The Advertising Opportunity in Casual Games Monday, February 18, 2008 Casual Games Summit Game Developers Conference

Industry Abuzz! Major industry players retooling to meet new opportunity –Electronic Arts – Battlefield goes free and online –MTV Networks -- $500 mil investment in games – tv company

Ads in Online Games 101 Question #1: Should I pursue direct or in-direct sales?

Direct Ad Sales: Key to Success #1 Distribution –Critical mass of market reach

Direct Ad Sales: Key to Success #2 Brand –Making something out of nothing!

Direct Ad Sales: Key to Success #3 Team –Could be your own, could be someone else’s!

InDirect Ad Sales: Emerging Opportunity Ad Networks – huge new part of online ad market Low risk way to generate revenue early on! One that every major online player is developing or acquiring!

Advertising Products What media units should you support? –Standard units! –What is “sell-through rate?” What special products should you make?

Ins and Outs of Custom Sponsorships Out: Originally conceived advergames In: Branded versions, items or ads inserted in existing hit game

Business Models Work- for-hire Revenue Share – watch the sell-through Bonus Pools Licensing Distribution for traffic link

The Big “O’s” to Think About... Can this new business model foster new types and styles of games Can we innovate more with free games that lend themselves to strong brand association Can we better serve demographic groups?

Other potential “gotchas”... Match production values with the opportunity! Work with business folks to come up with new standard units –Social networks will require a new set Build great games!

Thanks!