Being a Good App is Not Good Enough

#1 Being a Good App is Not Good Enough Screens 2013 Oct 3 rd, 2013 Toronto, Ontario

GARY YENTIN, CEO & Founder, App-Promo Gary Yentin is a senior mobile executive, with over fifteen years of experience managing strategy sales, product, marketing, operations, and technology for established media entertainment, and technology companies. For the last ten years Gary has focused on mobile technologies, including content development and distribution having worked for m-qube in the capacity of Vice President, and mobile advertising having worked with Admob, Enpocket, Nokia, Quattro and Jumptap. In the last three years, Gary has focused on the business of mobile applications, discovery, distribution and monetization and is CEO and Founder of the award winning agency- www.app-promo.com. Follow him @Apppromo or find him at http://www.linkedin.com/in/gyentin www.app-promo.com 2

Leaders in Mobile Strategy, Monetization & Marketing helping you succeed in the business of mobile and apps

Current App Stores (ios/android) www.app-promo.com 4

Snapshot of the App Ecosystem As of 9/30/2013 www.app-promo.com 5

Snapshot of the App Ecosystem As of 9/30/2013 Current number of Android apps in the market: 857, 768 Percentage of low quality apps: 23 % www.app-promo.com 6

opportunity www.app-promo.com 7

The Paid vs. Free Apps Challenge www.app-promo.com 13

Opportunity (Paid vs Free) www.app-promo.com 14

Opportunity (Paid vs Free) www.app-promo.com 15

Paid Apps that work www.app-promo.com 16

App Promo White Paper SLOW AND STEADY WINS THE RACE: App Developers That Stick it Out Come Out on Top App Promo Developer Survey (June 2013)

2013 When we compare the results of the 2013 survey to the year prior we find a massive change in monetization models but we confirm that there is little change in app developer s difficulties in making money with their app. 2013 2012 Developers whose apps are free 63% 35% Developers who felt they don t have a standalone business 81% 80% Developers who are not breaking even with app 67% 59% Developers who don t have a marketing budget 66% 52% 2012 App Promo White Paper: Developer Survey 2013 18 www.app-promo.com

Discovery & Monetization Top Challenges for Developers It isn t surprising that discovery and monetization top the list of issues that developers have today. Both are intrinsically tied to one another and are common problems for new products on any platform. 3% 3% 5% Getting App Discovered Making Money with App 17% 49% Turning App into Business Keeping Up With Platform Changes Getting Budget for Marketing 23% Working with Closed App Store App Promo White Paper: Developer Survey 2013 19 www.app-promo.com

Android Succeeding in Asia ios Succeeding in the USA ios shows its fun and games side while Android proves to be more practical when looking at the differences between successful apps between these two platforms. ios Android Developers Seeing Success in Asia Developers Seeing Success in the US Most Successful Category 4% 25% 68% 43% Games 32% Utilities 30% Free Apps 80% 46% Most Common Price outside Free $2.99 - $9% $0.99 25% App Promo White Paper: Developer Survey 2013 www.app-promo.com 20

Android Making Less Money ios Marketing More We find that both platforms are having issues breaking even but Android developers are having an even harder time than their ios counterparts Most Common Revenue Model Most Developer Revenue Earnings ios Paid Apps 55% $5000 or less 55% Android Ads 41% $1000 or less 64% $0 in Earned Revenue To Date 10% 41% Developers with Marketing Budgets of $1000 or less 32% 23% Developers not breaking even 58% 73% Developers who don t consider their app standalone business Developers Not Considering Abandoning Their App 75% 77% 75% 80% App Promo White Paper: Developer Survey 2013 www.app-promo.com 21

Facebook & Twitter Most Common Social Networks Nearly 1/3 of developers are not using social networks to market their app. For those that are using these networks Facebook and Twitter reign supreme. Pinterest and Tumblr are untapped networks for marketing of apps at this time. 80% 70% 60% 50% 67% 59% 40% 30% 20% 10% 0% 26% 23% 23% 6% 6% 4% App Promo White Paper: Developer Survey 2013 22 www.app-promo.com

Ads Under Utilized Most Developers Not Using Ads to Increase Discovery of Apps 54% of App Developers are not using any type of ads to market their apps. Mobile ads are the most common outside of search and social. 20% of developers are cross promoting their apps using ads on their own or other developer apps. 54% None 25% Mobile 20% Cross Promotion 15% Search 13% Social App Promo White Paper: Developer Survey 2013 23 www.app-promo.com

Lack of Marketing Most Developers Not Marketing 29% of developers said that they didn t market their app. For those that did market their app 12% said their campaigns were only 1 week while another 12% indicated that their marketing efforts were ongoing. 5% 5% 2% 8% 14% 14% 26% 26% Don't Market SocialMedia App Store Feature App Store Chart Press & Bloggers Paid Media Other Incentive Networks App Promo White Paper: Developer Survey 2013 24 www.app-promo.com

The Long Haul Developers That Stick It Out Thrive! Despite the challenges app developers are facing, we find that those that keep their app in market for 3 or more years are finding the most success. Additionally, those developers who put time and money into marketing were reaping the rewards. Newbie Developer Experienced Developer Time in Market Less than 6 Months Over 3 Years Revenue Earned to Date Primary Monetization Model $1,000 or Less $500,000+ Paid App Ads Breaking Even? 77% Said No 100% Said Yes Marketing Budget? 64% Have $0 45% Had $1K or Less Consider App a Standalone Biz Thinking of Abandoning Their App 87% Do Not 78% Do 84% Said No 78% Said No App Promo White Paper: Developer Survey 2013 www.app-promo.com 25

The Discovery Challenge www.app-promo.com 26

A very crowed ecosystem www.app-promo.com 27

www.app-promo.com 28

www.app-promo.com 29

The Discoverability Challenge www.app-promo.com 30

The State of Discoverability www.app-promo.com 31

The State of Discoverability www.app-promo.com 32

Solving the Discovery Puzzle Prelaunch Marketing www.app-promo.com 33

In Search of (ASO) App Store Optimization www.app-promo.com 34

App Store Optimization ASO www.app-promo.com 35

Solving the Discovery Puzzle (SEO+ASO) www.app-promo.com 36

Solving the Discovery Puzzle (SEO+ASO) www.app-promo.com 37

Solving the Discovery Puzzle (Software Updates) www.app-promo.com 38

Solving the Discovery Puzzle Social/Grass Roots www.app-promo.com 39

Solving the Discovery Puzzle Paid Mobile Advertising www.app-promo.com 40

Solving the Discovery Puzzle Tracking Tool (Analytics) www.app-promo.com 41

Maintaining Rank Engagement www.app-promo.com 42

Being a No.1 App - Workshop www.app-promo.com 43

workshop goals Teach participants tactics and techniques to help them better market and monetize their apps Encourage an open discussion using real-life examples of apps in the market by the group Inspire participants to consider new www.app-promo.com 44

exercise #1 (ASO- Visual) Which app icon do you feel is doing a better job of selling the app? Why? www.app-promo.com 45

exercise #1 (ASO Visual - Response) Which app icon do you feel is doing a better job of selling the app? Why? #1 High Quality Bright Colorful Uses a Zombie #2 High Quality Bright Colorful No direct reference to the genre #3 Dark Poor Quality / Graphics Can t read/make out words Don t translate to small icons No immediate recall to Zombies www.app-promo.com 46

exercise #2 (ASO-Keywords) What are the keywords you would use for this app? Where would you consider using these keywords to help with discovery of the application? www.app-promo.com 47

exercise #2 (ASO Keywords-Response) What are the keywords you would use for this app? Where would you consider using these keywords to help with discovery of the application? KEYWORDS zombie, killing zombies, zombie killer, target zombie shooter game, zombie slayer, zombie fight, fight zombies, zombie attack, zombie game, zombie iphone app, zombie iphone app game, kill zombies on your iphone, living dead, walking dead, zombies at night, night walkers, zombie defense KEYWORD USAGE App Title App Metadata App product description Social Networks Online & Mobile Pages (Metadata & on page copy) YouTube Press Releases & Blogs Posts www.app-promo.com 48

exercise #3 (Mobile Advertising) Keeping in mind mobile ad banner size, use this app and to create a CALL TO ACTION that you feel will best drive conversion to download. www.app-promo.com 49

exercise #3 Mobile Advertising (Response) Keeping in mind mobile ad banner size, use this app and to create a CALL TO ACTION that you feel will best drive conversion to download. Zombies are attacking. Download to kill them now! Download Zombie Target for FREE on your iphone! Kill Zombies and save the World. Download the app! www.app-promo.com 50

exercise #4- Cost of Acquisition Using this app, describe what information you would need in order to calculate cost per acquisition for the target user. www.app-promo.com 51

exercise #4 Cost of Acquisition Response Work with various ad networks to determine costs and range for app acquisition for a quality user a user who not only downloads but also engages with the application. Costs vary between 1.25-1.80 for a free user. Free or Paid Application Location (USA or Global) Time of Year (Xmas more $$) Acquisition Platform(IOS/Android) Daily Volumes available www.app-promo.com 52

exercise #5 Monetization Models If the cost per acquisition of this app is $1.50, what monetization strategies would you employ in order to make this a successful app? Why? Mobile Advertising Paid App Freemium (In-App Purchases) Sponsorship Subscription www.app-promo.com 53

exercise #5 Monetization Response If the cost per acquisition of this app is $1.00, what monetization strategies would you employ in order to make this a successful app? Why? Launch with the App being FREE to download Reason: No barrier to entry. Will help to drive downloads. Implement Mobile Advertising including offer walls and game networks as well as 3 rd party networks. Reason: Game networks will drive downloads but will also provide niched ad buys which reflect the app user segments. 3 rd party networks like Admob and similar will be used to supplement revenue. Important to work with these networks to help them better target their buys. Introduce In-App Purchases for additional levels, bonus content or virtual goods Reason: Ad revenue may not be enough so to mitigate the risk you will want to diversify your monetization strategies. In-App purchases work well with games and will help to drive usage (e.g. buy a premium gun) which will in turn help ad revenue www.app-promo.com 54

What You Should Be Doing The best way to learn how to succeed is to look at those who are doing well around you and follow suit. The Developer that are succeeding with their apps are marketing. To help you get started we have created the following app marketing checklist. Online Landing Page Mobile Landing Page Social Networks: Twitter & Facebook Paid Media: Mobile, Search, Social Paid Reviews PR & Blogger Outreach Price Promotions Of course, you don t need to do this alone. As an app marketing and strategy firm we are here to help developers who may not have the necessary time to market their application. App Promo White Paper: Developer Survey 2013 www.app-promo.com 55

contact us Mobile: 416-464-2223 Email: gary@app-promo.com Web: www.app-promo.com Twitter: @AppPromo Facebook: www.facebook/apppromo