Zynga needs a strong profit center, which I believe should be either increasing revenue from advertisement or real money gambling. Real money is not happening yet, so i would say in short term, Zynga should focus on its revenue from ADVERTISING. In order to do that, increase of its user base on web or mobile are the priorities.Hasbro Board game is not going to save Zynga. Let's look at those games, they are for those kids like 4+, 8+, 13+... It is certainly not a bad thing, but it is not going to save Zynga.
David Ko is moving up and now directly reports to Pincus. However, mobile, look at how GLUU is performing today. This is a highly segmented platform (Pincus made a good point about this during CC) . Mobile game players are casual and their tastes change quickly. It is really hard to put advertisements on. It is going to be a very bit challenge to Zynga to make money from mobile. Gluu is struggling as well. Linkedin is doing well and they are generating a lot of revenue from advertisement on web.
Zynga has to build zynga.com to gain more players, with option using FB account or without it. Now, Zynga.com is nothing. You still have to play games using FB account. It is not yet independent from FB yet. Without its own on-line platform, Zynga is not going to survive. Zynga has more than 260M users as of today, the Ville is doing very well. I tried the Ville and compared it to EA’s sim city social. The Ville is more fun. It is so detailed oriented, such as facial expression. However, they really should think about how to monetize those players. I believe only handful users are paying for those virtual goods and most of them are playing for free.
1.Zynga needs to focus on advertising.
2.Gain more game players from both web and mobile by building up Zynga.com and put more games on mobile. A very important thing is that those games should be accessible from both platforms.Cityville on mobile is different from one on mobile. Then why should I have to build two cities on different platforms? Farmville on mobile used to be the same as the one on web, however, a lot of bugs and broken images on mobile. I remember from very last time I accessed to Farmville on mobile, it says that it won’t be supported from Aug 1, 2012. So I guess new Farmville on mobile is coming?
3.More partnership is required and let’s make Zynga.com an independent platform from Facebook. More games from other developers to be released from Zynga.com.
4.International development. Focus on Japan and China market.
5.Finally, REAL MONEY. Pincus said that is going to be the first half of 2013 in Europe? He sounds desperate during the conference all. The announcement did not help stock price though.
This company has a lot of potential if they do things right. So be patient.