Steam Updates Storefront: Is Discovery the Key for Mobile?

Steam-Logo

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Steam’s slogan for its new update says it all: A Smarter Storefront. Personalized Just For You.

The update introduces a “smarter” homepage that recommends games based on past purchases, what you’ve been playing, and friends’ recommendations. While this type of personalized targeting has been widely popular with music and video platforms like Netflix and iTunes, the game industry has been slow to follow suit. Steam’s new update may be the push we need towards better discovery tools in a saturated content industry. 

In the past nine months alone, over 1,300 new titles have been added to Steam, which brought the total catalog to over 3,700 games. For indie devs with little to no money to spend on advertising, getting page traffic was difficult to say the least. By far the most interesting feature of the new update is the ability to follow “curators”. Curators can be any individual or organization with an opinion on games and wants to share them. Steam’s curator pages now offer a place to organize these recommendations and following a curator will also send their recommendations to your homepage. To become a curator, you need to create a group, or already be an officer or moderator in a group.

 

After less than a week, the update has been having a big impact as one Gamezone article notes:

Developers have been very open about how the update has affected them, taking to both their blogs and Twitter accounts to reveal the changes they’ve seen on their Steam Store Pages. Andrew Spearin, the Creative Director at New World Interactive took to his blog to reveal the affects of Steam’s Discovery Update on Insurgency (a tactical FPS). Spearin cited how much trafficInsurgency‘s Steam Store Page received prior to the update and post update, here are the numbers:

  • Sunday: 5,800 (pre-update)
  • Monday: 21,500 (post update)
  • Tuesday: 83,284 (post update)

While he did admit that the game was recommended by prominent figures (and Curators) in the gaming world, the spike in people visiting the store page is obvious. If you’re wondering just how visible Insurgency has become on Steam due to the update, the figure is “370% over night.” Spearin is not the only one discussing the potential that Steam’s update has allowed for indie devs.

Curating on mobile

If 3,700 games to sift through seems like a lot, consider that the Google Play Store now has 1,500,000 live apps. Even if only 1% of that were high quality games worth playing, that would still be a whopping 15,000 titles to sort through. With more apps added every day, discovery on both Andriod and iOS is becoming difficult for studios on shoestring budgets. So could a curator model much like Steam introduced be the answer? Korea has been experimenting with that very idea for a while now.

Afreeca TV is a popular video streaming service, though it is not well known outside of Korea. Given that live streaming popular online games like League of Legends and Starcraft are by far the most popular streams on the platform, it made sense when Afreeca TV dipped their feet into the mobile gaming pool last year with the introduction of the Gamecenter.

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Broadcasting Jockeys, known by the unfortunate acronym BJs, create “clans” where they can live stream their favorite mobile games, and even play with their fans. Their audience can reward them by buying “chocolate”, a premium currency on the platform that can be exchanged for items in the store, and even real cash. Users, in turn, earn chocolate by downloading games, making in-app purchases, and participating in the platform in other ways.

So far the platform is quite small and experimental, with just 178,000 Gamecenter subscribers, but engagement levels are high with the average user playing 5.5 games on the platform.

Is this the next move for Google and Apple?

With such great results for video and music services, and impressive possibilities being explored by Steam, could this be the future for mobile gaming as well?  This would work particularly well in Korea where word of mouth from trend-setting power-bloggers is a powerful marketing channel. Do you think this would work on a scale as big as Google Play and Apple? Leave a comment below and tell us what you think!

No Kakao? No Problem: The Pros and Cons of Korea’s Alternative Game Platforms

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Whenever someone asks me about the Korean market,  the question of Kakao is usually top of their list. But what many don’t know is that the Korean mobile market is more than just Kakao. There are a number of great platforms for releasing your games, each with their own pros and cons. We put together an overview of the top three alternative gaming platforms in Korea. Check it out and share with your friends!

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#GamerGate: What about Asia?

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Just when you think the flames of #GamerGate might be dying down, something fans them once again. Two days ago, The Escapists #GamerGate forums were brought down under a DDOS attack. If you don’t know what #GamerGate is, this Vox.com article puts it succinctly:

 

Like all hashtags, #GamerGate has come to mean about 500 different things to thousands of different people. But at its heart, it’s about two topics:

1) The treatment of women in gaming: The start of the story (which is actually the latest permutation of a long-evolving firestorm) came in late August after indie game developer Zoe Quinn and critic Anita Sarkeesian were both horribly, horribly harassed online. The same harassment was later lobbed at award-winning games journalist Jenn Frank and fellow writer Mattie Brice. Both Frank and Brice say they will no longer write about games. The FBI is looking into harassment of game developers.

2) Ethics in games journalism: Some argue that the focus on harassment distracts from the real issue, which is that indie game developers and the online gaming press have gotten too cozy. There’s also a substantial, vocal movement that believes the generally left-leaning online gaming press focuses too much on feminism and the role of women in the industry, to the detriment of coverage of games. (One of the sites mentioned in this debate is Vox’s sister site, Polygon.)

The #GamerGate issue has largely been focused in the US and Western markets and hasn’t really affected the Asian scene. In terms of journalist ethics, the enitre media industry runs differently in much of Asia and is held to different standards and understandings than in the west. And though the issue of women and video games in Asia is mentioned, the arguments are soft-spoken and often fly in the face of what most PC individuals would consider acceptable.

For example, the Vietnamese game company VTC recently hired women to wear “3kg” signs drawn on their chests in a marketing campaign. Games in Asia picked up the story:

Given gaming’s already negative reputation in Vietnam, this is just another move that suggests publishers have no shame when they are trying to market their games. Many other game sites in Vietnam also need this kind of content to pull in more traffic. Quan Nguyen, CEO of Game4v, said that content like this can easily pull in one million views in one night. On the other hand, a good review video would get only a thousand. Most of these sites survive on advertising, which means they need more traffic to make more money. In other words, breasts are keeping these sites alive.

There is also the fact that at nearly every major Asian game conference the issue of “booth babes”, girls that model in cosplay or scantly clad outfits for major brands, is brought to light. This is perhaps most prevalent at Chinese game shows.

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But issues of gender and gaming go beyond the models in Asia. Earlier this year the South Korean based International e-Sports Federation (IeSF) stirred up controversy over gender-equality when they announced that the Hearthstone competition would be male only. 

A Male Dominated Space?


At the heart of this argument is an oft cited statistic that women now make up 52% of “gamers.”  While that might be true, as pointed out in the video above, that number undoubtedly coincides with the bloom of mobile gaming. Mobile is arguably a more casual platform very unlike the console and PC titles that have defined the “gamer” moniker for so long. Hardcore games like League of Legends and Halo still cater to a predominantly male audience, and its likely that this pattern will continue.

And that’s ok.

If core games don’t appeal to the majority of a particular gender, that doesn’t mean the industry should change them so that they do (and given how well they are selling, its doubtful they will). But that doesn’t mean that gamers need to take a hard-line, hate mongering stance against their female critics.

 

That seems to be the status quo as far as Korea and the rest of North East Asia are concerned. Women are neither rejected from participating (think ToSsGirl, the famous professional Starcraft player), nor does the industry accommodate anything that resembles Western feminist ideals.

 

Tell us what you think

Although by Western standards the Asian game scene has a long way to go, it has so far functioned without much loud criticism. In fact most critics of gaming in Asia come from the concerned parents who are more worried about their children becoming addicted to games than they are about female representations of sexuality.

Is this an acceptable model as long as everyone is quiet and happy? Leave a comment and tell us what you think about #GamerGate and the Asian game industry.

Game Spotlight: Mobile MOBA League of Masters Coming Soon

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For hardcore gamers that love 16 hour DOTA sessions and weekend LAN benders, mobile has rarely offered anything worth a look. The Apple showcase last week showcased the first game that may really change all that with Super Evil Megacorp’s Vain Glory. But companies in Asia have already been working on bringing core, MOBA-style games to tablets. Korean-based developers, AppCross, are throwing their hat in the ring with their upcoming title, League of Masters. 

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The free-to-play title expands on the lessons learned from AppCross’ first mobile MOBA, Soul of Legends, improving on many of the mistakes made in the first of the series.

To start, rather than a map with a single lane, the League of Masters map has two lanes and a jungle. Each lane has three towers to destroy before reaching the nexus. The jungle includes two minion camps and a crystal, which when destroyed spawns a Cerberus for your team. The Cerberus minion is much larger and stronger than all other minions. It will stay in your lane until killed by the enemy, and can only be brought back by destroying the jungle crystal. But the most exciting features of the game are in the new multi-player options.

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Players can now opt between three different PVP modes: 1 v 1, 2 v 2, or 3 v 3. League of Masters features voice chat for quick communication with teammates. There is also a clan system and e-sports mode for truly competitive players that want flaunt their MOBA dominance.

Rather than selling runes and skins, League of Masters takes a new approach to monetization. Players can purchase skins that come with stat boosts. The game is not slated for release until the end of 2014, but its one that MOBA fans should definitely look out for as the year winds down.

Send a tweet and spread the word about League of Masters!  Follow us on Facebook and Twitter for more news on great indie games from Korea!

 

The Risk of Acquiring a Hit Game

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TechCrunch’s Josh Constine hit the nail on the head yesterday: acquiring a hit game is stupid. Commenting on the announcement that Microsoft is acquiring Mojang, makers of Minecraft, for $2.5 billion, he had this to say:

Buying a game company is like buying an aging baseball player. You’ll need a miracle to get another hit. And while they might have plenty of fans, they probably aren’t making a lot of new ones…There’s no guarantee it will produce another blockbuster; players will eventually move on from Minecraft, and I doubt anyone is going to buy a dopey Windows Phone just to play a slightly different version of the pixelated sandbox game.

Have we learned nothing from Zynga, Rovio, King and Dong?

Valuing a game on a user-base, as fickle as most gamers are, is asking for disaster. Case in point, Zynga and King both did their IPOs on the heels of their success with FarmVille and Candy Crush Saga. Both have tanked since as their users moved on to the next flavor of the year. This is especially true on mobile where brand loyalty is almost non-existent.

Rovio has long tried to run counter this by establishing themselves, not as a game company but as a brand. Rovio’s spokesman, Peter Vesterbacka, can be heard repeating this mantra at game conferences around the globe. They have their hands in toys, amusement parks, snacks, and even perfumes. But as Constine points out:

there are only so many pigeons you can chuck at pigs, and now its CEO is out after profits sank 52 percent in 2013. If someone had acquired Rovio at the height of its success, they’d be kicking themselves with steel-toed boots right now.

There is an argument to be made that Minecraft does have some unique characteristics that might make it a more valuable proposition. As Keith Noonan at the Motley Fool noted:

The notion of paying more than $2 billion to acquire a company that is primarily known for one game is sure to raise some eyebrows; but Mojang and Minecraft may be a special case. Very few titles in the history of gaming have shown evidence of comparable staying power, and few have a similar potential to aid Microsoft’s aim of bringing its existing gaming resources together with its mobile and cloud focus. If Mojang can engineer successful follow-ups to its megahit, inside the series and beyond it, the company would justify its asking price and be a significant asset for Microsoft.

Even Constine sees there may be hidden potential, noting the game has potential to become a digital platform for creativity much like Legos. However, we’ve never seen a game company with a single title turn into a lasting legacy worth $2.5 billion. The argument is summed up well in his final note:

And I’m sorry, Microsoft, but no one is going to ditch all their other apps and Androids or iPhones for a laughable Windows Phone just to play some special version of Minecraft. If you’re telling yourself that’s why the deal makes sense, your blood-Kool Aid content has surpassed legal levels. Stop drinking it. Kids don’t want Windows Phones. They’re not cool.

You know what is cool? Minecraft. You know what’s an easy way to change that? Have one of the lamest, old-man corporations buy  

Trends in Korea

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Big buyouts are nothing new to the Asian gaming market. SoftBank and GungHo’s $1.53 billion purchase of 51 percent of Supercell based off its success with Clash of Clans is perhaps one of the more notable.  But in Korea massive IPOs from game companies with a single title have been few and far between. SundayToz launched its IPO off the back of Anipang, one of the first titles to hit the KakaoGame platform. The company is currently worth approximately $160 million and its share price rocketed during the first quarter of 2014 on the heels of its IPO.

Other notable companies include DevSisters, the company behind the hit “Cookie Run”, who are gearing up for a an IPO valued at $132 million. PATI Games saw a $20 million injection from Tencent in exchange for a 20% stake in the company earlier this month. Famous for the popular game I Love Coffee, the company is estimated to be worth $100 million. Finally, the flavor of the year 4:33 studios with their game Blade, received $9 million from LB Investments and Korea Investment Partners in May this year, valuing the company at approximately $40-$50 million.

The trend in Korea so far has been far more conservative than the staggering valuations we have seen out of Western companies, and even China and Japan comparatively.

Are these trends a bad omen?

So far, we’ve seen a lot of these IPOs and grandiose valuations cause problems in the industry. As a result, studios have been bought and sold, with people losing their jobs in the wake of poor decisions. But we want to know your thoughts:

Is this type of M&A activity the engine that is going to drive the growth of the game industry, or are we seeing feverish excitement that will ultimately collapse and level off? Is it an overall positive or negative for game developers at the bottom rung of the industry? Leave your comments below!

 

Will Apple’s New Products Make Waves in Korea?

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For decades the tech world has been attempting to respond to one of the greatest problems ever to plague the first world: too much junk in our pockets.

This weeks announcements from Apple may have people forgetting about loose change problems for good. With the release of their new payment system this fall, Apple hope to have us tossing out our wallets (and the money in them) in exchange for digital purchasing and a brand new Apple Watch.

But how will these new products fare in Korea, where the products are not as fresh and face some stiff competition?

Apple Watch vs. Galaxy Gear 2

As the home of Samsung, its no suprise that Korea is an Android-centric market.  Any Apple product release is inevitably followed by a Samsung comparison, so here’s how the Apple Watch stacks up to the Galaxy Gear 2:

Apple Watch Galaxy Gear 2
Size 38mm and 42mm 41mm
Camera No 2mp
Sensors Accelerometer, Gyroscope, Heart rate Accelerometer, Gyroscope, Heart rate
Connectivity Wifi 802.11b/g and Bluetooth 4.0 Infrared Blaster and Bluetooth 4.0
Charging Through a magnetic attachment Micro-USB dock
Battery TBD 2-3 days of use
Price $349 $299

 

 

 

 

 

 

 

 

When it comes to specs, the watches are not all that different. Apple Watch comes out the clear winner design wise, making Samsung’s Gear look cheap and clunky in comparison. But even the best designed smartwatch begs the question: is this a product anybody wants?

Aside from tech fans and early adopters, if Samsung’s track record is anything to go by, the answer is probably not. The first iteration of Galaxy Gear was a commercial flop. A short battery life and an identity crisis over whether to be a phone or a watch turned people away from buying it.

Add to the fact that only 9% of the Korean market is Apple based, and it’s unlikely we will see too many units moved in the Land of the Morning Calm.

Apple Pay vs Kakao Pay

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Although Apple Pay will only be available in the US when it rolls out this October, it bears mentioning for the Korean market.

Consumers in the United States have not traditionally used their phones to pay for goods and services at retail stores.  Mainly because of the ubiquity of credit and debit cards and a lack of other, digital options. But Apple is trying to change that with their new pay service, which will integrate payments into your already existing Apple accounts and they’re making sure that you feel secure.

Usability wise, the system is simple. Since iTunes already has your credit card information, making your first payments is easy. You will be able to add additional cards by entering details yourself, or simply snapping a photo of the card you want to use.

The new fingerprint identification system available on iPhones adds an extra level of security not available on other digital payment systems, which typically require passcodes. Apple Pay will also not store credit card information on its servers. Instead, the information will be stored on a secure chip right on your device. And it’s not even your real card number. Apple will verify your card information with your bank, then store an alternative card number on the phone. That way when a merchant’s system is hacked, only the alternative number is compromised.

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This is the type of tech that has the potential to do extremely well in Korea’s small Apple market where consumers have long been used to making payments with digital systems. Though apple will have some catching up to do by the time they finally release Apple Pay in Korea.

Last week Kakao made the announcement for its new pay service, Kakao Pay. The service is similar to Paypal and requires that customers type in their passwords to make payments. While this might seem like more of an inconvenience than that the fingerprint mechanism Apple uses, it’s a much simpler system compared to the complex authentication requirements currently used for online shopping in Korea.

The service has already launched for Android users and will be available for iOS in November. Kakao Pay users can register up to 20 credit or debit cards. BC Card Co., Hyundai Card Co. and Lotte Card Co. have already signed up to work with the platform and many more are expected to follow suit.

Kakao Pay will first offer users gift coupons that they can purchase, and extend its payment system over time to be used in major bookstores, supermarkets, restaurants, and e-commerce.

Apple will have its work cut out for them in Korea should they decide to roll out their own payment system to compete in Korea. Kakao is used by over 90% of smartphone users, both Android and iPhone. If Kakao Pay is successful, it is unlikely that a large portion of the small Apple user base will make the switch by the time Apple decides to roll out its services here.

Leave a Comment:

What do you think about Apple’s new products? Will you buy any smartwatches or adopt the new payment system? Tell us what you think in the comments below!

Korea’s Mobile Game Industry: 4 Things You Need to Know

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In this modern age of globalization, reaching beyond your own market and expanding into a different one makes sense from many different perspectives. Expanding to larger group of users who are interested in playing your titles is an excellent way to increase revenue and brand awareness across a global market.

While there are many large and successful markets within Asia, its impossible to deny the explosive growth and success of the Korean gaming market. With a total worth of over 9 billion dollars that continues to steadily grow, the gaming market, and specifically the mobile gaming market is one success story after the other, with some of the most popular mobile titles making up to $300,000 daily in revenue.

With a heavy saturation of mobile devices, and a population that embraces and plays titles faster than any other country in Asia, now has never been a better time for foreign developers to make the leap into the Korean market.

What Korea Offers

Korea currently has mobile penetration rate of over 100%. Within that 100% nearly 95% of all users use a messaging platform to communicate with their friends and family. While messaging platforms are beginning to pick up steam in North America and Europe, in Korea popular platforms like Kakao have dominated the scene for over several years, and show no signs of slowing down. With over 70 million users in other countries using Kakao and over 90% penetration rate for Korea, Kakao is a platform to connect with all demographics. Whether young or old, rich or poor, everyone uses Kakao to communicate.

 

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If you’re wondering why this matters for games, the answer comes from Kakao’s own distribution service. Along with communication, Kakao also offers users a gateway to download books, coupons and even games through its service. The introduction of games has proven to be a massive success, with a majority of the most popular and highest grossing mobile titles in Korea coming from Kakao. Learning how to publish through Kakao offers a huge advantage when it comes to promotion and distribution with a large network of users who can advertise and share a game with the swipe of a finger.

What About Google Play/iOS?

While western developers are used to prioritizing the iOS market place over Google Play, it’s important to realize that in Korea, the opposite is true. With Android devices making up the majority of hardware sales, Android enjoys over a 90% share of the market. This is largely due to domestic hardware manufacturers like Samsung and LG. As such,  Apple has barely made a foothold in the marketplace and domestic game developers tend to take and Android first approach.

 

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For a developer unfamiliar with the Korean market, it may seem like a daunting task to try and enter the fast paced and demanding market. While there are some barriers to crossing over to this market, understanding the market and having a plan that allows developers to utilize various platforms and market places is the key to success. Messaging platforms are starting to catch on with game distribution, with other similar services to Kakao such as Band, Line, and MyPeople starting to offer games through their services. While Kakao definitely has a strong grip on the messaging and gaming market, success outside of Kakao is not impossible. For example, Clash of Clans, is the number two highest grossing title in Korea as of this writing,  and it is not distributed through Kakao. Success without Kakao is entirely possible, as a well made and popular game will sell regardless of platform. Knowing what Korea likes to play is another big step in confidently breaking into the market.

What Korea Likes to Play

Games in Korea fall into three categories: casual, mid-core, and hard-core. Casual titles being colorful, easy to play titles that all ages and demographics can play. These include games like puzzle games  and endless runners, such as the famous Cookie Run, developed by Devsisters. While these are by far the most popular titles in Korea, they also come from a market that is the most crowded and most competitive and they don’t monetize as well as mid-core and hard-core titles. The genre also suffers from a lot of copy-catting as smaller studios try to get a slice of the pie.

Mid-core games have more advanced game mechanics and require more commitment than casual titles. Examples of this are the hack and slash titles and action RPGs, such as the mobile blockbuster Blade, produced by 4:33 studios.

Hardcore games offer the most complicated and time consuming gameplay, requiring the user to invest the most amount of time and effort in the game. RPG’s and Turn Based RPG’s are most common in the hardcore genre, including titles such as Soul of Legend, a mobile MOBA.

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Seoul of Legend, a hardcore, MOBA from Korea.

Mid and hard-core offer the most opportunity for western developers. The casual market is saturated and difficult to gain recognition.  Without international momentum to carry into the market, as King had with Candy Crush, developers from abroad are likely to drown in the noise of Korea’s casual market.

Planning for the Future

The best opportunity for western developers lies in the mid and hard-core markets. Not only is it a less saturated  market, but they also tend to monetize better, with users willing to pay more and invest more of their time in their games. While some mid to hard core games have begun to find success, it is no where near the same level of saturation as the casual tiers, this means that the market is ripe for new ideas and new titles.

With a high saturation rate of users, a market that makes millions of dollars daily and a niche that is still waiting to properly explode with popularity; the opportunity for western developers to publish their titles in Korea has never been more advantageous. Researching your demographic, knowing what the audience wants (or what is popular) and most obviously, having a great game are the keys to succeeding in Korea.

Tell Us WhatYou Think

Have a game you’re interested in releasing in Korea? Let us know about it! Leave a comment and a link to your game. Don’t forget to connect with us on Twitter, Facebook, and LinkedIn for more pro-tips on making hit games for Korea.

 

profile picKyle Hovanec is a writer currently living and working in South Korea. He writes for several Korean publications including Latis Global Communications. You can contact him at khovanec87@gmail.com 

Kakao Talk Odds & Ends: Kakao Games Celebrates 2 Year Anniversary

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The team at Latis Global is glad to send Kakao Games a big congratulations on their 2nd anniversary. For the past two years, the mobile gaming platform has gone from a small up-and-comer with just a few games, to one of North East Asia’s most important distribution platforms boasting hundreds of AAA and indie titles. To celebrate, we’ve created an infographic to show just how far they’ve come in such a short time.

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As always remember to follow us on Twitter, LinkedIn, and Facebook, for more great articles about games in Korea.

 

 

Mobile Game Trends: Why is BAND Games failing to compete with Kakao?

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There’s no denying that the Korean mobile game market is a market big enough to share. Since the success of Kakao and their own distribution system, other media outlets and competitors have been scrambling to cash in on Kakao’s success, hoping that their own unique spin to the social networking and gaming distribution scene.

BAND from Naver is one of the latest services to attempt to join the increasingly crowded market. BAND strives to deliver service that allows you to create different groups for different kinds of people you want to communicate with. Similar to Google Plus, BAND allows users to curate their followers, giving the user full control over what information is shared their friends. Along with their social media feature, BAND also features a marketplace to distribute chat stickers, coupons and games. While this seems like it could possibly be a interesting and unique alternative to Kakao, in terms of game distribution, BAND unfortunately features several flaws that hold it back and ultimately, keeps it squarely in the second tier spot compared to other services such as Kakao and HIVE.

A New Way to Communicate

On the surface, BAND appears to be on the right path for game distribution. Launching May 12, 2014, BAND launched their service with 10 titles for their game store. Similar to Kakao, while distributed on BAND’s service, the games themselves could also be downloaded through Google Play’s Store or Naver’s N Store.

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One month later, BAND switched to an open platform format, meaning that any game could be offered through the platform, no longer limiting it to just BAND titles. It was shortly after this that the company announced that they would be acquiring more than 250 different developers to make games for BAND with the goal of releasing a new game every three days, giving BAND an average of around 40 games per month.

BAND was also attempting to gain the goodwill of their developers as well. Keys for application programing were sent to 170 different gaming companies in order for developers to quickly and efficiently upload their games to BAND. Along with a starting development kit, making games for BAND also appeared more profitable than other resources since developers could avoid paying the 30 % tax fee that other services offered and could end up keeping 52% of the profits made from each game, slightly more than some competing services.

The Problem with BAND and Games

The problem with BAND isn’t with the service or attempt to gain developers, its the games and target audience. While Kakao Games originally attempted to appeal to women in their 30’s and 40’s, and then expanded to the casual audience, BAND’s target audience is with men in their 30’s and 40’s. While this by itself is fine, its also a limited audience, arguably smaller than any other target group in the Korean mobile gaming market.

The casual audience is massive. The hardcore audience continues to slowly grow. The middle age market men hasn’t exactly moved massive amounts of mobile games nor has it made the meaningful impact outside a few select genres that BAND seems to hope for. A quick look at the top grossing games in Korea has the highest ranking BAND game, Legion of Heroes an MMORPG,  at number 134, the next two are both 148 and 191 respectively. While its not impossible that men in their 30’s and 40’s may want to play an MMORPG on their mobile devices, its not all that likely either. The genre’s target audience: the hardcore gamer would be the most interested, and with several other alternatives on much more popular services, it seems unlikely they have any incentive to switch to BAND anytime soon.

 BAND-Rankings

Missing the Target

 

It’s possible that BAND hopes to start at the middle age men market, and then branch out to a more casual market, similar to what Kakao did, however this provides another problem of being too little, too late. A majority of BAND’s available titles, despite having different titles, look oddly familiar. Puzzle games, endless runners, and other titles similar to their rival service fill the market place. While this is not an entirely bad move, making what you know will sell, in this case it does more harm than good. Nothing about these titles offers any new gimmick or interesting enough twist to the formula in order to entice anyone to play these titles. Instead it comes off as more “me too” games that already exist on more well established services which again, gives very little reason to leave.

The casual market is over-saturated to the point that it’s no longer feasible to make a clone of a successful game and expect success overnight. Knowing who your audience is, knowing what they like and knowing the games they want to play now (and beyond) is the key to success in this quick moving and unforgiving market. Having 250 developers to make games for you is pointless if you’re not exactly confident who to target those games towards.

There’s potential with BAND. The service is steadily gaining more follows daily and there have been signs of success with the overseas markets gaining interest. However, as far as game distribution goes, BAND seems to be thinking more in the now than the later, Mobile game users are more savvy than ever when it comes to downloading games and in order to keep up with the demand, distributors and publishers need to be even smarter.

 

 

profile picKyle Hovanec is a writer currently living and working in South Korea. He writes for several Korean publications including Latis Global Communications. You can contact him at khovanec87@gmail.com 

Mobile Game News: Mergers and acquisitions in Korea

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The numbers are big. Big with a capital “B” as in Billions.

In Q1 2014, gaming mergers and acquisitions (M&A) shook the industry with over $5 billion spent acquiring games companies, just shy of the entire 2013 spending.

If those numbers aren’t big enough, Digi-Capital’s latest report estimates the value of the mobile game industry alone will be $33 billion by 2017. Yes, the game industry has been rife with acquisitions in the last year and a half, even if they haven’t always played out very well.

Zynga’s recent purchase of Natural Motion made headlines earlier this year – a more hopeful acquisition than the fiasco that was OMGPop; Talkweb bought controlling stakes in Huorong Game; and a number of other major deals have fueled a valuation bubble.

Given that much of the growth and mergers are being driven by Asia , we thought we’d shine a little light on some of the big deals made in Korea this last year, and what they mean for the future of the country’s mobile gaming market.

Kakao, Gamevil, and CJ Making Moves

The last year has seen a number of high-stakes mergers in Korea, forming partnerships that will ripple across the game industry in all of Asia.

Gamevil and Com2Us

com2us-hive-logoFor a long time, these two mobile giants had a rivalry that played out in app store release schedules like clockwork. When one would release an RPG, the other would soon follow, often in the same month. But their points of contention ultimately provided them with common ground. First, there was a similar user base. Second, they both had a big enough reputation to remain independent from Kakao, avoiding its steep revenue cuts. The merger resulted in the creation of the Hive, a strategic move to provide a separate platform from Kakao.

Kakao and Daum

Merger-Kakao-DaumThere is no telling what may ultimately result from the Kakao-Daum merger that was announced earlier this year, but there is obvious potential for broadening both social integration and advertising platforms. If Kakao manages to smoothly integrate their services (Kakao Story, Kakao Music, Kakao Page, etc.) with Daum and take advantage of Daum’s advertising platforms (Ad@m, TNK, Value Potion), it may prove to be one of the strongest mergers in Korea’s mobile game industry.

 CJ and Tencent

Tencent-CJ-Games-PurchaseAny discussion of the mobile industry in North East Asia is bound to bring up CJ and Tencent. Last year, Tencent bought a 26% stake in the company for $500 million. CJ’s diverse portfolio has proved to be a solid investment for Tencent, as CJ now has five games in the top 20 grossing charts on Google Play. How long can CJ’s dominance last? It’s hard to say.  If Daum and Kakao manage a strong, successful partnership, then CJ will likely remain on top for a long time to come. Their early investments in the OTT platform have given them a major edge in the competition, and the money they are making hand-over-fist in the game market will only fuel their continuing dominance.