A discussion with: Mark Friedler, CEO Game DAILY Kate Thorp, CEO AKQA John Vail, Director Digital Media and Marketing, Pepsi Advertising to Gamers: What Works and Why

A Brief Overview of Gaming* Video Games PC and Console (Xbox, PS2, etc) Boxes at retail, downloaded online (PC) »Audience – primary year old males »Includes MMOs, in-game ad opportunities »Licensed properties and original IP Casual Web-Based Games Played on web, downloaded online »Audience – primary year old women »Skill based, easy to learn, understand Adver-Games Played on web, downloaded online »Completely sponsored content. »Varied experience (*For details, see my Imedia article 10/28/04)

What Does a Gamer Look Like? In the last month I’ve… Gone to a movie in a theater Watched a DVD Listened to music on an IPod, MP3 player Played a game on a cell phone, PSP or GameBoy Played a game on a PC Played a video game on a console (PS2, Xbox, Nintendo, etc) Gambled in Vegas

The Audience for Games Is Growing Gamers are growing beyond the 8-34 year old male target; 46% are years old. Games are now mainstream entertainment like music, TV and film. The average computer & video game buyer is % of Gamers are female and nearly 24% of all gamers are over the age of 40. North American casual and mainstream console and online gamers are projected to be 84% of the total market by Sources: Electronic Software Association, DFC Intelligence & Nielsen Entertainment

Games Are Now Popular Entertainment that compete with Music, TV and Film 39 percent of adults age have played games on their computer, game console or cell phone 10 percent of adults who play games admit that they have become addicted Adult gamers responded that online and video game playing accounts for approximately three hours per week; young adults (18-34) play an average of five hours per week Stranded on a desert island? 34% of teens would select online or video games; 26% would select an iPod; 30% of adults (ages 44-55) would select online or video games Source: AOL Games Poll, May 2005

The Benefits of Advertising to Gamers Young, hip, tech savvy audience Early adopters, “heat seekers”, “tipping point”, etc. 99% of gamers own a PC (GameDAILY stat) – heavy usage of Internet, blogs, boards, etc. Large potential for Word of Mouth marketing

Opportunities of Advertising to Gamers The Web (hint, that’s where gamers live!) Broad deployment and acceptance of rich media and video In-game advertising, sponsored games and product placements Large potential for Word of Mouth marketing

Case Study: Xbox 360/AKQA How Did you design new user interface to reach broader audience and take share from market leader SONY?

Case Study: Mountain Dew The Strategy for Dew in Gaming is to Gain Relevance with Teens and Young Adults Every10minutes.com – Lifestyle marketing

A discussion with: Mark Friedler, CEO Game DAILY Questions? Kate Thorp, CEO AKQA John Vail, Director Digital Media and Marketing, Pepsi Advertising to Gamers: What Works and Why