Back to the March 2008 issue.

Gaming Plus Advertising Equals Big Money

(by Craig Cooke, CEO)

“Advergaming,” or using video games as advertising opportunities, has been a growing trend for a long time. Companies such as Massive, Fusion, IGA and ADScape have been successful at focusing their efforts in selling advertising through video games. Massive was acquired by Microsoft in 2006, proving that gaming and advertising amounts to big money.

Sony recently announced that they are opening up its in-game advertising platform. This should open up more opportunities and choices for marketers, as it brings in an additional level of competition to the mix. Opportunities within games usually involve billboards and other environmental aspects to the game itself. Studies have shown that as long as the advertising does not detract from game play and it looks natural to the gaming environment, gamers don’t mind the ads. This is a powerful concept since most of traditional advertising is pure “interruption marketing” that people get annoyed by. However, marketers have to be careful, as it is a fine line between being subtle and going overboard with advertising within a game.

One area of game advertising that is gaining traction is large, multiplayer online worlds. For example, in Everquest 2, a gamer can type in the word “pizza,” and they’ll be directed to the Pizza Hut online site so they can order that large pepperoni pizza. The potential with these types of games is huge. The players are usually extremely engaged and interacting with other players. If done properly, one user’s interaction with a brand can quickly spread to other users. Imagine the conversation, “Hey, did you know you can order a pizza through this game?” “Really? Where do I go?”

Advergaming is valued by Advertising Age at $400 million and is expected to grow during the next 5 years at a compound annual growth rate of approximately 23 percent. From a simple billboard to a game completely centered around a brand, the options are plentiful. It’s time to explore your options, especially if you are marketing to Generation X, Y and below. I highly recommend that you consult an expert in order to increase your chances of success.





Statistics Corner

49 percent of Americans have purchased a product online, and 66 percent of “Online Americans” have purchased a product online according to a study performed by PEW Internet and American Life Project.

58 percent of Americans use the Internet to solve a problem, which is more than any other media and even more than consulting experts, family and friends according to a survey performed by PEW Internet and American Life Project.

43 percent of Internet users have been frustrated by the lack of information they encounter while using the Internet to find out about or buy goods or services according to a study performed by PEW Internet and American Life Project.

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