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Asia 2014Video Coverage

Yaniv Nizan on Succeeding with a Startup | Casual Connect Video

May 20, 2014 — by Catherine Quinton

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“What publishers really offer game developers today is, first of all, development tools that already have the know-how of how to make better games, how to make games more addictive, how to make them more successful,” Yaniv Nizan tells his audience during Casual Connect Asia 2014.

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Yaniv Nizan
Yaniv Nizan, Co-Founder and CEO, SOOMLA

Yaniv Nizan, co-founder and CEO of SOOMLA, is a man who loves a challenge, especially the challenge of creating something new. He describes himself as an adrenaline junkie, saying, “New ventures mean you have to succeed where others failed, you have to compete against much bigger companies in markets that are undergoing tremendous changes.”

He believes the trick to winning against these large competitors is using their size to your advantage. The opportunities for new ventures usually come when the market is so dynamic that large companies have difficulty adapting.

He offers these suggestions to companies starting up. First, read Lean Startup. Second, read the SOOMLA blog for resources about starting a company and about game design.

Simplify The Complex

Nizan admits that leading a company requires many skills, but there is one that he uses constantly: the ability to take things that are complex and simplifying them so they can be understood by everyone and communicated in mass. This skill is necessary in many areas, including marketing, blogging, fundraising, investor relations, product, public speaking, and more. But he emphasizes, “In order to do that, you have to know the space you are in very well and understand how people think.”

SOOMLA Team
The SOOMLA Team

Where It All Started

Nizan’s interest in games began with a 1983 game called Digger, which he played for hours. This game taught him a great deal about how computers work, since, at that time, it wasn’t simple to download an app; you had to do a lot of hacking to even be playing the game. He claims these games were the impetus for his career in the computer industry.

These days, he is a much more mobile gamer. Currently, he is hooked on a game called Box It, which involves blocking areas of the screen by moving a ball and trapping other balls. He has been playing this puzzle game exclusively for the past two months.

The creativity of the games industry, combining visual art, audio, interaction and programming at the highest level, is something he especially values. He also enjoys the extremely competitive nature of the industry that requires fast thinking at all times. And, he says, “Nothing beats playing games at work!”

Casual Connect’s Indie Prize is a demo of creativity and a great way to get exposure, although the ultimate way to get exposure is to license existing IP. “The best thing is to license existing IP from a book, a film, or a retry game. This has to be done on a revenue-sharing basis, as you don’t want to be paying out of pocket.” He also suggests applying for the Indie Prize or submitting the game to be featured on the SOOMLA blog.

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He also suggests applying for Casual Connect’s Indie Prize Showcase or submitting the game to be featured on the SOOMLA blog.

A History of Platforms

As Nizan considers the history of the games industry, he notes that it has always been driven by platforms. These have included PCs, consoles, handhelds, then PCs again, followed by online games, Facebook games, and now mobile games. He insists, “In every shift, huge companies collapsed and new giants came to replace them. So the main question we should be asking is: what is the next platform?”

“So the main question we should be asking is: what is the next platform?”

The most interesting trend Nizan sees coming in the industry is shared economy. It is already a part of other industries and is just beginning to be seen in the games industry. There are now ways self-published game developers can pull together resources, something that will happen more frequently in the future. He expects to see more open source and more shared resources for developers and by developers, especially in areas that were traditionally the domain of publishers.

Nizan hopes that more game developers will mature in their understanding of the business aspects of getting users, engaging them and retaining them. He believes this is about building two basic things into a game: a sense of progress in the form of achievements or levels, and wealth accumulation in a virtual economy. He says, “When these are balanced, they make users come back to the game naturally. They are not that hard to build, but most developers build them as an afterthought.”

 

Europe 2014Video Coverage

Yaniv Nizan: Don’t be Afraid to Win | Casual Connect Video

February 20, 2014 — by Catherine Quinton

“What is that X-factor that can explain why games become more addictive?” Yaniv Nizan asked his audience at Casual Connect Europe. “What I’ve realized is that there is one thing: time.”

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Yaniv Nizan
Yaniv Nizan, Co-founder and CEO, SOOMLA

Yaniv Nizan is Co-founder and CEO of SOOMLA, which he describes as a self-serve platform for creating dynamic in-app purchase stores for mobile games. As the first virtual economy platform, SOOMLA offers an open source framework which standardizes virtual economies in games, while the platform allows the creation and management of these economies. The company’s core technology focuses on financial algorithms, big data, and community-based frameworks.

SOOMLA Starts with a Conversation

It was a conversation with a developer that led to the founding of SOOMLA. This developer was quite successful, with five million downloads on his first game. He described the many emails he had been receiving from different SDK companies. At that point, Nizan realized the company’s success depended on making a product game developers would really love. They decided to start an open source framework, which has now become the leading framework for in-game economies and in-app purchases. He proudly announces that SOOMLA has recently passed 1,500 developer accounts.

Nizan tells us the size of the company requires him to have a generalist’s role. Fortunately, he has a background of diverse experiences filling different roles in a number of companies.

It was a conversation with a developer that led to the founding of SOOMLA.
It was a conversation with a developer that led to the founding of SOOMLA.

Satisfaction and Snowboarding in Israel

When Nizan gets away from work, he clears his head by swimming on a daily basis and also enjoys hiking with his children. He states that his true addiction is snowboarding, although this is a challenging hobby to pursue in Israel. He appreciates both electronic music and alternative rock, depending on his mood.

It was in the first company he founded, EyeView, that he experienced the most satisfying time of his career. In order to open the market and prove to investors their product was valid, they needed to close big customers. He was able to close two of these customers in one month: Ebay and Yahoo, an accomplishment which had him shouting with excitement.  Although Ebay was ten times bigger, Yahoo was the first and most rewarding.

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He points to the mobile games market today as an example where the small developers have as much chance of making it to the top as the big companies do.

Underdogs - Fight Harder and Smarter

The first time Nizan dealt with a competitor that was better funded, as well as having a stronger brand and more traction, brought his most challenging opportunity. He created a strategy to focus on one segment of the market, win it over, and expand from that position. Now he insists, “Never be afraid of big companies. In most situations, there is a way for a highly-focused, extremely talented team to win.”

He points to the mobile games market today as an example where the small developers have as much chance of making it to the top as the big companies do.

Pursuing Constant Innovation

Nizan strongly emphasizes the need for constant innovation. For example, he advises Apple to return to promoting innovation rather than copying the operating system features of Android and the form factors from Samsung and other hardware providers. He stresses, “Apple’s brand stands for innovative products, but it will not stay that way if the company stops being what the brand stands for.”

In the next few years, Nizan expects the games industry to show higher creativity levels in games artwork, more emphasis on the quality of game controls and highly immersive experiences. But he also believes the amount of game-play innovation will decline.

BusinessContributionsDevelopmentOnline

Getting Users to the Store and Keeping Them There

May 2, 2013 — by Mariia Lototska

This is a guest post by Yaniv Nizan who is the CEO and Co-Founder of SOOMLA - the platform for Creating In-App Purchase Stores for Mobile Games. Yaniv is also a writer with articles featured in publications such as: Gamasutra, Codenameone UX Motel and blog.soom.la and a speaker in different industry events. You can follow Yaniv at @y_nizan

One of the critical factors in successful games is that users spend a big chunk of their time inside the store. In this post, we will present a few strategies for getting users to the store and keeping them there.

The key elements of having users spend time in the store are:
-The store needs to be in the regular user flow
-Having day to day items
-The shopping experience needs to be interesting
-Having limits on continuous game play

By combining a few of these elements, you can improve the amount of time a user spends in the store and increase the revenue. Let’s drill down into each one of them:

Shopifying The User Flow

There are a few ways to make the users flow into the store more naturally as part of the game regular sequence. In any game that has levels, it’s possible to design a flow that brings the user to the store at the beginning or the end of every level. Another type of game that allows adding a store to the user flow easily enough is the ‘survival mode’ games, also known as the ‘endless runners’. In those games, you can introduce a store every time the user ends a running session. These types cover a large portion of the games out there, but even if your game doesn’t fit into these categories, you can tie the store appearance to any event that happens regularly enough, such as achievements.

Another tool that helps get users to the store more frequently is using the store to select an active virtual good among a few purchased goods. This is also known as equipping, where a user can equip her character with only one virtual good. Making the store the interface for equipping adds another scenario where the user enters the store.

Daily ‘No Brainer’ Goods

The trick here is to design a simple consumption loop that repeats itself in short intervals of 1-3 levels or sessions. Ok, but what does this mean? Here is an example of such a loop: the user enters a level. In the level, she collects just enough coins to buy a single use virtual good that is a ‘no brainer.’ She enters the level again with the good and now she collects enough coins to buy the same good again but also save a few coins. You can clearly see how this loop will get the user to spend her coins in the store on a daily basis and get used to shopping in your game.

Let’s dig in a bit further about what makes a virtual good a ‘no brainer’ item:
-It completes the game story (horse for a cowboy, surfboard for subway surfer, etc.)
-The user can collect enough coins to reach the item’s cost in a few minutes of game play
-The item enhances the gameplay experience
-It’s easier to collect coins with the item

Making Interesting Stores

Another key in getting the user to spend time in your In-App Purchase store is making them interesting. There are three parts to that: variety, mystery and freshness. The best example for variety is probably CSR Racing, which has a catalog of over 2 million items to buy. Mystery can be achieved by using silhouettes until an item is available for purchase. This way, the user knows that there are more interesting items down the line, but she has to check back to discover what they are. Another way to have a mysterious element in your store is by adding a surprise box. Finally, keeping your store fresh is a combination of unlocking items, adding new items and featuring seasonal or limited items.

Limiting Continuous Gameplay

This last trick is a bit more dangerous, as it can be perceived as unfair by users, so you have to apply it with caution and measure users’ reaction to different variations of it. The idea is to have resources in the game that are consumed quickly in regular gameplay and can only be replenished as time goes by or with a real money purchase. This can be fuel, energy points or actual time in resource management or strategy games. The user then has a choice to quit the game and do something else while her resource are replenished or she can stay in the game and glare at the screen. If you have implemented the rest of the advice, the store should be a fun and interesting experience, and the user is likely to go on a shopping spree to kill some time.

As mentioned before, implementing the last tip can be conceived negatively by the user, so make sure that this is balanced correctly. I will discuss a few ways to do that in future blog posts.

ContributionsDevelopment

Consumable, Non-Consumable Items and What’s In-Between

April 25, 2013 — by Mariia Lototska

This is a guest post by Yaniv Nizan who is the CEO and Co-Founder of The SOOMLA Project, the platform for Creating In-App Purchase Stores for Mobile Games. You can follow Yaniv at @y_nizan.

Since Apple launched its In App Purchase functionality, it has been supporting two types of virtual goods: Consumables and Non-Consumables. With consumable items, the developer expects the user to consume the goods over time and possibly replenish the supply. Tokens, Coins and points are usually consumable goods. On the other hand, Non-Consumables are expected to last forever and can be used to implement extra levels, remove ads feature or upgrade to a premium version of the game.

One might note that this definition only applies to virtual goods that are sold as a cash transaction through the Apple In App Purchasing functionality. The Consumable items allow more flexibility to developers who can use them to design many types of virtual goods with different consumption models, including ones that last forever. The Google Play terminology of Managed Items (equivalent to Apple’s Non-Consumables) and Unmanaged Items (equivalent to Consumables)  is more respective of the fact that developers can manage the consumption of their virtual goods based on different models.

Using In-App Purchase in mobile games requires more types of virtual goods then what is provided by the App Store, and many game designers find that there are at least four additional types: Single Use, Lifetime Use, Equippable Items and Item Upgrades.

Here is a short description of the different types:

Virtual items that the player can only use once before he has to purchase more are often called Single Use goods. These goods can normally be accumulated so the user has a balance of them. This type of goods is very similar to the original meaning of Consumable items but since Consumable now has a wider definition, we need to redefine these goods as Single Use. Another difference is that a developer can limit the accumulation of Single Use items. For example, you can only carry eight bullets in a cartridge. Good examples of Single Use items are shots, fuel and fish food.

These are virtual goods that are available for the player for as long as he plays the game. They are somewhat similar to Non-Consumable products with one big difference - they are not purchased directly as an In-App Purchase but with virtual coins. From this reason, the developer can’t rely on Apple’s Non-Consumable type and has to design it’s own way of preserving the goods for the user. Race tracks, Game Upgrades, and Buildings are good examples of Lifetime Use Goods.

Equippable items are a sub category of Lifetime Use items. The main difference here is that the user has to choose a virtual good before he enters the game play mode. Cars and Characters are usually implemented as equippable items.

Unlike upgrades to the game itself that are normally defined as Non-Consumables (Remove ads) or Lifetime Use (Double Coins), these items upgrade some attribute of another virtual good. There is usually a strong bind between the original virtual good and its upgrades so that an upgrade is only applicable to a specific virtual good. In some games, a Tire can be an upgrade for a Car while in others, Coin Magnet Level 2 will be an upgrade for the basic Coin Magnet. Item Upgrades are normally implemented as Lifetime products.

ContributionsDevelopment

CSR Racing Store Analysis

April 16, 2013 — by Mariia Lototska

This is a guest post by Yaniv Nizan who is the CEO and Co-Founder of The SOOMLA Project, the platform for Creating In-App Purchase Stores for Mobile Games. Yaniv is also a writer with articles featured in publications such as: Gamasutra, Codenameone UX Motel and blog.soom.la and a speaker in different industry events. You can follow Yaniv at @y_nizan. 

CSR Racing was leading the top grossing charts not too long ago. At the time, It was reported that the game was making 12 million dollars per month from In App Purchases. One might notice that the game play experience is actually very simple and instead of providing a full driving simulation, all that is required from the user is to shift gears in time. That is really not hard to mimic and in fact, many games are offering that exact same interaction.

What really makes this game different from other games is the In-Game Store. It was reported that users are spending more time in the store than driving the car on the road. Judging from personal experience, this is very true. Like you, I was also curious, so I repeatedly played the game with the risk of getting addicted in order to find out what’s the secret sauce of the CSR Store.

Let’s start with the technical details. The store for CSR Racing has two main parts: Car Dealer and Workshop. The car dealer offers a large variety of cars organized by maker and levels. It’s interesting to note the fact that all the cars can be compared based on four parameters: Bhp, Grip, Weight and Gearbox. The other part of the store is the Workshop. This is where you can upgrade the car with seven different items: Engine, Gear, Weight, Intake, Tiers, Nitro and Turbo. Each one of these upgrades comes in five levels where each item you buy unlocks the next one in the series. For example - buying Engine Level 1 unlocks Engine Level 2.

What makes it interesting is that all of these upgrades are specific to each car and can’t be moved from one car to the other. The outcome of this store design is that there are about 50 cars and 78,125 combinations to upgrade each car, which brings the total to over 3M combinations while keeping the design of the store relatively simple. Furthermore, all the different combinations of upgrades and cars comes back to the same four parameters, which are the interface between the game and the store. This allows for modifying or adding more virtual goods easily by altering the store without changing the code of the game.

Finally, the core game loop is limited by fuel to seven races per time period (normally 30 minutes). This mechanic limits the amount of cash users can get and forces them to be much more strategic when they spend it. Consecutively, they spend much more time in the store, where they will be tempted to pay with cash to save long waits or get a desirable car.

BusinessContributions

The Free 2 Play Catch - Post Launch Burden and 6 Methods to Reduce It

April 11, 2013 — by Mariia Lototska

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This is a guest post by Yaniv Nizan who is the CEO and Co-Founder of The SOOMLA Project, the platform for Creating In-App Purchase Stores for Mobile Games. You can follow Yaniv at @y_nizan. 

Game Developers for iPhone and Android these days are well aware of the Free 2 Play model and the benefits of applying it in the context of mobile apps to monetize through In-App purchases.

It is no coincidence that out of the $7 Billion dollars paid by Apple to mobile game developers, more than 80 percent was due to transactions made with In-App Purchase Stores.

Less known are some of the hidden traps in this model. Unlike with paid apps, Free 2 Play games are better thought of as a service rather than a product. More specifically, this translates into a lot more post launch effort that can easily add up to a full time job when combining the work spent on business issues, code maintenance and design updates.

Here are some areas in which you can expect post launch activity in Free 2 Play Games:

-Billing support issues
-Monitoring ratings and reviews
-Analyzing and optimizing user engagement and conversion into paying customers
-Trying out different advertising based revenue sources, integrating, evaluating and optimizing
-Integrating different plugins to increase user engagement
-Managing notifications and promotions
-Adding and refreshing content such as seasonal/holiday related content
-Monitoring different SDKs and maintaining the code that interacts with them as the API changes
-Adding billing providers in different territories to increase the likelihood of IAP transactions
-Identifying user segments and designing different app interaction when applicable

All these different activities add up to a continuous stream of tasks that quickly becomes an unexpected burden. If you take another look at the list, you will also discover that none of these tasks are fun or glorious— not really what you signed up for when deciding to make games.

The good news is that there are quite a few ways to minimize the effort needed for these tasks.

Here are 6 methods to manage these tasks more effectively,

1 - Separate the App Meta Data from the Code

This is the most complicated one, so let’s get it out of the way first. When writing the game code, identify every element that can be turned into a parameter and put all of them in a single file, list or database. This will be called your App Meta Data. Doing so can save you a lot of time when you want to update parameters in the game and tweak it later on. Architecting your code in this manner will also allow you much quicker integration with any backend (BAAS) solution down the line.

2 - Use Services that Aggregate Different SDKs

One of the things developers quickly realize once they start using third party SDKs is that each SDK requires maintenance as time goes by. Any service that aggregates different advertising providers or different billing providers can help you save effort on SDK maintenance.

3 - Focus Your User Acquisition and Monetization Strategy

Most game developers would like to improve user acquisition and monetization. There is a temptation to add more channels in each one of those categories. The result is that each one of these channels takes its toll and increases the amount of ongoing effort. There is work associated with monitoring the performance of each one and making sure it doesn’t decline over time. Therefore, it’s recommended to focus efforts on a small number of proven channels rather than chasing too many opportunities.

4 - Measure a Small Number of KPIs and Double the Analysis Intervals

One area that can easily suck up a nice portion of your time is analysis and measurement. In an extreme situation, you can find yourself gazing at the revenue chart and hitting refresh every five minutes. In most cases, the time spent can be reduced drastically by focusing on 3-5 KPIs and resisting the urge to open your analytics console too frequently. In fact, for most games, the optimal analysis interval is bigger than two weeks due to the small number of data points.

5 - Create a Score Card for Providers and Include Post Launch Effort

Another method that can sometimes save effort after game launch is simply increasing your awareness to the ongoing effort issue and adding this parameter when evaluating different SDK and plugin providers. Some even go as far as creating a Score Card for evaluating different providers and adding the post launch time consumption as one of the parameters.

6 - Choose Cross Platform Providers

Many mobile games want to expand into new hardware platforms after seeing early success. Typically, a game would start on iOS and then move to Android, Amazon and Windows. There is an obvious effort in porting the game to a new platform which can be reduced significantly by developing the game on a cross-platform engine. Now, let’s imagine that this was already taken care of and compare a situation where you are using 5 SDKs/Plugins and moving from a single platform to three platforms. If the plugins are not seamlessly supporting multiple platforms, you need to find new providers for each platform which results in having 15 plugins (five plugins times three platforms) to manage.

To summarize, the key is preparation, awareness and focus. If you are launching your first mobile game, you should familiarize yourself with these issues and take the necessary steps beforehand and you should be fine. This way, you will have your mind free to focus on your exciting new game.

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