Gaming Brand Buzz

By: Tessa Rudd

Editor-in-Chief

Chitika | Pulse

a weekly data analysis medium for the online marketing industry

Issue IV
Chitika | Pulse Archive

As reported by CNBC’s Business Worldwide, the video game industry excelled in 2007, even in the midst of a faltering US economy. According to market research from NPD Group, gaming hardware and software grossed $17.94 billion in 2007, factoring out to be a 43% increase over 2006.

After witnessing exceptional gaming buzz and excitement over new video game product launches at this year’s CES International, especially surrounding the Microsoft brand, I predict gaming popularity and sales will continue to soar in 2008.

Microsoft announced at this year’s CES that they would be the first to offer “next-generation TV service BT Vision,” using Xbox 360’s games and entertainment system as a platform. Microsoft will also partner-up with Hollywood heavyweights Disney and MGM to offer high-definition television content on Xbox live.

During their CES keynote speeches, Microsoft’s Bill Gates and Robbie Bach outlined efforts to launch strategic promotional initiatives to co-brand Xbox with leading brands in sports, music and consumer product categories.

Do expensive corporate branding efforts and promotions, such Microsoft’s 2008 Xbox initiatives, influence gaming brand preference among consumers?

Demand for gaming hardware and software has been consistently high on Chitika’s network as of late.

Surprisingly, Sony—not Microsoft—dominates as the most popular overall gaming brand on Chitika’s network (representing gaming hardware and software collectively). The Sony brand accounts for 45% of the relative top thirteen gaming products ranked on Chitika’s network in the past week. Microsoft’s Xbox 360 comes in second as most popular brand, representing 28.07% of the relative top five.

chart soft

However, Chitika’s system does however report Microsoft to be number one among online consumers when it comes to gaming software. Call of Duty 4: Modern Warefare, Halo 3, and Rainbow Six : Vegas, constitute 46.32% of the relative top eight gaming software products ranked.

chart 4

Chitika’s online consumers also favor the Sony brand when it comes to gaming hardware (consoles and accessories). Sony’s Playstation PSP, Playstation 40 GB, Playstation 80 GB, and MSX-M2GN 2GH Memory Stick Duo Pro account for 71.93% of the relative top-five gaming hardware products ranked on Chitika’s network over the past week.
graph 4
CNET Games and Gear review findings were more in-line with post-CES gaming buzz. CNET ranks the Microsoft brand as number one in both the ‘Editor’s Top Products’ and the ‘Most Popular’ categories.
CNET does however rank Sony second in ‘Most Popular’ category and number three in ‘Editors’ Top Products’.

Gaming advertisers and marketers beware, industry-buzz and branding initiatives do not always immediately influence consumer behavior. Microsoft is effectively working its way to the top of Chitika’s ranking. And remember, many of the 2008 Xbox initiatives outlined by Gates and Bach have yet to hit consumer markets.

About Chitika | Pulse

Chitika | Pulse is a weekly publication that highlights emerging trends in online advertising and merchandising in the blogosphere.

By offering a succinct analysis of online consumer behavior in Chitika’s network, Chitika | Pulse exclusively correlates trends to address a wide range of topics related to online branding, e-commerce, retail in the long tail, and direct merchandising within the blogosphere and social networks.

By Tessa Rudd, Strategic Partnerships Coordinator - Advertising Media Division