Video Games & the internet

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average game player age

31

adult percentage gamers

48% of adults age 50+ play

percentage of gamer females vs males

52% males 48% females

BIG PLAYERS II -second most popular brand on the net

FACEBOOK -68% of active internet users spend time on FB a month. -FB is the *stickiest*= people spend more time with it than other sites

BIG PLAYERS II -leader in web traffic -most popular brand on the net

GOOGLE -google.com/ google owned sites (youtube) each almost 90% of global web users every month. google traffic also enjoys low *latency* because of ample bandwidth and strong infrastructure

measuring the audience for web advertising THREE

How often a web advertisement is clicked on by those who see the ad determines the *click-through rate*. Even better. But the best? Many web ads today are sold based on CTR (click-through rate), but a growing number are sold by *conversion rates* (how many clicks lead to actual sales).

BIG PLAYERS -computer software giant

MICROSOFT - launched original Xbox in 2001 & Xbox 360 in 2005. - marketing its newest console Xbox one- all in one entertainment system

BIG PLAYERS II -3rd most popular brand on the net

MICROSOFT -web content reaches 63% of internet each month. -default web page installed by internet explorer. microsoft's *bing, Skype, and OneDrive* compete with google

BIG PLAYERS -primarily in video game business & been in it longest

NINTENDO -first big hit was arcade game donkey kong in 1981 -Japanese company

TRENDS in VG mobile gaming

One of the fastest growing segments of the video game industry is gaming on smartphones and tablets. Many mobile games are *casual games* with simple game play, and *freemium games* with integrated ads and social media features

TRENDS II -to the cloud

People are storing more of their media content — music, photos, and ebooks — in online "cloud storage" services from Amazon, Apple, Google and others. Many of us are losing our attachment to physical media, like books and discs.

BIG PLAYERS - entered video game console business in 1995

SONY -origninal playstation in 1995 -PLAY STATION 2 -Japanese media conglomerate

best selling video game system

SONY's play station 2 sold over 150 mill unites

TRENDS in VG convergence with other media

The Xbox One continues a trend of marketing consoles as more than just video game players. Newer consoles can be used as *over-the-top boxes* to stream audio and video from the net, and even serve as *digital video recorders.*

TRENDS II -the internet of things?

The convergence of mobile broadband and tiny embedded computer chips is helping create an "internet of things" where just about everything and everyone is always online. Some fear such a world; others love the idea.

TRENDS II internet bandwidth gains

The speed of internet connections should continue to grow, but so will traffic. Internet traffic recently surpassed a zettabyte—that's a trillion gigabytes. There are more bytes in the digital universe than stars in the physical one.

measuring the audience for web advertising TWO

Web servers can also measure *unique visitors*, the number of different people who see a web ad. Better, but... While this is a more useful than the hit, it still doesn't measure the effectiveness of a web advertisement.

measuring the audience for web advertising ONE

Web servers can track how many times a web ad is sent over the net, called a *hit* or *impression*. Good, but... An impression doesn't reflect how many different people see a web ad, just how many total times a web ad is transmitted.

BIG PLAYERS II -4rd most popular brand on the net

YAHOO! -long been a leading site for search on the internet -48% of internet users visit a month. (microsoft tried to acquire Yahoo but failed)

percentages of revenue in video game industry

console 49% PC 20% mobile 17% handheld 15%

video game industry spent in US in 2014

over $17 billion -industry has declined a bit, but important part of media

grand theft auto V

set a record in 2013 generating $1 billion in sales in 3 days

the best selling video game of all time (number of copies sold)

tetris -released in 1984, over $170 mill copies of Tedries have been sold & 100 mill for mobile devices

Avatar

took 19 days to earn $1 bill at the box office

Internet industry - spent in 2014?

web started as a noncommercial effort, but has become increasingly commercial. -internet advertisers in the US spent over $48 bill in 2014


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