Brands Are Hooked on Gamification

With the launch of its free games arcade, ‘Playables’, YouTube becomes the latest brand to harness the marketing power of games. At launch, the Playables arcade featured more than 75 games, including Angry Birds Showdown and Cut the Rope, which users can play for free on mobile or PC.

YouTube, like other brands like Netflix, clearly sees great potential in games to help them achieve their retention, acquisition and revenue goals. So why do gamified experiences have such appeal for brands? And what can game scholars do to attract brands that run gamified campaigns?

There are many factors at play here, not least the fact that people are predisposed to enjoy playing. In his book, Outliers, Malcolm Gladwell revealed that by the time they reach 21, the average person has spent up to 9,000 hours playing video games, and only 2,000 reading books. , Turbina Digitale and Apptopia found that 70% of consumers are mobile gamers, and that they spend more time per day playing mobile games (28 minutes) than on Facebook (20 minutes) or TikTok (17 minutes). For what? Because games, after all, are fun. When we play, and especially when we win, or complete a level, the brain releases dopamine, a neurotransmitter associated with pleasure and contentment.

Regular engagement leads to loyalty

For these reasons, companies that implement games in their marketing activities find that they are extremely sticky, encouraging more regular engagement with the brand, which is a critical factor in enhancing customer lifetime value (LTV). By incorporating game-like elements into non-game contexts, companies can create an environment where users are active participants, rather than passive consumers.

This relationship between engagement and monetization is crucial for businesses looking to maximize their revenue. An example of this is in KFC “The Shrimp Attack”which generated a 22% reimbursement rate and a significant increase in revenue compared to the previous year. Retained users are more likely to engage with monetization strategies, such as in-app purchases, subscriptions, and advertising. Frequent interaction with a brand increases customer loyalty and increases the likelihood of users spending more over time.

When the department store chain, CostCutter, ran a “Bringing Summer Home” campaign in 2020 that incorporated instant wins and prize games with prizes like barbecues and spas, it generated 340,000 email signups (against a target of 100,000), and has seen more than 8,000 hours. of engagement time, with 3,000 clicks to a Store Locator, and more than 2,000 clicks to blogs and recipes.

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In fact, gamification can work for almost any company in any industry, and the type of game that the brand offers can be designed to match the interests of its customers. Just as the game “Monopoly” ticks all the right boxes for McDonald’s, the slightly more erudite “Wordle” is, in exactly the same way, banging money for the audience of the New York Times.

Take advantage of gamification opportunities

So, how can game scholars in the gamification trend? A good place to start is targeting brands in verticals that have already shown enthusiasm. It is easy to argue that gamification can work for any brand in any vertical, but some seem stronger than others. Quick service restaurants (QSR) and retail, as referenced above, are finding gamification to be a great way to engage their customers.

Fashion is another vertical prone to gamification. In the spring of 2020, while the world was closed, fashion brands Mark Jacobs and Valentino, unable to stage real fashion shows, used Nintendo’s social simulation game “Animal Crossing” to show their latest collection In-game pop-up stores allow players to purchase virtual versions of their designs. Meanwhile, Tommy Hilfiger, shoemaker Clarks, L’Oreal Group, Lacoste and Stephanie Gottlieb are just a few of the fashion and jewelry brands that have launched gamified stores and experiences in the metaverse.

Vast potential

As companies continue to explore innovative ways to incorporate gamification into their strategies, the potential for brands to enhance user engagement and build loyalty with their customers remains vast. For game studios, the potential to attract branded, big-budget gamified campaigns is equally exciting, and potentially lucrative.

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