In-Game Advertisting
As the computer and video game playing population expands and diversifies, in-game advertisements and advergames are expanding as well. Massive Incorporated, a creator of dynamic video game advertisements, estimates the in-game advertising market could grow to $1 billion globally by 2014.
Static Advertising
The first examples of in-game advertising were static, or unchanging, consisting of virtual billboards or in-game product placements. These advertisements were placed directly into the game by artists or programmers and could not be altered. The first example came in the 1978 computer game Adventureland by Scott Adams, who inserted an advertisement for his then forthcoming game Pirate Adventure. The trend continued throughout the 1980s and 1990s when Anheuser-Busch, Inc. and Adidas Ltd., included advertisements in Bally Midway's Tapper and Moby Game's FIFA's International Soccer. In 2002, South Beach Beverage Company (SoBe) paid Ubisoft Entertainment to have the main character in Tom Clancy’s Splinter Cell: Double Agent reach for a SoBe drink when he got thirsty in the hope that gamers would do the same.
While these types of video game advertisements are static, they provide advertisers and developers with a variety of options not available in a traditional billboard. For example, Ubisoft’s Splinter Cell: Chaos Theory features a large glowing advertisement for AXE deodorant that acts as an obstacle for the player’s character to maneuver around.
Dynamic Advertising
Advances in technology have now allowed in-game advertising to become more interesting and entertaining. Many of today’s in-game ad campaigns use dynamic advertising which, unlike static advertising, can be altered remotely by the advertising agency. These ads can be tailored to geographical location or time of day, allowing more flexibility for time-critical campaigns, such as a movie or product launches. Because dynamic ads do not have to be hard-coded into the game by programmers, advertisers no longer need to formulate and insert their messages months in advance.
Dynamic advertising also allows ad companies to track and receive information from a player’s console about the advertisement. Data -- such as time spent looking at the advertisements, the most viewed advertisements and viewing angles -- can be recorded by the advertiser to determine the most successful ads. This information can then be used to better formulate future campaigns.
The presidential campaign of then-Senator Barack Obama used in-game advertising by purchasing virtual billboards in the game Burnout Paradise. The ads reminded players living in swing states to register to vote early and to visit the campaign's Web site. The Obama campaign was the first in American politics to utilize advertising within a video game.
Advergaming
Advergaming, the practice of using a video game to advertise a product, is a term that applies to various free online games commissioned by major companies. The games usually feature the company’s products prominently. According to Jupiter Media Metrix Research, 50 percent of recipients who receive an advergame will play it for an average of 25 minutes.
The automobile industry has built on the successes of yesterday’s static advertisements to create big-budget 360-degree ad campaigns for video games. Toyota Corporation released a promotional video game for Xbox 360 to build awareness among 20-somethings about the company’s new Yaris. Nissan Motor Company Ltd., eager to build a buzz around the GT-R sports coupe, unveiled the car to the public in downloadable computer games. Finally, Mazda Motor Corporation and Nissan both launched new car models in racing games like Sony’s Gran Turismo 3 and Electronic Arts' Need for Speed: Undercover long before the actual cars rolled out to the public.
Food and beverage companies also use video game advertising to attract customers. In January 2010, Coors Light unveiled a video game shortly before Super Bowl XLIV called 1st and Cold, a single-player game for iPhones and iPod Touches in which a player must drive a football down a 50-yard field as many times as possible in two minutes. The company deployed “brand ambassadors” to sports bars and restaurants across the country to offer patrons the opportunity to play the game, focusing on geographic locations that had a football team in the NFL playoffs. Frito-Lay developed several advergames starring the company’s mascot, Chester Cheetah, to promote their snacks, available for Super Nintendo Entertainment System, Sega Genesis, and online gamers.
While this market is growing, it still remains small in comparison to other advertising venues. According to Parks Associates, in 2005, Internet gamer households in the U.S. received about 10 cents worth of ad-supported gaming content on a monthly basis, compared to $50 worth of ad-sponsored television content. Today, most in-game ads are aimed at so-called core gamers, males ages 18-34, and support the automotive, food and beverage, apparel and lifestyle industries’ efforts to reach this key demographic. In response to the growth of gaming overall, experts expect to see further expansion of these efforts in the coming years.
Go Figure
1 billion - Expected market, in dollars, for in-game advertising by 2014, according to Massive, Inc.
1983 - The year Anheuser-Busch, Inc. first included advertising in Bally Midway’s game Tapper.
30 billion - The amount of hours American men between 18 and 34 years of age, a key demographic for marketers, spent playing computer games in 2008.
55 - The percentage of Americans who played some form of computer or video game in 2009, according to global market research company The NPD Group.
