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Posted by
Julian Gratton
January 5th, 2009

Have you woken up to in-game advertising?

by Julian Gratton

 

In game advertising

In-game advertising

The world has come a long way since Pong launched the initial boom in the video game industry way back in 1972. These days computer and video games are big business, bringing in $9.5 billion in 2007 alone; in fact such games as Grand Theft Auto IV earned over $500 million in sales in its first week… more than the opening weekend of Spider-Man 3.

In 2005, spending on in-game advertising was $56million and according to industry experts that figure is expected to swell to $1.8billion by 2010. It’s clear to see that marketers see in-game advertising as a prime way to target the male 18-34 demographic, who are increasingly neglecting television in favour of computer and video games.

So what’s this in game advertising all about?

Advertising within computer games is certainly not anything new. Back in the early 80s when a Commodore 64 graced my childhood bedroom I was already being advertised to by pixels that were assembled to resemble hoardings in sports stadiums. These days, though, in game advertising is incredibly advanced and has become increasingly clever and targeted, as the rise in online gaming has allowed advertisers to target their messages by language, geographical location and time of day.

 

Obama in-game advert

Obama in-game advert

And you’d be surprised to know that even people such as Barack Obama have used in-game advertising to promote their campaign. In 2008 his Campaign Team spent millions of dollars placing billboards in the game Burnout Paradise, which was launched in January 2008.

But it’s not just Presidents who are using in-game advertising; here are a few examples of companies who have utilised this medium in interesting ways:

 

 

 

 

1.     Pizza Hut and EverQuest II

 

Order your pizza in EverQuest II

 

EverQuest II is what’s known as a massive multiplayer online role-playing game (MMORPG), which has over 330,000 active online players. Such a game requires a lot of time investment… so there’s certainly no time to leave and go make dinner. Not a problem… simply type ‘Pizza’ while playing and up pops a menu that you can order from and the food is conveniently delivered to your home.

 

2.     Axe Deodorant and Rainbow Six: Vegas

 

 

Common in-game advertising sees billboards placed in places where you might see… well… billboards. Axe Deodorant could have very easily followed suit, instead they went for something a little more fun. They placed a random can of their product on one of the levels… if the gamer shot the can they were rewarded with a ‘blooper reel’ created by the game’s developers.

 

3.     Red Bull and Worms 3D

 

Red Bull gives Worms Wings

Red Bull gives Worms wings

 

Rather than just have their product advertised in the background or used as an ‘Easter Egg’, Red Bull became part of the actual gameplay in Worms 3D. The energy drink is used in the game as a special ‘power-up’ that gives the worms energy… and possibly even wings!

 

4.     Burger King and XBOX 360

 

Burger King Advergame

Burger King Advergame

 

Not happy with just being a part of a game, Burger King decided to create games unique to them. These ‘Advergames’ went on sale for just $3.99 when you purchased a Value Meal and were so popular they eventually shipped 2 million copies placing them alongside Gears of War as one of the biggest selling games of that year.

 

Free gaming paid for by advertising

It’s clear that marketers have seen in-game advertising as the perfect way to interact with the male 18-34 demographic. Yet, there has been a backlash to what many gamers feel is an intrusion on their leisure time. For example, the Electronic Arts game ‘Battlefield 2142’ received a lot of criticism from gamers and gaming publications when it was found out that the game was actually reporting on what adverts the gamer is looking at and for how long.

 

Quake Live: The future of online gaming?

Quake Live: The future of online gaming?

Id Software have hopefully turned this backlash on its head however with Quake Live. Quake Live, which is currently in Beta testing, will offer gamers free online multi-player gaming with the additional benefits of Social Networking… all of which will be paid for by advertising and sponsorship.

Promoted as a ‘Major League First Person Shooter eSports competition game’ Quake Live looks like it will combine some Social Networking elements of Facebook with the gaming experience of Quake Arena… so users will be able to meet existing friends or make new friends and then go blow them to bits.

 

Quake Live's Social Network facility

Quake Live's Social Network facility

The advertising and marketing opportunities that Quake Live throws up, though, are incredibly interesting. No official word has yet been given by id Software on what is available but you can imagine that the following could be open to marketers:

 

·     Match, Arena and Player Sponsorship

Imagine the ‘Coca-Cola Championship’ or the ‘Sony Arena’ or even getting blown away by a player decked out in ‘Gucci’ or ‘Armani’ body armour or beaten by a team sponsored by ‘Ford’

 

·     Interactive advertising and product placement

Shoot a billboard or blow-up a car you like and by doing so you’

ll receive a message to your Quake Live profile or the email address you registered with. This message could contain a money-off coupon or more information on that particular product.

·     In-game shopping

Second Life has already proved that people will buy clothes, homes and vehicles for their virtual self. There’s no reason why someone in Quake Live would not do the same… but is it possible to take it further and upload your image and buy t-shirts in a virtual world that are then delivered to you in the real world.

 

So what’s the future for in-game advertising?

The success of Quake Live could spell a whole new era of online gaming, one that could essentially be called ‘Social Gaming’. Certainly the arrival of online Bingo and the social communities that has created has shown that women are open to online gaming as well as men.

Ultimately it is the gaming community that will decide the future. One thing is for sure, though, in-game advertising is here to stay, it’s just up to us as marketers to ensure it is relevant and possibly enhances the gaming experience rather than interfering with it.

If you’d like to know more about in-game advertising… why not give Red C a call on 0161 872 1361 or click here

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