Nexon Corporation 2003

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Nexon Corporation 2003
2003 BCD FORUM
The 2nd Asia Pacific Broadband Summit      
Online Game Korea December 7, 2003
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• Agenda
• Korean Online Game Market
• Company Introduction
• Nexon Online Game Business Model

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Company Introduction

• Established 1994
• Nexon USA (Santa Clara) 1997
• Nexon Japan (Tokyo) 1999
• Number of Employees 500
• Online Games in Service 20
• 2003 Revenue 68 mil(E)

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Company Introduction

• Developed the worlds 1st MMORPG
• Kingdom of the Winds 1996
• Highest game user figures in Korea
• Over ½ million unique players per day
• Over ½ million playing Nexon games concurrently
  (peak)
• Over 4 million unique players per month
• Over 30 million game IDs
• Over 4 million unique web page visitors per month
• Over 5 million web page impressions per day

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Financials Revenue Profit
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Worldwide/Pan Asian Presence
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Nexon Online Game Business Model

• Revenue Models
• Monthly Subscriptions (42.3)
• Free Gameplay Selling of Items (54.0)
• Items for Avatar Decoration
• Function Items
• Decoration Function Items
• Advertisement Product Placement (3.7)

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Nexon Online Game Business Model

• Nexon Revenue Structure

AP
DF
MS
FI
DI
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Nexon Online Game Business Model

• Revenue Models
• Monthly Subscriptions
• RPGs Mabinogi, Asgard, Tales Weaver, etc.
• Fixed amount, fixed period
• 1 month / 3 months
• Price range (Asgard)
• ? 26,400 (22) per 1 month
• ? 68,000 (57) per 3 months

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Nexon Online Game Business Model
ASGARD

• MABINOGI

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Nexon Online Game Business Model

• SHATTERED GALAXY

TALES WEAVER
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Nexon Online Game Business Model

• Free Gameplay Selling of Items
• Items for avatar decoration QPLAY
• Better-looking characters ? more popularity in
  games
• Do not affect gameplay ability

QPLAY Characters After Decoration
QPLAY Characters Before Decoration
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Nexon Online Game Business Model

• QPLAY Gameshop

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Nexon Online Game Business Model
QPLAY
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Nexon Online Game Business Model
QPLAY
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Nexon Online Game Business Model

• Items to enhance gameplay ability Crazy Arcade
  BnB
• Cannot be used for decoration purposes
• Help users to win games with various functions
• Price range ? 350(0.30) ? 9,000(7.50)

Character No Change
Items at BnB Gameshop
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Nexon Online Game Business Model

• Crazy Arcade BnB

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Nexon Online Game Business Model

• Items for Decoration Enhanced Gameplay Maple
  Story
• Both types of items are sold
• Price range 0.50 5.00

Equipped w/ Function Items but w/o Decoration
Items
Naked Character Basic Items Only
Complete with Decoration Function Items
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Nexon Online Game Business Model

• Maple Story Gameshop

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Nexon Online Game Business Model

• Maple Story

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Nexon Online Game Business Model

• Advertisement Product Placement

QPLAY
BnB
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Nexon Online Game Business Model

• Payment
• Direct payment Wire Transfer, Credit Cards
• Nexon Cash Rechargeable Virtual Wallet
• Credit card
• Cellular phone
• House phone
• ISP
• Pre-paid vouchers(coupons)

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END