In-Game Ads Becoming Necessary?

Inde

Site Contributor

Join Date: Dec 2004

All right, so hopefully that got your attention. New article out at GameDaily.com of interest to all MMOG players. It's an interview with Massive Inc., an in-game ad company. Currently real ads are featured in Matrix Online and Anarchy Online. They have a place there though as billboard ads in game, could this soon be coming to fantasy genre's such as Guild Wars, World of Warcraft, Everquest?

A direct quote from the article:

"It varies game-to-game... but in-game ads can increase publisher revenue an additional 20-30% above the amount generated by the title's retail sales," Nicholas Longano, CMO of Massive Inc."

That's an extremely big chunk of change there. Quite a temptation for publishers. Also this quote:

"It is simply impossible to offset a 50% rise in development costs via retail sales. It just can't be done," Longano said. "Publishers are going to HAVE to have a secondary revenue source. It varies game-to-game depending on the specific ad implementation, but in-game ads can increase publisher revenue an additional 20-30% above the amount generated by the title's retail sales."

Are publishers and developers, specifically Guild Wars, going to 'have' to add this source of income to their bottom line in the future?

You can read the article here:
http://biz.gamedaily.com/features.asp?article_id=11169

twicky_kid

twicky_kid

Furnace Stoker

Join Date: Jun 2005

Quite Vulgar [FUN]

Quote:
Originally Posted by Inde
"It varies game-to-game... but in-game ads can increase publisher revenue an additional 20-30% above the amount generated by the title's retail sales," Nicholas Longano, CMO of Massive Inc."
staring at that "varies game-to-game" really hard. if all games did this you would just have to swallow the pill. as it is now you might not even buy that game b/c of the ads. i think placement of the ad is key to if it hurts the game.

ads while i'm in a mission (causing more lag) i'd quit immediately. ads inside towns on a small banner i could probly deal with as these places are really like chat rooms.

Maxiemonster

Maxiemonster

There is no spoon.

Join Date: Jun 2005

Netherlands

Mo/

Hahaha.

"Now buy your FoW armor AND GET A FREE BOX OF COCA COLA FOR FREE!"

I hope not, that'll ruin alot in games. Though: Games with monthly fees will never support these. Though, this is tempting for games without monthly fees, I hope that GW won't get any of this crap, though it wouldn't change that much of the game beside the people that like to whine, whine about it..

Lasareth

Lasareth

Aquarius

Join Date: Jun 2005

Somewhere between Boardwalk and Park Place

It would seem a bit... out of place to have a giant Pepsi billboard in a place like the Ember Light Camp

I think it'd be impractical.. not impossible, however. Whatever nets the most money for game developers or companies related will definitely be considered. I just hope that they have the common sense not to make it to an absurd extent

Maxiemonster

Maxiemonster

There is no spoon.

Join Date: Jun 2005

Netherlands

Mo/

lol I'd like to see some sneekers in GW though, sponsored by Nike!

Gaile Gray

Gaile Gray

ArenaNet

Join Date: Feb 2005

I sure haven't heard of any in-game advertising being planned for Guild Wars. It sort of makes me smile. Instead of the Rawhide Boots, we'll have Nike Boots of Swiftness or Reebok Sneakers of Stealth.

There are games in which advertising is less intrusive than others. For instance, a billboard in a modern-day game wouldn't be out of place. A billboard in Pre-Searing Ascalon would be just a tad, err... "intrusive," shall we say? It's just not going to happen.

Dax

Wilds Pathfinder

Join Date: May 2005

I dunno, I thought ordering a pizza directly on the logon screen or ingame, whatever (EQ2, I think?) was a pretty spiffy idea. But don't most games have video card logos on the splash screens... isn't that a form of advertising?

Experiment_Jon

Experiment_Jon

Frost Gate Guardian

Join Date: Jun 2005

Band Geeks

W/Mo

Maybe a banner at the bottom of the log in screen, like in Battlenet for starcraft. Mmm...yeah, unlike Need for Speed or Tony Hawk, and other games set in modern day, I don't think that a Nike, or Quicksilver, or a Nismo ad would work very well in GW. That'd just be funny.

Ollj

Ollj

Jungle Guide

Join Date: May 2005

WTS microsoft's vampiric axe of trollslaying!!!!

Dead Panda

Frost Gate Guardian

Join Date: Jul 2005

N/Me

Or maybe an ad that tells you to buy Direct Song battle packs at the annoucement screen during login.






Wait a minute.

Navaros

Forge Runner

Join Date: Apr 2005

Mo/Me

Yeah and let's not forget the in-game Guild Wars ads for the Strategy Guide either.

Excite X

Academy Page

Join Date: Oct 2005

SA, Texas

Black Rose Gaming [BR]

Me/E

About 2-3 months ago I was playing planetside, and they implemented ingame ADs. Was absolutely horrible. Ads everywhere. Fanta, Prison Break (that show that came on Fox or somthing), Family guy DVD Ad, You drink - You Drive - You Lose! Ads.. Everyone complained about it, because they were EVERYWHERE.

NightOwl

Lion's Arch Merchant

Join Date: Aug 2005

I could see ads like that done reasonably in a game like CoH, but not in GW.

Roza

Roza

Lion's Arch Merchant

Join Date: Aug 2005

Amsterdam

The War Masters

R/W

Quote:
Originally Posted by Gaile Gray
It's just not going to happen.
Just be glad about that. And hope it we will never see a McDonalds sign marring the landscape of a fantasy game. But who knows.... maybe in 50 years people will have pepsi-adds popping up when reading Henry James too...

linh

Wilds Pathfinder

Join Date: Jul 2005

Mo/

Some day we can buy cola or pepsi from merchant, who is from Walmart or buy Nike and Adidas boots from armor crafter.
And on the way doing mission, a hard and long mission, there are some McDonald restaurants. For each Big Mäc or Big Tasty you bought, your health increase 100 . Chaotic

Poised

Poised

Academy Page

Join Date: Jun 2005

When planetside intruduced new loading screens in order to show adds, I canceled my account right then and there.
Why the hell would I pay to be advertised too ?? the games are not going to be cheaper or better because there are adds in them, planetside sure as hell didnt get cheaper when they introduced their add splash screens, and Im sure AO didnt get cheaper either.
And forget about immersion, that age old concept of being there as you read the book or play the game, just imagine Aragorn yelling "For king Theoden .... and McDonalds" ....blah.

Zimba

Ascalonian Squire

Join Date: Jun 2005

AO adds are only mandatory in the free accounts which is a good way to get introduced into the game.

Dax

Wilds Pathfinder

Join Date: May 2005

Quote:
Originally Posted by Roza
Just be glad about that. And hope it we will never see a McDonalds sign marring the landscape of a fantasy game. But who knows.... maybe in 50 years people will have pepsi-adds popping up when reading Henry James too...
I think my Necro would dig a quarter pounder with cheese.

Venus

Venus

Lion's Arch Merchant

Join Date: Aug 2005

Boston, MA

Me/Mo

Well, elementalist "armor" from Victoria's Secret would'nt be out of place.

yesitsrob

yesitsrob

Elite Guru

Join Date: Sep 2005

Manchester, England

SMS/Victrix

ads on the login screen would be sort of acceptable - placing them in a fantasy setting though would look stupid

Inde

Site Contributor

Join Date: Dec 2004

I can see how a publisher would make this happen in any game actually. You can't deny that they are missing out on a big revenue possibility. The 18-35 male demographic that makes up the majority of game players is a huge market. One of the largest in fact, and the most desirable considering the amount of money they spend.

It's one of the last frontiers for marketing. We are bombarded everyday with ads. Websites, television, movies, radio... every medium has marketing. And yet, in a lot of games there's not any. It's only a matter of time I forsee. Cut-screens that end with ... brought to you by ATI (which would be completely realistic considering they are a partner with NCSoft). Or a log out screen advertising Teamspeak or GameDaemons, again another partner with NCSoft. And everyone seems to be concentrating on extreme examples such as Pepsi, Coke, McDonalds. So while we might not see those advertisers, there is certainly advertising ways and revenue to gain in marketing their partners in game.

And I too thought Everquests partnership with PizzaHut, being able to order a Pizza in game, was brilliant!

Guardian of the Light

Guardian of the Light

Forge Runner

Join Date: Sep 2005

Radicals Against Tyrants

W/

I would mind some ideas being named after brands or having some building showing Pizza Hut Logos or something just as long as I don't have to log in and then get bombard from 500 ads telling me to BUY BUY BUY.

I think the order pizza from game would be super cool.

However in-game advertising could have some problems because some would be limited to a certain country like the United Stated. I'm from Canada and I wouldn't want to see a "Vote for Gore" ad telling me to do something that I can't

Mimi Miyagi

Mimi Miyagi

Wilds Pathfinder

Join Date: May 2005

Port Orchard, WA

The Second Foundation: [TSF]

Lessee, GW has generated somewhere in the neighborhood of 50 million dollars in gross revenue for ANet.

I don't see where they are going to be whining about a lack of money anytime soon.

Planetside? AO? Those games are on shaky ground. GW....no so much.

Also, as Gaile said, Billboards would be a huge jar against suspension of disbelief. I can see it now...

"Welcome to Lion's Arch...brought to you buy McDonalds, Coke Zero, and Chrevrolet, part of the American Revolution".

Inde

Site Contributor

Join Date: Dec 2004

A publisher is going to pass up a potential 20-30% increase in revenue? It doesn't matter how well a game is doing, NCSoft and ArenaNet are still business'. If someone were to approach you and state that you could have a 20-30% increase in your salary you are going to turn them down? An extreme example, I realize that. And it's always just a 'potential' revenue increase as well. So no, a developer might not want this in their game, but publishers have walked over development companies before and told them what will be or will not be in the game.

And I was stating how some other games have implemented billboards in their game as a means of advertising. This wouldn't necessarily be the case for other genre's. As I stated above, cut-scenes, log in and log out, are other ways that advertising could be brought into a fantasy genre where a billboard, vending machine, and more just does not fit.

Besides just a publisher though, a partner could now begin insisting on more exposure rather then just a press release announcing it, or recommended hardware on a retail box. This is just to get everyone thinking really, there are a lot of instances where a developer might just be held powerless against their publishers, software partners and more in the search for more exposure and more revenue. So just a discussion topic, but as the push continues it will be interesting to see it all play out.

wolfy3455

Lion's Arch Merchant

Join Date: Jul 2005

I can see it now. Brand specific missions.

Coke - Can you bring the coke back to the consumer in time?

Toyota - Ride you're Toyota Charr and pick up Rurik in time to save the world from GM?

Or other things for the latenight crowd :P

Kool Pajamas

Kool Pajamas

Forge Runner

Join Date: Aug 2005

Maryland

Mage Elites [MAGE]

I could see it working in the Competition arenas. Have logos carved into the walls or ground. Or when you enter a battle, the walls in the beginning area have some small logos posted up.

Not that I want it.

Fyre Brand

Krytan Explorer

Join Date: Sep 2005

Shadowlight Order [SoR]

I think it might eventually happen, but NCSoft is pretty sensitive to it's player base. I just don't think North America and Europe are ready for that type of advertising yet.

NCSoft already promos with companies in Asia (eg: Coca Cola) for it's games and players. Wasn't there a recent thread interest about unique weapon skins that had to do with buying Coke and using a key to unlock the items, or some similar mechanism?

I think most people in North America expect that their fee covers their game experience (since most games are fee based). I want to play a game to escape reality and the mad push to generate revenue. I use Firefox as my browser and a fairly decent firewall to make sure marketing utilities aren't constantly bombarding me with plugs. Hell, I didn't even know this site had ads until someone complained about the flash files bogging down their system. I had to turn off Firefox filtering and my firewall filter to see them. I was fairly surprised.

Inde ~ I think that the pizza concept in the other game you mentioned was funny. I think that if the advertising came across in an event fashion and subdued in that manner then it probably wouldn't bother me so much. It would bother me to see banners, billboards, and log-in flash files. I think there is a good probability that they would add some measure to latency or graphic system load. They are just another resource that would be added to a game, and all resources need to be directed to game play.

I think the marketing expert in the article you posted was definitely trying to sell the gaming world on his concept of revenue generation. Game companies will find a way to reduce development and distribution costs.

Josh

Josh

Desert Nomad

Join Date: Oct 2005

England, UK

D/Mo

Quote:
Originally Posted by Fyre Brand
I think it might eventually happen, but NCSoft is pretty sensitive to it's player base. I just don't think North America and Europe are ready for that type of advertising yet.

NCSoft already promos with companies in Asia (eg: Coca Cola) for it's games and players. Wasn't there a recent thread interest about unique weapon skins that had to do with buying Coke and using a key to unlock the items, or some similar mechanism?

I think most people in North America expect that their fee covers their game experience (since most games are fee based). I want to play a game to escape reality and the mad push to generate revenue. I use Firefox as my browser and a fairly decent firewall to make sure marketing utilities aren't constantly bombarding me with plugs. Hell, I didn't even know this site had ads until someone complained about the flash files bogging down their system. I had to turn off Firefox filtering and my firewall filter to see them. I was fairly surprised.

Inde ~ I think that the pizza concept in the other game you mentioned was funny. I think that if the advertising came across in an event fashion and subdued in that manner then it probably wouldn't bother me so much. It would bother me to see banners, billboards, and log-in flash files. I think there is a good probability that they would add some measure to latency or graphic system load. They are just another resource that would be added to a game, and all resources need to be directed to game play.

I think the marketing expert in the article you posted was definitely trying to sell the gaming world on his concept of revenue generation. Game companies will find a way to reduce development and distribution costs.
If you read, Gaile's already posted it's not going to happen. (thank god for that)

Fyre Brand

Krytan Explorer

Join Date: Sep 2005

Shadowlight Order [SoR]

Yes I read that. Did you read the other thread about the Asian Coke promotion?

Inde

Site Contributor

Join Date: Dec 2004

Um yeah, not quite. From other posters and from Gaile Gray:

"The Korean Coke promotional items are not "overpowered" or "uber.""

"Yeah and let's not forget the in-game Guild Wars ads for the Strategy Guide either."

"...an ad that tells you to buy Direct Song battle packs at the annoucement screen during login."

I'm not saying these are bad, I'm saying it's just the future of things. There will be ads in game. Whether they be from a software partner, promotional or sponsors.

Chance Folly

Frost Gate Guardian

Join Date: Apr 2005

E/Mo

I played Anarchy Online, one of the MMO's that contained ads, and in my opinion, in-game ads really are not that bad, if done right. Rather than being annoyed and betrayed, I smiled everytime I passed a Beavis and Butthead ad on my way out of the city.

Granted, that wouldn't work in a game like GW, but I'm sure they could make ads work in some way...

Poised

Poised

Academy Page

Join Date: Jun 2005

I would have no problems with adds before emerging into the game, splash screens before the login screen, ON the login screen, fine with me, as long as its tastefully done.
But any adds ingame after I have selected my character would kill it for me, I would delete GW and never look back, just like I did planetside.

seraphite86

seraphite86

Frost Gate Guardian

Join Date: Jul 2005

Florida

Talk Less More [Sekz]

Rt/E

The only acceptable ads I will ever want to witness in any game are only the funny ones. As long was they put out new, unique ones that do not clog up towns at least once a week I wouldn't mind at all.

If the developers wanted to mess around with the player’s emotions, a big McDonalds "M" hovering around Lion's Arch would be perfect. But then again, that could mean about 10,000 players would quit playing on the same day =/

Lexar

Lexar

Krytan Explorer

Join Date: Aug 2005

Organised Spam

W/

There is one big problem I'm afraid of, there is no real way to guarantee that games won't log how long specific players look at adds, or how often the word is mentioned, and having e-mail linked accounts, the possibilities for spyware are endless, or giving unwanted marketing info to companies without your consent. For respected game companies it wouldn't be much of a problem, since they wouldn't be foolish enough to do it, and not interested in getting involved in scandals like this, but a lot of free mmorpgs out there from lesser known to maybe borderline obscure companies could do something like that. And since it's a game on the internet, the jurisdiction falls under the country of where the server is based (not sure about this though), anyway, with a lot of international users, getting this sort of info from players is a breach of their privacy as well.

3rd party spyware and bots not even linked to the publishers or company could probably hack in as well, and we'd see a whole new generation of spyware.

Dead Panda

Frost Gate Guardian

Join Date: Jul 2005

N/Me

Yeah, that battle pack ad isn't really interusive. just a waste of space considering that I think it would be alot more useful to put in server updates and patch summaries in the announcement box rather than Ads, and other random things I never bothered to look at.

Fyre Brand

Krytan Explorer

Join Date: Sep 2005

Shadowlight Order [SoR]

Quote:
Originally Posted by Inde
Um yeah, not quite. From other posters and from Gaile Gray:

"The Korean Coke promotional items are not "overpowered" or "uber.""

"Yeah and let's not forget the in-game Guild Wars ads for the Strategy Guide either."

"...an ad that tells you to buy Direct Song battle packs at the annoucement screen during login."

I'm not saying these are bad, I'm saying it's just the future of things. There will be ads in game. Whether they be from a software partner, promotional or sponsors.
I think how they put in the strategy guide and direct song promo was just fine. I thought the original article you linked to was pretty interesting.

Roza

Roza

Lion's Arch Merchant

Join Date: Aug 2005

Amsterdam

The War Masters

R/W

It is unlikely to happen. Anet said it is not going to happen. And if it did happen (in the game, I don't care about stupid banners on the startup screen), I would puke and bin the game. I think many would.

sybban

Lion's Arch Merchant

Join Date: Apr 2005

Beaufort Fun Park

I don't remember the guild name

Mo/W

Quote:
Originally Posted by Inde
All right, so hopefully that got your attention. New article out at GameDaily.com of interest to all MMOG players. It's an interview with Massive Inc., an in-game ad company. Currently real ads are featured in Matrix Online and Anarchy Online. They have a place there though as billboard ads in game, could this soon be coming to fantasy genre's such as Guild Wars, World of Warcraft, Everquest?

A direct quote from the article:

"It varies game-to-game... but in-game ads can increase publisher revenue an additional 20-30% above the amount generated by the title's retail sales," Nicholas Longano, CMO of Massive Inc."

That's an extremely big chunk of change there. Quite a temptation for publishers. Also this quote:


"It is simply impossible to offset a 50% rise in development costs via retail sales. It just can't be done," Longano said. "Publishers are going to HAVE to have a secondary revenue source. It varies game-to-game depending on the specific ad implementation, but in-game ads can increase publisher revenue an additional 20-30% above the amount generated by the title's retail sales."

Are publishers and developers, specifically Guild Wars, going to 'have' to add this source of income to their bottom line in the future?

You can read the article here:
http://biz.gamedaily.com/features.asp?article_id=11169
This is an old issue. Have you ever played matrix online? The entire game is a joke, even their devs quit. The only one who was ever around was Walrus and he barely put in any updates. They HAD to add in ads. Ragnarok has had ads for a long time. Probably because it is also a lack-luster game. I don't think Guild Wars will have this problem.

Makkert

Makkert

Black Beast of Aarrrrgghh

Join Date: May 2005

The Netherlands

The Biggyverse [PLEB] // Servants of Fortuna [SoF]

Preferably not, but if things have to be like this, then so be it.
Will be hard to find non-intrusive (matching with surrounding) adds.
Some adds in big towns may be ok.

Yichi

Yichi

Furnace Stoker

Join Date: Sep 2005

Guild Hall, Vent, Guesting, PvE, or the occasional HA match...

Dark Alley [dR]

well there goes my idea for a guild cape being all red with the golden arches as the logo..........