State of the Social Casino Industry Q 3

State of the Social Casino Industry Q 3 2015 Elad Kushnir, Vice President of Business Development Blog: www. eladkushnir. wordpress. com Twitter: @eladkushnir CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015

Playtika is the Social Casino Global Market Leader $549 million 5. 7 million Revenues in 2014 DAU 18. 5 million $0. 27 DARPU MAU 12 Global Offices, Over 1100 Playtikans CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 2

SOCIAL CASINO Market Overview CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 3

SOCIAL CASINO IN CONTEXT Free 2 Play Business Model = Social Casino CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 4

SOCIAL CASINO MARKET SIZE $4. 44 B $3. 46 B $2. 8 B $2. 03 B $1. 33 B 2012 2013 2014 FB Revenues 2015 E 2016 E 2017 E Mobile Revenues CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 Source: Eilers Research 5

GLOBAL GAMES REVENUES Vs. SOCIAL CASINO 2015 $ 70. 0 $ 60. 0 $ 58. 6 B Billions $USD $ 50. 0 $ 40. 0 $ 32. 9 B $ 30. 0 $ 20. 0 $ 10. 0 $ 3. 5 B $- Web / PC / Console Mobile ~4% of Global Games Revenues Social Casino CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 Source: Eilers Research, New Zoo 6

MARKET PLAYERS Casino Suppliers Proven Content Offline Casino Operators Brand Cross Promotion Social Games Companies Mobile & Social Platform Experience RMG Operators Digital Casino Experience CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 7

COMPETATIVE LANDSCAPE Q 3 2015 PLAYTIKA ZYNGA IGT GSN CHURCHILL DOWNS SCIENTIFIC GAMES TIER 1 ~22% ~11% ~9. 5% ~5. 9% ~5. 7% ~5. 4% ~59. 5% TIER 2 ~21. 3% TIER 3 ~19. 2% + HUNDREDS MORE CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 Source: Eilers Research 8

TRENDS AND REALITIES CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 9

THE PORTFOLIO STRATEGY GOES MAINSTREAM CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 10

EXPANDED PRODUCT OFFERINGS Classic Slots CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 11

LOYALTY PROGRAMS ARE THE STANDARD CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 12

A B 2 B POSTMORTEM My slide from Casual Connect San Fran 2014 Ø Quality of content, game play, support, and overall experience is hard to achieve in an off the shelf product. Ø A one size fits all approach doesn’t work in the entertainment industry CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 13

MERGERS AND ACQUISITIONS CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 14

SOCIAL CASINO 2015 M&A SUMMARY Date Target Acquirer Price MAR 15 ? ? MAR 15 ~$10 M JUN 15 $7. 5 M JUL 15 $18 M $39. 2 M AUG 15 DGN GAMES $27. 5 M SEP 15 $25. 6 M SEP 15 $60 -110 M 15 CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015 Source: Playtika Research Dep

QUICK RECAP • The Social Casino industry is growing steadily and consistently. Worth $3. 46 B this year. • The Social Casino niche generates ~4% of global games revenues • 4 types of companies dominate the social casino landscape • The top tier players continue to strengthen their market share controlling almost 60% of the market. • Trends and Realities • The Portfolio strategy is key to success • Classic slots are a new sub-niche with real potential • Loyalty programs are standard practice • B 2 B has yet to scale • M&A trend continues albeit at a smaller scale 16

THANK YOU! Elad Kushnir E: eladk@playtika. com CASUAL CONNECT TEL AVIV, OCTOBER 19 -21 2015