Friday, February 29, 2008

Let the Free Gaming Begin

One of the idea's behind allowing advertisements in videogames is that it will create cheaper games since development costs will be helped by advertising revenue. Thus far, many gamers, myself included, have not seen any of these reduced costs as the prices of many games sit at $59.99. Nevertheless, steps are being taken to provide games that are completely free to the players. For instance, Id Software announced at GDC 2008 that it is working with IGA Worldwide on a free version of Quake.


The game, title Quake Live, will be completely free fo rthose who want to play. While it surely will not be as popular as the more powerful PC and console versions of Quake, it does have a mainstream appeal. A free program will certainly allow anyone who wants to play access to the game, which as the article points out has the potential to build a huge community. All in all it is a good step for video game advertising and if successful, could lead to more free games.


Since hearing about Quake Live, I am more than willing to play the game once it goes online. Currently it cost $60 for me to go out and buy a new game, which as a college student, means i dont get new games all thta often. As I am limited to only being able to buy a few games, I am missing out on numerous titles that i would love to be playing were it not for the cost. Quake Live is a great example of how advertisers and developers can address the high costs of the industry and provide an alternative to the pricey console game market.

Friday, February 22, 2008

Psychology of Video Game Ads

While publishers remain hesitant to fully pursue in game advertisements, it seems that simple psychology may help thm overcome the fear of putting ads in their games. The trick to creating effective ads in games explains David Edery, portfolio planner for Xbox Live Arcade is to create ads that aren't recognized as such. With 14 percent of gamers believing that in game advertisements ruin the game experience, Edery argues that "good advertisements arent seen as persuasions" He encourages publishers to look fo was to integrate the advertisements within the game.


As he explains, putting a present day movie ad in a futuristic game doesnt work because it sticks out. Things that stick out will be recognized as advertisements and thus are likely to be ignored or forgotten. Using a honda civic in a game instead of a generic car with blatent honda civic ads in the game world. He uses the example of Splinter Call: Pandora Tomorrow as a model for what ads in games should look like. The phone used by the character in the game was a Sony Erricsson, and his repeated use of it exposed the players constantly through the brand.


As a gamer i question the reliability of the information for which Edery is arguing. While i agree that it may be smoother for game publishers to integrate ads within the game, there also is the possibility that they may be overlooked. Having played splinter cell a great deal when it was first released, i never notcied the Sony Ericson brand on the phone used in the game. While a blatant advertisement may stick out more, it is harder to overlook. I have never thought either that an ingame ad had taken away from may game experience. It is up to the developers to balance whether they want to offend the 14% of gamers by placing ads in games, or risk exposing the ads the other 86% by blending them in.

Saturday, February 16, 2008

Burnout Paradise

Electronic Arts' racing title Burnout Paradise has always been an attractive game for gamers, so it is no suprise that IGA Worldwide, a leading in game advertising firm, announced a partnership with EA's popular game. IGA is currently working with a vast amount of brands, inlcuding Burger King, Gillette, Vizio, CompUSA.com as well as others to integrate advertisements into the game. These ads can take the form of anything from billiboards to storefronts, even radio stations.

Justin Townsend, CEO of IGA Worldwide, spoke about the deal stating his excitement to be teaming up with suhc a popular franchise. He furthur elaborated by anouncing that the video game advertising industry is expected to reach $670 million this year, which he believes indicates that both publishers and developers are becoming more convinced of the benefits of advertising in videogames.

What I find most interesting about this news story is the potential it has to become a trend. It is entirely possible to me that more popular franchisers from any number of publishers could begin to ink deals with a different brands. I believe it could even make it ot the point where the release of new Burnout game will also feature the debut of the newest Burger King Ad. While it may seem extreme, marketers are constantly searching for that new and original way to reach their market and in the virtual worlds of video games they have literally endless possibilities.

Friday, February 15, 2008

The Next Step for In Game Ads

With all the attention given to the cutting edge appeal of video game advertisements, it is relevant to mention that the medium itself is ready to evolve. Last post I discussed some of the criticisms of video game ads that exist within the industry. A recent article however from DMNews points out that while the practice of advertising in games is not yet perfect, marketers are ready to take the next step. The story explains that by putting money into an untested medium, advertisers are pulling money away from budgets that can be used on a more proven form of advertising.

There may be some who will agree with this philosphy however the story is quick to point out that if done properly the video game medium can be extremely effective. As Darlene Kindler, director of network advertising at Sony Computer Entertainment Amer­ica puts it “If done well, it can be contextually relevant for the player — unlike $1 million television ads that may be [skipped].”

Truer words were never spoken. Especially with the use Tivo where consumers are simply fast fowarding through commercials, it seems to be harder and harder to grab the consumers attention. But a well placed advertisement in an interactive game, surely that has some potential. If my eyes are glued to the screen as I am racing through a city, how am i not going to notice the giant billiboard thats right in front of me. I agree that if done correctly, video game advertisements could become just as popular, if not more so, than television ads.

What is correctly then? The story discusses how Sony will be using it's military game SOCOM, which features a Hummer in the game, as a part of an online contest where the winner could receive a Hummer. While not the most original way to market a product it is certainly a step. And for a medium that is looking for ways to evolve it is a step in the right direction.

Saturday, February 9, 2008

Skepticism Towards Video Game Advertising

Advertisers will try and convince all forms of media that their services can cut costs. After all, the revenue game developers receive from placing advertisements in their games should, in theory, help to reduce costs. While there are many who support the use of advertisments in videogames, Activision Blizzard CEO Bobby Kotick and Sony Group CEO Howard Stringer have voiced concerns about the practice.

Both CEO's have their own various reasons for having doubts about in game advertisements. Stringer is concerned over the funding that advertisers have, stating they do not have the deep pockets that many people think they do. This is sepecially true in times of recession, as advertising budgets are some of the first costs ot be cut. Activision Blizzard CEO Kotick simply explains that he would go in a different direction other than in game advertising.
Whatever the reasons, both men agree that there is a better way to meet the growing video game industy's financial needs. Whatever those new solutions are remain to be seen but one thing is for sure; as video game technologies continue to evolve so will the price to produce and develop the games. This leads to either video games which will be riddled with ads, or consumers will have to pay higher prices. With the going rate at $60 a game, I am certain i am not the only one who will not being willing to pay more.

Friday, February 8, 2008

Ads For Free Games

According to a recent survey by RealNetworks, 9 out of 10 gamers would be more than happy to watch video advertisements before and during gameplay in exchange for being able to play the game for free. This story, found on vnunet.com, while not a suprising find, does indicate a new way in which marketers can expand the ways in which they currently advertise.

More details from the survey reveal that 34% of the 1,500 they would even click on in-game advertisements if they were interested in learning more about the product. What advertisers need to pay the closest attention to is the types of ads consumers said they would respond the best too. 55% of those surveyed would be willing to watch any ad, but an additional 1/3 said they would rather watch ads important to them.

From an advertising standpoint, the 1/3 who want to watch ads should be the segment that is targeted the most. To the individuals who said they would be willing to watch any ad, they may simply see the advertisements as a hinderance to playing their game. They wont mind watching them, yet the fact that they arent concerned about the product raises the idea that they dont plan on being too engaged. With the 1/3 who want ads that meet their needs, these people will be more focused on the ads and more willing to click a banner or do more research after thy play their game.

As a gamer, I am interested in this type of advertising because being able to play a game without paying is extremely appealing to me. If this strategy of free games on the PC proves to be extremely effective, marketers should consider placing video advertisments on console games as well, perhaps as a way to help developers with high technology costs, passing savings on to the consumers. I know as a gamer i wouldnt mind paying less, and i think that 9 out of 10 people will agree.

The price of a free game

Saturday, February 2, 2008

Massive Incorporated

My brand is sick and tired of advertising through the same old media. Television, radio, print, none of these outlets seem to be getting the job done for us anymore. Luckily, help is not far away. Massive Incorporated prides themselves on being "Your channel to the gaming audience". With videogame advertisments becoming more appealing to advertisers, Massive Inc has surely have found themselves in a good position to be in.

You can read for yourself on Massive Inc.'s website the pitch that they give selling their service. They cite the videogame industry as one of the fastest growing entertainment industry and also explain the benefit of being able to get your message to a hard to reach market in young adult males.

I am skeptical of the facts and data they give for their audience research, as i am with most data i see when someone is trying to sell me something. However what has suprised me the most is the amount of games that this company has already placed advertisements in. In game advertisements is a relatively new business, yet that has not stopped Massive Inc. from keeping busy. Madden 08, Splinter Cell, Need For Speed are just a few of the many games Massive Inc has already placed ads in.

Going through the list of games, as suprising as they were, i did come to a sort of revelation. Many of the games listed are games that i have at one point or another played myself, yet i was completely oblivious to them. Either these ads are affecting me in an unconcious manner or perhaps videogame advertising is not as effective as Massive Inc. believes. I may just be a fluke consumer who is generally unaffected by ads, or it could speak to something about the nature of videogames. After all, if i am busy trying to win my race in Need for Speed, why would i take my eyes off the road to look at a billboard.

Yes i see the ad, but for some reason i do not feel the urge to go to the dealership and buy a Pontiac