January 21, 2007
Massive Opportunity - An In-Game Advertising POV
I'll be candid.
I am really tired of a lot of advertising out there.
That might sound like something odd to say for someone in advertising, but I feel that way for the most part because I know most conventional advertising is largely ineffective at reaching me - a high-value demo (if I do say so myself). As an example, I watch a high-definition channel from my local cable provider that is programmed out of Toronto instead of locally. I listen to very little radio - only a few minutes a day in the car. Other than the music I listen to is from iTunes. I don't read the local newspaper. The most news I get is from the Globe and Mail RSS feed in Google's Gmail.
One thing I have been excited about is the in-game advertising offering available through Massive Incorporated, one of Microsoft's recent acquisitions. I became acquainted with this company before all that and I really like what they are doing for advertising.
Here are some thoughts on why I think in-game advertising is such a good media placement.
Perhap the biggest merit of in game-advertising is that the ad is placed in an environment where the user's attention is extremely focussed.
Have you every talked to someone playing a video game? You don't exist. And God-forbid you walk in front of the TV! They will freak out/or try to look past you to continue what they were doing before the interruption. There are no potty breaks or PVR fast forwarding as there is with broadcast television. And it's hard to ignore because it's embedded in the game environment - unlike convential banner advertising that we have all learned to ignore because it's existence on the page in no way supports our agenda as a user and is generally placed on the periphery of the content.
It's the most measurable placement in it's delivery of a quality impression.
Massive counts an impression once it has been on screen for a cumulative 10 secs. A 9 second impression doesn't count or cost anything. So when you pay for an impression you know it has been seen. This is its biggest advantage over any banner ad (it's closest sibling to an existing media choice by technical definition). You can not measure how many times a consumer has looked at your banner ad. You only know when the web browser has requested it from the server and placed it somewhere in a webpage. There is no way of know if the user has scrolled past it on the page or more than likely not paid a bit of attention to it because they are looking at the part of the page that they are interested in (which I'm sorry to say is not the ads). In this way, I would argue the length of the impression and the placement of the impression are far superior.
There is a certain caché of the in-game the placement by positioning your brand as a peer with the other advertisers currently doing placements in this channel.
This one is hard to quantify but would you rather have an ad in Fortune or the local chamber pub if the same amount of people would see it? Would you rather appear beside an ad for some other global brand or appear alongside a local restaurant or auto dealer? Placing an ad in a game has the benefit of placing you alongside other global brands that are placing ads. In the process, I think this demonstrates a higher brand value and esteem because of the company you are keeping as an advertiser.
First mover advantage.
This stuff is new. It's good positioning for a brand to be where the new things are happening. And if you place localized ad (that they can offer by measn of IP geotargetting), it's going to be noticed by users - especially now when it's new.
It's a more modern & immersive type of placement.
The usual "content you like" then "ads to pay the bills" then "content you like" then "more ads to pay the bills" is getting a bit old in places. Branded content and product placement is a big growth area in advertising (some would argue the future of advertising - I hope to goodness it'll be tastefully done) but it makes it difficult for local brands to play the game because their audience and brand is geographically constrained. While no character in the game is going to interact virtually with your product in the game (today anyway - tomorrow maybe), this is an opportunity to secure a more immersive ad placement than the usual fare and I think that makes it a little more palatable to a cynical and advertising-weary public.
It's skews towards the elusive 18-34 demo which is often identified as a key audience but is hard to find in conventional media placements.
They've fled radio. They multitask on the computer (likely chatting on MSN) while watching television. Forget most print. Gaming has become a social hub with new web-networked consoles and voice communication connecting you with your friends during game play. And if they've left conventional media, it's been to come here.
It's a media placement that gives access to early technology adopters and influencers.
Find someone who gaming on an XBOX360 console and you've got someone at ease with technology, an early adopter and very likely someone who influences the technology decisions of those around them. Take me as an example - since buying an Apple computer in the spring - two other Apple computers have been purchased by members of my family because of my influence. Influencers are a worthy target when promoting technology-based products or services.
It's inexpensive to get in the door and an excellent value in comparison to other electronic placements.
In my opinion, it's a very modest investment for chance to delve into and gain some experience in an emerging online marketing opportunity alongside the big boys. The CPM may be higher than a conventional banner ad but it's well worth it. Industry click-throughs on banner ads are well below one percent. Banner ads are much weaker in terms of recall. (I'd defy anyone to recall a half dozen they saw yesterday). Frankly, I'd value an in-game ad at 10 times a conventional banner ad for all of the reasons above.
So, it's been interesting to see the brands that are placing advertising. It's generally the leading-edge clients and agencies with larger budgets that are pushing forward. I know Taxi has been placing ads for BMW Mini (good on ya!). I know some telcos and cellphone providers are advertising. As more agencies and clients figure out the value proposition here, it could get pricey and exclusive. But depending on how game title developers react to the demand for an 18-34 male demo, they may add a bunch of ad inventory opportunities into the game (but at the risk of gamer backlash). This is a delicate balance for them and I expect this will change something in terms of the consumer model for game pricing.
I'm going to be talking more about this. It's the most interesting and worthwhile ad product I've seen in a long time.
Advertising NEEDS more of this kind of thing...
Check out the Massive website at:
Posted by Derek Leverington at 10:08 PM
March 1, 2006
Brown Makes Adrants
Well, it looks like the 3D boards are making a little buzz beyond the local traffic and the people I know who mention it when I run into them at the local Starbucks.
Brown showed up on Adrants this morning and I see that fellow local blogger Eric Eggertson has covered the outdoor on his Mutually Inclusive blog.
These projects have been fun to work on and they are nice outlet (no pun intended) for the creative department to have some fun with.
Neat...
Check out all the Brown outdoor board at Brown's website.
Posted by Derek Leverington at 11:37 AM | Comments (0)
February 8, 2006
Gillette Fusion - Marketing Slant
Great job on the esthetic of the designs of these razors to keep it looking like the product is advancing - but I think this category is well into the area of diminishing returns in terms of product performance vs. R & D investment. I really don't know how long Gilette is going to be able to get us all excited about the next "big innovation". It's like they are trying to find a more refined solution to a problem that isn't really a problem.
I think it's time to look for a more meaningful or pressing problem to solve ... I don't know ... how about something that makes it easier for me to floss daily, take my vitamins, eat less trans-fatty acids, etc.
If nothing else, let's get these Gillete product development people working on the lids on the Starbucks cups.
Posted by Derek Leverington at 9:07 PM | Comments (0)
October 24, 2005
The Future of Men - first thoughts . . .
Just started into a new book last night called the Future of Men. It's written by Marian Salzman, Ira Matathia & Ann O'Reilly.
From what I gather the book focusses on the changing face of masculinity in today's day and age with a takeaway on the impact for marketers.
It confirms what I've been sensing, and that is that men are in transition right now. The women's liberation movement has made a significant impact on our culture but there really hasn't been much significant redefinition of the male persona - and it seems to me that some type of change as a response is necessary.
I'm more conscious of the fact that change in the in the air than I am what the nature of the change is. Anyhow, an interesting topic and I'm anxious to dig further into it.
Posted by Derek Leverington at 7:50 AM | Comments (0)
August 18, 2005
Luxury toilet paper? - this isn't bathroom talk . . .
Interesting article from Agenda Inc on luxury toilet paper.
Before you're tempted to dismiss this as some long shot marketing scheme or potty talk, understand this: self-indulgent luxuries are not beyond any of us, no matter how humble the product category.
I say this whole notion has some merit. If people will pay premium price for Evian water and Starbucks coffee, they'll spend money on fancy toilet paper.
Frankly, I think this whole product category needs a more sophisticated solution in this day and age but I'm going to watch this whole thing with interest.
What I'm curious about how far along our society can go on its path to luxurious living. More and more luxury item seem to be available to everyone, not just the "wealthy". At one point will people say "what I have is already nice enough?" Who knows? I could handle a little more luxury and knowing human weakness for lavishing every possible luxury we can afford, I wouldn't be surprised to see a lot of more of this kind of thing.
Ultimately, all of us like to have the best that money can buy. Can't afford a 5 million dollar Beverly Hills mansions or a quarter-million dollar Ferrari? Well, there's always a hot cup of Starbucks coffee and a roll of Gucci toilet paper to make you feel like a player for under ten bucks.
Posted by Derek Leverington at 8:46 PM | Comments (0)
July 24, 2005
Nice Axe Viral
http://www.eatmail.tv/_ravenstoke
As a nice contrast to the GAP effort, I like the execution of this.
It's both entertaining and a nice longer-length version of the TV creative.
Posted by Derek Leverington at 11:35 PM | Comments (0)
New GAP site = Nintendo Meets Hampsterdance
Huh?
I don't get it.
Yes, you can simulate trying on clothes and wardrobe combinations but the quality of the clothing a characters is lousy on account of the characters having to dance.
Not a bad idea on paper but it's neither entertaining or helpful in terms of using it as a clothing simulation.
So, I don't get where this is going.
Posted by Derek Leverington at 1:43 AM | Comments (2)
June 25, 2005
Bad Websites Will Always Be
I was reading an article the other day about the importance of a professional website.
Nothing particularly revelatory about that statement, you might say.
However, the point of the article was that the web is going to increasingly become a customer's initial exposure to your firm. So, the suggestion was to make the most of it. I can buy that.
So, is there going to be a stampede of phone calls to the top web designers and will the world all have esthetically sophisticated technical world wonders for websites?
Nope.
Maybe if I hadn't seen my share of ugly logos, business cards, brochures, photos, etc. I might believe that all of sudden that every business will one day wake up and realize that their website should top notch and do something about it.
The reality of the matter is that it's not going to happen.
The reality is that web is no different that any other form of collateral when it comes to how it is prioritized, and historically the standards are often low for anyone who doesn't have a big budget.
Alas, there will always be the haves and have-nots when it comes to quality brand collateral. It's always been that way and websites will be no different.
You may only get one chance to make a first impression, but first impressions have been going wrong for a lot longer than there have been websites.
Posted by Derek Leverington at 3:14 PM | Comments (0)
June 15, 2005
Edgy Creative Lands Walmart in Hot Water
We've all heard the story of how Walmart got themselves in trouble with Nazi-era imagery in their ads.
Edgy creative is often a recipe for problems. Some brands, especially large established ones like Walmart, shouldn't go anywhere near this kind of stuff and their agencies should know better.
Long story short - don't let "breaking through the clutter" come ahead of other important marketing disciplines i.e. research on customer needs, product development and a well examined customer experience.
The notion of being able to dream up the magical ad that is going to change everything is a romantic thought for creatives. However, agencies should remember that the world is not sitting out there waiting for some ad to unleashed on an unsuspecting public spurring skyrocketing awareness of a product, rapid growth in market share and peace in the Middle East.
Walmart is naive to expect a flood of public support based on what amounts to a play in creating fear and frankly the similarities between the U.S. and Nazi Germany are a stretch. Although even in a free market economy, the biggest and most successful players seem to get their share of backlash and punishment along the way, this kind of tactic isn't going to get anyone on side.
Posted by Derek Leverington at 11:56 PM | Comments (0)
June 8, 2005
Use of Web with TV Advertising - Do it!!!!
I'm amazed that more tv ads don't make better use of the web as a response mechanism.
Everyone keeps talking about the death of the :30. Does it have to die or can it transition to a part of a multichannel approach.
There's lots of opportunities here. Continue interesting creative (hello beer companies), drive a transaction hard right then and there (space foam something or other) or more exhaustive production eduction for more complex products (like health products or consumer technology).
Take the last one for example, it used to be that you had to do something like an infomercial if you wanted to be able to communicate extensive product information. A well integrated :60 to push an online component could accomplish similar results with a more primetime buy. Better yet, the consumer could actually interact with the product demonstration site and potentially learn more about the product than they could watching an information.
Want a spokeperson? Bring them along. In fact, build them into the online component. Macromedia Flash's video compression has come along way from what it used to be. Using high quality motion video along with full user interactivity is now a possibility. And it can look really good.
Maybe there's life before death for the :30 after all.
Posted by Derek Leverington at 2:01 AM | Comments (0)
May 13, 2005
Xbox 360 - this is bigger than geeks
Just watching the CTV/MTV special on the new XBOX 360.
From a gamer's perspective, it looks very exciting. Frankly, this is a given.
I think what you also have to also consider is the impact of this machine as an unparallelled point of integration as social software as well as music, video and gaming entertainment hub all inside a standardized hardware environment connected via a highspeed network.
That's a very powerful concept and it's going to be a very big deal.
With all that XBOX 360 represents as an entertainment hub, product placements in the games and a prescence in the XBOX online marketplace are going to become very important for marketers in some brand segments. It'll be very interesting to see in what form the brand placement opportunities will present themselves.
And I really, really want one . . .
Posted by Derek Leverington at 1:47 AM | Comments (0)
May 11, 2005
Digital delivery is about to hit for real
If I made my money in DVD rentals, I'd be terrified right now. Same goes for CDs.
I was walking by HMV in the mall on the weekend and realized that ever since I signed up for Napster and Napster to Go, I haven't set foot in a music store.
The infrastructure to deliver the content online makes it unnecessary for me to go to a store. Digital delivery makes acquiring a physical CD virtually redundant.
Bandwidth is the only technical constraint to doing the same with DVDs. (I won't comment on the matter of cooperation with the content producers). Fortunately for them, they have some more time before the technical obstacles are overcome. The immiment move to high definition output will drive bandwidth requirements (even standard definition is a problem today with existing compression and bandwidth) and consumer adoption of hardware with storage capabilities has to happen so playback devices can participate in network delivery.
The second part of the equation is content development. This is a much easier proposition for musicians than filmmakers, but it's going to really interesting to see how that turns out.
At one time, the content creation and the delivery of music was all but out of reach for the vast majority of musicians. Now quality content creation is within reach and digital delivery is a reality. Marketing is the next problem to solve.
It's going to take some time for filmmaking to catch up to this, but the content creation process isn't so different. A lot of it can be done fairly inexpensive on desktop workstations.
Content creation and delivery aside, I think the biggest challenge facing the independant entertainment industry is marketing and breaking free from the notion that we can consume independant content en masse without having to wait for the summer blockbuster from the big studios or from the next big release from a platinum selling artist.
So far, very little has changed as to where the content is created, just the method of delivery has changed.
Even that has signalled quite a change already. Think about how much has changed in the last five years in the music business and that just relates to how the delivery works. Wait until you don't buy it from the same people you always have.
Posted by Derek Leverington at 12:05 AM | Comments (0)
May 10, 2005
The internet revolution is happening - Part I
I keep talking about this to people that I end up chatting with, and that is this notion that the internet revolution is happening before our eyes.
This may sound like bubble thinking but what I think we are seeing in simple terms is people catching up to the technology. While technology can develop rapidly, changes in human behaviour is much more gradual and takes time. That said, slowly but surely, our behaviour is changing and the symptoms of those changes in behaviour, coupled with access to supporting technologies, are starting to show up in our media consumption. It's starting to have an impact in dollars and sense terms to media providers.
I read this article on the New York Post Online Edition.
I think the columnist's comments are exaggerated in places but I don't think he is far off. Our habits are changing and existing business models particularly pertaining to our media and entertainment consumption need to get in tune with consumers and get on board.
Posted by Derek Leverington at 10:46 PM | Comments (0)