Business Intelligence Driven Marketing
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
Introduction
Alex Sung• Technical Lead at eBay• Sr. Product Manager at GREE International• CTO at Spicy Cinnamon
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
Focus Today
Contents• Identifying Key Performance Indicators (KPI)• Designing an Analytics Platform• What’s next & other notes
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
KPI
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
KPI
Topics• Purpose• Overview• Important KPI’s• Segmentation
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
KPI - Purpose
KPI’s evaluate the health of your product and your
business. 3 categories:• Acquisition• Engagement• Monetization
Goal: final cost per user is less than final life time
value of user
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
KPI - Overview
Acquisition Engagement Monetization•Cost (per user)•Cost-per-impression (CPI)•Cost-per-click (CPC)•Cost-per-install (CPI)•# Impressions•# Clicks•Click-through-rate (CTR)•# Downloads•# Installs•# Activations•Conversion (CVR) •K-factor (Virality Rate)
•DAU•MAU•Stickiness (DAU/MAU)•Retention Rate (RR)•Session Length•Life Time (LT)•Product-specific
•Spending DAU•Spend Amount•ARPU•ARPPU•ARPDAU•Life-time Value (LTV)
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
KPI - Overview (Today)
Acquisition Engagement Monetization•Cost (per user)•Cost-per-impression (CPI)•Cost-per-click (CPC)•Cost-per-install (CPI)•# Impressions•# Clicks•Click-through-rate (CTR)•# Downloads•# Installs•# Activations•Conversion (CVR) •K-factor (Virality Rate)
•DAU•MAU•Stickiness (DAU/MAU)•Retention Rate (RR)•Session Length•Life Time (LT)•Product-specific
•Spending DAU•Spend Amount•ARPU•ARPPU•ARPDAU•Life-time Value (LTV)
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
KPI - K-factor (Virality)
Value: • A measure of how virally effective or social the app is• More viral = less cost to hit # Installs KPI• Longer app life time
Definition:• K = # invites & conversion rate (1 = status quo)
Suggestions:• Social network integration (FB, Twitter connect)• Competitive or cooperative systems (raids, trading)• Friend codes• Invitation incentives (HC, speed-up’s)
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
KPI - Retention Rate (RR)
Value: • Indication of how well the app keeps users returning• More returns = longer user life = more monetization• Highly targetable cohorts
Definition:• Day0 = First time activated users on specific date• DayX RR = # users from Day0 return / # Day0 users• Day0 is constantly rolling (every day is a new Day0)• Day1-14 RR most indicative of user behavior
• Followed by Day30, 60, 90• View DayX RR as trending or averaged over data points
• Averaging Day30 RR requires 2 months
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KPI - Retention Rate (RR) continue
Suggestions:• Good product and useful service• Virality – friends are on it• New content (whether by developers or active community)• Incentivized returns (HC)• Special events (discounts, raids, limited time)• Push notification reminders
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
KPI - Life-Time Value (LTV)
Value: • Ultimately, how much revenue each average user provides
Definition:• Simple, ARPDAU * LT (estimate LT based on RR)
• Most popular, usually assume 30-Day LTV• Strict, create cohort for first time users for each day for LT
# of days. Track & sum up IAP for each user. Average across cohorts.
• Difficult to define: are users that provide community content or are virally active part of value?
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KPI - Life-Time Value (LTV) continue
Suggestions:• Improvement to RR & worth paying service / product• Discount events to IAP
• Strong visual indicators (juicy feedback)• Provide enough access points to IAP• Provide enough options for IAP
• There are high-rollers, provide options for them• Allow pay-to-speed-up• Special expression based VG
• Do not allow pay-to-win; risk of damaging community
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KPI - Segmentation
Time Acquisition Monetization•First-time users•New vs Existing (30-days)•Cumulative vs Daily
•Hardware•Model•Manufacturer•OS Version
•Marketplace•Ad Network
• Campaign• Creative• Incentivized vs non
•Invitation•Organic
•Geo-location•Language
•Spenders vs non-spenders•One-time spenders•SC vs HC vs real-cash
•Age•Gender•Ethnicity•Occupation
Platform Location Demographic
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Analytics Platform
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Analytics Platform
Topics• Data Collection & Integration• Data Engine & Big Data Processing• Visualizations & Services
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Data Collection & Integration
Ad NetworksClients
App Engine
Data Collector
Analytics Logger
Raw Data
Ad Network SDK
API Integration
Client SDK•Client-side SDK’s simpler to integrate•Some Ad Networks provide analytics•SDK’s must be scheduled in release plan
Server API•API provides scheduling flexibility•Requires client to send uniqueness and segmentation data
Data Collector•Store uniqueness, segmentation, & event data•Collect application data via web log scraping•Collect Ad Network raw data for acquisition to engagement mapping•Sends collected analytics data to Data Engine for processing
Rules EngineJob StatusTracker
Scheduling Framework
Validation Framework
Notification Framework
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Data Engine & Big Data Processing
Parse Date
Segment Data
Aggregate Data
ETLPig / Hive
Intermediate Events(HDFS)
Segmentation Buckets(HDFS)
Big Data Processing(Hadoop Cluster)
Summary Containers
Aggregated Storage
Data Collector
Workflow Engine
Analytics Data
Hadoop•Intermediate data storage as files•HDFS custom data mining•Scheduled ETL to process summarized data•Workflow Engine to manage Hadoop jobs
Aggregated Storage•Summary data stored in RDBMS•Connected to Visualization tools
Real-Time•Not everything, identify critical KPI and segmentations
• Revenue• # Sessions
•Enterprise solutions: Vertica, Teradata
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Visualizations & Services
Dashboards•Pictures are worth a thousand words
• Tell a story• Reporting is only valuable if it is
actionable (avoid vanity reporting)•Standardized KPI reporting for business health
Services•Funnel analysis & A/B testing for product•Alerts & notifications for engineering
• Sudden drop in # sessions means app engine may be down
•Visual data mining
Tools & Tech•3rd party: Tableau, Microstrategy•HTML5 for web and mobile support
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
What’s Next
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
What’s Next
Ad Networks• Obtain internal raw data
• Vendor reporting cannot always be trusted• Cohort to find channels with high-quality users• Strategize between burst vs consistency
marketing campaigns• Normalize channel data
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
What’s Next continue
Engagement• Acquiring users is expensive• Focus on Live Ops for re-engagement
• Provide fresh content• Provide community and discount events
• If you support multiple apps / games• Cross-Promote (X-Promo) at end of user life• Be careful to not self-cannibalize
©Copyright 2013-2014. Spicy Cinnamon Pte. Ltd
Thank You
AiTi-Aptech & Vietnam Mobile Day 2013
We are HIRING!
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