17.02.2014

Free-to-Play 2.0

The original version of the material can be found on Mobile Dev Memo, a website dedicated to the mobile industry, run by Eric Seferth himself, author of the book Freemium Economics. Last week, an article by Eric Benjamin Seufert, head of marketing at Wooga, appeared on the pages of Mobile Dev Memo about how free-to-play should evolve.

We offer you the Russian version of the material.

Free-to-play is the most common model of mobile applications. According to Distimo, in November 2013, IAP accounted for 92% of Apple App Store revenue. On Google Play, the figure is higher – 98%. It is obvious that users have chosen free-to-play, it was they who made it the main monetization model.

However, free-to-play is still going through the Stone Age. Innovative approaches used in applications such as Beats Music, Snapchat and Facebook’s Paper are practically not used in free games. This leads to a controversy directed against free-to-play. Although the statements made are not entirely appropriate, nevertheless, the question arises: why even the gradual introduction of innovations in free-to-play games is drowning in an endless parade of clones that have captured the App Store.

The Apple App Store appeared in 2008. At that time, freemium was perceived in the West as an innovation. However, today, six years later, they have no one to surprise and it’s time for him to develop.

This does not mean that developers are not doing anything new within the framework of free games. Some, of course, are trying. But, by and large, such innovations do not take root.

In the book Freemium Economics, I identified the four pillars of freemium: scale, insider, monetization and optimization. I think that in 2014, mobile game developers will significantly advance three of them – scale, insider and optimization, thanks to which a better and more effective version of free-to-play will appear: Free-to-Play 2.0.

Scale

Facebook is a mobile heavyweight. According to reports, in the 4th quarter of 2013, its MAU amounted to 945 million, which is 71 million more than in the previous quarter. Such a huge user base is undoubtedly the largest among social gaming platforms. Facebook WeChat (600 million registered users) and WhatsApp (MAU – 400 million) are the main competitors.

These figures are not so great against the background of the MAU of the largest mobile games: for King, this figure reached 250 million. This colossal figure is equivalent to 80% of the US population. However, even such developers should not neglect even such a young application as WeChat, in terms of building up the user base.

Geographical boundaries are an absolutely abstract phenomenon when it comes to the distribution of mobile games. Studios should develop titles for a global audience, covering the entire potential scale. Technological innovations such as the automatic chat translation tool, which Machine Zone used in its game Game Of War, as well as, for example, the gameplay format used in QuizUp, make it possible to avoid geographical segregation of players. The first mobile game with a MAU of 1 billion will be released by someone who sees every mobile phone owner on the planet as a potential player.

Inside

Analytics is an integral component of free–to-play development. The most profitable titles rely heavily on analysis during iteration. For example, each team of Supercell, the developer of Clash of Clans, has a data processing specialist.

However, product analytics represents only one aspect of a broad concept, which I define as an insider in Freemium Economics. Players also benefit from transparency, having context regarding the mechanics of the game and a thoughtful economy. The most enthusiastic players even make up extensive and exhaustive encyclopedias, where all the subtleties of the gameplay and the economic components of the title are described in detail. An example is the fan page dedicated to the Battle Pirates by Kixeye.

By giving players access to the information that developers use to make the game more fun, you can make the gameplay even deeper. In fact, analytics is necessary for developers to optimize the experience that users get in the game. Why not give players the same opportunity?

Optimization

Targeted product optimization involves much more than simple A/B testing. The gaming experience becomes really optimized when each user adapts to the game taking into account his personal preferences. Optimization is inextricably linked with penetration and goes beyond the simple refinement of game mechanics based on average behavior indicators. Averages have no meaning for freemium. A metric gains value when it is segmented by behavioral profiles.

Fortunately for developers, mobile analytics became widespread in 2013. Many of these platforms themselves began to develop within the framework of the freemium model. The tools provided by companies such as GameAnalytics, PlayHaven, Google and Amazon are designed to distribute players into groups according to their preferences and to form an appropriate gaming experience. Since developers largely transfer game logic from the client to the server, optimizing the game at the level of an individual player becomes a mandatory requirement.

The script that many developers use for free-to-play games is outdated. Free-to-Play 2.0 assumes:

  1. elimination of approaches and template game mechanics that have become widespread at the moment, and the development of products on a global scale;
  2. giving users the opportunity to immerse themselves in gameplay through penetration;
  3. providing an experience that takes into account individual characteristics.

Users support freemium, and the gaming market is taking on an increasingly global scale, which means that free-to-play approaches must evolve.

Sefert’s article on mobile metrics in Russian can also be read here.Source: http://mobiledevmemo.com /

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