PLAYSTUDIOS, Inc. (NASDAQ:MYPS) Q2 2023 Earnings Call Transcript

And how does that relate to the way the programs are designed and the mechanics within the programs that we emphasize? And then they have a bunch of questions around the execution. So how much resource will it actually consume to actually integrate and then ultimately service and manage over time so that they can enjoy those benefits? They can then kind of assess the returns relative to the complexity and cost of implementing it. So it’s exactly the conversations that we want to be having so we understand what the sensitivities are. We obviously have a lot of our own information and data that we use to help, eliminate those conversations and provide some clarity. But there, I would characterize them still as being very early. So, and then as far as, so hopefully that addressed the questions on just generally the nature of the conversations as for the commercial model, we’re, we have a bunch of different alternatives and ideas that we’re also starting to socialize.

There’s different ways for us to monetize and extract value out of our whole loyalty proposition given that it’s a marketplace. There’s bunch of, there’s three different parties that benefit from it. There’s not only the players obviously that are enjoying these three benefits, but there’s the doing makers and publishers on one side of the market. And there’s the rewards partners and providers that really leverage it as a channel to go and acquire new consumers or reactivate dormant ones or really leverage and get better yield out of whatever inventory they have. And so we’ve engaged and have had conversations about different pricing models, but it’s really way too early for us to converge on any one. But as we deal and we get a bit more clarity, we’re happy to share what our thinking is.

David Pang: Okay, that was very helpful. And just as a follow up to the, your comments on my Vegas and my Konami, I was wondering what kind of changes that are being implemented or being expected to be implemented in-game, specifically for those two games.

Andrew Pascal: Well, they’re a bit different. The my Vegas product, its overall position is it’s a very easy and accessible and engaging product in terms of its presentation and creative direction and the types of games that we craft for it. Whereas Konami is really for more of the casino or slot purists, those players that really enjoy and traditionally play slot machines and casinos. And so their expectations from the product are very different. And so things that we need to do to optimize each of them are different. In the case of my Vegas, we see an opportunity to convert more of the audience and then drive up our people. When we look at the methods with which we do that in our pop slots product and some of our other products that are really successful, it calls for some economy adjustments, which are rather complicated.

The economies refer to the way we manage the delivery and how we inject kind of a free currency into the cycle of the player’s experience versus where we introduce friction and actually drain that currency from the economy. So the rate and pace, which would do those things and how that’s balanced is something that we’re revisiting actually in both of those products, but probably more so my Vegas. And then how we go about segmenting our audience and then adjusting and tailoring both the complexity and difficulty of the game experience and how it is that we go about promoting different offers and have those offers are priced in light of what we know about the players. The sophistication that we employ in doing that is something that we’re advancing and evolving.