Global Mobile Payments Arun Pattabhiraman SmartPay™ Simple. Smart. Global. Mobile Payments. Arun Pattabhiraman

Mobile Dedicated With Four Years of Global Focus We’re a Mobile Technology Company Mobile Dedicated With Four Years of Global Focus Mobile Dedicated 250+ Employees 13 Offices, 12 Countries, 5 Continents 47.3 Billion Ad Impressions 314 Million Monthly Unique Users 12,000+ Partners

Market for Digital Goods on Mobile In-App Purchases this year : $7.3 Billion, $14.1 Billion by 2012 In-App Purchases will be $36 Billion by 2015 Source:

Lets Look at some ‘global’ phenomenon Regional Interest : Search Index for specific terms in Aug 2011

In-App Purchases is the Preferred Business Model for iOS Developers Industry Stats: In-App Purchases is the Preferred Business Model for iOS Developers More Revenue generated from Freemium Games than Paid downloads 35% of the 300 most popular free games in June use some sort of virtual currencies to monetize in the Apple app store for the iPhone.

Users Prefer the Try & Buy Model Industry Stats: Users Prefer the Try & Buy Model People prefer trying an app and then paying for it rather than paying upfront. The average selling price of games declined by 28% over the last year. The Revenue generated by successful freemium games increased tenfold during this period in the Apple App Store for iPhone.

In-App Purchases - Transaction Size Industry Stats: In-App Purchases - Transaction Size 71% of all transactions are for amounts under $10 16% are for spends between $10 to $20 13% are for amounts greater than $20.  [over a sample of 3.5M users] The average amount spent per transaction is $14.  7

App Developer Global Monetization has its challenges Tax / Currency Payment Methods Local Compliance Risk/Fraud Settlements Global Opportunity

Monetization is Complex! OS Platforms Manufacturers Billing Options Countries Distribution OEM Different platforms Different distribution vehicles Different countries – currency, tax, compliance, regulations and more Korea – Game Regulatory Board approval, WASPA membership etc.

Monetize (Advertising) Lifecycle of an App Build App Stores Advertising Sell Apps on Marketplace In-App Payments App Analytics Developer Platforms Ad Networks Engagement Products Pricing Analyze Optimize Acquire Users Monetize (Advertising) Retain Users Complex choices at every stage What is your core ? – Idea & Execution or everything ? Where is the monetization opportunity ? Monetize (Payments)

SmartPay Aims to Simplify Monetization Geographies Monetization Models App Developers & Store Fronts Platforms Payments

Virtual Currency Platform We Provide Building Blocks for Monetization Smart Payments Pipe Monetization Models Virtual Currency Platform Social Dynamic flows – SMS / Direct Charging / Customer care numbers / local language support etc ? Carrier billign advantages – higher conversions , payouts getting better day by day Virtual currency platform ? Social – SoLoMo? Analytics – are you doing the right thing ? Analytics

SmartPay™ Key to success is multiple modes of payment Carriers IN-APP PURCHASE Sell virtual goods within the application TRY & BUY Offer upgrades to full versions of apps or remove usage limits SUBSRCIPTIONS ONE-TIME Payments solution for app purchasing VIRTUAL CURRENCY Complete VCM solution (Standalone or Integrated) Single Point of Integration with API/SDK SmartPay™ Defaults to Frictionless Carrier Billing Carriers

Global Coverage – Access to Top Mobile Markets Brazil Russia Japan Australia Spain Sweden Nigeria US 250M UK 70M Germany 80M France S.Korea 50Mn China 800M India 500M Indonesia 200M Malaysia 35M South Africa 55M Potential reach of ~2 billion mobile users today. Global nature Top android countries Countries that really matter ? Mobile first countries ? Expanding to 30 countries by 2011 End Source : wciplus, country mobile subscribers, july 2011

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