Solving the app monetization dilemma

In-app purchases vs. advertising:how to decide?

Israel Mobile Summit 2015 – Gianluca D’Agostino

onebip.com

Agenda

Who is Onebip

The Monetization Dilemma

A revolutionary solution

Inside 1DK

And one more thing...

Wrap up

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Onebip is a spin-off of Neomobile

Neomobile is a mobile commerce group

Global Presence + Track Record

End User Spend

annually

≈ €250m

PaymentsProcessed

to date

over €1bn

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About Onebip

First Global Mobile Payment service - 2005

Oneclick technology - frictionless UX

Mobile only

Carrier Billing Experts

Innovation driven

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Carrier Billing is a complex ecosystem: we take care

«We take care of all the carrier billing complexities»Carrier management & service approvals | Payment process localization | Global transaction processing and reporting |Compliance with operator rules & tech requirements | Knowledge of local regulations and taxes | Price point availability

Payment flows | Billing technology | Simplifying integration process | Conversion optimization | Customer care service

250 Mobile Operators 5 billion Mobile Users500+ Merchants

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Onebip billing technologies

Direct Carrier Billing ISP Billing Premium SMS Billing

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Onebip Mobile Uxs and Flows

Onebip One-click Mobile browser and In-app payment flow

User makes a purchase with just one click

User/Merchant Notified of successful transaction

Fast Authentication and Transaction process

Onebip automatically recognizes the user’s mobile number

(MSISDN) in seconds

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Onebip Technology stack

Analytics

Cloud Monitoring

Cloud Communication

Hardware Layer

Language Layer 1.9

Middleware Layer 2.22.2

Provisioning 4.0

OS Layer12.04

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The Monetization Dilemma

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The AppStores model is no more the only one

THE APPSTORES ARE STUFFED

GOOGLE PLAY HAS THE DOWNLOADSBUT NOT THE MONEY

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Google Play scenario limits

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POOR DISCOVERYThe overcrowded app stores and increased dependency on large advertising budgets mean that the majority of developers find it hard to compete within the two main stores.

1

DIFFICULT TO REACH OUTSIDE GOOGLE PLAY Mobile operators, device manufacturers and new app stores all have large volumes of mobile users. Game developers are struggling to access these channels due to technical and commercial fragmentation.

2

POOR CONVERSION IN GROWTH MARKETSGoogle Play struggles to convert and monetise consumers in emerging markets as credit card penetration is poor and Google Play’s terms marries poorly with local payment solutions.

3

LARGE ADVERTISING BUDGETDiscovery in Google Play is problematic and vast advertising budgets are needed to launch and maintain earnings from games.

4

STATIC CHARTSDespite hundred of new games added each day, games like Candy Crush Saga, Clash of Clans, Game of War and Subway Surfers have dominated Google Play’s charts for the last 24 months.

5

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Alternative Android AppStores are emerging

App Stores

OS

OEMs

22%29%

78%71%

Q4 | 2013 Q4 | 2014

242 291

AOSPversions

Google

100%

Android WW smartphone shipments1

Millions. Q4 2014

1Android Open Source Project

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Android new scenario

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DEVELOPER SQUEEZEThe overcrowded app stores and increased dependency on large advertising budgets mean that the majority of developers find it hard to compete within the two main stores.

1

NEW PLAYERS ENTERINGThe size and growth of the mobile games market attract new players. Companies that control large mobile user bases are all looking at how they can monetize through mobile games.

2

THE CHINA FACTOR+70% of the Android smartphone growth is driven by emerging markets. Chinese manufacturers with low cost Android devices are dominating these markets. These manufacturers are seeking to monetise outside Google.

3

APP INSTALL ADVERTISINGQuick and forceful shift from organic app store growth to advertising driven growth. In less than 2 years, App Installs drives 75% of Google Plays revenues and dominates Facebook’s revenues.

4

POLITICAL DRIVERS VS GOOGLE Political forces in EU, US, Russia and China are threatening Google dominance within Android.

5

DIRECT CARRIER BILLING RISING UPThe best Merchants and App Developers designing their Android App to best monetise via In-App DCB Payment are getting 5x Revenue than Google Play only

6

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Android: now there is also an open route to market

Closed Market

Advertising Existing Distribution

Facebook Google Playtraffic

traffic traffic

Mobile Users

Open Market

New Distribution Channels

Mobile Users

Indie Stores

traffic

CarriersOEM

traffictraffic

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What is an App Developer to do?

Wrappers

SDKs

Integration needed

Taylor made

Not scalable

Flexion

Appfeel

GlobalCharge

Wrappers are mainly for In-App payment

SDKs are mainly for In-App

Advertising only

StartApp

Admob

Airpush

Ajillion

Scalable

Easy Integration

Developer is in control

onebip.comonebip.com

In-App Payment or In-App Advertising?

The Monetization Dilemma:

which solution and how to?

Which and howmany SDKs to choose?

How to Maximize?

1

2

3

SDK 2

How to Optimize? 4

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Our Vision, Concept and Solution

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We have developed all the pieces (In-App

android sdk, discovery app, in-app integration with RBT), we have to connect and integrate

them

UNFAIRADVANTAGE

Our Unique know-how, tech, DBacross Payment and

Advertising

Business Relationships in place with all key

actors in the ecosystem

1DK – all started this way...

find the optimalbalance between in-app and in-adv

is hard

find the optimaleCPM and the

optimal CR is hard

app discovery is expensive and not

integrated with app monetization

monitor the multiple solutions

for in-app and in-adv is hard

APPMONETIZATION

integrate many in-app

payment is complex

INCREASEAPP VISIBILITY

app discovery is key for 95% of apps

integrate many in-adv solutions with a variety of

adnetworksis complex user

profiling engine

cross platforms:iOS, android,

m-web

1DK1

DASHBOARD

user value optimization

engine

apps having integrated

1DK

volumes of payments processed

eCPMimprovement

volumes of Ads

processed

CRimprovement

PROBLEM SOLUTION

KEY METRICS

UNIQUE VALUEPROPOSITION

1 stop shop solution

for an app developer to

monetize=

Track, increase,

and optimize the

uservalue&

to enhance visibility on both in-app

& in-adv sideAcross all platforms

[one integration

fits all]

ProductOwners

andMerchants

CUSTOMERSEGMENTS

Appdevelopers

Indie appStore

owners

1

2

CHANNELS

AppStores

App accelerator

SDKs distributors

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1DK – in a nutshell

For App developers and Publishers looking to make their android app stand out in Android app markets

and drive a successful monetization strategy

1DK will revolutionize the way android apps can monetize in the

mobile app economy, blending Payment and Advertising in one

easy tool.

Because we believe you only need one kit to monetize them all.

This is happening today.

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1DK – product concept

«one kit to monetize them all»

The vision«Give the App Developers a single solution for monetization [and potentially for discovery too]»

The problem we solve«Monetize via in-app payment and in-app advertising in a combined, optimized and synchronized way»

The unique propositionand value added:

«Neomobile ecosystem and know-how in mobile monetization via both payment

and advertising is a unique asset to play»

The shortcuts«Start propagating the 1DK

throughout Onebip marchants.Find a Indie AppStore partner to

promote the sdk to its app publishers

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1DK – one stop shop

1DK is a one-stop shop solution that unifies and optimizes monetization through in-app advertising and in-app payment in a combined, optimized and synchronized way, for android app developers and publishers in a single integration.

In-app payment is focused on the best direct carrier billing flow, the Onebip 1-click flow. In-app advertising is generated through the integration with the best adnetworks and adexchanges in a programmatic RTB fashion.

ONE SOLUTIONOptimum balance between in-app advertising and in-app payment to maximize the revenue from each user of your app and help your app reach its target audience

ONE DASHBOARDUnified dashboard to track all downloads, advertising, payment and monetization data

ONE INTEGRATIONUnified monetization tool with a single SDK

integration, coupling In-App Payment via carrier billing and In-App Advertising with

multiple ad formats

ONE INTELLIGENCEA seamless in-app payment and

real-time algorithm through various metrics to fine tune and improve

every campaign for advertising to achieve better ROI

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1DK – Value proposition on Payment

Direct carrier billing1DK uses carrier billing which is the only working in-app payment method on a global scale reaching up to 7B mobile phone users

1-click payment experience1DK has the Onebip 1-click flow which is the easiest, most secure and fastest way to make in-app payments

1DK will revolutionize the way android apps

can monetize in the mobile app

economy, blending payment and

advertising in one easy tool to make

them grow revenue.

Seamless user authentication• Retrieve number form the network• Provided to the 1DK by the application• Telephone number stored from previous

purchase made on the phone• Automatic MO sent to 1DK back end to match

phone number and transaction

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1DK – Value proposition on Advertising

Working with the best1DK connects the best ad-networks and ad-exchanges to the apps with relevant and engaging experiences to make app developers create ongoing revenue streams from their app audience in a programmatic RTB fashion

Effective ads1DK delivers ads that are effective for advertisers and presents rich, engaging and immersive advertising experience to app user.

Seamless user experience1DK delivers ads that are effective for advertisers and presents rich, engaging and immersive advertising experience to app user.

1DK will revolutionize the way android apps

can monetize in the mobile app

economy, blending payment and

advertising in one easy tool to make

them grow revenue.

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The dashboard

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1DK - value added for each player in the ecosystem

AppsA single monetization and discovery solution, unifying discovery, payment and advertising on android apps.

Indie StoresA magnet to attract more Apps in the store, fixing monetization and discovery to them. Stores are fantastic reseller for 1DK.

CarriersA tool to enter the App monetization and discovery market, allowing a new frame of partnership with a company they have made €1bn revenue with.

AdNetworks1DK once distributed in 000 apps creates a new set of publishers to be integrated into adnetworks and more targeted traffic.

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1DK – features wrap up [1]

One dashboardOne dashboard for all download, advertising, payment and all monetization data. Developers struggle with a number of diverse Dashboard to follow and cannot identify KPIs easily in order to make A/B test

One integrationOne-stop shop solution that unifies app discovery and app monetization through in-app advertising and payment in a combined, optimized and synchronized way for android app developers and publishers in a single integration.

TechnologyUnified monetization technology with a single SDK integration, coupling in-app payment via carrier billing and in-app advertising with multiple ad formats - CREATED BY DEVELOPERS FOR DEVELOPERS

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1DK – features wrap up [2]

AnalyticsAll monetization metrics to monitor revenues and to define the best strategy with powerful visualization. Data are analysed and forecasts on ROI allow to optimize monetisation

IntelligenceSeamless in-app payment and real-time algorithm through various metrics to fine tune and improve every campaign for advertising to achieve better ROI.Based on User Profile, on the vertical of the App and on the User Beahaviour

Our Team10 years experience in mobile monetisation!Unique Hacker Team and CultureFirst to bring Payment as a Self provisioning service in the Carrier Billing

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1DK – the roadmap

June 9 June 22

KICK-OFF PHASE ALPHA PROGRAM PRODUCTION

Marketing campaign to recruit 50 apps

(or developers)

Alpha test phase start with 50 apps (or developers)

with rewarding program

Public Announce

ment

June 9 June 22

+2 months

ProductRelease

Alpha prototype

release

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1DK – the Alpha Programme

«And now we need your assistance:we want to perfect 1DK with the Developer Community!»

MARKETING BUDGET

In CPI campaigns

FREEFOR 1 YEAR

0 Onebip commission fees

1dk.onebip.com to join

STARTS ON THE 22nd OF JUNE

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1DK – the Alpha Programme

1dk.onebip.com

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And there is more coming up in Onebip.....

«We are boosting Onebip to be the most innovative

fintech company in the Digital goods space»

A number of new products are to be launched over next months, stay tuned!

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The frame of Payment Solutions in Digital Goods

Web

Mobile

App

Billing / Payment methods UEX Solutions

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Onebip portfolio with 1DK

PSMS

DCB

IPB

Web

Mobile

App

OnebipWeb and Mobile

PaymentSolutions

Billing / Payment methods UEX Solutions

onebip.com

Loyalty Program for Mobile Payments

Kooma Looma and Onebip

For Carriers and DistributorsPotential for customized offers and rewards

For Merchants and App DevelopersStand up among other AppsIncrease Usage and Stickyness

For end usersCollect points when you buy online paying via OnebipGet great rewards

Kooma Looma is a platform-as-a-service loyalty program – Onebip is the first Payment integrated

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Onebip portfolio with 1DK and Kooma Looma

PSMS

DCB

IPB

Web

Mobile

App

OnebipWeb and Mobile

PaymentSolutions

LoyaltyProgram

Billing / Payment methods UEX Solutions

Your Purchase:

100 Diamonds for 4.99 €

Your M-Site

Your Website

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Onebip will complete soon the whole Payments range

PSMS

DCB

IPB

Web

Mobile

App

OnebipWeb and Mobile

PaymentSolutions

Billing / Payment methods UEX Solutions

MoreDigital

PaymentsTo be

integrated

LoyaltyProgram

onebip.comonebip.com

WRAP UP

2

3

«from the mobile payment experts»

The Monetization Dilemma has now got a solution

1DK = SDK + DashboardDCB and RTB made simple for Android

Innovation in Payment and AdvertisingAvailable for all UXs and flows

1

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