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Tuesday, June 17, 2008

IGA Study Finds People Don't Mind In-Game Ads [Market Research]

A landmark study conducted by Nielsen BASES and Nielsen Games on behalf of in-game advertising giant IGA Worldwide has found that not only is in-game advertising super-effective, most people don't seem to mind it. The study, titled Consumers’ Experience with In-Game Content & Brand Impact of In-Game Advertising Study, found that 82% of consumers exposed to in-game ads felt that the games were just as enjoyable with ads as they were without.

“The growth of in-game advertising, both current and projected, makes it an attractive medium for brands looking to reach hard-to-reach consumers,” said Elizabeth Harz, EA’s Senior Vice President of Global Media Sales. “This study solidifies what many in the industry have known for a long time: in-game ads are effective and well-received by the gaming community.”

Hooray! We're only alienating 18% of the gaming public! Hit the jump for the rest of the numbers, most of which seem to be aimed more at attracting advertisers rather than assuaging consumer concerns.

Landmark IGA-Nielsen Study: 82% of Consumers React Positively to Receiving Contextual In-Game Ads During Game Play

New research data from 1,300+ consumers indicates brands receive measurable lift in perception, awareness when advertised in-game

Tuesday 17th June/...Integrating dynamic advertisements into videogame environments provides brands a measured lift in overall consumer awareness and opinion of the products they are exposed to during game play according to the Consumers’ Experience with In-Game Content & Brand Impact of In-Game Advertising Study, a landmark research study conducted by Nielsen BASES and Nielsen Games on behalf of IGA Worldwide, the leading in-game advertising network.

“With young adults now spending on average 6 hours a week gaming, advertisers should be excited at how well their messages were embraced and the brands positively perceived,” said Justin Townsend, CEO of IGA Worldwide. “The consumer insights we’ve gleaned from this data will help drive the industry’s first research-based in-game advertising measurement standards as well as strengthen IGA’s position as an effective in-game ad network brands can trust to efficiently deliver their message to target audiences.”

One of the most important factors confirmed by the Study is that most consumers reacted positively to in-game ads: 82 percent felt games were just as enjoyable with ads as without. In addition, there was an average 61 percent increase in consumers’ favorable opinions of products advertised in-game post-play.

“The growth of in-game advertising, both current and projected, makes it an attractive medium for brands looking to reach hard-to-reach consumers,” said Elizabeth Harz, EA’s Senior Vice President of Global Media Sales. “This study solidifies what many in the industry have known for a long time: in-game ads are effective and well-received by the gaming community.”

One of the most comprehensive in-game advertising effectiveness research studies completed to-date, Nielsen tested multiple variables with multiple brands across multiple games, as opposed to just a single brand in a single game. The research also showed how IGA’s in-game unique advertising opportunities generate significant advertising value across key ad metrics.

"In-game advertising is an opportunity to present targeted brand messaging to a highly desirable demographic. This new data shows how important it is how the targeted and contextual ads are displayed in videogames. Participating in this study with IGA Worldwide has provided valuable new insights into effectively using the medium." said Chad Stoller, Executive Director, Emerging Platforms Organic, Inc.

Nielsen surveyed over 1,300 PC gaming participants in their homes by linking IGA’s proprietary measurement software with research trackers embedded within sample game disc. This unique methodology allowed for unprecedented in-depth analysis of consumer receptivity to in-game ads. The participating brand advertisers included Taco Bell, Jeep and Wrigley and game titles were provided by Electronic Arts and Activision.

Select Findings from the Study:

• There is an average 44 percent increase in post-game aided recall from pre-awareness;

• Positive brand attribute association increased 33 percent across all brands;

• Over 70 percent of consumers who were most opinionated about in-game ads, felt the ads made them feel better about the brand, feel more favorable toward the brand, make them more interested in the brand, and believe the ads are for innovative/cutting edge brands;

• Over 60 percent of the most opinionated consumers feel the ads catch their attention, make games more realistic, do not interrupt the game experience, and are promoting relevant products;

• In-game ad exposures with a duration over 2 seconds, as they are measured in IGA’s in-game ad methodology, generates on average an almost 30% increase in key ad metrics, including ad noticeability +100%, recall +42%, and fit +27%, vs. ad exposures with a duration of less than 1 second

“This study offers proof that dynamic in-game advertising is an influential digital ad medium,” said Dave Anderson, Senior Director Business Development, Activision. “Just as important to us is how users react to the ads. From the research it is clear that the overwhelming majority of consumers enjoyed the gaming experience just as much, if not more, with dynamic ads present. As game publishers, it is reassuring to know advertisers and consumers both stand to benefit from dynamic ads.”

IGA’s network offers dozens of games across multiple genres and platforms, as well as a range of standardized awareness advertising formats with digital measurability. The Company’s advertising products and metrics are in-line with the ad industry and measure ad exposure during game play, including key metrics like minimum time viewed, size and angle thresholds.

Videogame advertising is poised to grow to a $2B global industry by 2012 according to eMarketer, making games the fastest-growing major advertising medium. As a result, advertisers are making significant investments in the in-game environment as an effective strategy to reach target audiences.

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