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Marketing in Motion
Marketing practice is rapidly changing. This topic explores the latest trends in marketing communications, digital and mobile marketing, social media, community / tribal marketing and value co-creation.
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Suggested by Ishaan Srivastava
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In The Last Week I've Spent $127 Playing Candy Crush Saga

In The Last Week I've Spent $127 Playing Candy Crush Saga | Marketing in Motion | Scoop.it

Candy Crush Saga is the top grossing app in the Apple iTunes store and it's because of people like me.

Joachim Scholz, PhD's insight:

Insight by Ishaan Srivastava

 

Free to play? Really?

 

That is the question that comes to mind when one looks at the dynamics of mobile game sales and consumption. When people funnel their entire paycheques into paying for what is a "Free to play" game, one is compelled to examine the psychological stimuli that leads to this behaviour, and to the shift in the revenue generation paradigm from advertising to in-app purchases.

 

"King, the company behind hit mobile game ‘Candy Crush Saga’ stopped using advertising as a source of revenue, instead relying on virtual currency." - Mobile World Live

 

There has been an undeniable shift in in the revenue generation paradigms of mobile games. Where once in game advertising was the primary revenue generator, and users had to purchase the app to get rid of the ads, today, an increasing number of mobile app developers focus on revenue generation through in-app purchases. The idea is to sell add ons and services within the game environment.

 

This paradigm, where users make these in-app purchases instead of paying an upfront fee, has been dubbed the "Freemium" model. Since most casual gamers are unwilling to spend any measurable amount upfront for a game, this model very cheekily entices them into first downloading the free game, and then upgrading their character/abilities with "Boosts" that cost next to nothing, often no more that 99¢. With such a negligible amount, most users have no problem spending on upgrades. And they do so over and over again, never realizing how much they have spent cumulatively on the game. 

 

A number of factors aid in making these games so addictive that people spend hours at an end doing nothing but slumping over their phones, crushing candies, running from haunted temples or solving word puzzles. One is the fact that these are easy to play games. No special gaming skills are required. They are pick-up-and-play games. Another is their cross platform compatibility. Users can play these games on multiple devices, on both mobile and non-mobile platforms. The most potent, however, is what upgrades these games offer, and how these upgrades are offered.

 

Usually, users are given three options to unlock upgrades. First is through using up points earned in game. Although the simplest, users are usually reluctant to use up these points that form a pseudocurrency within the gaming environment. Second is by inviting other people through social media, a classic referral technique. Users often exhaust both themselves and those connected to them through incessant such requests. The final option, is to pay a nominal amount, usually less than a dollar, to unlock these upgrades. Payment is done through either PayPal or credit card accounts that were setup at the start of the game. After the first time, users often forget that they are spending actual money on these games, because the transaction happens in the background. Though some critics have labeled this a manipulative move, Freemium games continue to thrive.

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Suggested by Erik Snucins
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How to Change Buying Cars Forever

The Dodge Dart Registry is a campaign by Chrysler that proclaimed the bold statement of ‘How to Change Buying Cars Forever’. This new campaign attempts to use crowdfunding in order to help finance a 2013 Dodge Dart, which is a sedan aimed at the younger generation for its cool interior and exterior and lively engine. The commercial explains how the website works and portrays how easy it will be for young people to get a new car by having their relatives and friends each supply a little bit of money in order to fund the entire vehicle. The users of the registry are encouraged to use social media such as Twitter and Facebook to campaign in order to try to procure their funding, which makes it an integrated campaign. This has become a successful campaign due to thousands of users setting up registries for free and many getting very close to fully funding their cars, including some not for profit charities.

            This campaign touches on the course concept of consumer insights by Chrysler analyzing the younger demographic and coming up with this entirely new way to approach them in terms of automobile sales. Their insights were that young people generally need a lot of help from family to purchase new cars and this would be a fresh way to attempt to get money without having to ask their family directly along with being able to see their progress as they go along. Chrysler understands their target audience and this is a clever way of marketing their new car as an attainable goal through their use of social media and their registry.

 

Erik Snucins, 06045350, Comm353-1, consumer insights, understand target audience, campaign

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Karlos's curator insight, March 19, 2013 11:07 PM

So here is a new way of trying to sell something, by kinda not selling it at all, due to the buyer not paying for it. It just goes to show that the person who uses the item is not entirely the one that pays for it. Back to the principles of marketing and enticing your target market.

Mika de Wet's comment, March 21, 2013 4:42 AM
Wow i have never really thought f it but this is a really cool and it could actually work with the right kind of marketing skills.