Gamers have accepted value exchange-style advertising, which could indicate significant opportunities for the gaming ecosystem.
This is according to research by HIS and WildTangent, which found that after engaging with value exchange ads a greater number of gamers intended to spend more money, more often and engaged with games longer than before any exposure to value exchange ads, leading game developers to a higher potential for revenue.
In addition, brand marketers saw a higher level of engagement than before when sponsoring value exchange ads.
Key findings include:
* 86% of gamers prefer free games with ads over paid games without ads;
* 79% of gamers said that they like receiving free virtual goods from clicking on ads;
* 120% increase in the number of times gamers visited the “add cash” area of a developer’s game after seeing value exchange ad;
* 89% of gamers recall value exchange advertisements in game; and
* Marketers see two times more post-ad actions driven by in-game ads than by live TV.
IHS Technology senior games analyst Christine Arrington analysed the raw data.
“The research shows that gamers embrace value exchange ads, which demonstrates the progress the industry has made with advertising in and around video games,” she says. “As gamers become more accustomed to in-game advertising, it becomes essential for brand marketers to find creative ways to use value exchange advertising while developers must ensure gamers have easy access to these offers.”
Value exchange advertising allows advertisers to reward gamers for viewing ads with items valuable to gamers, such as in-game items or free game sessions. WildTangent’s patented BrandBoost ad platform allows game developers to leverage value exchange advertising and provides advertisers a way to reach an engaged audience of gamers.
“With value exchange advertising like our BrandBoost ad platform, gamers receive rewards and uninterrupted gameplay, brands connect with gaming audiences, and developers unlock additional revenue streams,” says Jay Levinger, director of market research at WildTangent Media. “When value exchange ads are done right, everybody wins.”