DOCSLIB.ORG

Casual Games Leader's Quest for Golden Eggs

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Casual Games Leader's Quest for Golden Eggs Commissioned Equity Research • 19 June 2019 Telecom Equipment and IT Rovio Finland KEY DATA Casual games leader's quest for golden eggs Stock country Finland Bloomberg ROVIO FH Having been around for about ten years, the Angry Birds brand has proved Reuters ROVIO.HE its longevity and Rovio its ability to monetise the entertainment franchise Share price (close) EUR 7.31 through engaging casual mobile games and brand licensing. The solid Free Float Market cap. (bn) EUR 0.58/EUR 0.58 balance sheet and positive cash flow allow the company to pursue growth Website http://www.rovio.com/ objectives through organic and inorganic means. We believe the biggest Next report date 08 Aug 2019 risks for the company relate to rising user acquisition costs, a possible decline of the Angry Birds brand and failure to diversify the game portfolio PERFORMANCE to include new genres. 12 Rovio is still all about Angry Birds which we view as a strength 10 Of Rovio's 22 live mobile games, the top five are based on the Angry Birds 8 (AB) brand. The two top-grossing games in 2018, AB 2 and AB Friends, are 6 slingshot games that were launched in 2015 and 2012, respectively. The success of these games proves Rovio's solid category leadership, capability 4 to monetise its brand, and its ability to run live operations to engage 2 Sep17 Apr18 Nov18 Jun19 gamers and prolong the lifetime of its games. Its brand and slingshot genre leadership create a stable cash-generating core for Rovio. Rovio Source: Thomson Reuters Finland OMX Helsinki All-Share (Rebased) Upside from a flock of upcoming game titles and bolt-on M&A In order to achieve meaningful growth, Rovio aims to diversify its game VALUATION APPROACH portfolio from the casual and AB-themed games through in-house development and bolt-on M&A. Current initiatives include the launch of AB P/E 6.9 10.4 Dream Blast in Q1 2019, the acquisition of strategy game developer PlayRaven in Q4 2018, and incubation of the Hatch mobile game streaming EV/EBIT 6.1 8.5 service. Rovio should launch a new game in H2, after which we expect two new game launches per year. We estimate the new games to have a DCF 7.2 9.4 slightly weaker KPI performance on average than the recently launched AB DCF Monte Carlo Dream Blast, leading to a 7% sales CAGR on a group level during 2018-21E, simulation, 10th- 6.6 9.5 90th percentiles and an EBIT margin of 13% (14% ex-Hatch) in 2021E, from 11% in 2018. 4 6 8 10 12 Source: Nordea estimates DCF and peer multiples suggest valuation range of EUR 6.8-9.4 We derive a DCF valuation range of EUR 7.6-8.7 per share by applying a ESTIMATE CHANGES WACC of 8-12%. We perform a Monte Carlo simulation with game KPIs (MAU, DAU/MAU and ARPDAU) and calculate the 10th-90th percentile Year 2019E 2020E 2021E values to be EUR 6.6-9.5 per share. We also include relative valuation with Sales n.a. n.a. n.a. EBIT (adj) n.a. n.a. n.a. P/E and EV/EBIT multiples derived from relevant Nordic gaming Source: Nordea estimates companies and global mobile gaming companies. The averages of the upper and lower limits for different valuation approaches equal a valuation range of EUR 6.8-9.4. SUMMARY TABLE - KEY FIGURES Nordea Markets - Analysts Sami Sarkamies EURm 2015 2016 2017 2018 2019E 2020E 2021E Senior Analyst Total revenue 142 192 297 281 315 333 347 EBITDA (adj) -6 35 65 48 50 50 51 Veikkopekka Silvasti EBIT (adj) -22 17 36 31 37 40 44 Analyst EBIT (adj) margin -15.2% 8.8% 12.1% 11.1% 11.8% 12.1% 12.7% EPS (adj) -0.24 0.14 0.33 0.30 0.37 0.40 0.44 Ville Tiainen EPS (adj) growth -323.7% 158.8% 130.7% -7.7% 23.6% 8.4% 9.5% Senior Analyst DPS (ord) 0.00 0.06 0.06 0.09 0.11 0.12 0.13 EV/Sales n.a. n.a. 2.2 0.7 1.3 1.2 1.0 EV/EBIT (adj) n.a. n.a. 17.8 5.9 11.4 9.7 8.2 P/E (adj) n.a. n.a. 27.6 12.7 19.6 18.1 16.5 P/BV n.a. n.a. 5.2 1.9 3.2 2.8 2.5 Dividend yield (ord) n.a. n.a. 0.7% 2.4% 1.5% 1.7% 1.8% FCF Yield bef A&D, lease n.a. n.a. 8.2% 14.0% 7.8% 6.7% 6.7% Net debt -10 -10 -88 -120 -158 -188 -218 Net debt/EBITDA 1.5 -0.3 -1.5 -2.5 -3.2 -3.8 -4.2 ROIC after tax -31.6% 18.5% 43.9% 53.6% 91.5% n.m. n.m. Source: Company data and Nordea estimates Marketing material commissioned by Rovio 19 June 2019 Rovio Contents Factors to consider 3 Valuation 7 Estimates 12 Rovio's market 20 Rovio in brief 30 Game portfolio – fewer, bigger and better 38 Business model 44 Risk factors 48 Reported numbers and forecasts 49 Disclaimer and legal disclosures 52 Marketing material commissioned by Rovio 2 19 June 2019 Rovio Factors to consider Rovio is best known for the global Angry Birds brand, which started out as a popular mobile game in 2009, and has since evolved to include various entertainment and consumer products through brand licensing and movies. We believe that the well-recognised Angry Birds brand, the company's leading position within the slingshot games genre, its solid net cash position and its experienced team of developers will drive growth ahead. The main risks, in our view, lie in rising user acquisition costs, potential deterioration of the global Angry Birds brand, failure to diversify into new game genres and potential risks related to bolt-on M&A activity. Angry Birds is a global brand with high recognition We believe Angry Birds is We believe that the strong brand value of Angry Birds benefits the company in two Rovio's "secret sauce", enabling ways. Firstly, the global awareness of the brand improves organic user acquisition in better organic user acquisition the hyper-competitive mobile games market. Given that the cost of acquiring a paying and a profitable product and customer has been steadily rising, all leverage that can generate organic downloads is content licensing business highly valuable. Secondly, a strong brand enables the company to run a profitable product and content licensing business, which also further strengthens the brand awareness. Thus, we view the Angry Birds brand as Rovio's "secret sauce" in terms of discoverability and user acquisition challenges. The upcoming Angry Birds Movie 2 in August and the ten-year Angry Bird anniversary celebrations in December are testimonies to the brand's versatility and longevity. RECOGNITION OF SELECTED "MOBILE-BORN" BRANDS, % RECOGNITION OF SELECTED GLOBAL BRANDS, % 100% 97% 100% 97% 96% 80% 94% 95% 93% 80% 70% 91% 90% 60% 85% 40% 80% 20% 75% 0% 70% Angry Birds Candy Crush saga Clash of Clans Angry Birds Star Wars Frozen Hello Kitty Pokemon Source: Lieberman Research Worldwide, 2017 Source: Lieberman Research Worldwide, 2017 Core portfolio ensures stable cash flow but requires constant refreshment Rovio has a robust portfolio of Rovio's current game portfolio includes 22 titles. However, in line with its "fewer, bigger core games that has proven its and better" logic for the game portfolio, significant resources (developer hours and ability to generate stable gross marketing expenses) are invested in just the top four or five games. As illustrated sales... below, Rovio's game portfolio has delivered relatively stable quarterly gross sales of EUR 60m or above since Q2 2017. However, every game carries a lifetime, and Rovio ...but every game has a lifetime cannot expect to keep on delivering such robust gross sales without launching new and new games need to be games. The portfolio received a much needed boost when Rovio launched AB Dream constantly added to maintain Blast in Q1 2019 and we expect another game to be unveiled before year-end. and grow the business Furthermore, we forecast that Rovio will launch two games per year in 2020 and 2021. Marketing material commissioned by Rovio 3 19 June 2019 Rovio GROSS SALES PER GAME, EURm 80 67 67 66 70 63 65 65 63 60 60 56 14 10 15 15 16 16 14 15 7 50 47 10 3 5 7 4 3 7 3 40 6 4 36 13 7 9 7 7 7 40 10 6 8 29 12 11 11 8 8 7 30 12 8 9 86 12 8 8 9 8 7 20 7 10 8 8 31 35 32 5 8 30 10 6 20 21 18 20 22 12 16 6 9 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2016 2016 2016 2016 2017 2017 2017 2017 2018 2018 2018 2018 2019 Angry Birds 2 Angry Birds Friends Angry Birds Blast Angry Birds Evolution Angry Birds Match Angry Birds Pop! Angry Birds Dream Blast Other Source: Company data and Nordea estimates AB Dream Blast has been making progress recently Looking at the top grossing rank of all games from the US App Store (App Annie), we conclude that Rovio's top games at present have performed quite stably over the past three months.
Load more

Recommended publications
  • Redeye-Gaming-Guide-2020.Pdf
    REDEYE GAMING GUIDE 2020 GAMING GUIDE 2020 Senior REDEYE Redeye is the next generation equity research and investment banking company, specialized in life science and technology. We are the leading providers of corporate broking and corporate finance in these sectors. Our clients are innovative growth companies in the nordics and we use a unique rating model built on a value based investment philosophy. Redeye was founded 1999 in Stockholm and is regulated by the swedish financial authority (finansinspektionen). THE GAMING TEAM Johan Ekström Tomas Otterbeck Kristoffer Lindström Jonas Amnesten Head of Digital Senior Analyst Senior Analyst Analyst Entertainment Johan has a MSc in finance Tomas Otterbeck gained a Kristoffer Lindström has both Jonas Amnesten is an equity from Stockholm School of Master’s degree in Business a BSc and an MSc in Finance. analyst within Redeye’s tech- Economic and has studied and Economics at Stockholm He has previously worked as a nology team, with focus on e-commerce and marketing University. He also studied financial advisor, stockbroker the online gambling industry. at MBA Haas School of Busi- Computing and Systems and equity analyst at Swed- He holds a Master’s degree ness, University of California, Science at the KTH Royal bank. Kristoffer started to in Finance from Stockholm Berkeley. Johan has worked Institute of Technology. work for Redeye in early 2014, University, School of Business. as analyst and portfolio Tomas was previously respon- and today works as an equity He has more than 6 years’ manager at Swedbank Robur, sible for Redeye’s website for analyst covering companies experience from the online equity PM at Alfa Bank and six years, during which time in the tech sector with a focus gambling industry, working Gazprombank in Moscow he developed its blog and on the Gaming and Gambling in both Sweden and Malta as and as hedge fund PM at community and was editor industry.
    [Show full text]
  • Annual Report 2018 1002 Year 2018 Ceo’S Review Operating Environment Rovio As an Investment Strategy Business Model Responsibility Governance Financial Statements
    2018ANNUAL REPORT YEAR 2018 CEO’S REVIEW OPERATING ENVIRONMENT ROVIO AS AN INVESTMENT STRATEGY BUSINESS MODEL RESPONSIBILITY GOVERNANCE FINANCIAL STATEMENTS CONTENT Rovio in brief .................................................. 1 Highlights of the year ..................................... 2 CEO’s review ................................................... 3 Operating enviroment ..................................... 6 Rovio as an investment ................................. 10 Rovio’s strategy ............................................ 12 Business model ............................................ 15 Games business unit ..................................... 19 Brand Licensing business unit ...................... 30 Rovians ......................................................... 34 Responsibility ............................................... 36 Board of Directors ........................................ 39 Leadership team ........................................... 42 Corporate Governance statement ................. 46 Remuneration report .................................... 55 Financial statements .................................... 60 Report of the Board of Directors ................... 61 For shareholders ........................................ 150 ANNUAL REPORT 2018 1002 YEAR 2018 CEO’S REVIEW OPERATING ENVIRONMENT ROVIO AS AN INVESTMENT STRATEGY BUSINESS MODEL RESPONSIBILITY GOVERNANCE FINANCIAL STATEMENTS RevenueRevenue, , RevenueRevenue, , Revenue per segment, AdjustedAdjusted EBITDA EBITDA, , AdjustedAdjusted EBIT EBIT,,
    [Show full text]
  • Casual Resistance: a Longitudinal Case Study of Video Gaming's Gendered
    Running Head: CASUAL RESISTANCE Casual resistance: A longitudinal case study of video gaming’s gendered construction and related audience perceptions Amanda C. Cote This is an Accepted Manuscript of an article published by Oxford Academic in Journal of Communication on August 4, 2020, available online: https://doi.org/10.1093/joc/jqaa028 . Abstract: Many media are associated with masculinity or femininity and male or female audiences, which links them to broader power structures around gender. Media scholars thus must understand how gendered constructions develop and change, and what they mean for audiences. This article addresses these questions through longitudinal, in-depth interviews with female video gamers (2012-2018), conducted as the rise of casual video games potentially started redefining gaming’s historical masculinization. Analysis shows that participants have negotiated relationships with casualness. While many celebrate casual games’ potential for welcoming new audiences, others resist casual’s influence to safeguard their self-identification as gamers. These results highlight how a medium’s gendered construction may not be salient to consumers, who carefully navigate divides between their own and industrially-designed identities, but can simultaneously reaffirm existing power structures. Further, how participants’ views change over time emphasizes communication’s ongoing need for longitudinal audience studies that address questions of media, identity, and inclusion. Keywords: Video games, gender, game studies, feminist media studies, hegemony, casual games, in-depth interviews, longitudinal audience studies CASUAL RESISTANCE 2 Casual resistance: A longitudinal case study of video gaming’s gendered construction and related audience perceptions From comic books to soap operas, many media are gendered, associated with masculinity or femininity and with male or female audiences.
    [Show full text]
  • A Casual Game Benjamin Peake Worcester Polytechnic Institute
    Worcester Polytechnic Institute Digital WPI Major Qualifying Projects (All Years) Major Qualifying Projects April 2016 Storybook - A Casual Game Benjamin Peake Worcester Polytechnic Institute Connor Geoffrey Porell Worcester Polytechnic Institute Nathaniel Michael Bryant Worcester Polytechnic Institute William Emory Blackstone Worcester Polytechnic Institute Follow this and additional works at: https://digitalcommons.wpi.edu/mqp-all Repository Citation Peake, B., Porell, C. G., Bryant, N. M., & Blackstone, W. E. (2016). Storybook - A Casual Game. Retrieved from https://digitalcommons.wpi.edu/mqp-all/2848 This Unrestricted is brought to you for free and open access by the Major Qualifying Projects at Digital WPI. It has been accepted for inclusion in Major Qualifying Projects (All Years) by an authorized administrator of Digital WPI. For more information, please contact [email protected]. Storybook - A Casual Game Emory Blackstone, Nathan Bryant, Benny Peake, Connor Porell April 27, 2016 A Major Qualifying Project Report: submitted to the Faculty of the WORCESTER POLYTECHNIC INSTITUTE in partial fulfillment of the requirements for the Degree of Bachelor of Science by Emory Blackstone Nathan Bryant Benny Peake Connor Porell Date: April 2016 Approved: Professor David Finkel, Advisor Professor Britton Snyder, Co-Advisor This report represents the work of one or more WPI undergraduate students. Submitted to the faculty as evidence of completion of a degree requirement. WPI routinely publishes these reports on its web site without editorial
    [Show full text]
  • What Is Casual Gaming?
    CHAPTER ONE What Is Casual Gaming? Over the past several years, the term “ casual game ” has been bandied about quite a bit. It gets used to describe so many different types of games that the definition has become rather blurred. But if we look at all of the ways that “ casual ” gets used, we can begin to tease out common elements that inform the design of these games: ● Rules and goals must be clear. ● Players need to be able to quickly reach proficiency. ● Casual game play adapts to a player’s life and schedule. ● Game concepts borrow familiar content and themes from life. While all game design should take these issues into account, these elements are of particular importance if you want to reach a broad audience beyond traditional gamers. This book will look at elements that a wide array of casual games share and draw out common lessons for approaching game design. Hopefully it will be of use not just to casual game designers, but to all game designers and even general experience designers as well. Everywhere you look these days, you see impact of casual games. More than 200 million people play casual games on the Internet, according to the Casual Games Association. This audience generated revenues in excess of $2.25 billion in 2007. 1 This may seem meager compared to the $41 billion posted by the entire game indus- try worldwide,2 but casual games currently rank as one of the fastest growing sec- tors of the game industry. As growth in the rest of the industry stagnated, the casual downloadable market barreled ahead.
    [Show full text]
  • Fighting Games, Performativity, and Social Game Play a Dissertation
    The Art of War: Fighting Games, Performativity, and Social Game Play A dissertation presented to the faculty of the Scripps College of Communication of Ohio University In partial fulfillment of the requirements for the degree Doctor of Philosophy Todd L. Harper November 2010 © 2010 Todd L. Harper. All Rights Reserved. This dissertation titled The Art of War: Fighting Games, Performativity, and Social Game Play by TODD L. HARPER has been approved for the School of Media Arts and Studies and the Scripps College of Communication by Mia L. Consalvo Associate Professor of Media Arts and Studies Gregory J. Shepherd Dean, Scripps College of Communication ii ABSTRACT HARPER, TODD L., Ph.D., November 2010, Mass Communications The Art of War: Fighting Games, Performativity, and Social Game Play (244 pp.) Director of Dissertation: Mia L. Consalvo This dissertation draws on feminist theory – specifically, performance and performativity – to explore how digital game players construct the game experience and social play. Scholarship in game studies has established the formal aspects of a game as being a combination of its rules and the fiction or narrative that contextualizes those rules. The question remains, how do the ways people play games influence what makes up a game, and how those players understand themselves as players and as social actors through the gaming experience? Taking a qualitative approach, this study explored players of fighting games: competitive games of one-on-one combat. Specifically, it combined observations at the Evolution fighting game tournament in July, 2009 and in-depth interviews with fighting game enthusiasts. In addition, three groups of college students with varying histories and experiences with games were observed playing both competitive and cooperative games together.
    [Show full text]
  • Docuware Generated
    DIPLOMARBEIT Titel der Diplomarbeit „Von ,Tennis for Two’ zu ,Angry Birds’. Ein medienhistorischer Überblick des Social Gaming.“ verfasst von Astrid Löffler angestrebter akademischer Grad Magistra der Philosophie (Mag.phil.) Wien, 2015 Studienkennzahl lt. Studienblatt: A 317 Studienrichtung lt. Studienblatt: Diplomstudium Theater-, Film- und Medienwissenschaft Betreut von: Mag. Dr. habil. Ramón Reichert INHALTSVERZEICHNIS: I. Einleitung und Begriffsklärung 1 II. Definition(-en) des Spiels im Allgemeinen 2 1) Understanding Media – The extensions of man 2 2) Homo ludens 4 3) Maske und Rausch, die Spiele und die Menschen 10 a) Agôn 11 b) Alea 12 c) Mimicry 13 d) Illinx 14 III. Eine kurze Geschichte der ersten Computer 17 IV. Genrekategorisierung des Computerspiels 20 1) Action 20 2) Adventure 23 3) Strategie 27 V. Begriffsklärung Social Gaming 29 VI. Das gemeinsame Spiel am gleichen Ort 31 1) Die ersten spielerischen Begegnungen zwischen Mensch und Maschine 31 2) Die Arcades erobern das Wohnzimmer – Spielkonsolen 35 a) Der Famicom und Super Mario 38 b) Weitere Konsolen 39 c) Erschließung neuer Konsumentengruppen –Guitar Hero, Buzz!, Wii Balance-Board 42 i) Guitar Hero 45 ii) Buzz! 47 iii) Wii Balance-Board 49 3) Portable Geräte – Handhelds 51 a) Pokémon 54 b) Weitere Entwicklung des Handhelds 57 4) LAN-Partys und e-Sports 59 a) Ein kurzer Überblick über die Geschichte des Heimcomputers 59 b) LAN-Partys 67 c) e-Sports 68 VII. Das gemeinsame Spiel an verschiedenen Orten 72 1) Social Network Games – von AOL bis Facebook 72 a) Q-Link und AOL 73 i) Habitat 74 ii) ICQ und Warsheep 77 b) Facebook 78 i) Zynga 79 ii) King.com 87 2) Spielespezifische Social Networks 90 a) Von MUD1 zu WoW 91 i) MUDs am Beispiel von MUD1 92 ii) MMORPGs am Beispiel von WoW 93 b) Second Life 98 3) Smartphone-Games 99 VIII.
    [Show full text]
  • Hardware & Esports at the Core Of
    Hardware & Esports at the Core of 1. The mobile gaming 4 opportunity 2. Immersion and competition are key 9 trends 3. Hardware facilitates 20 and drives mobile trends Fast-rising hardware capabilities facilitate new game formats COMPETITIVE FREE-TO-PLAY Competitive mobile games and mobile esports MULTIPLAYER GAMES AS A SERVICE continue to rise in popularity, taking an increasing share of gamers’ time and money. With new cross- IMPROVED platform innovations, mobile gamers now have the HARDWARE possibility to play and compete directly with PC and IMMERSIVE console gamers. At the same time, mobile games SINGLE PLAYER SPECIFICATIONS have become more immersive, offering realistic and engrossing game environments and experiences. The convergence of these two trends, made possible by fast-rising hardware capabilities, has paved the way MAXIMUM for new game genres such as battle royale to emerge GAMING and thrive. EXPERIENCE In this report, we explore the mobile gaming opportunity and how the desire for increasingly core, competitive, and sophisticated experiences on mobile has led hardware brands such as Razer and Asus to release dedicated mobile gaming devices. PAY-TO-PLAY © 2018 NEWZOO GAMES AS A PRODUCT MAXIMUM VIEWING JELLE KOOISTRA EXPERIENCE Head of Market Analysts © Newzoo 2018 3 1. THE MOBILE GAMING OPPORTUNITY Global games market revenue forecast | Per device and segment MOBILE PC $70.3Bn $32.9Bn +25.5% YoY +1.6% YoY 3% 24% TABLET GAMES 10% BROWSER PC GAMES $13.9Bn 21% $4.3Bn Mobile games will account for +13.1% YoY -13.9% YoY 2018 TOTAL BOXED/ (SMART)PHONE 51% $137.9Bn DOWNLOADED GAMES PC GAMES +13.3% of the global $56.4Bn 41% YoY $28.6Bn games market this year.
    [Show full text]
  • “Hardcore” Video Game Culture Joseph A
    Proceedings of the New York State Communication Association Volume 2013 Proceedings of the 71st New York State Article 7 Communication Association 2014 The aH rdcore Scorecard: Defining, Quantifying and Understanding “Hardcore” Video Game Culture Joseph A. Loporcaro St. John Fisher College, [email protected] Christopher R. Ortega [email protected] Michael J. Egnoto [email protected] Follow this and additional works at: http://docs.rwu.edu/nyscaproceedings Part of the Mass Communication Commons Recommended Citation Loporcaro, Joseph A.; Ortega, Christopher R.; and Egnoto, Michael J. (2014) "The aH rdcore Scorecard: Defining, Quantifying and Understanding “Hardcore” Video Game Culture," Proceedings of the New York State Communication Association: Vol. 2013, Article 7. Available at: http://docs.rwu.edu/nyscaproceedings/vol2013/iss2013/7 This Conference Paper is brought to you for free and open access by the Journals at DOCS@RWU. It has been accepted for inclusion in Proceedings of the New York State Communication Association by an authorized administrator of DOCS@RWU. For more information, please contact [email protected]. Loporcaro et al.: The Hardcore Scorecard The Hardcore Scorecard: Defining, Quantifying and Understanding “Hardcore” Video Game Culture Joseph A. Loporcaro, Christopher R. Ortega, Michael J. Egnoto St. John Fisher College __________________________________________________________________ The goal of the current study is to further conceptualize and define the term “hardcore” as it relates to video game culture. Past research indicates that members of cultural subdivisions favor their own group versus others due to perceived commonalities (Durkheim, 1915; Tajfel, 1970). In gaming culture, the subdivisions of “hardcore” and “casual” games/gamers have become especially salient in recent years.
    [Show full text]
  • The User Engagement Top 100 Report in Mobile Gaming
    The 2017 User Engagement Top 100 Report Mobile Gaming Table of Contents Introduction ··································································· 3 Key Takeaways ································································ 4 Methodology ·································································· 5 Push Strategy Adoption of the Top 100 Mobile Games How They Were Sent: Permission Requests ······················· 6 Who Sent Them: Game Genre Breakdown ························· 7 When They Were Sent: Push Timing ································· 8 What Was Sent: Message Content ·································· 10 Missed Opportunities ····················································· 16 Summary ······································································ 17 About Iterable ······························································· 18 Appendix ······································································ 19 2 Introduction Whenever new market research discusses mobile applications, gaming dominates the conversation. Here are just a few mind-boggling stats about the impact of this industry. \ 62 percent of smartphone owners install How are game publishers able to keep customers games within a week of getting their phones, a so engaged? In this report, we analyzed the push higher percentage than any other type of app. messaging strategies adopted by the top 100 freemium mobile games in the United States to study \ Consumers spent $41 billion on mobile games how they communicate with their customers.
    [Show full text]
  • Digital Distribution and Games As a Service
    Science and Technology Law Review Volume 16 Number 1 Article 14 2013 Digital Distribution and Games as a Service Marco Mereu Patrick Hudson Steve Nix J. J. Richards Follow this and additional works at: https://scholar.smu.edu/scitech Recommended Citation Marco Mereu et al., Digital Distribution and Games as a Service, 16 SMU SCI. & TECH. L. REV. 25 (2013) https://scholar.smu.edu/scitech/vol16/iss1/14 This Article is brought to you for free and open access by the Law Journals at SMU Scholar. It has been accepted for inclusion in Science and Technology Law Review by an authorized administrator of SMU Scholar. For more information, please visit http://digitalrepository.smu.edu. Digital Distribution and Games as a Service SYMPOSIUM PANEL I Panelists Mr. Marco Mereu, uCool Mr. Patrick Hudson, Robot Entertainment Mr. Steve Nix, GameStop Mr. JJ Richards, MOGA Dean John Attanasio: Good morning. My name is John Attanasio, and I am Dean of the SMU Dedman School of Law.' It is my pleasure to welcome you here this morn- ing. The law school has a very rich intellectual life, not only in the class- room, but also outside the classroom. On January 28-29, 2013, Justice Antonin Scalia visited SMU as a Dis- tinguished Jurist in Residence.2 Our own Professor Bryan Garner joined him on January 28 in presenting their book3 to a sold-out audience.4 This is our fifth time doing this event. It is one of my favorite events of the year, in part because it is always a very rich conference, but mostly because I am an avid gamer myself.
    [Show full text]
  • \\ Investment Highlights Business Description Market Cap. $11.41B P
    Consumer Discretionary Sector, Toy and Game Industry NASDAQ Stock Exchange \\ Hasbro Inc. Date: 04/16/2018 Current Price: $88.26 (04/16/2018) Recommendation: BUY Ticker - NASDAQ: HAS Headquarters: Pawtucket, RI Target Price: $112.69 (27.7% Upside) Investment Highlights Figure 1 – Share Price We recommend a BUY rating for Hasbro Inc. based on a 1-year target price of $112.69 per share. Our target price offers a 27.7% margin of safety based on its closing price of $88.26 on April 16, 2018. The following factors are the main drivers of our investment recommendation: Strong Industry Outlook & Positioning The global Toy and Game industry is poised for consistent growth in both developed and emerging markets, and the Digital Gaming and Entertainment space is expanding rapidly. Hasbro’s brand portfolio and strategy effectively places it at the center of this growth. Brand Storytelling Source: Bloomberg Hasbro’s strongest asset is their ability to tell stories that drive engagement and grow their brands. Its ability to leverage its ecosystem of products, content, and media to create emotional connections and drive engagement make it a standout. Figure 2 – Valuation Weighting Industry Leading Brand Portfolio Base Case Valuation Hasbro possesses an industry leading entertainment and play brand portfolio especially suited to a DCF 50% $ 102.43 broad range of users. Other industry players have struggled with, or have just began creating such Comps 50% $ 122.94 a portfolio. Price Per Share $ 112.69 Margin of Safety @ 88.26 27.7% Effective Multi-Platform Brand Strategy Source: Company Data + Team Analysis Hasbro’s Brand Blueprint and “Share of Life” strategy has allowed it to expand the profitability and earning potential of its brand portfolio by leveraging film, television and digital gaming media in addition to traditional toys and games.
    [Show full text]