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The secret sauce of
Crowdfunding and
crowdsourcing
MOBA genre ARPU
• Dota 2: $1.54
• Heroes of Newerth: $1.48
• League of Legends: $1.32 (still by far the most successful in total revenue)
(average revenue per monthly user, according to SuperData Research, 2014)
Why is Dota 2 at the top?
• It is even giving everything gameplay-related away for free!
• More hardcore, maybe?
• Crowdfunding and crowdsourcing!
Crowdfunding of tournaments and teams
• In the past 2 years, more than $32 million of Dota 2 tournament prize pools
have been crowdfunded – dwarfing the over $8 million that has been
provided by the organizers
• Example:The International 5 compendium, sales of over $67 million,
25% went to the prize pool of the tournament
• Professional teams have a chance to get their branded cosmetic items, such
as HUD bundles, up for sale in the game store
• Compare to: Smite crowdfunded $2 million to its world championship prize
pool in 2014, making it the third-largest esports tournament of the year. Not
bad for a clearly smaller title!
Crowdsourcing of content
• It is possible for anyone to create new cosmetic items and upload them to
Valve’s workshop for potential inclusion into the game – and if selected, for
a share of the profits generated from that item
• This business model enablesValve to include much more items to cover any
possible taste – more sales!
Conclusions
• Crowdfunding gives purchases more purpose, making them about
something more than just buying pixels on a screen
• Crowdsourcing enables the creation of much more content to cover any
possible taste
• Combined, they form the basis of a different take on monetization

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The secret sauce of Dota 2: crowdsourcing and crowdfunding

  • 1. The secret sauce of Crowdfunding and crowdsourcing
  • 2. MOBA genre ARPU • Dota 2: $1.54 • Heroes of Newerth: $1.48 • League of Legends: $1.32 (still by far the most successful in total revenue) (average revenue per monthly user, according to SuperData Research, 2014)
  • 3. Why is Dota 2 at the top? • It is even giving everything gameplay-related away for free! • More hardcore, maybe? • Crowdfunding and crowdsourcing!
  • 4. Crowdfunding of tournaments and teams • In the past 2 years, more than $32 million of Dota 2 tournament prize pools have been crowdfunded – dwarfing the over $8 million that has been provided by the organizers • Example:The International 5 compendium, sales of over $67 million, 25% went to the prize pool of the tournament • Professional teams have a chance to get their branded cosmetic items, such as HUD bundles, up for sale in the game store • Compare to: Smite crowdfunded $2 million to its world championship prize pool in 2014, making it the third-largest esports tournament of the year. Not bad for a clearly smaller title!
  • 5. Crowdsourcing of content • It is possible for anyone to create new cosmetic items and upload them to Valve’s workshop for potential inclusion into the game – and if selected, for a share of the profits generated from that item • This business model enablesValve to include much more items to cover any possible taste – more sales!
  • 6. Conclusions • Crowdfunding gives purchases more purpose, making them about something more than just buying pixels on a screen • Crowdsourcing enables the creation of much more content to cover any possible taste • Combined, they form the basis of a different take on monetization