Second Life October metrics: More falls
Filed under: Economy, News items, Second Life, Virtual worlds
October metrics for Linden Lab's virtual environment, Second Life are not yet formally available, but Lab CFO John Zdanowski wound up giving out a link to the information in advance, so we have the figures to work with. September was not a good month by these metrics, and we were interested to see how October panned out.
Your key takeaways for October are a continuing plunge in premium accounts, and a reduction in overall economic activity. User hours, however were up. A more detailed summary follows after the jump.
The gains were:
- User hours rose in October after their fall in September, rising 11% to 37 million user-hours for the month.
- Private estates increased by only 3.6% in October, and Linden Mainland by 1.3%. The total at the end of the month was 2.013 billion square metres.
The losses:
- PMLF (accounts with a positive monthly Linden Dollar flow) is down by 1.86% to 61,467, canceling out most of the gain this figure had in September. The figure is now on a par with July 2008.
- User-to-user transactions are down 10.83%, more than wiping out the gains of September, but this figure does not appear to provide any useful measure of economic activity, and Linden Lab cautions us against inferring any such activity from it.
- The amount of USD exchanged during October fell for the third month running, falling an additional 0.7% (US$66,000) to 9.05 million USD. Across the three months, that's a fall of 4.8% (US$459,000) from its peak in July 2008.
- Premium accounts continue their accelerating decline. Another fall this month, this time 2.1% (1,751 accounts) bringing the new figure to 81,479. Linden Lab's new CEO, Mark Kingdon says that 'Premium subscriptions are immaterial in our overall business.'
October closed with the L$:USD exchange rate gaining fractionally from September's close, at L$266.3:US$1.
Basically while September was essentially a decline, October didn't seem to fare much better, except in user-hours.
Demographically there seems to be little change. Second Life is still firmly in the hands of Baby Boomers and Generation X as far as active users go, and younger users statistically remaining unengaged. The percentage of user-hours consumed by users under 25 fell during October to 14.96% (including Teen Second Life).
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Reader Comments (Page 1 of 1)
Loki said on 10:30AM 11-19-2008
End of october everyone piled into to SL for a 24 hour protest about OS's thats why use count was up :-p
Reply
Tharkis said on 11:52AM 11-19-2008
umm not to be picky, but isn't thier whole business (not to mention the value of the $L) based on land? And you can't own land unless you (or someone else) has a premium account. So wouldn't it stand to reason that if people are dropping their premium accounts (because they no longer want/can afford the land) it would hurt the LL bottom line? I guess I am confused.. I also wonder what this will do to the value of the $L. With so many new sims being available at a cheaper price, will that inflate the L$ or make it stronger?
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Tali said on 1:42PM 11-19-2008
My guess is that LL is deliberately trying to consolidate anything requiring support to as few active accounts as possible, effectively farming out end-user support to those.
Hence things like the "turn openspaces into rentals or leave" strategy and the non-concern over fewer *individuals* being able to own mainland. I think LL would only be overjoyed if they could get rid of all the pesky smalltimers and let a few land barons and their support staff handle all the end-users.
Andabata Mandelbrot said on 5:52AM 11-20-2008
Tateru, I wonder why people keep looking at things like premium accounts? I've used SL since 2006 and have never required a premium account, leasing or buying my land from others.
One much more meaningful stat, I believe, is the average number of users per hour. While "logged-in in the last 30/60 days" includes alts, and "hours used" is hard to understand by the media (and people not following SL in general), Average Users per Hour is a nice stat, and shows how the use is growing, and how many people, on average, you can expect.
I've compiled those numbers on my blog:
http://andabata.blogspot.com/2008/11/second-life-average-usershour-mdia-de.html
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