Socnets are an increasing source of virtual good spending
eMarketer’s article “Virtual Goods Mean Real Dollars” emphasizes the fact that the creation of virtual goods is one of the most promising ways for marketers to enter the virtual world space and that social networking sites are a growing source of virtual spending platforms.
With an increasing number of virtual worlds and social networking sites offering branded virtual goods to their members, the increase of 134% in revenue totals from last year is not a surprise. This statistic is predicted by Piper Jaffray’s “Pay to Play” report. The report continues to explain that most of the branded virtual goods revenue came from virtual worlds last year, and the authors predict “the trend is shifting to more virtual goods revenue coming from social networks.” This trend is something the industry experienced first-hand with Britney Spears launching her branded virtual goods in Facebook’s gift shop just yesterday. Read more here.
Debra Aho Williamson, eMarketer’s senior analyst, said “nothing says engagement like a flock of avatars crowding a virtual store and showing off their haul in their virtual home.” This is true and the fact that virtual good purchases are becoming more of a norm, is proving to marketers and retailers that virtual goods are desired in the real world. Marketers must realize that there is a need to alter their virtual goods constantly so they can stay on top of the consumer demand.
Here’s our forecast for virtual goods.