Ingame Advertising- Acclaim?!

March 21, 2006 on 10:28 am | In MMO (Live), Playstyles

Just picked up this annoucement at Gamasutra, from the Game Developer's Conference.

Long and short? Acclaim is back, this time focusing on delivering free online games through a variety of interesting business models. One of them is, of course, ingame advertising.

Unlike this most recent announcement though, the effort here is to launch free games supported by advertising (and micropayments for content).

I think it's interesting they're trying it. In that article, they imply that part of their goal is to import Asian titles. This makes sense to me. Rather than dropping serious cash on an unproven concept, grab something that's got legs, and wrap a new business plan around it.

I don't think success here is a foregone conclusion though. There's that whole element of different cultures finding different things appealing in games.

But this way, their risk is less.

Unfortunately, this does not resolve two main issues facing the industry:

1. Costs. They keep going up. And they're doing so for arguably the wrong reasons (prettier graphics and better sounds). The above form of ingame advertising is being applied to games that already exist. Those teams do not get to benefit directly. Only the publishers. Maybe that'll mean the developer gets more work. But I don't imagine they'll do so for higher salaries and more time.
2. Innovation. More money coming in after the fact does not compel innovation. In fact, in order to get that more money to come in, companies need more guarantees. Guarantees are risk-adverse.

Is this the end of all things cheap and innovative?

Probably not.

Ingame advertising hasn't yet taken off, I think, because companies aren't convinced it'll turn into revenue for them. That, in turn, has required the purveyors of ingame advertisers really sell their message, really explain just how many eyeballs will see something and for how many minutes. But it's also meant these companies have had to work with a development and publisher community that has largely been fine (after a fashion) with the way things are. It is for these reasons I think most games have been protected from the potential abuses of ingame advertisements. People would like it to be successful, but they're working through traditions first.

Further, ingame advertising is not itself a Panacea for publishers nor blight for innovation. It's just one of a number of tools companies can use to more creatively pull in revenue.

Finally, this is about monetizing entertainment. I don't have a problem with relevant ingame advertisement. If I'm playing a snowboarding game, driving game, or Hockey game, I expect to see advertisements. I am more immersed in the game world if I see advertisements from properties I recognize. It's the same with TV programming. If I see someone drinking soda, and it happens to be a can of Coca Cola, so?

If it works, it does stand to bring more money to the people doing the work, eventually. It could also mean keeping the prices steady for some consumers, and lowering them for others. And doing that could mean more consumers.

There'll be mistakes. There'll be bad attempts by the less dedicated. But like a million monkeys on a million typewriters, more people trying to make games with money they collect a more creative way will result in something. And given the Darwinian process of the games industry, that something is going to be the one that serves every interest the most.

And I can except if I'm not one of those served. Is this the end of all things cheap and innovative?