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Ad Age Main 05-24-04 B 1 Aadb AdAgeSPECIALREPORT 5.24.04 INTERACTIVE: GAMES HOT SHOT MARKETING We’re on cusp of marketers throwing real money at ‘game-vertising’ as advertisers follow shops’ lead By BETH SNYDER BULIK ick kang is the ultimate action hero.Taking on the Russian and Chinese crime syndicates in the City of Angels,Kang drives, fights and shoots his way across 240 miles of Los Angeles area real estate.Crime in progress? Kang is on the way.It’s a Puma N rd truck heist at the 3 Street Promenade flagship store in Santa Monica. Nick Kang kicks butt and heads back to the streets for more adventure. Kang is the virtual hero of “True Crime:Streets of L.A.,“ a videogame from Activision.And Puma is one of Activision’s marketing partners. Kang wears Puma clothing and occasionally drives See PLAY on Page S-2 INSIDE Music labels learn videogamers’ profile matches theirs as they rush to play along with titles S-4 In search of Holy Grail: Researchers race to find ways to measure thumb power S-6 May 24, 2004 | Advertising Age |S-2 AdAgeSPECIALREPORT INTERACTIVE: GAMES TOP 10 MMORPG TITLES That stands for massively multiplayer online role-playing games. Total sales of PC-based MMORPGs topped $57 million in 2003, according to NPD Group. The fledgling segment has only recently expanded to console games. ON THE TITLE/PUBLISHER UNIT SHARE SALES $ SHARE BUTTON Star Wars Galaxies: 16% $13.0 23% An Empire Divided IMAGINE THE ABILITY to simultaneously 1 LucasArts reach thousands of consumers who are so passionate about a mass medium that it becomes a world they virtually inhabit. Final Fantasy XI 11% $9.0 16% That’s the potential of the embryonic world of 2 Square Enix USA massively multiplayer online games. These games are purchased as software and played on a console or PC. EverQuest: Planes of 7% $2.8 5% Some massively multiplayer online games Power Expansion Pack “have hundreds of thousands of people paying 3 Sony Online Entertainment subscriptions to play them,” says P.J. Ultima Online: 7% $2.9 5% MacGregor, VP-partner Age of Shadows of Starcom MediaVest 4 Electronic Arts Group’s SMG Play. “It is absolutely viable as a medium. Those numbers Shadowbane 6% $3.5 6% are only going to 5 Ubisoft skyrocket.” Currently though, MMOGs consist primarily EverQuest: Lost Dungeons 5% $2.4 4% of shooter and role- of Norrath Expansion Pack playing games set in 6 Sony Online Entertainment medieval or fantasy worlds—realms generally Dark Age of Camelot: Trials 5% $2.3 4% not considered ad- of Atlantis Expansion Pack MACGREGOR, HARRIS: See friendly. Gamers in a 7 Vivendi Universal numbers skyrocketing. fantasy role-playing game would likely be upset if the Golden Dark Age of Camelot: Shrouded 5% $2.14% Arches were plopped down into their forest Isles Expansion Pack primeval. 8 Vivendi Universal TIM HARRIS, ALSO VP-partner at SMG Play, warns marketers “don‘t belong in the EverQuest: Trilogy 4% $1.5 3% [fantasy] environment, but partnering with them Sony Online Entertainment on the movie-type angle does make sense. 9 “A couple have made a run for the mainstream [and include advertising], like Star Wars Galaxies: An Empire 4% $4.6 8% [Electronic Arts’] ‘Sims Online.’ It has up to Divided Collector’s Edition 10,000 people at a time. They are paying a 10 LucasArts subscription fee every month. It is tremendously exciting to us because an MMOG is an ever- DRESSED FOR ANYTHING: Puma sportswear is woven into the evolving experience.” —NANCY COLTUN WEBSTER Notes: Ranked by units. Dollars in millions. story line of the “True Crime: Streets of L.A.” videogame. Source: NPD Group Coca-Cola Co., BMW of North America, says women account for 39% of computer year-old game-focused unit created by Publicis Nokia, Callaway Golf Co., Kraft Foods, and videogamers. Industry insiders maintain Groupe’s Starcom MediaVest Group, adds: Play DaimlerChrysler’s Jeep and Sony Ericsson. that many women have already immersed “At every single client we go to and say, ‘You From Page S-1 While it’s true that product placements themselves into online gaming. “It’s not just should be in this space, ’ there are always lots of past Puma billboards or benches in the have been included in several generations of the boys’ territory anymore,” says Geri nodding heads. We’re just on the cusp of people virtually real L.A. videogames, new advances in graphics and Gordon Miller, festival director of New ready to throw down real dollars for it.” Players could watch videogame trailers on online connectivity, as well as the ongoing Orleans Media Entertainment, an annual As in any mass ad medium, the ability to the Puma Web site and even buy Kang‘s desire to reach ever more elusive consumers, measure popularity will be crucial to interactive clothing or footwear on a co-branded site when are pushing game advertising even further. games (see story on Page S-6), though Julie the game was released in November. “The silver bullet is Shumaker, director-ad sales at Electronic Arts, Promotional winners could pick up Puma LINKING THOUSANDS points out that videogames represent a merchandise, and pre-release copies of “True Interactive gaming has become its own ad- really doing custom technology leap and the metric will eventually Crime” were available at Puma stores. supported mass medium. Interactivity ranges be there. What’s more important is finding “Companies are starting to understand from a gamer being able to compete against solutions” linking marketing partners that want to be involved in the power of this medium,” says Dave the game itself, to several players competing games and get the right fit, she says. Anderson, Activision senior director- against one another, to the new world of marketers, games Think outside the product-placement box. business development. “They’re realizing games that are inspired by the MMO Beyond such tactics as simple contextual videogames are not only mass-market initials—for massively multiplayer online— convergence conference for the advertising, product placement, advertisers can build an entertainment that reaches an elusive male which have the potential to link thousands of gaming, film and music industries. entire level for a player to pass or create a demographic, but can be done in an players on the same game. “Videogames are starting to steal time and whole game around one product. integrated ... way without bludgeoning the While any true mass medium must appeal attention from other media. Advertisers want “Signage and product placement are consumer with message.” to both genders, videogames have been to be where the viewers are,” says Michael certainly valuable executions of advertising, Forward-thinking marketers playing in traditionally associated with young men. The Goodman, Yankee Group senior analyst. but that’s not the whole story,“ Mr. Harris this field include Levi Strauss & Co., Nike, Electronic Software Association, however, Tim Harris, VP-partner at SMG Play, the See PLAY on Page S-7 May 24, 2004 | Advertising Age |S-4 AdAgeSPECIALREPORT INTERACTIVE: GAMES Music world hits new high note fierce competition for plum exposure like of media with a very defined demo and There will be further opportunities there for Videogamers’ profile MTV have made the record labels look culture. It’s more and more important for us record labels to embed their products. elsewhere for promotional boosts. And then to find those music placements.” For now, it’s the software—games like EA’s ‘exactly the same’ and there’s the current malaise in the music The vast majority of gamers currently play “SSX3” and Sony’s “WipEout”—that get all industry, still grappling with illegal on consoles like Xbox and Sony Computer the musical action. Online gaming, which labels learn to play along downloading and slumping sales. Entertainment’s PlayStation 2. But in their offers multiplayer potential, accounts for only “It’s another distribution medium for their next generation, these will evolve into all-in- about 5% of the total gaming world but is By T.L. STANLEY content,” says Rob Sebastian, an agent at one entertainment centers with multiplayer growing quickly, and could be the next frontier Endeavor who specializes in the videogame and TiVo capability and MP3s along with for digital music delivery. As technology rammy-winning R&B artist Mya industry. “It’s a promotional platform.” their already built-in DVDs and CD players. progresses, music industry executives expect steps up to center stage on “The It’s also an invaluable selling tool. Music they will spend more time marrying their Tonight Show With Jay Leno” and executives now synch up their record releases product with the online gaming experience. Gbelts out a jazzy number, but it’s not to coincide with street dates of highly “There’s a lot of potential there for the the single from her latest record. anticipated videogames in hopes of landing user to create custom versions of the music,” Instead, it’s the theme song from some songs on a huge seller like EA’s Mr. Hill says, “and to buy the music online as Electronic Arts’ new James Bond videogame “Madden NFL” franchise or Rockstar Games’ they’re hearing it in the game.” “007: Everything or Nothing,” in which the “Grand Theft Auto” series. Record labels have grown to love sultry 24-year-old singer stars as a character, “The videogame business outsells the videogames for the licensing fees and alongside Pierce Brosnan, Willem Dafoe and music business,” says Mack Hill, VP- awareness they generate. And, importantly, Judi Dench. Mr. Leno, ever the promoter of commercial, videogame and international for the security.
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