Mobile game monetization overview in Taiwan

1. App Monetization in
Taiwan
Jan 2015
Tatsuo Sakamoto

2. Summary
● Mobile monetization situation is good
& the market is growing fast
● Use top global solution providers
+ few local companies

3. Taiwan monetizes well

4. History of in-app payment
M/Y Event
Jun/2011 Taipei City Government’s lawsuit
→ Apple accepted 7-day free trial,
Google ceased the sale of paid apps
Dec/2012 Google won the lawsuit
Mar/2013 Apps back to Google Play
→ Taiwan broke the top 5 in half a year
2014 Google Play started carrier billing (FET)

5. Growth of Smartphone Penetration
Global
Average
+23%+36%
+89% +14%
USTaiwanJapan HK Korea
mobile phone Users
Smartphone Users
+12%
59% 54% 65%
72%
81%
Sources : GroupM, March 2014, eMarketer, June 2014

6. Growth of Mobile Games DLs and Revenue
2013 2014
IAP Revenue have achieved the 2X of
2013 in the 2014Q1-Q2
Total DLs
have grown
+30%
Q1 - Q2 2013
Vs.
Q1 - Q2 2014
21 Billions DLs in 2013
App Store market size for game(iOS + GooglePlay)
$10.7B paid out in 2013
$10.1B already paid out in 2014 Q1~Q2
Sources : App Annie

7. Revenue Growth of Key Countries (H1 2013-2014)
iOS
250
(%)Android
200
150
100
50
0
USA Japan Korea Taiwan HongKong Global Avr.
0
(%)
600
500
400
300
200
100
Sources : App Annie

8. Standard monetization methods work
Reward ads In-app Purchase Ad network Paid app

9. Freemium is prevalent business model
USA
Japan
Korea
Taiwan
HongKong
Free + IAP
Paid + IAP
Paid App
Sources : Asia: The Leading App Market in the World January 2014, App Annie
200
Top developers
193
monetize
122
monetize w/ Ad Network

10. Global players + local companies
Reward Ad network

11. Confidential
eCPM : 30-40% of Japan (constantly growing)

12. Interstitial has become standard
70%
Interstitial
adoption %
Confidential

13. [appendix] What’s Interstitial ads?

14. Thank you!