In-Game Advertising A Billion Dollar Business

As television twitches in 'reality' death throes, the advertising industry seeks new hunting grounds - and the prey is you.

Posted by Staff
In-Game Ad stats: click here for the bigger picture.
In-Game Ad stats: click here for the bigger picture.
According to SPOnG's exclusive interview with former Bitmap Brother, now VP of publishing for in-game advertising specialist IGA Worldwide, Ed Bartlett, in-game advertising will be worth $1.2-billion in three years' time.

?Two or three years back, the advertising spend in games was dramatically under-represented in relation to its share of media usage - when compared with other mediums, as you can see from the Arbitron, US Television Bureau of Advertising, Entertainment Software Association and Yankee Group report from last year,? Bartlett told SPOnG.

That report compares media usage figures in TV, Newspapers, Radio, Internet and Games with the total amount of advertising spend in each medium in the US in 2003 (see results, pictured above).

?According to that, back in 2003 gaming had a 13.5% share of media use but only a tiny 0.06% share of total ad spend,? Bartlett informed us; adding, ?However, the situation is changing rapidly, and the in-game advertising industry is experiencing rapid growth. Here at IGA, we?ve looked at numerous predictions from major analysts in the industry ? including reports from Citi, IDC, Yankee Group, Forrester and SIG ? and we can confidently state that the in-game advertising industry should be worth at least $1.2 billion by 2010. The growth rate is just phenomenal!?

Check out SPOnG?s full IGA interview for a more detailed insight into the current state of the in-game advertising industry.

In-Game Advertising: "Smart Business" or "Satanic Biliousness"? Tell us in the Forum below.
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Comments

Rod Todd 6 Feb 2007 15:44
1/1
But watching TV, or listening to the radio don't cost us 40 a pop, do they?

Comparing games with newspapers, radio, TV and the Internet is fine, but these media (or mediums if you prefer) have traditionally been advertising funded.

How about comparing it with advertising in, oh.. say CDs? Oh! There is no advertising on CDs. You make an album, you sell it for 12 and you DON"T F**K IT UP WITH ADVERTISING.

If you are going to start making billions a year from advertising in an industry that has already made thousands of millionaires, then how about reducing the prices of games?

Bitmap brothers were cool, but Bartlett has become a soulless greedy corporate w****r.

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