DFC Intelligence Forecasts Global Advertising in Video Games to Reach $7.2 billion in 2016
According to a new report on worldwide trends in video game advertising from DFC Intelligence, advertisers spent over $1 billion in 2010 using video games to advertise their products and service in North America. This includes in-game advertising, around-game advertising, and advergames. By 2014, DFC Intelligence expects advertising in and around video games in North America to nearly double to over $2 billion with steady growth going forward. On a global basis, advertising in video games will reach $7.2 billion by 2016, up from $3.1 billion in 2010.
However, it is clear that as an advertising medium, video games are underutilized. The amount of advertising revenue flowing into video games pales in comparison to other media. Particularly, when compared to the amount of leisure time accounted for by games. Furthermore, a recent DFC report estimated that the worldwide video game industry generated $67 billion in consumer spending in 2011 and will grow to over $81 billion by 2016.
"Video games have reached beyond adolescent males into a mainstream entertainment medium that touches every segment of the population," said DFC analyst Michael Goodman, lead researcher for the report. "Despite this, advertisers continue to under utilize video games as an advertising vehicle. This is slowly changing as more games go online."
According to the report the biggest growth area is delivering advertising around games, not simply placing a static brand message inside a game. Another big growth area is advergames, or games specifically created to deliver an advertising message. By 2016, advergames and around game advertising are expected to account for about 78% of total game advertising revenue.
The report concludes that video games are an effective advertising medium that are not attracting nearly as much advertising revenue as they should based on their usage. "Consumers are inundated with advertising, and marketers’ messages are lost in the clutter. Video games, with their high degree of immersion and interactivity, are a natural solution for building brand awareness and influencing purchase decisions," concludes Goodman.
About Report
Advertising and Video Games is a 45 page report with five year forecasts for the worldwide growth of advertising revenue in and around video games. The report has an overview of types of advertising and includes recommendations for brands, advertising agencies, game publishers and developers.
About DFC
DFC Intelligence (www.dfcint.com) is a strategic market research and consulting firm focused on interactive entertainment and the emerging video game, online game, interactive entertainment and portable game markets. Since 1995 DFC has published in-depth strategic market reports and subscription-based research services. DFC research is used by more than300 leading companies in over 30 countries worldwide.
Showing posts with label video game industry. Show all posts
Showing posts with label video game industry. Show all posts
Wednesday, September 14, 2011
Thursday, September 1, 2011
DFC Releases New Report
DFC has just released its latest report on the gaming industry. They've got in-depth information about games, game companies and are regularly quoted in publications such as major publications as The Wall Street Journal, New York Times, Forbes, Newsweek, Fortune, Business Week among many others.
You can download the report here: DFC Report
About DFC: DFC Intelligence is a strategic market research and consulting firm focused on interactive entertainment and the emerging video game, online game, interactive entertainment and portable game markets. Since 1995 we have published in-depth strategic market reports and subscription-based research services. Our research is used by many leading companies in over 30 countries worldwide.
You can download the report here: DFC Report
About DFC: DFC Intelligence is a strategic market research and consulting firm focused on interactive entertainment and the emerging video game, online game, interactive entertainment and portable game markets. Since 1995 we have published in-depth strategic market reports and subscription-based research services. Our research is used by many leading companies in over 30 countries worldwide.
Sunday, August 7, 2011
EA Confirms EA2D Is Now BioWare San Francisco
by Kyle Orland on August 5, 2011
Electronic Arts has confirmed to Gamasutra that its EA2D studio -- responsible for titles such as Dragon Age Legends and Mirror's Edge 2D -- has become part of BioWare, and been renamed BioWare San Francisco.
The move comes as part of a major executive and studio shuffle at the major publisher, which saw Frank Gibeau take over a newly created EA Labels superdivision, and EA Sports president Peter Moore promoted to EA COO.
"We’re focusing on building our intellectual properties/franchises into year-round business," EA CEO John Riccitiello said of the shake-up. "We've established our own platform, Origin, and we continue to grow our digital business."
Founded as a studio devoted to smaller browser-based casual titles, EA2D also developed tactical RPG Dragon Age Journeys and platformer The Fancy Pants Adventures, the latter of which was ported to Xbox Live Arcade and the PlayStation Network.
Former Civilization series lead designer Soren Johnson worked with the studio as a designer on Facebook title Dragon Age Legends.
San Francisco becomes the sixth BioWare-branded location under parent company EA, alongside studios in Edmonton, Montreal, Austin, Fairfax Virginia (BioWare Mythic) and a customer service office in Galway, Ireland.
Electronic Arts has confirmed to Gamasutra that its EA2D studio -- responsible for titles such as Dragon Age Legends and Mirror's Edge 2D -- has become part of BioWare, and been renamed BioWare San Francisco.
The move comes as part of a major executive and studio shuffle at the major publisher, which saw Frank Gibeau take over a newly created EA Labels superdivision, and EA Sports president Peter Moore promoted to EA COO.
"We’re focusing on building our intellectual properties/franchises into year-round business," EA CEO John Riccitiello said of the shake-up. "We've established our own platform, Origin, and we continue to grow our digital business."
Founded as a studio devoted to smaller browser-based casual titles, EA2D also developed tactical RPG Dragon Age Journeys and platformer The Fancy Pants Adventures, the latter of which was ported to Xbox Live Arcade and the PlayStation Network.
Former Civilization series lead designer Soren Johnson worked with the studio as a designer on Facebook title Dragon Age Legends.
San Francisco becomes the sixth BioWare-branded location under parent company EA, alongside studios in Edmonton, Montreal, Austin, Fairfax Virginia (BioWare Mythic) and a customer service office in Galway, Ireland.
Monday, June 27, 2011
Supreme Court Rules: Video Games Protected by 1st Amendment!
U.S. Supreme Court Upholds Ninth Circuit Decision in Brown v. Entertainment Merchants Association
June 27, 2011
The United States Supreme Court has ruled in favor of the video game industry and retailers in Brown v. Entertainment Merchants Association (formerly known as Schwarzenegger v. Entertainment Merchants Association). The full opinion can be found here. According to Justice Scalia, who wrote the opinion: "the act forbidding sale or rental of violent games to minors does not comport with the 1st Amendment." Alito concurred with the judgment, joined by the Chief Justice. Justices Thomas and Breyer dissent, in an opinion by Thomas - according to SCOTUSBlog.
The court had to decide if a state law restricting the sale of violent video games to minors violated the First Amendment right to free speech. The Ninth Circuit Court ruled in favor of the EMA, saying that the law violated the First Amendment.
The law was written by California State Senator (D-San Francisco) Leland Yee and signed into law by California Governor Arnold Schwarzenegger in 2005. The law was immediately challenged by the video game industry and retail advocacy groups in the United States District Court for the Northern District of California. A judge put a permanent injunction on the law, ruling that it was unconstitutional because it violated rights protected by the First Amendment.
You can check out all the petitions and arguments from November here.
Source: SCOTUSBlog
June 27, 2011
The United States Supreme Court has ruled in favor of the video game industry and retailers in Brown v. Entertainment Merchants Association (formerly known as Schwarzenegger v. Entertainment Merchants Association). The full opinion can be found here. According to Justice Scalia, who wrote the opinion: "the act forbidding sale or rental of violent games to minors does not comport with the 1st Amendment." Alito concurred with the judgment, joined by the Chief Justice. Justices Thomas and Breyer dissent, in an opinion by Thomas - according to SCOTUSBlog.
The court had to decide if a state law restricting the sale of violent video games to minors violated the First Amendment right to free speech. The Ninth Circuit Court ruled in favor of the EMA, saying that the law violated the First Amendment.
The law was written by California State Senator (D-San Francisco) Leland Yee and signed into law by California Governor Arnold Schwarzenegger in 2005. The law was immediately challenged by the video game industry and retail advocacy groups in the United States District Court for the Northern District of California. A judge put a permanent injunction on the law, ruling that it was unconstitutional because it violated rights protected by the First Amendment.
You can check out all the petitions and arguments from November here.
Source: SCOTUSBlog
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