OpenFeint Steps Into TapJoy's World With Pay-Per-Install Distribution

OpenFeint has announced a partnership with Adknowledge's Super Rewards as it debuts its OFX 2.0 Freemium Platform. The duo plan to offer pay-per-install distribution to developers.

OpenFeint has announced a partnership with Adknowledge’s Super Rewards as it debuts its OFX 2.0 Freemium Platform. The duo plan to offer pay-per-install distribution to developers. More after the jump.

Pay-per-install is one of the best ways for developers to increase downloads. Developers essentially ‘purchase’ inventory in other freemium games that offer virtual currency. Players of those games that don’t want to purchase virtual currency can alternatively download other apps available in exchange for virtual currency, in a manner similar to filling out offers. Game publishers who are paying out the virtual currency get a revenue share from the incentivized install they deliver.

“Mobile is the new frontier for game developers looking to reach the next wave of gamers,” said Chris Smutny, general manager for Adknowledge. “The free-to-play phenomenon that became popular on Facebook is about to explode on mobile. OpenFeint is the perfect partner because they’re the leader in social game engagement technology on mobile platforms, and they have the critical mass of 4,800 games and 66 million players which creates an unparalleled opportunity to transform how mobile games are developed and monetized.”

The platform seems to be solely for iOS as no plans for Android seem to have been announced. OpenFeint will also be offering virtual economy analytics so game developers can measure their economies and gain insight into their players’ behavior.

“Mobile is an increasingly important part of our strategy and we’re excited to establish a footprint there using OpenFeint’s vast reach and Adknowledge’s proven games monetization solution,” said Suren Markosian, founder of CrowdStar.

This announcement is the coming fruition of OFX as its beta version was launched in February of last year by AuroraFeint. Although OpenFeint has been quite successful recently in expanding their user base (adding roughly 250,000+ new users daily) on both iOS and Android, it remains to be seen how they will do offering services in a crowded space. Tapjoy still seems to be ahead of the curve when it comes to distribution especially with the release of their Pay-Per-Action model that rewards players for completing actions in addition to simply ‘installing’ an application.

OpenFeint’s game porting efforts from iOS to Android have been stellar as 50 percent of the games hit the top 15. OpenFeint was also pushing each partner app using Spotlight – their destination for game discovery. Perhaps their ability to drive successful distribution of apps can pay off for them with their latest release. OpenFeint also partnered with AT&T recently to place OpenFeint’s gaming network on certain Android devices using AT&T’s service.

Notice that AdKnowledge’s partnership with OpenFeint is only for the iOS. They technically could partner with OpenFeint on Android as well although they have already been working with PapayaMobile, the leading mobile social platform for Android apps. Adknowledge provides thosuands of targeted ad offers within Papaya’s Offer SDK system.

It was a matter of time before Adknowledge stepped into this space although I’m curious to see how these web-based offers do on mobile. One thing is clear though – users will only install so many apps before reaching a saturation point. According to the graph from Neilsen Company below, Apple iOS users have the most number of avg applications, so saturation is still better in iOS compared to Android.

OpenFeint is competing with Apple’s Game Center in many ways and it remains to be seen if Apple will also make strides in these spaces and clamp down on its symbiotes the same way Twitter has been recently. To find out more information and learn how OpenFeint and Adknowledge will work together, developers should visit OpenFeint.com/OFX2 or www.srpoints.com.