Every year performance marketing is changing and with it, growth strategies. This session covers in this topic, at the beginning some of the general rules in today's market and how to grow a game profitably through performance marketing channels and what are the most important metrics to keep in mind. In the next part, we will connect those growth metrics with signals which can be given to the Product/Game teams to help make good decisions. Presentation is be based on activities that Nordeus is doing to achieve such goals. Presentation delivered by Andrej Kugonic at 8th edition of GameCamp (www.GameCamp.io)

1. ENABLING
THE GROWTH
THROUGH
PERFORMANCE
MARKETING
IN 2020
January, 2020

2. AGENDA
INTRODUCTION
GROWTH CHALLENGES
SCALING USER ACQUISITION
GROWTH THROUGH PERFORMANCE
MARKETING ON A BIG SCALE
ROI/LTV CURVE GROWTH AND
WHAT IT CAN TELL US
SUMMARY
Q&A

3. ANDREJ
KUGONIČ
User Acquisition Lead
❖ Worked on performance marketing since beginnings in Serbia
❖ Leading performance marketing teams in different industries
❖ Leading User Acquisition team in Nordeus

4. ABOUT NORDEUS
FOUNDED IN 2010
INDEPENDENT & PEOPLE FIRST
170 AMAZING PEOPLE
MORE THAN 20 NATIONALITIES
BELGRADE, SERBIA
3 LIVE GAMES

5. TOP ELEVEN
Launched in 2010
Played in every country in the world
200m+ registered users
Jose Mourinho as brand ambassador
IPs from the biggest clubs in the world

6. HEROIC
Magic Duel
New Nordeus Game
Launched in 2019
F2P game
Real-time PvP battle game
AAA graphics for mobile

7. GROWTH CHALLENGES

8. How can we measure CPIs
on a different scale?
What is the maximum scale
& CPI for one specific game?
How much can we grow a game by
UA and scale budgets & installs?
How do you know what is good or bad
and where is a problem by just looking
at ROI curves?
SCALING USER
ACQUISITION
ALWAYS-ON QUESTIONS

9. How can we measure CPIs
on a different scale?
What is the maximum scale & CPI for one
specific game?
SCALING USER
ACQUISITION

10. EVOLUTION Mobile gaming landscape
& tech EVOLUTION
ADVERTISING SOPHISTICATION
(algorithms, less manual work, ML)
LTV vs CPI losing it’s
significance for measuring
SCALING USER ACQUISITION

11. CHANNEL SHARE
OPTIMIZATION METHOD SHARE
PLATFORM SHARE
SCALE SHARE
COUNTRY SHARE
SEASONALITY
CPI DEPENDENCY
SCALING USER ACQUISITION

12. GRANULARITY
Same COUNTRY
Same CHANNEL
Same OPTIMIZATION METHOD
Same PLATFORM
SCALING USER ACQUISITION

13. Country US
Channel FACEBOOK
Optimization method AEO
Platform ANDROID
0 100 900
DAILY SCALE
(PAID REGS)
CPI ($)
8$
19$
CPI
LTV
EXAMPLE
SCALING USER ACQUISITION
*Data is not real / to be used as visual example

14. Country US
Channel FACEBOOK
Optimization method AEO
Platform ANDROID
0 100 400 900
DAILY SCALE
(PAID REGS)
CPI ($)
8$
12$
19$
CPI
LTV
EXAMPLE
SCALING USER ACQUISITION
*Data is not real / to be used as visual example

15. Country US
Channel FACEBOOK
Optimization method AEO
Platform ANDROID
0 100 400 900
DAILY SCALE
(PAID REGS)
CPI ($)
8$
14$
12$
19$
21$
CPI
LTV
EXAMPLE
SCALING USER ACQUISITION
*Data is not real / to be used as visual example

16. TACTICS
SCALING USER ACQUISITION
One big part of the UA job is
finding the “sweet spot”
between scale and profitability
at this level of granularity.

17. GROWTH THROUGH
UA ON A BIG SCALE
How much can we grow a game by
UA and scale budgets & installs?

18. HOW?
GROWTH THROUGH UA
ON A BIG SCALE Invest money worldwide wherever
(countries, channels, platforms etc.)
you see the best opportunity (profitability)

19. MOST IMPORTANT
CORRELATION AND
SIGNAL FOR
GROWTH
GROWTH THROUGH UA
ON A BIG SCALE
BUDGET ROIVS

20. EXAMPLE
GROWTH THROUGH UA
ON A BIG SCALE
* organic numbers in graph are without featuring
because they distort numbers a lot for impacted
period
0 100K 1 MILLION
MONTHLY
SCALE (UA
BUDGET)
ROI (%)
210%
70% ORGANIC*300%
GROWTH
*Data is not real / to be used as visual example

21. EXAMPLE
GROWTH THROUGH UA
ON A BIG SCALE
* organic numbers in graph are without featuring
because they distort numbers a lot for impacted
period
0 100K 250K 1 MILLION
MONTHLY
SCALE (UA
BUDGET)
ROI (%)
120%
180%
210%
70% ORGANIC*300%
40% ORGANIC*
GROWTH
*Data is not real / to be used as visual example

22. EXAMPLE
GROWTH THROUGH UA
ON A BIG SCALE
* organic numbers in graph are without featuring
because they distort numbers a lot for impacted
period
0 100K 250K 1 MILLION
MONTHLY
SCALE (UA
BUDGET)
ROI (%)
70%
100%
120%
180%
210%
70% ORGANIC*300%
40% ORGANIC*
25% ORGANIC*
GROWTH
*Data is not real / to be used as visual example

23. DECISION
MAKING?
HOW?
GROWTH THROUGH UA
ON A BIG SCALE
ASSUMPTIONSCOMPETITORS
& MARKET
ANALYSIS
GROW
GAME!
EDUCATED
GUESSES Based on
knowledge and
experience
MANY
DIFFERENT
TESTS

24. DECISIONS:
WHAT YOU
NEED?
GROWTH THROUGH UA
ON A BIG SCALE
Make long-term ROI/LTV models
Have profitability predictions/thresholds
ready quickly
Check reliability of data often
Very important to know and understand
competition and their KPIs
GROW GAME!

25. STRATEGY
GROWTH THROUGH UA
ON A BIG SCALE
Strategic part of the UA job is
finding the “sweet spot”
between scale and profitability
on a global level

26. ROI/LTV
CURVE GROWTH
What it can tell us for both
Marketing & Product side?

27. HOW?
GROWTH THROUGH UA
ON A BIG SCALE ROI/LTV curve growth numbers are the most stable
and measurable metric today unlike CPIs & LTVs
which can vary a lot

28. INSIGHTS
FROM CURVE
ROI/LTV
CURVE GROWTH
GAME
GROWTH
POTENTIAL
GAME
HEALTH
High level picture
USER
ACQUISITION
Most important KPIs
01 02 03

29. DECISIONS
WE CAN MAKE
FROM THESE
INSIGHTS
ROI/LTV
CURVE GROWTH
INVESTMENT DECISIONS
On any level
QUICK OPTIMIZATIONS
WHICH PART OF THE PLAYER JOURNEY
SHOULD WE “FIX”
within the product

30. ROI CURVE 1
SCALING USER ACQUISITION
D1
YEAR
LTV (%)
5%
8%
13%
36%
65%
* without incentivised traffic
GAME 1
D3 D7 D30 D90 D180 D365
81%
100%
177%
80%
25%
23%
178%
669%
*Data is not real / to be used as visual example

31. ROI CURVE 2
SCALING USER ACQUISITION
D1
YEAR
LTV (%)
18%
25%
36%
59%
79%
** without incentivised traffic
GAME 2
D3D7 D30 D90 D180 D365
92%
100%
64%
33%
16%
9%
69%
178%
*Data is not real / to be used as visual example

32. GAME 1:
D3 = 8%
D7 = 13%
D30 = 36%
GAME 2:
D3 = 25%
D7 = 36%
D30 = 59%
QUESTION 1: HOW
DO WE SET ROI
THRESHOLDS?
ROI/LTV
CURVE GROWTH
*Data is not real / to be used as visual example

33. QUESTION 2: HOW
DO WE SET
PAYBACK PERIOD?
ROI/LTV
CURVE GROWTH
We set thresholds based on
1-year payback period
This can be easily adaptable to
shorter/longer periods 6 months,
3 months, etc. based on cash
flow we need

34. QUESTION 2:
USER JOURNEY
EVALUATION IN TIME
ROI/LTV
CURVE GROWTH
Game 2 has problems with
long-term user behaviour
Product should focus on
long-term metrics (Retention
& Monetization in later
phases)

35. SUMMARY

36. SUMMARY
GRANULARITY IMPORTANT
MORE THAN EVER
essential for good measurement &
decisions
COMPETITION
understand the potential and limits
of the market niche you are in
FIND A SWEET SPOT
between relevant metrics
CHECK ROI/LTV GROWTH
NUMBERS EARLY ON
we can detect game problems combining
them with industry standards

37. Q & A