1. Our Experience Launching
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a Virtual Currency
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2. Outline
! Intro
! Considerations for Launch
! 3 Things We Did Right
! 3 Things We Did Wrong
! Mochi Results
! Q&A

3. Intro
! World’s largest online games network
• #1 in comScore for online games
• 150 million+ MAUs
• 35,000+ publisher websites
• 15,000+ games
! Evolution: Analytics, Ads, Virtual Currency, Social
Micro-transactions are the future of online games

4. If you build it, they will come

5. Not that easy, lots of considerations
• Revenue share • Promotional coins
• Getting the best games • Universal or game-specific
• Ease of use identities and ratings
• Support for payment • Amount of revenue to make
models (subscription, it interesting
demo, micro-payments,
consumables) • Key Partnerships
• Gamer response • Test payment providers
• Publisher response • Distribution tools and
• Adoption blockers marketing
• Payment methods • Currency localization
• Security issues • Less flexibility for other
• Integration with existing platforms
user systems • Emphasis on metrics
• White-label opportunities • Developer sophistication
• Integration in on-site store • Etc., etc.

6. 3 Things We Did Right

7. #1: Research Interviews
! Assumption: Consider everyone’s needs and
concerns
! What we did right
• 30+ In depth interviews with developers and
publishers
• Identified: Needs, Wants, Concerns
! Lessons learned
• Don’t just pick people who love you
• Identify potential early adopters and evangelists

8. #2: Set the Bar High at Launch
! Assumption: Good games are strong magnets
See these games at MochiGames.com

9. #3: Understand and align incentives
! Assumption: We must sustain the ecosystem
! What we did right
• Established key publisher relationships
• Incentivized all parties
! Lessons learned
• Provided a case to show that we could make a
bigger pie together
• Start conversations early

10. 3 Things We Did Wrong

11. #1: Currency Exchange Rates
! Assumption: Consumers like big balances
! What we did wrong
• Set exchange to $1 USD : 800 MochiCoins
• Locked in the exchange rate
! Lessons learned
• Build in flexibility to adjust exchange rates
• Spend more time with consumer studies

12. #2: Feature Prioritization
! Assumption: Developers won’t need this
yet
! What we did wrong
• Didn’t listen to our developers
• Underestimated consumer appetite for goods
! Lessons learned
• Good enough just doesn’t cut it
• Iterate quickly to gain trust and loyalty

13. #3: Retro-fitting games
! Assumption: Good games will monetize
! What we did wrong
• Tried to take existing games and retrofit them
with currency
! Lessons learned
• Consumption is as dependent on how an item
is sold as it is on the content quality
• There’s no easy way to make money

14. Mochi Results

15. Case Study: SAS Zombie Assault 2

16. Case Study: SAS Zombie Assault 2
! Launched June 15, 2009
! $7-10 revenue per thousand
game plays (RPM)
! $20k in first two month
! 40,000+ transactions in first
month
! Best selling items
• Bundles
• Continue game
• Flame Thrower

17. Virtual Currency for Distributed Games
! 29% of Flash games receive 500k+
plays
! Distribution is massive
! Social tools are now portable
! Friends drive consumption
! Network effects from unified web
identity

18. Q&A
! Contact info:
• Jameson Hsu
• jameson@mochimedia.com
! Sites:
• MochiMedia.com - Developers / Publishers
• MochiGames.com - Consumers / Gamers