Analysis

 

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Do mobile banner ads increase sales? Yes, in the offline channel        

Authors: Ernst C. Osinga , Menno Zevenbergen , MarkW.G. van Zuijlen

Published: 29 March 2019

 

The purpose

The authors wanted to find out how banners in the mobile market influenced consumers to buy more products. Since the mobile market has grown significantly in the last couple of years, there is a larger budget allocated to advertising through banners. The paper wants to see how online banners so banners in apps or games influence the player and how offline banners for apps or games influence consumers. The article mentions that it is not a good idea to solely rely on online banner ads.

 

The how

The article finds its info through a geographical filed experiment conducted in the Netherlands. The authors of the article state why companies should not ignore banner ads. It states that 78% of banner ads are mobile, 80% of mobile users own a smartphone which makes it a huge chunk of the market. IT also states that advertising investment surpassed 57 billion in the US alone.  The article also says that Facebook reported that 84% of its advertising revenue came from mobile banner ads, which is a huge number especially for such a big and diverse company however it does not state weather this is Facebook the company or Facebook the website that made its advertising revenue as Facebook has other website under4 different names. The risk of banner ads on phone tend to be that the screen size is smaller than for example a pc and therefore can fit less banner space without getting annoying whereas on a pc there is large amount of space to put banner ads, however the article also states that a mobile phone is always on the user and therefore it is more personal than a pc making the advertising more valuable.

 

The positive

The article is well researched and has a lot of info for mobile app advertisers on how they can best spread their product. IT gives a lot of statistics on the mobile market. The article applies to both video games typical gambling games like the lottery as that is what they sued for their study, and it applies to regular apps.

 

The negative

The article itself says it suffers from limitations. IT calls itself a stepping stone to further research which is good but this itself means that we are not getting all the necessary info as it does not have it yet. I also feel that it should clarify if it means Facebook the company or Facebook the website as it would be very different amounts in both cases.

 

Loyalty towards online games, gaming addiction, and purchase intention towards online mobile in-game features

Authors: Janarthanan Balakrishnana, Mark D. Griffiths

Published: No date given

 

The purpose

The authors wanted to see how addiction and fan loyalty to a product influenced in app purchases and also is it ethical to sue addiction to sell in app purchases. The article states that the most important revenue stream for mobile games is gamers in app purchases. The results of the article where that addiction had a positive result on app loyalty it also has a app positive on in app purchases and that loyalty increased the intention to make a in app purchase.

The how

The article used 430 students from two major Indian universities to test its predictions. The article states that the mobile app store revenue will amount to 6.9 billion dollars by the end of 2020 and advertising revenue is forecast to go up to 188.9 billion dollars by 2020. This makes it a massive market for anyone to be in but advertising through mobile games require player engagement to work properly. The article states that in game purchases only work long term, which makes sense as the long you have users the longer they will become invested and therefore will be more likely to make in game purchases. This makes senses due to the fact that if users are swamped with thing they have to pay money straight away after being offered a free game they will lose engagement. As stated before mobile addiction will enhance loyalty to the product therefore if you have an addicting game with in app purchases you will make more revenue. The article also found that loyalty was a more indirect revenue stream than direct stream. It is also been found that males have a higher chance to make in app purchases compared to females.

 

The positive

The article conducts live research with students who paly mobile apps. It also gives a lot of statistics on how the market is intended to grow and gives good points on how to utilize in app purchases make apps paid and use marketing

 

The negative

The study is only conducted on students meaning that there income is probably lower compared to people who are working meaning that there in current financial status also makes a different to how the purchase apps.

 

Hello today im going to be talking about the reading task for this week which was to make more annotated bibliographies.

The task for this week was to have six well-made annotated bibliographies total as I already made 4 the previous week which I though came out pretty well and had a decent word count I made 2 more to have the final six. I found more articles that delved into monetising mobile apps and games which helped me understand video game markets as well as video games themselves. The advertising through banners really made me understand better how ads make money and how useful they really are. The articles can also be applied to other platforms like game consoles and pc. I feel like the articles that I collected re good to start writing about video game marketing and advertising and are all similarly connected to each other.

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