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Warning to advertisers seeking to penetrate games


http://www.mediaweek.com/mw/news/interactive/article_display.jsp?vnu_content_id=1001570637

According to Mediaedge's recent report on in-game advertising, ad-execs and marketers anxious to exploit this "new" platform should proceed with caution. Like all ad platforms, once a saturation point is reached, effectiveness declines precipitously.

Mediaedge’s report, “Playing With Brands: Engaging Consumers With In-Game Communications,” which praises the effectiveness of well-executed advertising in games, warns against marketers forcing messaging into games. The Mediaedge report is based primarily on commentary from actual gamers, some of whom cited those well-executed ads. According to the report, “using games simply to ‘reach’ or interrupt people cannot be regarded as an effective use of a channel with such potential.”

Instead, the ads need to “enhance a game’s alternate reality,” said the report, with the best ads actually making the game better. To pull that off, said Mediaedge, marketers need to create highly customized ads for individual games, making it tough to execute an ad buy on a massive scale—and for the ad medium to grow quickly. “Taking an ad formula and applying it across categories and brands…that’s not the way to go,” said Fran Kennish, director of strategic planning at Mediaedge:cia, who added that some ad spending estimates for the industry may be overstated. “You may end up doing more harm than good.”

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