Archive for November, 2010

Microsoft moves 2.5M Kinect thus far; Nintendo, 1.5M gaming systems in a week

Tuesday, November 30th, 2010

If there is a recession going on, please do not tell the American consumers. Based on recent reports, even if times are tough, and money is tight, pixel hungry consumers are out in force.

Microsoft Kinect

Microsoft recently announced that the traditional shopping nightmare day of Black Friday has propelled sales of the motion sensing Kinect over the 2.5 million mark. This represents a global total sales figure, and has been accomplished in only 25 days. And with some quick cocktail napkin math, that breaks down to 100,000 units sold/day.

“We are thrilled about the consumer response to Kinect, and are working hard with our retail and manufacturing partners to expedite production and shipments of Kinect to restock shelves as fast as possible to keep up with demand,” said Don Mattrick, president of the Interactive Entertainment Business at Microsoft. “With sales already exceeding two and a half million units in just 25 days, we are on pace to reach our forecast of 5 million units sold to consumers this holiday.”

5 million units in just 2 months? Impressive numbers for sure Microsoft. To you, I can only say; Hats off. Available in more than 38 countries around the world, and 60,000 retailers, Kinect is Microsoft’s answer to the once-top-of-the-charts Nintendo Wii motion sensing controller. With Kinect, not only can you control games, but also interact with movies, music, and television, and the Kinect system also responds to voice commands.

“Kinect on Xbox 360 was a top performer at Target this weekend,” said Nik Nayar, vice president, merchandising, Target. “We expect Kinect will be a must-have gift this holiday season, so Target will continue to receive consistent shipments of Kinect throughout December. The hands-free, active gaming experience that Kinect offers is something that everyone in the family can enjoy.”

Nintendo

And while Microsoft might be on target to sell 5 Million units before the holiday season comes to an end, Nintendo also received the Black Friday bump, with Redmond reporting that consumers took home a combined $1.5 million worth of Nintendo gear over the course of Black Friday week, November 21st – 27th. Nintendo’s Black Friday sales numbers clocked in at a very healthy 900,000 units of the Nintendo DS line moving off the shelf, and with 600,000 Wii consoles destined for holiday happiness. This numbers do not reflect actual sales numbers, but are derived from Nintendo’s own internal sales estimates.

When viewed in the same Don Draper-esque math, Nintendo moved 9,000 units per hour over the Black Friday Week.

“For the past several years, consumers have decided that Nintendo defined both top value and all-inclusive entertainment, and that sentiment continues again at the start of this shopping season,” comments Nintendo of America President Reggie Fils-Aime.

Nintendo points to it’s attractive new hardware color offerings, as well as popular game/hardware bundles as primary drivers for the sales numbers. Bundles include a limited edition Mario red Wii and DSiXL, as well as orange and green DSi systems, all of which feature one iteration or another of the now 25 year old Mario franchise.

Of the past few years, we’ve predicted that the video game industry may be recession proof, and while sales numbers and associated costs have remained relatively consistent with all other forms of entertainment around them, it’s very clear that consumers are finding significant value in video game entertainment. To put a number on that value? Well … it’s somewhere around 5 million for Microsoft and Kinect, and certainly, Nintendo has nothing to complain about with 1.5 million units moved in a week.

 

Black Friday 2010: double digit growth for online retailers

Monday, November 29th, 2010

Now in it’s third year of publication, IBM’s Coremetrics recently delivered reports from online retailer’s Black Friday sales numbers, and the news is, quite simply, great! When compared with last years’ figures, online spending saw a dramatic 16 percent increase in holiday shopping, with social networking sites, and mobile devices quickly becoming the forerunners in the “go-to” consumer information source.

Coremetrics sampled more than 500 top U.S. retailers including Macy’s, Bloomingdale’s, L’Occitane en Provence, and PETCO and found online sales to be up 15.9 percent, and the average final checkout price rising, on average, $20, from $170.19 to $190.80.

“On Black Friday, consumers came, they clicked and they shopped their way across the Internet, and this time, they weren’t just looking for bargains,” said John Squire, chief strategy officer, IBM Coremetrics. “Consequently, we’re watching online retail, and increasingly social media and mobile, become the growth engines for retailers everywhere as consumers embrace online shopping not only for its ease and convenience, but as a primary means of researching goods and services. ”

As noted by Squire, consumers are becoming more and more critical of their purchasing decisions, and often relying on friends, either via mobile or social networking services, or both, for buying options and opinions. And more than jusy friends’ opinions, consumers are plugging into their favorite brands via these media, taking advantage of special “Facebook fans only,” promotions, as well as checking in on stock levels. Naturally, when I say social networking sites, what I really mean is Facebook, as Coremetrics reports that the majority of social shoppers arrive via Facebook. With that said, although these visitors make up only 1 percent of the total traffic online retailers received this past Black Friday, Coremetrics points out that the trend is growing.

Likewise, as the pervasion of smartphones grows, with more and more consumers having the power of online in their hands, 5.6 percent of shoppers landed on a retailer’s site using a mobile device this past Friday. That’s a 26.7 percent spike in traffic when compared to just the previous Friday.

Also noteworthy from Coremetric’s findings is the emergence of the surgical shopper. Meaning, online consumers are no longer “surfing” retailers sites, but rather making surgical strikes. They know exactly what they want, and where to get it. If one retailer can not meet their demands, they’re quickly off to find another that will.

So what does it all mean? Naturally, for those of us in the digital domain, increased online shopping can only be a good thing. IBM is predicting a 3.5 percent increase in consumer electronics related spending this holiday season. Coremetrics also noted that consumers have started spending earlier than usual this year, with November’s sales figures larger-than-usual.

 

Nexon America dishes up Black Friday deals

Friday, November 26th, 2010

For American consumers, the day after Thanksgiving, aka, Black Friday, can mean only one thing; shopping! And why should your favorite freemium game not offer the same type of “crazy” or “insane” markdown prices brick-and-mortar stores prepare months in advance for? Well according to Nexon America, they shouldn’t.

While Nexon’s Black Friday deals have technically been running all week, today is officially Black Friday, and Nexon hopes to cash in on a bit of post-turkey pixel playing. So much so, that Nexon America isn’t just offering a deal or two, here or there, as they’ve discounted a number of virtual goods items across their entire collection of properties. And just to get everyone in the holiday spirit, Nexon is also hosting holiday activities that include increased experience points events, as well as holiday and winter based events. Combat Arms snowball fight?

“We work hard on a game-by-game basis to deliver unique holiday items,” said Daniel Kim, Nexon America’s CEO. “With the enormous number of microtransactions we conduct, we have proven that we know how to bring exciting and desired virtual items to our customers. Much like brick-and-mortar retailers, the holiday season represents a great opportunity for us to expand our customer base through fun sales and exciting in-game events.”

When it comes to what’s on tap for each individual Nexon title, they’ve really pulled out the stops, again, putting their best face forward, at a time when consumers are abnormally willing to spend a bit more than usual. Let’s see what your favorite Nexon title has to offer:

  • Maple Story: Using a milestone measurement, Maple Story players will unlock special discounts based on their logins and purchases. Pets, Meso Sacks, Skill point resents, and other items will be available for 30 percent off, starting today, November 26th.
  • Mabinogi: All cash items are on sale on Black Friday to Mabinogi players. Beginning November 25th, players can expect to spot a Double Rainbow Event, offering double drop rates, skill training, and ability points.
  • Dungeon Fighter Online: Perhaps the biggest discounted title of them all, DFO players will be able to buy items in bulk, with a discounted rate of 20-50 percent off. DFO’s also offering a “Capture Seria’s Turkeys” challenge, as well as a Thanksgiving Parade that rewards Thanksgiving “leftovers,” as well as costumes. DFO’s offers run through to the end of the month.
  • Vindictus: Vindictus players should swing by their nearest Supply Depot, as special giveaways and promotions have been launched since this past Wednesday. These promotions include 20 percent discounts on individual items, as well as packages. Vindictus players can also keep their eye out for a daily giveaway of the Goddess Grace, a unique in-game weapon.
  • Combat Arms: Combat Arms players have been building up points in a month long promotion that culminates today. Similar to Maple Story, Combat Arms players have had their progress tracked by a Black Friday Sale Meter, ultimately resulting in more deals for those that have played more. Soldiers can expect big discounts on weapons, gear, holiday packages, and the occasional (read: rare) free permanent items. And if cool new gear wasn’t enough, Nexon is really pulling out the stops in Combat Arms, offering double drops rates and quadruple experience points.
 

RockYou CEO and Founder Lance Tokuda stepping down

Thursday, November 25th, 2010

Since helping found RockYou back in 2005, Lance Tokuda has been the man at the helm. All that is about to change, as reported by Jason Kincaid from TechCrunch. Tokuda successfully championed several rounds of funding for the Redwood City, CA. based social games and advertising solutions firm. RockYou hasn’t had the easiest of times as of late, and this move from Tokuda indicates that the company is firmly committed to, quite literally, get back in the game.

According to Lisa Marino (via TechCrunch), Tokuda announced his move internally last month; right around the time RockYou started putting it’s shift to a primarily social gaming based company into full effect. As a result of this shift, an undisclosed number of RockYou employees were let go, and former EA executive Jonathan Knight was brought on board in an SVP role. RockYou has also recently added former Gazillion Entertainment Interactive Design guru Steve Cartwright as Office general Manager.

As of now, the top slot at RockYou is being filled by an “Office of the CEO” team, including CFO Steve Van Horne, SVP of Technology and Engineering Shamik Sharma, and COO Lisa Marino. In addition to overseeing the day-to-day operations at RockYou, the team is actively seeking a replacement for Tokuda.

Marino commented that things are Rockyou are “going really well,” and that the company, “is going to be very relevant in social games in around 70 days.” However, Kincaid astutely points out that Tokuda is still listed as CEO of RockYou, and this change of top management was not mentioned in the press surrounding the hiring of Knight.

For now, Tokuda is still with RockYou, and will be working on ‘innovation and strategic initiatives’ moving forward. If Tokuda was instrumental in getting the company off the ground, and up and running, perhaps this new challenge, (did someone say mobile?) is exactly what both Tokuda and RockYou need. If Marino’s words are to be believed, we should expect some game changers from RockYou around mid February. Let’s see if they can, in fact, RockYou (with something new).

 

CCP’s EVE Online adds microtransactions

Wednesday, November 24th, 2010

The official word arrived yesterday; EVE Online will be adding microtransactions. However, this shouldn’t come as a shock, as CCP has been dropping more than obvious hints at the mechanism for quite some time.

In early October, in a EuroGamer interview, EVE’s creative director Torfi Frans Olafsson stated that CCP would “evolve just like everyone else,” and would, “not become a dinosaur.”

The first of these microtransaction services proposals has already been hashed, and rehashed by the EVE community surrounded a paid character respec. Needless to say, this option went over like a led balloon, and CCP has since scrapped the option. Moving forward, EVE has stated that future microtransactions will arrive via decorative goods, thus not affecting gameplay, and slanted towards those that are willing to outspend their counterparts. Or…the ye old ‘Pay to Pwn’ argument.

In a devblog post, CCP has put players fears to bed. Author CCP Zulu states that the game will not sell goods that impact the games’ “merit economy.” The plan now is to roll out Incarna items such as clothing, furniture, etc., and will later at “in-space” items such as logos for spaceships.

What was not made clear in the blog entry is whether CCP will offer purchases via it’s in-game currency, PLEX, or directly with real money. Perhaps caving to the pressures around them, CCP admits that adding virtual goods to the game isn’t just a random, “arbitrary decision,” but one that reflects the interest from players of competing MMORPGs.

From CCP Zulu, ““Diversifying the business model allows us to offer our players the services and features they desire in ways that are conducive to how they wish to spend their entertainment dollars. The result is that we provide a wider range of options to our subscribers which, in turn, leaves us better positioned to react to future seismic shifts in the market.”

And now that EVE Online is adding a dash of microtransactions via in-game clothing and decoration, I can only think of one sole non-in-game-microtransaction MMORPG, and that’s the daddy of them all, Blizzard’s World of Warcraft. With that said, even the mighty toward of subscriptions, aka Blizzard, has offered out-of-game microtransactions, specifically via in-game pets. Clearly, CCP has taken the temperature of the surrounding waters and realized that in-game, decorative microtransactions carry favor with players. The question is – how long can Blizzard hold out?

 

CES starts naming exhibitors: Nintendo’s back! Logitech already taking home awards.

Tuesday, November 23rd, 2010

Update: 11/24/10 – It appears as though the CEA got a bit ahead of itself, and listen Nintendo as a floor exhibitor. This is not the case, as Nintendo has only booked meeting room space at the 2011 CES.

With the coming holiday season, it’s often easy to forget that just a few weeks past Hanukah and a few days after Christmas and New Years, the largest consumer technology tradeshow happens in Las Vegas. To put a reminder in everyone’s heads, the CES has recently started revealing details about the upcoming circuit and pixel fest this coming January 6-9, 2011.

Over 35 exhibitors are expected to put their best face forward across the 9,800 square foot North Hall of the Las Vegas Convention Center. Most notable of this years exhibitors: after a 16 year absence, Nintendo will be proudly displaying products. And while our segment is naturally drawn to the online gaming and gaming related product debuts, the International CES also features just about anything that goes along with gaming, from new hardware and software, to PC and HD gaming, plasma HDTV’s, the latest in surround sound technology, and power conditioning hardware.

“With the gaming market expected to generate $20.3 million in 2010, the International CES is the must-stop hub for innovative gaming products, and will allow CES attendees to experience the future of gaming from an amazing range of innovative companies,” said Karen Chupka, senior vice president, events and conferences, CEA. “The Gaming Showcase at CES will feature the hottest gaming trends for the coming year.

Major exhibitors expected to make a splash at this years CES include: AMD, HP, Intel, Lenovo, LevelUp, Logitech, Microsoft, Nintendo, Nokia, Sony and more. Publishers will also be on hand including DC Comics/Warner and DreamWorks Animation. Completing the circle, top retailers including Amazon.com, Best Buy, and GameStop are all on the CES schedule.

Speaking of Logitech, it appears as though they’ve been on the top of their game this year, as they’ve recently announced that seven of their gaming related products have won 2011 CES Innovations honoree awards. Products include the Logitech Keyboard Controller for Google TV, Logitech TV Cam, Logitech Wireless Solar Keyboard K750, Logitech HD Webcam C910, Logitech Wireless Gaming Mouse G700, Logitech Wireless Headset F540 and the Logitech Wireless Headset G930. In other words…basically their entire catalogue of gaming related goodness has taken some top honors.

“Logitech is thrilled to have seven products elevated as CES Innovation Award honorees,” said Gerald P. Quindlen, Logitech’s president and chief executive officer. “These products represent Logitech’s commitment to driving innovation and giving people new ways to get immersed in their digital world.”

If Logitech’s wins are any indication of the coolness about to drop on Las Vegas, it looks like 2011 could be a very chilly year.

With Microsoft cashing in on the holiday season with their Kinect launch, Sony’s Move already on the market, that leaves only Nintendo left with a game changer. After being absent from the CES circuit for 16 years, there’s clearly a reason why they’ve decided to return. Should we expect to see something breathtaking from Nintendo? We’ll have to wait until January to find out…but I wouldn’t be surprised to see some big waves from Nintendo.

 

FarmVille slips from the #1 Facebook slot – the beginning of the end?

Monday, November 22nd, 2010

Call it the beginning of the end … or at least the end of Zynga’s over-a-year long run as the number 1 application used on Facebook. As reported by Forbes, according to AppData.com, FarmVille has been overtaken by a page customization tool; Phrases.

If you’re questioning where the great divide comes in, we’ll have to look at MAU vs. DAU. Monthly Active Users vs. Daily Active Users. When viewing DAU data, FarmVille is still on top, with a healthy number of 16 million. In the number 2 spot is Windows Live Messenger, which sees around 10 million daily active users. However, when we look at the longer number, the MAU, FarmVille is down to 54 million. No paltry figure, to be sure, but when compared to their peak usage last February, when the title saw over 80 million monthly active users, it’s clear that there’s a dwindling audience.

While Zynga may be the darling child to both Google and Facebook, it seems as though they might be “so, yesterday,” to consumers, as it’s not just FarmVille that’s been losing eyeballs. Valued at approximately $5.51 billion, a number larger than EA, Zynga’s catalogue of titles has seen a dip in activity, with figures dropping below the 200 million MAU mark.

But to be clear, when viewing the rise and possible decline of Zynga, it’s quite important to keep a few factors in mind. For starters, Zynga’s not been able to duplicate it’s success of FarmVille to date. They’ve tried with FrontierVille, which intitally took off like hotcakes, gathering some 30+ million users, but has since petered out, and is seeing a slow but steady exit of the game. Zynga is now attempting to repeat the process with CityVille, with the added bonus of potentially repeating the same mistake in 5 various languages. The second, and perhaps most important, factor to keep in mind is changes to the Facebook platform, specifically notifications. You’ll remember when FarmVille really started gaining traction, Zynga had wisely figured out the system, and it seemed as though one couldn’t check in on their Facebook account without seeing, or being invited to help, a friend somehow involved with the game. Over time, Facebook reportedly received enough complaints, not only about FarmVille and Zynga related products, that they effectively shut down the viral advertising channels – a decision which has greatly effected Zynga, as well as the entire social gaming industry that depend on Facebook as a platform for their wares.

Again, it’s clear that Zynga and their founder Mark Pincus are acutely aware of what’s going on, and what’s at stake. To this end, Pincus recently commented that 400 of Zynga’s 1,300 employees will be dedicated to creating new intellectual property by the end of the quarter. Any bets on whether or not these IP’s will be in the gambling direction?

Editor’s note: Forbes author Oliver Chiang makes the case that social games developers now need to think international and invest in localization. I’d agree with that to an extent, but only if social games developers enter the project with clear thinking: At best, these social games developers can attract the attention of “the leftovers.” What I mean by this is, all those that may not have heard of, or had interest to play a game as it’s in a foreign language. Most, if not all, early adpoters, and gaming forerunners have already had their time with FarmVille. Just because it may not be in their native language, games have the ability to transcend language and cultural boarders. Localization is great, but again, my opinion is that all those early adopters have come and gone. If Zynga, and other social developers, want to regain that top slot, instead of pushing the same tired product to further markets, why not offer up a new title, and stop the rehashing in various skins of the same title over and over again.

 

Call of Duty: Black Ops shatters all records – tops $650M in five days

Friday, November 19th, 2010

It’s official; Call of Duty: Black Ops has surpassed all sales records and now set the benchmark in what it means to have a successful product launch. Announced by publisher Activision Publishing Inc., Treyarch’s Call of Duty: Black Ops has smashed theatrical box office, book, and video game sales records over a five-day period. In total, Call of Duty: Black Ops has brought home more than $650 million, surpassing Activision’s previous five-day record figures of $550 million set by last year’s launch of Call of Duty: Modern Warfare 2.

“Call of Duty has become the first entertainment property in history to set five-day launch records for two consecutive years across all forms of entertainment,” said Robert Kotick, CEO, Activision Blizzard. “The title’s success illustrates the mass appeal of interactive entertainment as millions of consumers are choosing to play Call of Duty: Black Ops at unprecedented levels rather than engage in other forms of media. The number of people playing online and the number of hours they are playing demonstrates how online gaming has become a mainstream form of entertainment and certainly validates Activision Blizzard’s leadership role in online entertainment.”

And if bring home over than half a billion dollars in revenues of the course of a work week wasn’t enough, Treyarch’s newest iteration of the Call of Duty franchise has set two new records on the Xbox Live platform. By the end of opening (launch) day (November 9th), according to Microsoft, just under 6 million (5.9) multiplayer hours had been logged. Additionally, over 2.6 million unique gamers played Call of Duty: Black Ops on November 9th.

“With a record breaking performance on Xbox LIVE, home to the world’s largest Call of Duty gaming community, Call of Duty: Black Ops has already carved out its legacy as one of the biggest video games in history,” said Don Mattrick, president of the interactive entertainment business at Microsoft. “We congratulate our partners at Activision and Treyarch and are proud to continue offering the best Call of Duty experience to our 25 million global Xbox LIVE members by launching all Call of Duty map packs first on Xbox 360.”

And it’s not just Xbox that’s seeing some massive numbers. “Call of Duty: Black Ops has been an incredible success on PlayStation 3,” said Jack Tretton, President and CEO of Sony Computer Entertainment of America (SCEA). “Treyarch’s latest efforts are driving unprecedented traffic to the PlayStation Network with the flagship online experience this holiday season.”

What’s also important to keep in mind here is that these are just opening day and week figures. Activision has wisely launched the title a with just enough time to cash in on the pre-holiday season market, yet close enough to make it a top choice on any gamers wishlist that didn’t purchase and play the game on opening day. “Call of Duty: Black Ops had the highest number of pre-orders of any video game to date,” said Paul Raines, CEO, GameStop. “It went on to become our biggest video game launch ever, which bodes well for game sales as we enter the holidays.”

 

Zynga announces new title, CityVille – first multilingual international release

Thursday, November 18th, 2010

Social games giant Zynga has recently announced the global launch of a new title; CityVille. Trying their hand at cashing in on “city builder” type games, Zynga’s newest offering will allow players to build their dream city from the ground up. Zynga is touting the new title to be their most social game yet, and allows players not only to build their own dream city, but also interact with friends’ cities, as well as build franchises with the help of these friends.

This newest offering from the big Z will be their first international game launch in multiple languages; English, French, Italian, German, and Spanish. Clearly, that worldwide buying spree that Zynga’s been on is starting to bare it’s fruit.

The CityVille launch arrives hot on the heels of Zynga’s recent FrontierVille launch, a title which has attracted over 28 million monthly users. CityVille is reported to feature the biggest sprawling game board in Zynga’s titles, allowing players to construct massive cities; all the while balancing the needs of citizens, running businesses and, … you guessed it – harvesting crops. And while one Zynga ‘Ville’ after the other look and feel more or less like carbon copies of each other, CityVille will feature Zynga’s first 3D rendered buildings and characters.

“CityVille is where Monopoly meets Main Street,” said Sean Kelly, GM of CityVille. “We are thrilled to bring the world our most social game to date – building on the best-of-breed gameplay that Zynga fine-tuned with FarmVille and FrontierVille. Instead of harvesting crops you’re harvesting your neighborhood, instead of clearing your friend’s frontier you’re working on a friend’s franchise. We hope players from around the world have as much fun playing CityVille as we had building it.”

Selected game features as provided by Zynga:

  • City Building – Build your town from the ground up! Once the land is cleared, make way for deliveries by assembling a road. Keep your residents out and about by building restaurants, stores and city services such as post offices, schools and fire departments. Build homes for your townies, and earn more money for your city by decorating them to increase the rent.
  • Run Your City – A happy city, is a lucrative city. Plan the layout to make residents happy, and earn money as they eat and shop. Keep them well fed at restaurants, and run sales at businesses to attract a crowd.
  • The People – Your characters won’t all look the same – dozens of characters and city officials will be available on launch day, including the ones who keep the city running – business owners, doctors, firemen and police officers. More people will become available as your city expands.
  • Goods & Trading – Goods and trading are the lifeblood of your thriving city. Plant and harvest crops to keep restaurants stocked, and population stuffed. Send ships to import goods from places such as Shanghai, London and Rome to give your townies a taste of a different culture, and buy more storage, piers and farm plots to grow the city rapidly. Trading between players is encouraged – buy or sell goods to others to avoid stomach rumblings.
  • Neighbor Cities – Love thy neighbor. Visit your neighbors’ cities to help them secure more energy, decorations and collectible items. Be a good buddy by helping friends accelerate crop growth, expedite shipping times and construct buildings faster. Send them gifts to finish city service buildings and clear ground for them to build on. You can even own something in a friend’s city. As you go you earn experience and buy things for your own collections and to share with more friends.
  • Commerce & Franchises – Put that economics class to good use and grow your city. Trade with neighbors by buying or selling goods sent by rail. Offer goods to friends or buy their extra supplies when they come by to offer them. Deliver supplies via trains running at the edge of your town between all the neighbor cities. Friends can also run businesses in your city. Build an empire of business locations but don’t forget to supply them with goods. The more locations you get, the bigger you can grow your business headquarters in your own city.
  • Guided Play – As the city leader you must guide your city to become a thriving metropolis. The city advisor will always show you fun things to try next to make a great metropolis. Once tasks are complete, you can unlock rare buildings and decorations.

This ‘Ville’ now makes the sixth in Zynga’s franchise: FarmVille, FrontierVille, YoVille, FishVille, and PetVille. I’m putting $20 down on the next Zynga title: SpaceVille, or FinalFrontierVille. One or the other. Yes, Zynga has made some great games, that clearly, people like to play, but isn’t it time that Zynga steps out of it’s Ville zone, and start delivering new concepts? Even Sean Kelly’s statement surrounding the project admits that they’ve taken the best parts of FarmVille and FrontierVille and simply reskinned and reinjected them into a new game. How long can Zynga really keep the gathering/harvesting and time management theme going? For a company that’s supposedly at the top of it’s game, I for one, and severely underwhelmed with this newest offering. But at the end of the day … if players keep on playing (and buying), clearly the market has spoken.

 

Millennial gamers much more than just gamers

Wednesday, November 17th, 2010

Media firm Giant Realm has recently released the results of their GuyPulse study, finding that almost three quarters of males between the age of 18-34 that indicated that they play video games are the “go-to” source for family and friends when it comes to all things gaming.

The survey was conducted over the course of October, with 490 males sampled. Giant Realm also found that not only are these millennials playing their fair share of video games, but that they’re also incredibly informed, not only about what they’re playing, but about the video games market in general. 35.9 percent of those surveyed indicated that they visit gaming related news source, opinion, and tutorial websites at least once or twice a month. When questioned about a higher frequency, almost one quarter (21.6 percent) said that they visit one of the aforementioned sites at least a few times per week.

Moreover, millennial male gamers aren’t just consuming video game related content; they’re producing it as well. While still not the majority, nearly one third (31.1 percent) of respondents indicated that they actively blog, comment on blogs, and/or follow blogs at least once or twice per month.

Ask any millennial how they feel about categories and labels and you’re sure to find a wide range of opinions. Giant Realm set out to put the traditional marketing and advertising segmentation label of ‘gamer’ to the test with these 490 males. Keeping in mind that the entire survey group identified themselves as “someone who plays video games,” less than half of them (39.9 percent) checked the “it’s what I am” box when asked how they feel about the term “gamer.” These same respondents indicated that they like the term. In contrast, 53.3 percent said that they do no like the term “gamer” applied to them, or had no opinion on the matter at all. Perhaps the most interesting statistic gleamed from the questionnaire; only one quarter (27.0 percent) of these same millennials view other demographic audiences (parents, children, etc.) that play video games to be “gamers.”

When it comes to outside of gaming activities, the survey group is clearly quite active. When asked about their behavior in the past week alone:

  • 52.2 percent have been out with friends in a social setting
  • 43.2 percent have been out to eat at a restaurant
  • 27.8 percent have been to a movie theatre
  • 25.9 percent have purchased a DVD or blu-ray title.

When it comes down to dollars and cents via ads on gaming related websites, Giant Realm found that the response really comes down to the product category. Almost one third (31.2 percent) indicated that graphics or videos in online ads for items in the food and drink category are “lame.” The Giant also found that the more time these males spend playing games, the more likely they were to view food and drink ads with disdain. “Light use” players provided 18.2 percent of the “lame” vote, while “Heavy use” players contributed a 41.7 percent vote. When it comes which ads are acceptable, the study found, appropriately, that gaming related ads on games websites were the most acceptable. 25.7 percent gave these ads the “cool” nod, 49.6 percent viewed them as “OK”, and only 11.6 percent still found the ads “lame.”

“There’s an opportunity for online advertisers, especially those outside of the gaming arena, to rethink their creative tactics in addressing young men,” said Ryan Kahn, Sales Director of Giant Realm. “Gamers expect to be entertained by and engage with ad creative, and marketers who take this notion to heart are the ones that find success. Know who you’re talking to, and don’t let your audience down.”