GAME CHANGER WINNING STRATEGIES FOR SCALING MOBILE GAMES ON FACEBOOK Successful Advertising Playbooks from Pocket Gems, Elex, and More Profit-Driven Advertising Automation Game Changer: Winning Strategies for Scaling Mobile Games on Facebook Mobile game developers have an unprecedented growth opportunity on Facebook. $44.2 billion. That’s how much revenue mobile games are projected to generate by 2018. This skyrocketing revenue isn’t even close to its full potential, as just 62% of the US population will play mobile games by that same year, according to eMarketer. Profit-driven advertising on Facebook has become a critical strategy for today’s most successful game marketers. Growth marketing teams that can most effectively launch large-scale burst campaigns, consistently acquire high-value users, and monetize existing titles achieve the highest levels of success at scale. As Facebook has proven to be one of the most effective acquisition and monetization channels for game developers, those who master campaign management, measurement, and optimization will have a powerful advantage over the competition. Mobile Gaming Revenues Worldwide, by Device, 2014-2018 billions $44.2 $40.4 $12.9 $35.5 $12.8 $30.0 $24.5 $11.2 $9.4 $7.4 $17.0 2014 Smartphone $24.4 $20.6 2015 2016 $27.6 2017 $31.3 2018 Tablet Note: numbers may not add up to total due to rounding Source: Newzoo, "The Mobile Gaming Landscape 2015 and the Power Users Who Shaped It," Dec 22, 2015 202568 www.eMarketer.com Already, many of today’s leading game developers rely on Nanigans advertising automation software to help them meet and exceed revenue growth goals on Facebook and beyond. This guide highlights four of those innovative companies, and the winning strategies employed by their in-house advertising teams. Nanigans | Profit-Driven Advertising Automation 2 HOW ELEX POWERED A 12X SURGE IN MOBILE GAME GROWTH Elex is a leading mobile game developer in China, and has made large-scale Facebook advertising a core strategy for growing revenues and expanding its loyal customer base. Elex’s top game, Clash of Kings, has consistently ranked among Google Play’s top five games by daily revenue in more than 80 countries around the world. To replicate the success of Clash of Kings with its new Magic Rush mobile game, Elex chose to use Nanigans advertising automation software to dramatically grow the game’s user base while improving ROI on a global scale. How did Elex achieve 12X growth for Magic Rush in just four months? PROFITABLY ACQUIRING NEW USERS AT SCALE While Elex’s in-house marketing team had a goal for scaling mobile app installs through Facebook advertising, they needed to achieve that scale in a strategic and sustainable way. Maintaining consistent performance—as measured primarily by cost-per-install (CPI) and downstream revenue—was a critical factor in defining the success criteria. ‘Scale + performance’ was the name of the game. Nanigans | Profit-Driven Advertising Automation 3 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook To achieve its ambitious goals for Magic Rush on Android, Elex launched a worldwide Facebook ad campaign, leveraging Nanigans software to manage, measure, and optimize the entire process. To promote Facebook’s mobile app install ads with interest targeting and lookalike audiences, Elex utilized a range of features in Nanigans’ end-to-end solution. Improved efficiency with bulk ad creation Lower risk of under-performing ads Elex saved time and reduced the risk of costly errors by automating the creation and management of thousands of different ad creative and audience combinations. By activating Nanigans’ stop loss protection, Elex automatically paused ads with poor performance before they could negatively impact bottom-line aggregate ROI. Granular performance control at scale Smarter promotion of top creatives With Nanigans’ audience override tools, Elex targeted and set different CPI goals for each geographic market, affording them tighter control over costs and efficiency, while still enabling large-scale growth. Elex automated ad creative testing through Nanigans to ensure that only the image and copy combinations that drove the most valuable Magic Rush game installs were promoted at scale. IDENTIFYING CREATIVE THAT DRIVES PERFORMANCE Elex utilized Facebook’s mobile app install ads in both the standard (single-image) and carousel format. The Singapore-based Nanigans Customer Success team advised Elex that in addition to using automated creative testing, they should frequently refresh creative concepts to avoid ad fatigue and identify winning strategies. Elex’s in-house creative team activated new creatives almost every week, with text overlays customized to each geographic audience segment. “We found that a highly customized text overlay and game logos were integral to improving our CTRs on Facebook’s mobile app install ads. Nanigans enabled us to continuously iterate and test these creatives while optimizing performance on a global scale.” JULIA ZHAO Digital Marketing Optimizer, Elex Nanigans | Profit-Driven Advertising Automation 4 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook ACHIEVING OUTSTANDING RESULTS Starting small and growing Facebook ad spend consistently and efficiently through Nanigans, Elex achieved impressive returns on a massive scale after just four months. 12X growth in daily app installs 20% improvement in cost-per-install 10X scale in daily Facebook ad spend 2% average CTR across all geographies 11X more countries targeted “Nanigans software can bulk create thousands of ads and then manage them individually towards a different end goal. The predictive algorithms enabled us to achieve our KPIs consistently every day for four months, while scaling in a sustainable fashion.” STEVEN LEE Digital Marketing Team Lead, Elex After achieving such strong performance using Nanigans to promote Magic Rush on Android, Elex’s in-house marketing team made the strategic decision to also manage all iOS campaigns through the software. Success with Magic Rush is just the beginning for Elex. The company continues to work closely with its Nanigans Customer Success team to build on the strong partnership to date. There is ample opportunity for future growth of Magic Rush and Elex’s full game catalog: Amplifying acquisition campaigns on new channels, including Instagram and Twitter, for expanded reach and incremental growth Ramping up reengagement campaigns to complement acquisition efforts Activating Nanigans’ mobile SDK to fuel predictive revenue optimization in real-time Nanigans | Profit-Driven Advertising Automation 5 HOW POCKET GEMS SCALED CAMPAIGNS 500% WITH WINNING AD CREATIVE Mobile game advertisers often have low cost per install (CPI) and strong return on ad spend (ROAS) targets for their campaigns. High click-through and conversion rates are the key to achieving this ideal outcome—and creative plays an important role. The talented in-house advertising team at Pocket Gems knows that finding the right creative can make all the difference in mobile advertising campaign success. With Nanigans advertising automation software, they are able to iterate, test, scale, and measure the return on ad spend that different creatives generate, quickly and efficiently. THE BENEFITS OF KEEPING IT FRESH Pocket Gems debuted its “Choose Your Own Story” mobile game, Episode, in 2014, presenting players with thousands of animated stories where their choices matter. In order to keep user activity steady over time, Pocket Gems has leveraged its in-house creative team to invent and design fresh image concepts and videos. When the game developer launched a mobile app install ad campaign featuring a specific image taken from a new Episode theme, performance exploded on Facebook. Nanigans | Profit-Driven Advertising Automation 6 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook This creative concept struck it big! 2% CTR 50% CVR 40-50% DAY 2 YIELD The single-image mobile app install ad performed well in terms of engagement, and users who installed the app made a significant number of ingame purchases in just two days. TOOLS FOR SUCCESS The ability to track and analyze data is crucial to optimizing performance. By utilizing Nanigans’ real-time tracking, Pocket Gems monitored the revenue driven from the new ad on Facebook, and was able to easily adjust budgets accordingly. Aware they had a hit on their hands, Pocket Gems quickly scaled daily spend on the mobile app install ad campaign by 500%. Meanwhile, automated creative testing in Nanigans ensured that top-performing images like the one pictured above remained active while underperformers were paused down automatically. ITERATION AND EXPANSION Savvy advertisers know how to take a good ad and run with it. After seeing the huge success of its initial mobile app install ads using a single static image, Pocket Gems’ in-house advertising team decided to expand Nanigans’ automated creative testing to an additional ad unit. They applied the top-performing concept and other romance-related images to Facebook’s interactive carousel ad format. Carousel mobile app install ads are perfectly suited to a narrative-based game like Episode. Dropping images into Facebook’s scroll-friendly template, Pocket Gems was able to illustrate story arcs and entice users to find out what would happen next. Performance from the carousel mobile app install campaign was again impressive, with Day 2 Yield for the top creative reaching 60%. After confirming that carousel ads could bring in high-value users, Pocket Gems iterated on similar stories, allocating 73% of their Facebook ad spend to carousel concepts in one day. Nanigans | Profit-Driven Advertising Automation 7 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook THE STORY CONTINUES The ability to easily identify high-performing users and monitor their behavior isn’t just important for campaign optimization; it also provides mobile developers with a glimpse into what their best audience finds most engaging about a game. Pocket Gems believes that its creative resonates so well because it tells a story, reflecting a sense of romance and drama that appeals to Episode’s core demographic, while simultaneously reflecting the choice-based gameplay within the app. With Nanigans’ powerful creative testing automation and inapp revenue attribution, the mobile game developer is able to tailor its ad campaigns precisely to player interests, while maximizing return on ad spend. Armed with the knowledge that their most valuable users prefer romantic storylines, Pocket Gems can continue to align new concepts with the original image that led to success, and apply the insights gained from advertising Episode to other titles—keeping the cycle of improved performance going. Nanigans | Profit-Driven Advertising Automation 8 HOW SCOPELY CREATED A PROVEN PLAYBOOK FOR UNBEATABLE MOBILE GAME ADVERTISING Regardless of team size or genre, most mobile gaming companies will go through the same three stages when launching a title—from burst campaigns to monetization to a focus on user retention. For app developers with in-house advertising teams, hitting targets consistently throughout these three phases depends on access to advertising automation software that is flexible enough to accommodate goal pivots and robust enough to provide the integration necessary for performance analysis and optimization. Since July 2014, touchscreen entertainment brand Scopely has rapidly adopted Nanigans software features to assist in uncovering audience insights and optimize its Facebook campaign performance. Here’s how the gaming company has worked in tandem with Nanigans and Facebook to launch mobile games like Disco Bees, Slots Vacation, and Dice With Buddies, maintaining growth through the life cycle of these and other popular titles. Nanigans | Profit-Driven Advertising Automation 9 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook PHASE 1: ACQUISITION Burst campaigns are key when a game first launches. Without sufficient customer acquisition, a new title will flop in app stores and fail to achieve enough momentum to monetize. In April 2015, Scopely planned and executed the global game launch of Yahtzee, a heavily coordinated acquisition effort involving campaigns with dozens of partners across hundreds of relevant apps, mobile web, Scopely’s own network of players, and public relations efforts. Facebook was a key driver of new acquisition, and Nanigans’ advanced optimization software tools and large-scale campaign management workflow helped enable quick real-time decision making and strategic bidding changes by Scopely’s acquisition team. On Facebook, when Scopely first launched Yahtzee using mobile app install ads, the focus was on driving large acquisition volume while keeping cost per install low through oCPM bidding. With so much riding on early user acquisition, ensuring that campaigns attracted new installs quickly was a priority. Leveraging Creative Tester— an automated Nanigans tool that takes the guessing out of testing new creative and copy combinations—Scopely was able to analyze performance data, report on results and rotate through ads based on their ROI analysis of best performing creative assets. By bulk creating and managing top-performing ads for all geographies and leveraging Nanigans optimization algorithms, Scopely was able to drive massive volume for Yahtzee at their CPI targets, resulting in Yahtzee becoming the #1 Game on Google Play. PHASE 2: MONETIZATION As soon as a user base has been built up and acquisition has stabilized, savvy digital marketers know it’s time to shift the objective to yield. After the initial launch of Scopely’s popular title Slots Vacation, the gaming company focused heavily on driving the most profitable installs available. Using data gleaned from the Nanigans SDK during Slots Vacation’s growth stage, Scopely applied dynamic Revenue Optimization parameters to its Facebook campaigns—in this case, optimizing towards and hitting short-term yield targets by dynamically changing Facebook bid rules. Having identified specific relevant audiences, Scopely’s acquisition managers were also able to reap further benefits from a performance standpoint by setting separate yield goals for key audiences with Audience Override Tables, a Nanigans tool for controlling variables at the most granular level (e.g. audience/demographic targeting). Nanigans | Profit-Driven Advertising Automation 10 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook PHASE 3: RETARGETING Once it’s used to look at install rates during the acquisition phase, the Nanigans SDK can also be used to look at downstream events like when a particular cohort opens an app, when a user reaches a particular level, or spends a certain amount of money. In the third phase of a game title’s life cycle, these metrics serve for retargeting acquired customers who have slowed or ceased in-app activity. Facebook’s Custom Audiences functionality helps gaming companies like Scopely reach out to lapsed users and keep interest up long after launch by marketing new game features and exciting live events. For a mobile gaming title with millions of installs, there is still an opportunity to drive more volume and concentrate on boosting the number of Daily Active Users. Eligible, ready to engage players (active or lapsed) are just an ad campaign away. It’s easy for mobile gaming developers to get caught up in the excitement of a burst campaign, but that’s just the beginning of the battle for ROI. Operational workflow, downstream event monitoring and performance optimization are all important components of a healthy game launch, not just in the first few weeks but the lifetime of a title. With versatile advertising automation software and an investment in mastering data-driven marketing, mobile gaming companies like Scopely are in prime position to deliver engaging gameplay experiences across the globe. Nanigans | Profit-Driven Advertising Automation 11 HOW IGG HIT ROI GOALS FOR LORDS MOBILE LAUNCH WHILE SCALING AD SPEND 80X I Got Games, or IGG, is a renowned developer and publisher of online games across mobile, PC, and browser platforms. 300 million people worldwide have played IGG's games, from arcade and action genre games like Castle Clash to strategy games like Clash of Desert. While the company is well known in Asia, IGG has gained global recognition in recent years by extending its chart-topping games to more players worldwide and localizing titles in fifteen different languages. SETTING A NEW GAME UP FOR SUCCESS Driving IGG’s global expansion and providing the company a competitive advantage is its strategic and data-driven in-house marketing team. Leveraging Nanigans advertising automation software, this team recently launched IGG’s newest real-time strategy game, Lords Mobile, to multiple geographic markets with great results: Scaling spend 80X by the fourth week and meeting ROI goals while increasing install volume over three months Using software-enabled learnings and optimizations to increase click-to-install conversion rates by more than 40% between the first and fourth months of the campaign Driving installs at 20% lower cost and achieving nearly 2X the ROI of other mobile app install ad formats using video Nanigans | Profit-Driven Advertising Automation “The Nanigans platform and the exceptional support team in Singapore have been instrumental in Lords Mobile's success. 'Set and forget' campaigns that auto-optimize creatives and targeting have saved us a lot of time and boosted ROI.” EUGENE KONASH Marketing Director, IGG 12 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook THE GOAL While game launches are challenging, the best game companies in the world understand that their initial user acquisition campaigns present a critical opportunity to capitalize on early profitability gains by reaching users that generate the greatest customer lifetime value. This is particularly true during a global game launch, where multiple different geographies and audience attributes present unique challenges and opportunities for granular campaign optimization. Knowing this, IGG’s marketing team set out in early 2016 with a refined Facebook campaign strategy that centered on hitting key audience monetization milestones. These targets included 7, 14, 30, and 90-day return on ad spend (ROI) goals, all while adhering to specific cost per install (CPI) constraints. Nanigans software enabled IGG’s team to quickly, efficiently, and intelligently test, measure, optimize, and scale their ad budgets to reach these goals within and across multiple different markets. THE STRATEGY Targeting To attract new gamers, IGG looked to prior successful game launches to empower early success by building Lookalike Audiences based on similar genres of games IGG had developed and launched in the past. Additionally, their marketing team leveraged Interest and Broad Targeting on Facebook. Nanigans granular and flexible real-time reporting interface enabled IGG’s team to monitor the audience attributes generating conversions and early monetization so as to maximize campaign impact. Creative Throughout the course of the campaign, IGG experimented with different Facebook mobile app install ad formats, including image, carousel, and video ads. With strategic testing, they discovered that video mobile app install ads delivered 20% lower cost per install and 2X higher ROI than other ad formats. As the team tested these ad types using Nanigans, they focused on determining which attracted the most valuable audiences. They also ensured that creative assets were adapted for each particular geography. Nanigans | Profit-Driven Advertising Automation 13 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook THE SOLUTION Nanigans profit-driven advertising automation enabled IGG’s in-house marketing team to save significant time in campaign setup, bidding, and optimization—freeing them to focus more heavily on marketing strategy. Regarding this strategy, IGG found several aspects of Nanigans software critical to their profitable game launch: Advanced Workflow Automation Creative testing automated rapid and efficient testing for IGG's team to quickly understand the audience and creative combinations resonating and generating conversations with players. Bulk ad creation enabled IGG to replicate ad creative that was performing well and clone successful campaigns to new markets. Customizable Reporting Custom reports that could be easily saved and shared allowed for more streamlined day-to-day campaign maintenance. Real-time reporting and analytics provided the data necessary to drive creative refresh. Predictive Optimization Cohort analysis and maturity curve functions helped to identify purchase trends of new users and set the correct attribution window. Value-based bidding maximized return on ad spend by optimizing on downstream, revenuegenerating actions within the game Nanigans | Profit-Driven Advertising Automation 14 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook THE RESULTS Using Nanigans advertising automation software over a four-month period, IGG's in-house marketing team achieved impressive business results. 80X INCREASE IN AD SPEND WHILE MEETING ROI GOALS 40% INCREASE IN CLICK-TOINSTALL CONVERSION RATES 9% LOWER COST PER INSTALL THAN THE INITIAL GOAL Look-back windows for monetization were a key piece of IGG’s strategy, enabling the team to understand which timelines (7, 14, 30, or 90) delivered maximum ROI potential. While this is a complex strategy, Nanigans intuitive features enabled IGG to: Scale ads with higher monetization yields with no restriction on CPIs Control CPIs with 'max bid' features Bid down or stop ads with lower yield LESSONS LEARNED Go Beyond the Industry Standard Typically, Tier 1 countries are key to global game launches, but analysis from the Nanigans Analytics team revealed to IGG that placing additional emphasis on less saturated markets had potential to deliver more cost efficient game installs at a comparatively high ROI. Capitalize on a Game's Unique Maturity Curve With Nanigans' cohort analysis tool, IGG was able to understand that 7 day ROI was highly correlated with the long-term profit margin they aimed to achieve after 90 days or longer. This insight allowed IGG to optimize their campaigns accordingly toward this earlier lifecycle milestone. Understand the Ad Formats that Inspire Action Mobile app install ads are available in multiple formats, and IGG dedicated time to analyzing which formats drove the most revenue-generating action from their prospective players. With video leading the way, IGG adopted a strategy of rapidly testing video clips with Nanigans software. Testing revealed that a singular battle scene drove the highest returns. IGG incorporated these learnings into as many new iterations of their ads as possible. Nanigans | Profit-Driven Advertising Automation 15 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook NEXT STEPS The initial success of the launch of Lords Mobile is just the beginning for IGG. Continuing to leverage Nanigans advertising automation software, IGG’s marketing team plans to: Extend the reach of its user acquisition campaigns to new channels, such as the MoPub mobile ad exchange Scale profit-driven campaigns to five key new countries by combining lookalike modeling with Nanigans value-based bidding and optimization Intelligently test new ad types, such as carousel mobile app install ads with video, by building on early learnings from other similar ad types Nanigans | Profit-Driven Advertising Automation 16 Game Changer: Winning Strategies for Scaling Mobile Games on Facebook Nanigans empowers game advertisers to acquire high-value users faster and more efficiently, across channels and at scale For game developers across genres—from action-adventure and strategy to casino and sports—Facebook advertising can be a powerful engine for revenue growth. Nanigans arms marketing teams with sophisticated advertising automation software, so they can scale user growth and more effectively monetize their full catalog of games. OPTIMIZE ADS TO REACH AND ENGAGE HIGH-VALUE USERS Measure and optimize every opportunity for in-game monetization with a profit-driven approach to advertising across digital channels. From ad impression to in-game purchase, maximize ROI for user acquisition and remarketing. Measure Downstream Purchase Events Activate In-Game Insights for Real-Time LTV Optimization Eliminate Risk of Inefficient or Wasted Ad Spend Identify which in-game actions signal the greatest revenue potential and feed that data into machine learning optimization for more high-value users Customize conversion and behavior tracking for more strategic bidding using a powerful yet lightweight mobile SDK, with corresponding website pixels Employ creative testing and stop loss protection to automate budgeting efficiency, always allocating ad spend where lifetime returns are greatest MAXIMIZE REVENUE OPPORTUNITIES AT SCALE WITH ADVANCED AUTOMATION Build and iterate on high-performing campaigns with data-driven workflow automation designed for scale. With the industry’s most transparent and actionable reporting tools, maintain granular performance control while unlocking ROI on a global scale. Iterate on Successful Ads and Audiences in Seconds Test strategically and scale rapidly with a flexible campaign structure built on reusable elements—including creatives, audiences, and more Exercise Complete Control of Performance at Scale Gain 100% Visibility into Real-Time Returns From a burst campaign focused on user growth to LTV-driven monetization, optimize to unique performance goals for any global audience segment Make smarter decisions by analyzing cohorts, maturity curves, and true ROI through a highly customizable pivot table interface or reporting API Ready to take your Facebook advertising to the next level with Nanigans? Request a Demo Nanigans | Profit-Driven Advertising Automation 17 Nanigans advertising automation software empowers in-house marketing teams to grow the revenue impact of their digital advertising. More than $600M in annualized ad spend is managed through Nanigans software by commerce companies worldwide that rely on Nanigans as a strategic lever of customer growth and revenue generation for their companies. Offered as Software-as-a-Service, Nanigans features multichannel programmatic media buying, predictive revenue optimization, and real-time business intelligence across today’s most valuable digital channels. Contact Us nanigans.com 60 State Street | 12th Floor | Boston, MA 02109 [email protected] 888-507-4456 © 2016, Nanigans. All Rights Reserved.
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