Many traditional entertainment media companies are missing out on huge opportunities to market and monetize their content libraries in Casual Massively Multiplayer Online (MMO) worlds.
Some forward-thinking companies have dipped their toes into the interactive entertainment pool, but there are many obstacles to successfully extending your brand into an engaging interactive
experience. As innovative brands explore developing Casual MMOs, a number of important lessons can help lead them to success.
Casual MMOs Rally Consumer Communities Around the Brands They
Love
Casual MMOs can best be described as virtual theme parks - online destinations where like-mined people assemble on a regular basis to interact with each other and celebrate their
passions, whether it be for an entertainment genre such as sports, movies, TV or music, or a brand such as Disney, MTV, NASCAR and so on. Most Casual MMOs are free to enter and provide a host of
entertaining games and social networking activities to participate in. In today's economy, having no consumer barrier to entry other than owning a home computer is exceptionally attractive.
Some
media companies have already embraced the Casual MMO space. To date, Disney has been the most aggressive player with its development of Toontown Online, the Pirates of the Caribbean MMO and its
landmark acquisition of Club Penguin. Nickelodeon launched its first MMO, Nicktropolis, and most recently, Cartoon Network launched its first Casual MMO, Fusion Fall. This is just the beginning of a
new trend in consumer entertainment, signaling an even greater opportunity for media companies to explore this burgeoning space.
Monetizing the Virtual Theme Park
Media companies can
extend their brands into the Casual MMO space in many exciting new ways. Through branded or themed online 2.5D and 3D worlds, companies are able to promote and monetize their content libraries and new
franchises through micro-transactions, premium subscriptions, e-commerce, sponsorship and advertising. Consumers are able to personalize their virtual home-away-from-home with extensive avatar and
environment customization and all-inclusive social networking tools to meet new friends and unite current ones. To keep the site fresh and flourishing, new content and game applications can be added
on a weekly and monthly basis.
Casual MMO Development Surprisingly Affordable
Compared to developing console-based videogames, building Casual MMOs can be quite economical. The cost
to develop high-quality videogames that leverage the technology of the next generation systems can range from $10 to $50 million, the price of launching a blockbuster motion picture. The cost of
developing a high quality Casual MMO can be under $3 million, and can then be maintained with another several million dollars over its lifetime -- which can range from five to 10 years and beyond.
Console and Online Game Success Factors Parallel Film and TV Industries
The business model for developing traditional console games is very similar to the movie business, featuring big
budgets, wide releases and success that is very often dependent on the opening weekend box office results. In contrast, the online game industry is much like the television business, where product can
be launched direct to your target audience and the fan base can be grown over time. In addition, it's cheaper to develop online games, products can be delivered in half the time of a traditional game,
and the business model offers a higher return on investment as online games don't require costly hardware licenses and huge marketing spends.
Despite these benefits, many IP owners who have
placed their IPs into existing online virtual worlds have realized that virtual worlds can sometimes lead to uncharted territory with few controls over user-generated content and the protection of
their brand experience. Experienced Casual MMO developers can help ensure a successful online community is created for the brand.
The Internet is the world we all live in, and it is only growing
more important in every aspect of our daily lives from work to play. Entertainment companies can maximize their IPs in ways we only dreamed of 10 to 20 years ago by creating brand-focused theme parks
we call Casual MMOs.