As marketing challenges and content-delivery issues continue to shackle the wireless content arena, game-makers are hoping to entice their own customers to act as sales associates.
The number of U.S. mobile users who download games has actually fallen in recent months, according to figures from industry research firm MMetrics, from 6.2 million downloads last August to 5.6 million downloads last November, the last month for which statistics are available. Gamers, it seems, are tiring of drilling down through layer after layer on the carrier’s deck, often to be disappointed in what they end up downloading.
“The growth has slowed” for wireless gaming, said Digital Chocolate founder Trip Hawkins, who blames a lack of innovation in how the industry develops and markets its offerings. “We’re trying to change the ways the carriers think.”
Indeed, buying a game from a handset can be a tedious process, taking a dozen or more clicks and several minutes. While some third-party portals have gained substantial traction hawking ringtones and screensavers, they’re not as well equipped to deliver wireless games, which have heavier payloads and often require more complex porting work. And for the average U.S. consumer-who continues to see the phone as nothing but an instrument for voice-short codes may as well be written in Roman numerals.
So developers are looking to spark viral marketing efforts, urging players to send recommendations to friends and family. The industry has long dreamt of the day of super-distribution, where one user sends to their friends a piece of content wrapped in anti-piracy software that can be removed with a purchase. But digital rights management concerns have stifled the ability of Bluetooth and other technologies to legally-and profitably-share content.
Cascada Mobile, a Toronto-based sister company of porting technology developer Tira Wireless, this week plans to launch a Java-based referral technology embedded in mobile games that offers users a chance to send a link to others who may be interested in a particular title. The recipient can click the link to purchase a version of the application based on handset, carrier and geography.
The idea, according to Cascada Executive Chairman Tony Davis, is to boost wireless data consumption as more feature-rich phones are released.
“The content market really hasn’t grown as the (handset) market has grown,” said Davis, who founded Tira. “If you really think about it, this is the only way the market is going to take off.”
Cascada’s offering, dubbed Tag, will debut in a game from Konami Corp. through Cingular Wireless L.L.C. Eventually, publishers could use the referral technology to create affinity programs, rewarding loyal players, high scorers and those who effectively “sell” the games to others. Other developers looking to use incentives to serve as a catalyst for viral marketing efforts include InfoSpace Inc., Sennari Inc. and Ireland’s NewBay Software Ltd.
Tag works across a variety of handsets, but the company concedes the lack of a BREW version creates a substantial obstacle. Until a BREW-enabled version comes to market-which isn’t expected anytime soon-BREW users will simply receive a message indicating they have an incompatible handset. Verizon Wireless and Alltel Corp. are the two largest BREW-based operators in the nation.
Hawkins, meanwhile, is looking outside the wireless world to spark a viral marketing effort. He’s eyeing established Internet-based communities like Myspace.com where users could simply post their favorite mobile applications, allowing fellow members to click on a Web site link to acquire content. Games could be offered on a limited trial basis, or distributed at no charge through an advertising-driven model, sacrificing potential one-time sales for a chance to reach a vast audience of young consumers.
Both Hawkins and Davis believe increasing distribution channels will make for better overall games, which have disappointed as carriers focus on big-brand titles that are better suited for consoles. Davis, who said each of the Tier 1 operators has agreed to support Tag, said he hopes the product minimizes the importance of the carrier deck, which remains the most valuable real estate in wireless content.
“What we’ll start seeing is the great applications bubbling to the top based on the fact that they’re great as opposed to prime placement,” said Davis. “From a usability perspective, we believe we’re going to see a much higher conversion rate.”