Friday, December 7, 2007

Evil French Moderators

Again the French are trying to ruin it for us all. Despite the fact that they have never won a single war and are dependent on the United States for ALL military support, they now believe they have the right to dictate terms for the online gaming world.

The French lobbying group called the Internet Rights Forum issued guidelines to publishers and legislators about the online gaming world that include their suggestions for moderation on things like the online content of games which includes everything that happens online in games, which is not coved by Europe's version of an ESRB rating. This does including their recommendations for in-game advertising restrictions.

While most of the Forum's concern is that all of the content that is mostly player to player communication in online games goes outside of the rating system. Publisher do not cover online content in their ratings and that is what the Forum believes they are responsible for.

The Forum also wants the rating to apply to in-game advertisements and for the game to have warnings on the package if the game contains ads. Not that ads are anything new in games but with the ability now to change the ads over the internet the Forum in concerned about poorly targeted ads ruining a games atmosphere and that children could be exposed to ad content that is to mature for their age. I fully support the need for context only ads in-games but that is up to the publishers as long as the ads aren't out of place I don't care what they promote.

The Forum's restrictions would be on mostly player chat and forums. This would ruin online games. It is no ones business what I say to who every I am talking to in game. Report me if you want but don't restrict me. I hope everyone who reads this will be with me in telling the French to go stuff it and hopefully soon before and US conservatives get the same idea. Here for more details about the beginning of the end.

Wednesday, December 5, 2007

Double Fusion launches new technology

Double Fusion a leading independent in-game advertising provider has made its in-game advertising software commercially available. The technology, called fusion.runtime, allows publishers and developers to add advertising support to their titles after the code development has been finished. This new technology makes ad placement possible where it could not be done before. This also includes back titles and titles that are late in the development process. This technology also represents compelling advertising solutions for the casual gaming industry. "The large volume of titles launched each year requires an easy to implement solution reach the market's full potential."

Publishers can now incorporate new ad placements into their titles whether they are new or old. Also after release they can "create additional revenue potential through the development of specialized programs." This new technology allows publishers and developers a new level of flexibility for in-game ad placements that they did not have before. The development of special programs that Double Fusion refers to is also called "just-in-time advertising." According to Double Fusion they can create an in-game object for advertising even if there was previously nothing there.

One example they gave is that if an advertiser wanted to put a 3D branded blimp in the sky across multiple titles for a Fourth of July promotion they could place the blimps in the games even if a blimp was not already in the game. The technology also allows the advertisements disappear after the campaign is over. The reason this technology is so revolutionary is because in the past once a title shipped the ad placements were already locked and could not be altered. This is a huge improvement over the code based solutions. Fusion.runtime opens the door to a much broader, real-time development of custom, dynamically-served game advertising programs."

Saturday, December 1, 2007

Popcap tests ads

Popcap which is a leader in casual gaming recently released their results for the research that they did on one of their flagship titles, Zuma. According to Shankar Gupta, of Gaming Insider, one thing in particular stood out about the test results. Popcap tested different setups for their game ads. One setup allowed the users to download the game and play for as long as they wanted for free but they had to view video ads during the natural breaks in the gameplay. Another way the users could buy the game to make the ads go away. The last setup allowed the users to play the first three levels for free with ads but then locked them out until they actually purchased the game.

Popcap is not your usual in-game advertiser. They specialize in online games and are not a developer or in-game advertising company.

Popcap is in two businesses, they are trying to sell their games, and now they are also considering selling these in-game ads, which have very competitive clickthrough rates. The tests showed that the two configurations work in different ways. The best configuration to sell games is the one where the game locks up after you play the first three levels.

"Once the player’s got through the first three levels, they don’t want to stop. But then they buy, and the ads stop showing, so there’s no inventory for the advertiser. Conversely, the configuration where users could play as long as they wanted with ads showing the whole time served the most impressions, and delivered the highest number of clickthroughs, but didn’t drive conversions"

For now Popcap is going with the setup that will allow them to sell more game and get less clickthroughs. They believe this is the best way because they are not confident in their ability to sell all of the advertising inventory that they would have if they chose to use the other setup method.

Friday, November 30, 2007

Britain's newest recruitment method

According to Massive Inc. "the Government Communications Headquarters (GCHQ) launched the UK and World's first in-game recruitment advertising campaign." This campaign was launched with TMP Worldwide, who is GCHQ's recruitment advertising partner. TMP apparently led the strategy and partnered with Massive, which happens to be owned by Microsoft. This campaign is supposed to "promote career opportunities in the British Intelligence services via online in-game ads on selected games in the UK."

It is debatable whether this is the first usage of in-game ads as a recruitment tool. The United States Army developed not a campaign but an entire game geared towards promoting the Army and encouraging recruitment.

The one month campaign began at the end of October. According to Massive's press release they will give GCHQ a "highly effective and relevant means of promoting exciting career opportunities to the online gaming audience, through real-world scenarios and realistic street and billboard advertising placements in selected PC and console games in the Massive Network."

In-game advertising has been used successfully to promote companies and some global brands and increase sales and awareness. However, a one month campaign will not be very effective given the shortness of its duration. Also there could be complications with integration because game titles can take years to develop.

Friday, November 16, 2007

Sega GET's in on the game

Sega's American division partners with GET Interactive another in-game advertisement provider. Sega is now the latest publisher that has signed with a in-game advertising company. Sega is partnering with the ad company for a new that they are developing. Sega would not release the name of the title that is in development.

According to Gamespot.com now that gamers have resigned themselves to the "unstoppable force" that is in-game advertising the revenue stream is increasing. With publishers like Eidos signing with ad companies like Codemasters and Sony going as far as buying an external company to be their in-house in-game ad division other companies cannot afford to be left out anymore.

According to GETs their advertising system will be different from all of the other because instead of a static ads impression the gamers will be able to order the product through the game via in-game commands. The company claims that their methods are opt-only but they did not elaborate as to how the process would work. Everquest did the same think with Pizzia Hut, being able to order pizzia without leaving the game.

Saturday, November 10, 2007

IGA Worldwide enters relationship with NBC Universal

On October 30, 2007 IGA Worldwide one of the premier in-game advertising companies that has been flying under the radar in the industry entered a strategic relationship with NBC Universal. IGA Worldwide is the largest independent in-game advertising network. IGA signed the deal with NBC Universal's Digital Media division. The companies announced that they had entered into a multi faceted agreement. With this new relationship NBC Universal's Digital Media Advertising Sales team can now sell a part of IGA’s "premium in-game advertising inventory, as well as create customized packages for marketing clients on the IGA network."

“We couldn’t be more proud to partner with NBC Universal Digital Media, the leading advertising sales force in the industry, to offer strategic, innovative placements for both their current and future clients, said Justin Townsend, CEO, IGA Worldwide. “The partnership is validation that in-game advertising is an important part of the media mix for advertisers of all sizes as well as the publishers in our network.”

According to IGA the spending on in-game advertising is expected to grow 33% over the next five years. Also the industry is growing faster then the online advertising. IGA claims to be at the forefront of the in-game advertising industry offering 360 degree advertising solutions "that help brands to understand and exploit the rich and diverse opportunities available now and in the future." It will be interesting to watch this company and the in-game advertising industry over the next few years

IGA Worldwide

Friday, November 9, 2007

Growth still strong

According to Reuters growth for in-game advertisements is still growing. The video game sector is supposed to have above average growth through 2011. Video games are supposed to make up part of the growth of the global entertainment industry. In the United States the video game industry is supposed to top the music industry. The growth that is supposed to happen will be in key areas like online and wireless gaming as well as the new generation of console and the in-game advertising business.

"By 2011, the worldwide gaming market will be worth $48.9 billion at a compound annual growth rate of 9.1% during the five-year period, with gains slowing every year because of the maturation of the current generation of consoles, according to the report. The compound gains handily exceed the 6.4% advance that PwC eyes for the overall entertainment economy during the period."

The growth of the video game industry continues to grow with sales going steady and increasing. In-game advertising is only part of this huge growth spurt that is supposed to bring the video game industry to the forefront of business and technology today. With video games becoming like the new movie industry the growth that it is experiencing isn't expected to end anytime soon.