwork using
our templates.
Promote your t-shirt. Analyze your sales
and iterate for best
monetization.
"We know how to make games really well, but retail and merchandising is not our
core business. Working with Amazon really helped get us out there."
— Bryan Davis, Big Blue Bubble creators of My Singing Monsters
merch.amazon.com
Free self-service tools
MERCH BY AMAZON ROYALTY
CALCULATOR
merch.amazon.com
How to sell shirts?
• Platform independent
– Android
– iOS
– Online
• Shirts may appeal to fans who don’t
buy IAP items
• No out-of-pocket cost to you
PROMOTE SHIRTS IN-
GAME
80% of orders come from in-
game promotions.
20% of orders happen outside
of your app!
What next?
• Pick art identifiable with your game
• Pick 3 (maybe 4) shirt colors
• Strongly consider $19.99 for price
• Ask fans what they want
• Start promoting your shirt outside of your
game (email, social media, etc…)
BUILD A GOOD SHIRT
Just because lots of shirt colors
are available doesn’t mean you
need to use them all!
Amazon
Underground
Coins Merch
Discounts and
incentives for power
users
An on-demand
service with no
out-of-pocket cost
A NEW SHOPPING APP WITH
ACTUALLY FREE
APPS
Available for any Android device where
Amazon Underground is installed.
Developers waive fees on apps
and In App Purchase items.
Android customers get really, truly
free apps.
Amazon pays developers for
cumulative minutes customers
spend in an Amazon Underground
app.
Getting Started
• Android
• Premium or IAP in another store
• Release to US, UK, Germany or
France
Qualifications
developer.amazon.com/underground
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
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
Revenue = Sessions X Minutes X Rate
For 100% of your users Every minute they use your app
http://bit.ly/undergroundcalculator
What developers are saying
Is it Working?
DEVS SAY…
"If you want to get your apps in
the hands of as many users as
possible, this really is the way
to go.”
“Session lengths went up, and
the overall hours that we saw in
the Underground version were
incredible—hundreds of
percent higher. It was really
amazing to see. All of that
translates into more hours
played in total, and ultimately,
revenue."
What next?
• Eliminate the limited upside of premium
• Remove purchase resistance of premium
• Increase download count vs. premium
• Premium apps have done very well when
moved to Amazon Underground
TAKE YOUR PREMIUM APP
UNDERGROUND
Amazon
Underground
Coins Merch
#ActuallyFree apps
and in-app
purchases
and
developers are paid
per minute
Discounts and
incentives for power
users
An on-demand
service with no
out-of-pocket cost
Special Casual Connect Offer
Go to http://merch.amazon.com
Sign up by Sunday and use…
• email you used for registration
• email you used for survey
• Get Merch account by that Friday
Merch by Amazon accounts are free
APPLY TODAY
How did we do?
http://bit.ly/devdaysurvey
Learn more:
http://merch.amazon.com
http://developer.amazon.com/underground
http://coins.amazon.com
Follow us:
@MikeFHines
developer.amazon.com/blog

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Is This All There Is? What's New in Monetization

  • 1. IS THIS ALL THERE IS? WHAT'S NEW IN MONETIZATION Reach  Engage  Earn MIKE HINES DEVELOPER EVANGELIST, AMAZON @MikeFHines mikehines45 mihines@amazon.com
  • 2. Android Devs iOS devs Amazon Fire OS 41% 48% 60% %DevelopersabovePovertyLine 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.
  • 3. MANY MONETIZATION OPTIONS BUT, Premium In-App Purchase Ads There’s room for improvement • “The biggest problem with freemium app models is that 97% of consumers don’t convert, instead sticking to the free features.”1 • Cost of $3.15 and $1.80 per download for iOS and Google Play respectively in the US often eclipses user lifetime value (LTV)3 • Free apps attract more users that premium apps 1 WSJ http://www.wsj.com/articles/mobile-game-makers-try-to-catch-more-whales-who-pay-for-free-games-1431306115 3 Chartboost: https://www.chartboost.com/insights/2016
  • 6.
  • 7. 263k viewers 10MM min watched 65.9 min per unique Highest single day rev
  • 8. Configure Coins campaigns to give coins back to customers who purchase items from Amazon! Incent purchase of specific items.
  • 9. The effect on Power Users U.S. data from App Annie and internal sales data
  • 10. What next? • Create a Coins Rewards Campaign to target your power users. • Promote the campaign in social media. • Promote the campaign on your YouTube and Twitch channels. TARGET POWER USERS
  • 13. Use physical goods to EARN ADDITIONAL REVENUE “Many Free to Play devs classify their players as willing to pay or not willing to pay. What we've found is some folks who don't want to pay for digital goods are fine paying for a shirt. ” Bryan Mashinter Backflip Studios, creators of DragonVale
  • 14. Create and upload your artwork using our templates. Promote your t-shirt. Analyze your sales and iterate for best monetization. "We know how to make games really well, but retail and merchandising is not our core business. Working with Amazon really helped get us out there." — Bryan Davis, Big Blue Bubble creators of My Singing Monsters merch.amazon.com Free self-service tools
  • 15. MERCH BY AMAZON ROYALTY CALCULATOR
  • 17. How to sell shirts? • Platform independent – Android – iOS – Online • Shirts may appeal to fans who don’t buy IAP items • No out-of-pocket cost to you PROMOTE SHIRTS IN- GAME 80% of orders come from in- game promotions. 20% of orders happen outside of your app!
  • 18. What next? • Pick art identifiable with your game • Pick 3 (maybe 4) shirt colors • Strongly consider $19.99 for price • Ask fans what they want • Start promoting your shirt outside of your game (email, social media, etc…) BUILD A GOOD SHIRT Just because lots of shirt colors are available doesn’t mean you need to use them all!
  • 19. Amazon Underground Coins Merch Discounts and incentives for power users An on-demand service with no out-of-pocket cost
  • 20.
  • 21. A NEW SHOPPING APP WITH ACTUALLY FREE APPS Available for any Android device where Amazon Underground is installed. Developers waive fees on apps and In App Purchase items. Android customers get really, truly free apps. Amazon pays developers for cumulative minutes customers spend in an Amazon Underground app.
  • 22. Getting Started • Android • Premium or IAP in another store • Release to US, UK, Germany or France Qualifications developer.amazon.com/underground
  • 23. 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
  • 24. 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
  • 25. Revenue = Sessions X Minutes X Rate For 100% of your users Every minute they use your app http://bit.ly/undergroundcalculator
  • 26. What developers are saying Is it Working? DEVS SAY… "If you want to get your apps in the hands of as many users as possible, this really is the way to go.”
  • 27.
  • 28. “Session lengths went up, and the overall hours that we saw in the Underground version were incredible—hundreds of percent higher. It was really amazing to see. All of that translates into more hours played in total, and ultimately, revenue."
  • 29. What next? • Eliminate the limited upside of premium • Remove purchase resistance of premium • Increase download count vs. premium • Premium apps have done very well when moved to Amazon Underground TAKE YOUR PREMIUM APP UNDERGROUND
  • 30. Amazon Underground Coins Merch #ActuallyFree apps and in-app purchases and developers are paid per minute Discounts and incentives for power users An on-demand service with no out-of-pocket cost
  • 31. Special Casual Connect Offer Go to http://merch.amazon.com Sign up by Sunday and use… • email you used for registration • email you used for survey • Get Merch account by that Friday Merch by Amazon accounts are free APPLY TODAY
  • 32. How did we do? http://bit.ly/devdaysurvey Learn more: http://merch.amazon.com http://developer.amazon.com/underground http://coins.amazon.com Follow us: @MikeFHines developer.amazon.com/blog