Business PME Business PME is a gate of free information bound for the companies in the United States of America. This website offers thousands of contents as well as a companies directory. The group’s other BtoB websites   --  Professional Networking Tuesday March 16th 2010 Search
articles
Search
companies

In-game advertising : Reactions



Virtual worlds and MMORPGs are able host persistent online adverts, with marketers purchasing virtual real estate with which to give brands a constant online presence in-game. Aside from establishing a brand presence, it also enables companies to use these virtual spaces as an online testbed. For example, Starwood Hotels & Resorts Worldwide established the aloft Hotel within Second Life, although the real world version of the aloft Hotel is not scheduled to open doors until 2008, the online presence allows for designers to get early feedback from perspective guests.


 


Starwood is not alone in establishing an online presence within Second Life, many brands and products have pitched up stores and attractions within the virtual world, including American Apparel, Lego, Toyota and others.[12] Other persistent online worlds which have hosted advertising campaigns include There.com, which featured a Nike campaign in 2003, and Everquest 2, which even included an in-game command line function to order from Pizza Hut in-game.


Advertising industry reaction

Reaction to in-game advertising from the advertising industry have generally been positive. Advertisers are keen to reach the 18-34 male demographic, and in-game advertising is seen to be a new medium in which to so, especially given that TV viewing figures for this audience is falling. Indeed, a study by Yankee Group in 2003, showed that a 7 percent decline in TV viewing figures in the target 18-34 male demographic could be directly attributed to computer games. This enthusiasm, along with the new possibilities offered by dynamic adverts has prompted a growth in the in-game advertising industry, which generated USD$56 million in revenue in 2005, but could grow up to as much as $1.8 billion in 2010 according to Massive Incorporated.


 


The in-game advertising industry hosts several advertising agencies dedicated to the delivery of in-game advertising, including companies such as Double Fusion, IGA Worldwide and Massive Incorporated. The growth and potential of the market has enticed more traditional advertising agencies into exploring the concept of in-game advertising; Starcom MediaVestGroup worked with 2K Games to partner advertisers with game developers,[8] whereas Ogilvy & Mather worked with Massive Incorporated to develop a series of in-game adverts to promote the Ford Motor Company.


Games industry reaction

The games industry sees in-game advertising as a promising new revenue stream. Industry figures suggest this could bring an extra $1 to $2 of profit per game unit sold towards publishers, this is a significant increase over the current $5 to $6 profit per unit.[16][4] Publishers see this revenue stream as a way to offset growing game development costs, which are estimated to rise up to $20 million per title for a 7th generation console. Some developers believe that the extra revenue will reduce the risk involved in a game development project, allowing them to innovate on gameplay and experiment with new ideas.

Copyright 2008 - France BtoB from Wikipédia