Gamification on the Rise Gamification on the Rise

Executive Summary Gamification is the incorporation of aspects of games into business processes. It is a massively increasing trend that has drawn huge interest in the past years. In fact, we are going to see a tsunami of gamification in the next few years; the facts speak for themselves.

Gamification Predictions:

In just one year it is estimated that 70% of the leading 2000 global businesses will include at least one aspect of a gamified application or system.

In two years analysis suggests that a quarter of redesigned business processes will include an element of gamification.

In three years gamification is projected to be a $2.8 billion dollar industry of itself.

These facts suggest that no one in an executive or IT position can ignore the phenomenon. It’s on the rise. This white paper examines what Gamification is and what it is not. Most importantly, we will show you what it can do to help your business.

2 Gamification on the Rise technologyadvice

Introduction

A Gamification system takes elements of games, such as: fun, transparent competition, a progressive challenge, incentivization A Classic Real-World Design Example and aesthetically pleasing design. It then applies them to real world tasks. The areas Gamification can assist with are vast; it can incorporate everything from improving routine office tasks A Classic real world design to promoting a corporate brand. The ultimate objective of example of taking an idea Gamification is to improve productivity. from the gaming industry is the design of the Challenger The term Gamification is a relatively new one that has generally 2, The UK’s main battle become accepted within the last five years; however, the idea is tank, gun control systems. certainly not a new one: harried moms have been playing the They were modelled on the “who can be the quietest game” with their rowdy children for controller used by a play ever. Firms have run employee of the month contests and sales station. The design team leader boards for decades. had realised that the vast majority of soldiers likely to fire the tank, a task requir- ing a high degree of motor- Is Gamification New? neuron skill, were already highly competent on this One of the biggest detractors of Gamification is the video platform. They used this games industry itself. An often used criticism is, “if the job itself fact in the ergonomics and is tedious and repetitive, such bells and whistles can come across system design, which was as patronising.” A correctly designed Gamification system is itself vindicated spectacu- more than dressing up monotonous tasks. It seeks to tap into larly during the invasion of innovation that has sprung from the gaming industry to increase Iraq in 2003. productivity. The criticism above does however, have validity; a poorly designed or implemented Gamification system is unlikely to be successful.

The simple idea behind Gamification is to identify the relevant magic that the gaming industry uses to motivate people to voluntarily complete repetitive tasks because they enjoy them. You then apply this magic to business and in the process boost productivity and increase efficiency. There are four broad areas Gamification can assist a business with. 3 Gamification on the Rise technologyadvice

Areas in Your Organization that can Trying to define this magic is not easy and not always directly Benefit from Gamification: transferable to the corporate world. We at Technology Advice use the classic key principles of Gamification that were • Marketing established by Chuck Coonradt, who is considered to be the • Customer Engagement grandfather of the genre, in 2007. • Customer Retention • Employee Training • Employee Motivation Gamification Principles: • Crowdsourcing Clearly Define Goals (thewhy not the how)

Better Score keeping and Scorecards A Classic Real-World (credible and transparent) Customer Service Example More Frequent Feedback (meaningful Customer Retention/ and timely) Engagement and Marketing Higher Degree of Personal Choice (ex- example: Samsung ploit personal talent) Electronic created a focus for enthusiastic customers Consistent Coaching (foster the talent) based on a gamification system. They were encouraged to post reviews and find out about new Let’s Play products. This resulted in high quality user based Managing staff and organizing structures against these broad content and increased principles can introduce a Gamification system into almost sales. any business. At this juncture, the point must be made that Gamification is a part of management; in fact the principles outlined above have been known to managers for decades. The key with Gamification is to improve current systems, not to be a substitute for poor management.

For example, Microsoft produced Ribbon Hero 2, an add-on game, for their famous Microsoft Office suite of software. It trains users to operate the software more efficiently and uses many aspects of Gamification. Ribbon Hero 2 has become one of the most popular releases in this genre and has resulted in much increased user engagement. 4 Gamification on the Rise technologyadvice

70% of leading Conclusion global businesses will include at least one aspect We have shown that Gamification is going to be simply too big of a gamified to ignore. And it’s still on the rise. This fact alone accounts application or system. for some of the hype. It does not explain why it has achieved so much traction in the management sector from a standing new high score! start in just a few years. The temptation is to think of it as a In 3 years, 2,800.000,000 Gamification will spell, which will be cheap to implement and boost efficiency

1,500.000,000 be a $2.8 billion and motivation. This view perhaps accounts for its growth in dollar industry. management circles and is not entirely false. Gamification can 1,200,000,000 help to motivate employees, retain customers and crowd source incredible intellectual horsepower. Against this momentum,

25% of redesigned should be balanced an understanding of the classics of business business and good management. A good Gamification system will build 25% processes will upon these fundamental building blocks and not usurp them. Badge include an element of Gamification in two years.

5