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Study Indicates In-Game Ads Actually Work

Posted by Zonk on Mon Jul 23, 2007 05:57 PM
from the subliminal-videogaming dept.
The Next Generation site is running a piece discussing new findings about in-game advertising. The results of collaboration between an ad firm and a research company show that ads in games are actually having an effect on players. Double Fusion's involvement in the study throws the results into question. Take these statistics with a grain of salt: "75% of gamers engage with at least one ad per minute across most, but not all, game types; 81% of gamers engage at least every other minute. Less-cluttered ads are three times as effective at garnering gamer notice than ads that are either cluttered or within cluttered environments. While both contribute positively to ad engagement, placement of the ad in the primary camera plane (eye-level) is more important than large size ads. Not all ads are created equal - dynamic billboards, around-game interstitials, sponsorships, and interactive product placements all offer different levels of user engagement and pervasiveness in the game" Eidos certainly thinks so; Kotaku notes that they've signed up with the same company featured in this study.
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[+] In-Game Ads Make Products More Appealing 82 comments
Opposable Thumbs has the gist of a report indicating that in-game ads really are successful at increasing consumer interest in a product. "In a study that began in 2004 and included 600 gamers, gaming-advertisement firm Massive Inc.--a subsidiary of Microsoft--found that in-game advertising increased average brand familiarity as much as 64 percent. The study included two groups: a control group and a test group. Both played Need for Speed: Carbon, but only the test group was exposed to ads from Massive Inc. The study showed a 69 percent increase in automotive purchase consideration between the test and control groups made up of men between 18 and 24. The respondents also indicated that 'quick service restaurant' brands were 'cool' because they were advertised in games ('cool' is left undefined)."
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  • Engagement... (Score:5, Interesting)

    by SanityInAnarchy (655584) <ninja@slaphack.com> on Monday July 23 2007, @06:09PM (#19963091) Journal

    75% of gamers engage with at least one ad per minute across most, but not all, game types; 81% of gamers engage at least every other minute

    And it goes on.

    So my question: How does this justify calling them "effective"?

    I realize that marketing thinks that no PR is bad PR, but in the real world, I'm not convinced. That gamer might be "engaging" with that particular ad by firing rockets at it, "teabagging" it, or otherwise using it to vent their rage at that particular product, or at the very idea of sticking an ad in the middle of a game.

    But seriously, I want everyone to go back and think about those "Punch the monkey and win!" web ads from the 90's. Do you even remember what it was an ad for? What about the popups for... some Internet camera? It's certainly not going to make me go out of my way to buy the product. It MAY make me subconsciously more likely to notice the product. But if it ever gets conscious -- if I ever see a physical product, for example, and remember it having something to do with "punch the monkey" -- I'll probably punch the product. Maybe physically -- right there on the supermarket shelf.

    In other words -- I strongly suspect the lighter ads are much more likely to be things we'd want to buy. If you create a giant, animated, flashing billboard and stick it in the middle of a medieval dungeon, then no, that's where I take the game back to the store, claim it "wouldn't work on my computer", and ask for my money back.

    In another study, parents are more likely to "engage" with children who say "Are we there yet?" every five seconds than children who shut the fuck up and look out the window.

    • In all actuality, you might see certain companies embrace this.

      I can honestly say that the "Will It Blend" people would be totally open to sponsoring a game development initiative where one of the bosses was a big blender monster that constantly screamed "WILL YOU BLEND!"

      The trick is to advertise in a self depreciating manner. If you know that players might respond negatively to your ads being all over a game, you could easily attempt to have an element of the game be created for purposeful abuse that had y
      • AW CRAP, it's already taking over my brain. I totally saw "... but Red Bull vs. Blue ..." there.
    • ...paid you for that teabagging comment, didn't they? I think I'll go have a mug of hot tasty Lipton's tea now.
    • Marketing for beginners 101.

      Product recognition... which brands do you recognize... this leads to comfort and purchases when there are two competing products.
      Misplaced quality belief... when you see Tide vs No-Name which makes better detergent?

      These things are produced with advertising, not with customer education... that is marketing effectiveness and yes it's totally fking evil.
      • What I don't get is why they think it's effective. For example:

        Misplaced quality belief... when you see Tide vs No-Name which makes better detergent?

        If I don't care (and I don't), then whichever is cheaper. If I do care, then whichever actually performs better. If I don't have the time to test myself, I go read Consumer's Reports.

        I'm unusual, I know, but I really have to wonder if anyone actually consciously says "Oh, that's Tide, it must be better."

        Product recognition... which brands do you recognize..

      • I thought the whole point of any part of a company is to make money. That's the whole "bottom line" argument, the excuse people like to drag out whenever they want to justify corporations doing truly evil things -- "because it makes money, and a corporation has to make money."

        I guess I just don't get how making someone aware of your brand or product makes you any money at all, unless someone buys it. And didn't we learn that lesson from popup ads? Pissing your customers off is generally not a good way to ma
        • I guess I just don't get how making someone aware of your brand or product makes you any money at all, unless someone buys it.

          Because we live more and more in an attention economy [wikipedia.org], and public awareness makes money all by itself - you can make economic deals with stronger enterprises if your business is "emergent", specially if it sells shares in the stock market.

          This "frozen attention" can be capitalized (or monetized) later in a myriad ways, even selling products other than the originally advertised one.

          • Right, except as I keep saying, I don't see how pissing people off makes them want to buy your product -- or a different one with your brand.

            Which means if I was looking to buy an "emergent" business, I'd look for one which both has attention and doesn't annoy people to the point where they boycott my brand.

            For example: If you're a geek, would you knowingly buy ANYTHING to do with AOL, if you had any other choice? What about BonziBuddy? Seems to me that putting the AOL brand on anything is guaranteed to get
            • You're giving yourself too much credit for being free of your subconscious. (And by the way, I didn't notice anyone else mention BonziBuddy .. I guess you *did* remember who made those ads.)

              You also place a disproportionate amount of focus on ads you were turned off by. Okay, so Pepsi didn't win your vote, but if you're human, an ad has created a positive association in your mind between a brand and an ad you liked.

              Branding works. Coke and Pepsi succeed *because* of their advertising, not in spite of it. Re
              • Okay, so Pepsi didn't win your vote, but if you're human, an ad has created a positive association in your mind between a brand and an ad you liked.

                Again, assuming I liked the ad.

                Repetition improves memory recall. (See BonziBuddy, a brand you hated, you can still remember its name.)

                Right. But again, I don't see how it's good for BonziBuddy for me to remember their name, because I won't even use their free stuff (they are spyware), and the only way I'd even mention the name to someone else is to say that

  • by Chris Burke (6130) on Monday July 23 2007, @06:10PM (#19963103) Homepage
    Of course an ad agency is going to get a study that says their ads work, even if they had to pay for a dozen first that said they don't.

    All I really care about is the pervasiveness of ads in games, and from that standpoint the veracity of these numbers is much less important than what the people putting them in games think. And I'm not convinced that even if a dozen studies came out saying in-game ads don't work that they'd actually stop. There's a lot of vested interest in putting ads in games, and while they will surely embrace this study, they'd probably be highly skeptical of a study that said the opposite. How many studies have shown that people tend to completely ignore web-based ads, not even registering their existence a lot of the time? And are there less web-based ads? No, because the reality is that they probably do work overall, and certainly the people putting ads on websites aren't going to take the risk of stopping.

    Which I guess makes my only point "more ads are coming regardless of what studies say".
    • How many studies have shown that people tend to completely ignore web-based ads, not even registering their existence a lot of the time? And are there less web-based ads? No, because the reality is that they probably do work overall, and certainly the people putting ads on websites aren't going to take the risk of stopping.

      Everyone playing the game knows the score. Web ads don't work if you don't do your due diligence. Certain demographics respond differently to web ads. Techies hate shotgun ads, the less enlightened really love them. B2B ads perform much better than B2C ads, if only because business people are actively searching for an answer to a problem while organic results give consumers the references they need.

      I've never heard anyone complain about an ad they liked. Just ads that weren't relevant.

  • by p0tat03 (985078) on Monday July 23 2007, @06:10PM (#19963105)

    When I play games, I notice the ads. How can you not? When my secret agent runs head first into a Comcast van, how does one not notice?

    So yes, I have no doubt that 81% of players or whatever notice their insipid ads. The question is, do gamers care, and are they more likely to purchase an advertiser's service due to the ad? There is such a thing as bad publicity.

    Personally I've never made a buying decision off an ad in a game. In fact, they annoy me, and when I see the product/brand in real life I am reminded of that annoyance. I would say I'm *less* likely to choose a product over its competitor because of the annoyance it has caused me while I'm trying to relax.

    Secondly, are in-game ads really worth it for game developers? My ire towards in-game ads are less directed at the advertisers than the game companies responsible for producing the mess in the first place. My opinion of EA and Ubisoft is decreasing very rapidly due to their rampant participation in this money grab. I am less likely to purchase their games, and in fact I have stopped purchasing EA games completely as a matter of principle. How much are advertisers giving them, and does it balance out with loss of customers like myself?

    • It's about brand awareness. For markets in which there are few differences between competing products (as far as the customer is aware) then the more exposure consumers have to a brand the more likely they will be to choose it when facing a decision between a bunch of options that they have no way to otherwise evaluate. Like what brand of hard drive or memory to choose (unless you've had experience with different brands there's lots of conflicting opinions out there about which is best). Doesn't have to b
      • I agree. I always do my research for large purchases, but for a bottle of hand soap I certainly don't spend hours going over studies and papers and whatnot. That being said, I do feel a negative response when I see products that have been advertised to me in an extremely annoying manner, whether it's through flashing banners on the Internet, in-game ads, or merely a poorly conceived ad that annoys me to no end every time I see it on TV. For small products that don't need research, and where I am faced with

  • by eln (21727) * on Monday July 23 2007, @06:10PM (#19963109) Homepage
    Sure, they used eye tracking software to note that the players actually looked at the ads, but they didn't use microphones to record the players cursing at the ads as they looked at them. If an ad clashes with the scenery, it's going to draw my eye. That doesn't mean I am thinking positively about the ad or its content, and it certainly doesn't mean I'm going to buy any of their crap.

    They should compare these ads to just flashing random brightly colored crap on the screen, and see which one gets more "engagement".
  • by bigtangringo (800328) on Monday July 23 2007, @06:14PM (#19963135) Homepage
    I blocked the ads in 2142 at the firewall before I even finished installing the game. I'm sorry but you're not advertising in a game I bought, on which you maintain a stranglehold with ranked servers, EA.
  • Been playing BF2142 since January - remember the controversy with the in-game billboards for this one? Honestly, in this game, since the IGA started, I think I've noticed the ads twice. Just too much going on for me to take note of the ad. Maybe it'll work subconsciously or something. Maybe it says something about the game - I'm paying enough attention to what my squad is doing, trying to work as a team - I think the game does work well as far as encouraging teamwork - so well I don't have time to read
  • by grapeape (137008) <mpope7@kc . r r . com> on Monday July 23 2007, @06:55PM (#19963545) Homepage
    They mention 75% "engage" in-game advertisements, but dont define what engage is. If I'm playing a baseball game and hit a ball to the wall, I may be "engaging" the advertisement on the wall but I'm watching the ball. In racing games I "engage" billboards as a way of knowing where I am on the track (2 more turns and I finish the lap, etc). Maybe I am atypical but my memory of the advertisement is usualy more trained to its big square and blue than what it actaully says. How effective they are is questionable at best, advertising that I "notice" to the point of remembering the product usually affects me negatively, I will generally go out of my way to avoid it. That said, real billboard and signs in racing and sports games can add to the realisim, id much rather see a powerade ad than a Slurm soda one (unless im playing Blurnsball) I find fake ads more distracting than real ones.
  • In other news, no Pointy Haired Bosses actually believe that anyone is actually viewing any in game ads 'cuz there's no Alexa plug-in on any consoles [slashdot.org]
  • by rollingcalf (605357) on Monday July 23 2007, @07:30PM (#19963869)
    ... or cost $10 max. Don't piss me off by putting ads in a game that I paid $40-$50 for. Any in-game ad in an expensive game will make me want to avoid the product they're advertising.
    • Any in-game ad in an expensive game will make me want to avoid the product they're advertising.

      Not to mention the game itself...
      • So it's OK to treat paying customers like pirates? You just justified the GPs point, that the publisher should make them cheap or free with ads or expensive without. Being both expensive and with ads is hardly a way to discourage piracy, it just gives extra excuses to justify it.
  • I read Cmdr Taco's rant an hour before lunch today and all I could think about was wanting to eat tacos. He should get an endorsement deal with Taco Bell. The other ads on slashdot don't really hit home. I've never clicked on them, but if there was an add for savings from taco bell or some kind of food, I'd be much more likely to. Think about it, all nerds have to eat. And just about all nerds want to eat quickly to resume what with the coding and such. He could even endorse a line of Taco accessories. Thin
  • by MaWeiTao (908546) on Monday July 23 2007, @09:30PM (#19964775)
    First of all, I can't help but think the companies releasing these studies aren't doing much more than ensuring future business for themselves.

    What exactly constitutes exposure to advertising? Let's take any EA game plastered with marketing crap. Even menu screens are promoting one product for another. Let's take one of the FIFA games. I decide I want to customize my players so I spend a few minutes equipping my players with some sneakers. Those sneakers happen to be Adidas or Nike sneakers. Does this count as exposure? Suppose I'm camping a spot in an FPS and there just so happens to be a billboard facing my direction. Does that count as exposure?

    The point is that the marketing company could care less. What they want are metrics that look good. They don't care how effective the marketing actually is, nor is there any real way of knowing. But on paper it looks good and so developers fall for it. Not that they care, because it's extra advertising income for them.

    Less-cluttered ads are three times as effective at garnering gamer notice than ads that are either cluttered or within cluttered environments.


    I find this particularly troubling. Does this mean we're going to get less realistic environments? We can't have overly detailed environments if there's a risk of advertising blending into the background. I predict, however, we're going to end up with the gaming equivalent of pop up banners. Advertisers will just have these big crap banners floating around in mid air. And I expect the quality of these ads to be utter crap. In all the years of advertising on the web 95% of it still looks like garbage. We're going to be stuck with LowerMyBills banners in our games.

    I also think it's naive to think that the cost of our games will drop once advertising is introduced. Developers and publishers aren't looking to introduce advertising in order to make the same amount of money they make now. This will be like cable and satellite television. You'll pay as much, if not more than you pay now AND you get the added bonus of advertising. Advertising will only become more intrusive and unlike browsers there will be no way to block any of it. And lets not forget that our games are going to be sanitized and inoffensive, in order to appease advertisers. And games will be compromised in order to appeal to desired demographics.
    • Logically, the end result of this is another 1984-style video game crash.

      It couldn't come soon enough.
  • Because every game featuring ads will be pirated!
    Since you publisher-fellows have obviously chosen to make your revenue via an alternative method, I'm sure you won't mind that I refuse to pay for your games that have ads in them.

    Thanks! They really do work!
  • An interesting twist is that Transformers has in-game ads by Helio. Now, they're static ads - in fact, in the copyright page, they list Helio as a trademark.

    The uselessness of it is that if you're not in the US, wtf is Helio? I can't buy a Helio phone here in Canada, and I'm sure, neither can anyone else outside of the US. Sure the largest market will understand it, but it sure will date itself quick when the phones they advertise is gone. The only reason I know who Helio is was from the million posts on sites like Gizmodo. So no matter how much "eye time" Helio gets, it's for naught...
    • An interesting twist is that Transformers has in-game ads by Helio.

      Damn. And I was so looking forward to playing it, since it's the only way I'll get to hear Frank Welker as Megatron.

  • by PhoenixOne (674466) on Monday July 23 2007, @10:16PM (#19965111)

    If you honestly hate in-game advertising so much that you stop buying games with it, then the big publishers will just make more games that people who don't hate ads like (Bejeweled-7 and The Sims 19).

    I don't know much about marketing, but I wonder if this is the reason why 99% of all broadcast TV sucks (too hard to advertise to people who like smart TV).

  • by cliffski (65094) on Tuesday July 24 2007, @02:57AM (#19966557) Homepage
    Yet another study, funded by an ADVERTISING company saying that adverts work. They trot one out every 3 months or so. Its bullshit. And the facts remain gamers do not want ads. I will not buy any game with ads in, and skipped on BF 2142 as a result. When will the guys in suits get this into their thick skulls?
  • It's been discussed here that people hate in-game ads and how much, and how those numbers just reflect awareness but not how much said ads are intrusive. That's actually very critical.

    An intrusive ad is a negative experience. Now, with more and more brands trying to sell with the "feel good" message instead of trying to convince you they're the better product (i.e. the "value" you get from us is based on you being cooler and better, or just that we make you feel better than the competition), it is outright
    • I agree that most advertisers have been pushing the lifestyle message. However, I completely disagree that they're trying to convey a "feel good" message. Most aren't trying to make us feel good, they're trying to make us feel inadequate so that we rush out to buy their products. And most advertising isn't anything but obnoxious insistent. Marketing people are constantly trying to devise ways to cram more advertising down our throats, what makes you think it would be any different in games?

      What these compan
      • Tough cookie that game, but games in the future have one advantage over games in the past: The ad you want to place could have been there before and the media used to present them are now, in a world where resources are scarce, reused. I.e., how about creating a shelter from an old ad billboard? If you have a catchy ad jingle, some old tape you find could have the information you use right after a few seconds of the jingle that was taped as well when the information was taped.

        There could be a derelict movie
    • My first exposure to in-game advertising was WipEout XL / 2097 on the PS1. The game had ads for Red Bull alongside the track.

      Did it work? Hell yes. I mail ordered some Red Bull before it was commonly available in the USA, because I was intrigued to find out what it was, and the game was so cool.
  • Yeah, they actually work great.... at annoying me
  • Remember back when people used to provide "cracked" copies of Kazaa with the spyware removed and the IP addresses of their ad servers blocked? I expect the warez groups will start doing that sort of thing too. As well as a no-CD patch, there will be a no-ads patch.

    Ads in games worked for about five minutes when it all first started. The first Tony Hawk's game had a descent soundtrack, with interesting and less well known bands that suited the game. The last FIFA/Need For Speed games had a load of manufactur
      • How about using the Stanley Hammer of Doom to crush your enemies? Don't forget the Craftsman crossbow, or the Maglight Torch of Visibility. You wouldn't think of going into battle without your Tommy Hilfinger battle armor, would you? If only I could find some Aquafina to get my health points up...
    • The problem is, it's like spam.

      In other words, you don't matter, because even if your attitude was the usual one, they probably need less than 1% of the people looking at these ads to respond in order to justify what it's costing them.

      Now, what does work is, boycotting the game. Here, if they sell 20% less copies, or 50% less copies, even if the other 50% are buying Coke/Pepsi/BonziBuddy/Viagra/whatever like mad, the game company itself might decide to stop selling ads -- whereas even if your method worked,
    • $90-$110 for a game? Wow, that's crazy. Just about every Wii game I've seen is $CDN 60. XBox360 and PS3 are $70. According to the exchange rage on xe.com, that comes out to $AUD 64.83 and $AUD 75.65 respecitively. You guys are getting majorly ripped off. Even accounting for the extra shipping costs, I could not see those prices making anywhere close to sense. Sometimes I wonder why AU and EU get so screwed over on prices of tech products. It's not like they have no population, or interest in the prod
      • Back in 2000 when our dollar was 0.50 US$ a $50US game = $100 AU. Our price-point was set.

        Now with the US dollar in free-fall, we're close to 0.90 US but our games are still at $100, meaning we're paying US $90 for a game.

        I guess the importers are keeping the profit from the US dollar tanking, whereas that in theory should be passed onto consumers.
        • Don't think it's much different in Europe! EUR:USD is close to 1.4:1 now, but we still pay the same for games as we did a few years ago when it was closer to 0.8:1.

          Fortunately, the UK are just 'round the corner, and while the GBP didn't change much towards the EUR (still about 0.6:1, while being about 2:1 to the USD), surprisingly there games can be dirt cheap (got current games from play.com for about 30-40 EUR, compared to the 50-60 they cost here a significant difference).

          Why should globalization only wo
        • We've got the same problem in Canada; today $1 CAD is about $0.96 US, but books (for example) are still priced 33% - 50% higher than the US price. For example, the omnibus edition of His Dark Materials by Phillip Pullman (chosen because that's what I'm reading now, and because it was released recently) lists for $21.99 US on amazon.com, or $27.99 CAD on amazon.ca... at a proper exchange rate, it would be $22.81 CAD. When the Canadian dollar goes above $1.00 US again, nobody's going to adjust their pricing
          • However, when they are selling to the American people, they are getting less per copy ($10 five years ago is worth more than what $10 is now). I don't think the price of books in the US has gone up lately, even though their dollar is tanking. As far as games go, aren't many/most games companies (apart from EA/MS) located in Japan? I think the Yen is doing pretty well, so that might explain why the US dollar seems to have no effect on the price of games. Then again, we all know that game prices are based
      • You forget, they're shipping to a place that has far fewer people buying products, from talking to my Australian buddies, almost every luxury product is more expensive than in other countries. That being said, video games in particular get boned by Australia by their draconic video game laws, which often involve jumping through a lot of hoops just to get permission to sell your game in Australia.