[casual_games] Portal Sales
Alex St. John
stjohnalex at yahoo.com
Thu Dec 21 02:23:11 EST 2006
We have pretty good data on the revenue generated by all the major portals and many of the minor ones in downloadable sales and advertising. I can't quote the data out of respect for understandings of confidentiality on the data, but I can give you a very simple and userful rule of thumb. Any casual game portal with a pure try-and-buy download business will average a conversion ratio of around 1% of it's monthly audience to a retail purchase, with an average transaction size of $20-$24. Thus a casual game site with 1m unique users/mo has the ability to sell roughly 10,000 unit's/mo and generate $200,000-$240,000 in sales. If they're running an ad network on their site, they may generate an incremental 35K-50K/mo in advertising revenue from that traffic. The trick of course is getting an accurate guess at a portals audience.
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