In the UK, mobile carrier T-Mobile has started an in-game advertising campaign to promote its Mates Rates pay-as-you-go tariff. As reported on New Media Age, the campaign targets 15 to 24 years old gamers, with in-game banners and ads displayed while they wait for the game to start. An advergame, distributed via email, is also part of the promotion.
A new report by Mediaedge:cia analyzes in-game advertising warning about the risks of flooding videogames with promotional branded messages. Mediaweek warns “using videogames simply to ‘reach’ or interrupt people cannot be regarded as an effective use of a channel with such potential.” Instead, according to the new report ads need to “enhance a game’s alternate reality”.
A joint study by Nielsen Interactive Services and Israeli-based in-game advertising firm Double Fusion found that an in-game ad campaign inserted into the downloadable game “London Taxi” increased awareness of some featured products by as much as 60 percent. Read more on Mediapost.
MTV has signed a deal with game publisher Midway Games to sell in-game advertising, collaborate on game soundtrack development, and develop complementary television programming. This should be the first of a series of agreements MTV has planned to strike in order to attract advertisers interested in the Y-generation.
The Yankee Group quoted in an article on eMarketer, predicts in-game advertising will be worth $562.5 million by 2009, while advergames will account for $312.2 million in ad revenues in 2009, compared to $83.6 million in 2004. The research also points out that from 2006 in-game advertising revenues will surpass the ones from advergaming. The numbers makes more sense if we consider that Kagan Research estimates 54 million households in the US will own at least one video game console by 2010.
Video games advertising is hot, and will probably get even hotter following the launch of a cross-platform video games ad-serving. The new technology developed by Massive Inc. allows advertisers to simultaneously reach an aggregated audience of gamers through real-time delivery of advertising across an entire network of top-selling video games. The world’s first video game advertising network, provides a new opportunity to deliver dynamic advertising campaigns across a network of titles and genres to reach the 18-34 year old male audience that is increasingly difficult to reach through television and other existing advertising channels. Jay Cohen, VP Publishing at Ubisoft commented:“Video games have evolved far beyond niche status; they’re now one of the most powerful economic forces in the entertainment industry. With Massive, we can reach our full potential as an advertising medium, helping companies reach today’s harder-to-find young consumers while bringing in our share of advertising dollars.”
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