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Post on 19-Oct-2014
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Games
Advanced Social Media Marketing
Key platforms in games today
• Social games• MMORPGs (massively multiplayer online role-
playing games)• Consoles• Mobile games
Platform Social Games on Facebook
Top performers Zynga’s CityVille and FarmVille
Core audiences Mostly ~48 years old (46% >50) Women (55%)
2010 ISG
Reach CityVille: 90.6 MM playersFarmville: 45.8 MM playersTotal number of players est. in 250 MM
Business model
Freemium: ~5% of the players pay for Zcoins to exchange for in-game virtual goods In 2010, $ 510 MM were spent in virtual goods
Opportunities for brands
In-game product placementIn-game advertisingPromotions with ZcoinsBranded social games (ex.: NY Jets Ultimate Fan on Facebook)
Cascadian Farm Farmville Organic Blueberries
Capital One Farmville Goat
Bing FarmCash Promotion
NY Jets Facebook Social Game
Platform MMORPG
Top performers World of Warcraft (more than 50% mkt share)
Core audiences Mostly Men (84%) ~30 years old2010 dedalus/xeroxParc
Reach 10.3 MM subscribers (WoW - nov. 2011)
Business model
Prepaid limited game timeSubscription (credit/debit cards monthly fees)(free starter edition – up to level 20)
Opportunities for brands
In-game advertisingMainstream games like WoW don’t place in-game ads, but other less popular games do (ex: Anarchy)
MMORPG Anarchy in-game ad
Platform Console gamesTop performers Nintendo Wii
Sony PS3Nintendo DS
Microsoft XBOXSony PSP
Core audiences Mostly Men (58%) ~37 years old (29% 50+)2011 Entertainment Software Association
Reach(hardware sold)
Wii: 89.5 MMPS3: 55.4 MMDS: 149.3 MM
XBOX: 57.9 MMPSP: 70.9 MM
Business model
Selling:Consoles ($249-499)Accessories ($9.99-$269.99)Games ($49.99-149.99)On demand games, movies, music – through services like XBOX Live, PS Network or Wii Channels
Opportunities for brands
In-game advertisingBranded Games (Burger King)
Burger King XBOX 360 games (2006)$ 3,99/each
NBA Live in-game ad
Need for speed in-game ad
Madden in-game ad
Platform Mobile Games
Top performers AppStoreAndroid Market
Core audiences Mostly Women (53%) ~28 years oldJuniper research
Reach 37% of Iphone owners game daily70%-80% of all downloads are gamesAngry birds has been downloaded 140 MM times
Business model
Game selling ($0,99-4.99)In-app purchase (new levels, skills, etc) ~$ 0.99(Free lite versions)
Opportunities for brands
In-game product placementIn-game advertisingBranded games
Angry Birds in-app banner
Angry birds Rio special edition
Relevance from brands perspective
• Social and Mobile are growing more relevant as marketing/branding tools
• Ad spending in social games is expected to hit $ 293 MM in 2011 compared to $ 183 MM in 2009, a 60% growth.
• In 2010, mobile game developer made $ 87 MM off advertising revenue. By 2015, this figure is expected to be 10 times that amount: $ 894 MM
Why not console and MMORPG?• Fact 1: console games are better designed and value-added
products compared to social and mobile games (2010’s Grand Theft Auto 4 cost $ 100 million)
• Fact 2: console and MMORPG gamers are more critical than others, assigning great value to elaborate graphics and storylines, and are in general less tolerant to in-game advertsing when it is clearly out of the context.
• This drives the industry focus increasingly on the player and less on the advertiser (Last year, Microsoft shut down its dynamic in-game advertising division called Massive).
• Now, big producers like Eletronic Arts control the dynamic in-game advertising display for their games. The trend is that only games where advertising is a natural part of the storyline (like Fifa Soccer and NBA Live) will carry in-game advertising.
INTEGRATED SOCIAL CAMPAIGNS & GAMESADVANCED SOCIAL MEDIA MARKETINGWEEK #3
Gustavo Donda & Don Valdez
GAMES - BASICS
Games x brand’s promise and target behavior
Consider the engagement pyramid Don’t skimp on development Brand campaign or Game campaign?
GAMES
Moving parts Linchpin element vs. Equal contribution
Selection of tactics Examples
MOVING PARTS TECHNOLOGY
Traditional Video Game
Adobe Flash PHP JavaScript Combination
PLATFORMS Web Browser Based Mobile
iOS Android
FEATURES Community &
Asynchronous “Never ending” Virtual Currency
MONETIZATION Virtual Good
Transactions Virtual Stock
Exchange
LINCHPIN ELEMENT VS. EQUAL CONTRIBUTION
Social Media
Optimization
Technology
Platform
Monetization
Features
Social Media Optimization is the focal point of Social Gaming
Everything is secondary
SELECTION OF TACTICS
CRITERIA Making a Good
Game Network Effect Engagement Arbitrage Monetization
VARIATIONS Goals
Creating Awareness Selling Branding Remarketing
Type of Brand
New in Games
Advanced Social Media MarketingNYU
What’s happened in 2011
• Job Displacement & Layoffs– Disney, Activision, THQ, RockYou, Silicon Knights, CCP, Ignition, Team Bondi ~ plagued
by layoff– West Pier Studio, Roundcube Entertainment, & ShortRound Games were formed
• Kickstarter & Crowdfunding– Instead of turning to a game publisher or venture capitalist for seed money
• Maturing Social Game Space– Shift from appealing to people’s compulsive nature and actually building quality games
• Xbox 360’s Sales Strength– Expanded base & reach
• HTML5– Open format web standard: developers only have to build their games once & it would
be inherently cross-platform• Easy to learn• Alternative to Adobe Flash
Marketing: What’s hot in 2012: Gamification
• Specially important for Social Media Marketing
• Leverages engagement & loyalty– Missions, accomplishments &
challenges– Rewards & badges– Mechanics driving to action
Gamification everywhere• New applications:• http://www.stickk.com/
Gamification everywhere• New applications:
– Work performance: http://getworksimple.com/
Gamification everywhere• New applications:
– Health: https://www.superbetter.com/
Gamification everywhere• New applications:
– Fundraising: http://www.globalgiving.org/leaderboards/global-open-challenge/
Gamification everywhere• New applications:
– Discount shopping: http://lockerz.com/
Mobile Games explosion• Apple announced getting to 1 million apps in appstore• Harder to stand out• Competition pushing mobile games to become from casual games to
better finished products• Getting closer to console games sophistication in terms of story & graphics
PlayPhone Launches Cross-Platform Social Gaming Network
• Formally launched December 14th
• 1st true social gaming network• Presence in over 25 countries• 35 million registered users on
feature phones• Over 3 million registered users
on smartphones• Have 1,600 developers signed
up for its Software Developer Kit (SDK)
• Relations w/100 global carriers
• Distinguishing Features:– Supports all leading platforms (iOS,
Android, Adobe AIR, & HTML5)– Cross-platform play via
smartphones & tablets– Synchronous multiplayer gaming– Single sign-on w/Facebook or
PlayPhone SGN user ID– Advanced social integration
w/Facebook– Universal currency via playcredits
(R)– Multiple payment options
including global direct-carrier billing
Technology: Virtual and physical game environments
• RockSmith: like a Guitar Hero, but you actually plug in your real Guitar
Virtual and physical game environments – Applications popping up
• Specially important for the game industry• iPad example: Disney AppMates
Kinect puts Xbox much ahead the competition
• The industry hasn’t even scratched the possibilities enabled by gesture-based technology
• In its ad campaign Microsoft suggests all sorts of innovation through kinect hacking
Kinect puts Xbox much ahead the competition
• Internet is already populated with primitive open-source code for kinect