Presentation for Geek Girl Carrot Berlin - Sep 23,2015. Audience: Beginner in the app economy and intro to Ad Monetization metrics.

1. App
Economy
&
its
funky
Metrics
♫
Ad
Mone(za(on
101
Carole
Wai
Hai,
BI
Consultant
@Fyber
Sep.
2015

2. Disclaimer
The
views
expressed
in
this
presentaLon
are
only
my
own
and
do
not
represent
the
views
of
my
employer
Fyber
or
its
parent
company
RNTS.

3. Alternate
pitch
for
family
and
friends:
Do
you
like
free
Apps?
At
Fyber
we
provide
the
technology
for
Apps
like
Crossy
Road
to
deliver
ads
that
allow
them
to
keep
the
app
free.
Who
I
am?
2007
2008
2010
2011
2014
France
China
USA
Germany

4. Alternate
pitch
for
family
and
friends:
Do
you
like
free
Apps?
At
Fyber
we
provide
the
technology
for
Apps
to
deliver
ads
and
stay
free.

5. App
Economy
Life
Cycle
AcquisiLon
Engagement
RetenLon
MoneLzaLon
MarkeLng
Product
In-­‐App
Purchase
Premium
Apps
Freemium
Apps
What
if
you
have
the
greatest
game
in
the
world
and
no
one
knows
about
it?
Then
you
only
have
the
greatest
games
in
the
world
that
no-­‐one
knows
about.
Nick
Berry,
Facebook
Data
ScienFst
Acquisi6on
!
Make
your
game
discovered.
Engagement
+
Reten6on
!
Measure
how
great
is
your
game
indeed.
Ad
MoneLzaLon
SubscripLon

6. App
Economy
Funnel
Metrics
Industry
numbers:
Up
to
1
out
of
20
users
will
moneLze
via
IAP.
(Among
them,
44%
will
do
so
a]er
the
10+
sessions.)
!
SLll,
you
need
to
moneLze
the
95%
remaining
traffic.
Ad
Revenue
can
generate
non-­‐
negligible
added
income.
20%
from
Ads
80%
from
IAP
Users
vs
IAP
spending
Users
Revenue
Distribu(on
example:
Glu
Games
Freemium
&
MoneLzaLon

7. Ad
MoneLzaLon
Landscape
Rewarded
Ads
Non
Rewarded
Ads
Ad
Format
Which
Ad
Networks?
Offer
Wall
Ad
MoneLzaLon
Landscape
What
Ad
Format?
Rewarded
Video
Inters((al
Rewarded
Ads
Non
Rewarded
Ads
A
B
C

8. Ad
MoneLzaLon
User
Flow
Ex:
Rewarded
Video
User
plays
Game
See
‘watch
a
video
for
free
coins’
Click
to
watch
the
video
Finish
the
Video
and
earn
coins
AdverLser
pays
the
publisher.
Ad
MoneLzaLon
User
Flow
Notes:
To
Engage
with
an
Ad:
User
choose
via
opt-­‐in
to
see
the
ad.
To
Complete
an
Ad:
User
complete
requested
acLon
to
receive
virtual
currency.
Rewarded
Video
User
Engagement
Ad
Comple(on
User
Conversion
Ad
Impression
Session
Request
(Publisher)
Fill
(Ad
Network)
Publisher
Revenue

9. Revenue
Sessions
Sessions
/
DAU
Impressions
/
Engaged
Users
Avg
CompleFon
/
CompleFng
Users
Considering
Users
Considering
Inventory
Ad
Impressions
Ad
CompleLons
Daily
AcLve
Users
Engaged
Users
ConverLng
Users
Ad
MoneLzaLon
Funnel
Metrics
Rewarded
Video
eCPM
ARPDAU
ARPPU
(Ads)
Jelly
Crush
DAU:
100,000
Impressions:
500,000
ConverLng
Users:
25,000
Revenue:
2,500
eur
eCPM:
5
eur
ARPDAU:
0,025
eur
ARPPU:
0,10
eur

10. ARPDAU=Revenue/DAU
eCPM=Revenue/Impression*1000
ARPPU=Revenue/Conver(ng
Users
Ad
MoneLzaLon
Metrics
Monitoring
Rewarded
Video
US
iOS
In
this
order
check:
-­‐ DAU
-­‐ Revenue
-­‐ Impressions
-­‐ ConverLng
users
Important
drop
in
Revenue!
ARPDAU
ARPPU
eCPM

11. Which
Metrics?
Criteria:
Best
price
for
your
inventory
+
no
waste
Ad
MoneLzaLon
Benchmarking
Ad
Networks
Rewarded
Video
US
iOS
Ad
Network
A
eCPM:
4
eur
Fill
rate:
90%
90
*4
=
360
eur
Ad
Network
B
eCPM:
5
eur
Fill
rate:
70%
70
*
5
=
350
eur
Ad
Network
C
eCPM:
6
eur
Fill
rate:
60%
60
*
6
=
360
eur
Bonus
quesLon:
Should
you
just
pick
one
Ad
Network
and
just
sLck
with
it?
NoLon
of
Depth
of
inventory
and
Cascade.
Test
Ad
Network
with
100,000
Requests
each:

12. • Fyber
gives
you
free
apps.
• Ad
MoneLzaLon
is
a
must.
• eCPM
is
important
to
measure
inventory
value,
but
also
think
ARPDAU
and
ARPPU
(Ads).
• Fill
Rate
is
important
to
benchmark
Ad
Networks.
• You
also
probably
want
to
work
with
several
Ad
Networks,
so
a
mediaLon
tool
is
a
good
soluLon.
Key
Take
Away

13. QuesLon?
Thank
you!
Carole.waihai@fyber.com
Fyber
is
recruiLng
♫
hop://www.fyber.com/careers.html

14. DefiniLons
&
Acronyms
♫
DAU
(Daily
Ac(ve
Users):
number
of
user
using
your
app
on
a
given
day.
Avg
Sessions
Per
User:
Sessions/DAU.
how
many
Lmes
per
day
a
user
opens
your
app,
in
average.
Avg
Ad
View
Per
Engaged
User:
Impressions/Engaged
Users.
Of
users
engaging
with
ads,
how
many
do
they
see
per
day,
in
average.
Avg
Comple(on
Per
Conver(ng
User:
CompleLons/
ConverLng
Users.
Of
users
compleLng
offers,
how
many
offers
to
they
complete
per
day,
in
average.
ARPDAU
(Average
Revenue
per
DAU):
Revenue/DAU
eCPM
=
revenue/impression
*1000
ARPPU
(Average
Revenue
Per
Paid
User)
:
Revenue/ConverLng
Users.
Here
‘paid
users’
are
users
generaLng
revenue
via
adverLsement.
Engagement
Rate:
Engaging
Users
/
DAU
Fill
Rate:
Fill
/
Request

15. Reference
ArLcles
♫
hops://blog.kissmetrics.com/must-­‐have-­‐mobile-­‐metrics/
hop://blog.adduplex.com/2015/01/slides-­‐ads-­‐in-­‐mobile-­‐apps-­‐and-­‐games-­‐101.html
hop://www.slideshare.net/EricSeufert/eric-­‐seufert-­‐gdc-­‐2014-­‐profitably-­‐launching-­‐jelly-­‐splash-­‐to-­‐1-­‐a-­‐
markeLng-­‐postmortem
hop://www.pocketgamer.biz/comment-­‐and-­‐opinion/61879/niccolo-­‐de-­‐masi-­‐on-­‐whale-­‐behavior/
hop://www.mediapost.com/publicaLons/arLcle/166102/loyalty-­‐not-­‐the-­‐hard-­‐sell-­‐drives-­‐in-­‐app-­‐
purchase.html
hop://gamesauce.org/news/2014/03/03/nick-­‐berry-­‐growth-­‐hacking-­‐casual-­‐connect-­‐video/