As you remember from the first article on social gaming along with the impact that it will have in 2009 and in the future, I introduced one of the major player,
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Well, Zygna and social gaming is back now in the spotlight as they are featured in the November 30th issue of Time magazine with the article “Troubling Rise of Facebook’s Top Game Company“. This article offers some very interesting insights about both the company and the social gaming environment. The is also an interesting tibit on how social gaming can have some security issues and flaws from an insider’s prespective.
It is interesting to note from the article that experiences and failure of founder of Mark Pincus, 43, and the work that is required to start a social gaming company. Also for Zynga, in terms of social gaming- Ads and virtual goods- bring in most of the revenue. But because people who play free games on the Internet like the free part, Zynga needed a third income stream–product come-ons. These offers are like ads, except that when you click on them, you’re agreeing to try and then buy a company’s service in exchange for game points.
However as you can see there can be negative consequences from these product come-on’s where individuals are now being charged premium services fees in exchange for game points without being aware that they are signing up for these monthly services. Zynga has taken the next step now and removed all offers from their games as the validity of each of these offers is now being taken into question.
Are people really making a shift away from the standard console to these online social games? How will advertisers continue to play a role in the future of this shift?
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