alanti:So it appears coins will be used for getting coin clubs (attributes unknown)
This, to me, indicates a switch in WGT priority from monetization of players (members who buy credits with cash or earn free credits thru videos, surveys, and offers) to retention of players (players who keep coming back).
Research indicates only 2.2% of a free-to-play game's player base spent money and two-thirds of people stop playing after one day! Of that 2.2%, about half the revenue comes from 10% of those who spend. In other words, half of the credit revenue comes from 0.22% of the player base.
Say WGT's player base (those who registered) is 10 million. Only 2.2% spent money, that's 220,000 players. Half the credit revenue comes from 10% of those spenders. That's only 22,000 players.
Those that have invested cash (or time to veiw vids, etc.) will tend to stick around and play for a longer period of time. Eventually, after a long time, the spending will slow or stop as players have no need to buy higher level clubs or credits are being earned through play vs cash.
A big part of WGT's business model was based on our need to upgrade clubs and balls to advance in the game. Shoe said: "Coins
are a test feature in response to comments that the game is too expensive." No doubt in my mind that is a big reason people don't stick around.
An alternative to upgrading clubs without spending credits will open up a whole new audience for WGT. Recall the research says two-thirds of people leave after one day. (a peek at the member list confirms at least that.)
How does that affect WGT's revenue stream? Ad revenue is, in general, based on number of visitors. The more people that visit the site the more ad revenue for WGT. The number of unique visitors to the site has been trending down. So ad revenue has been going down as well.
The new audience (from retaining new players who can now upgrade clubs without using credits) would boost WGT's ad revenue. Its an effort by WGT to retain those players who leave because the "game is too expensive".
I would price the lower level upgrades cheap to get players hooked on the game, make friends, join CCs, invest time. Then, once players have become commited, gradually increase the coin costs to give players reason to earn more coins through more play. And more play means more visits.
And once implemented I'd expect a WGT external ad campaign along the lines of "More Ways To Play Free!".