Presented by: Varun Chopra Darcey Kurashige-Elliot

Ruby Dinh James Perry

Eniola Holloway Melissa Traft
* Gaming Industry & Electronic Arts (EA) Introduction

* Problem Definition

* Research Methods

* Data Analysis and Discussions

* Conclusions and Recommendations

* Limitations
*
 *
* Gaming Industry since 1951
 Growth of Internet
 Introduction of new platforms: wireless networks and smart phones
 Maturing consumer base

* Electronic Arts, Inc. since 1982

 Used to be industry leader
 World’s third largest third-party publishers
 Reported $1.08 loss, 68% drop in stock price in March 2008
 Losing market share, arguable due to the shift in gaming industry
 Acquired Flayfish, accounted for 10% of the market share.

* Social media games (SMGs)

 Defined as web-based games, or applications, simple and community-based.
 Grow at a rapid rate, from $1billion in 2009 to $3 billion in 2012, present a lucrative
market.
 *
* EA is aware of the growing social gaming market but so far
has been unsuccessfully in penetrating that market.

* EA has been unable to accurately identify their target

customers’ demographics.

* EA is unable to capture their desired market.

* EA has decided to penetrate this market through their

already-existing titles.

* EA is unable to identify consumer-preferred genres for SMGs.

 *

* Decision statement:
 How can EA effectively penetrates the social media gaming
market?

* Research Objectives
 Explore the consumer’s perception of SMGs?

 Understand the consumer’s current perception of social media

titles promoted by EA

 Define the drivers behind new (and successful) social network

gaming market entrants?
 *
* Secondary data – design survey

* Literature research – write proposal, understand

perception and use of SMG

* Exploratory (focus group) – analyze survey data

* Survey
 Large sample size from Clark and outside Clark
 Non-probability sampling techniques
 Online & paper surveys
 *

* 2010 PopCap Social Gaming Research

 Female players > Male players
 Lack information on gaming devices
 WOM is the most utilized method
*

* Rapid growth rate of SMGs market

* Development and growth of smart device technology
* SMGs = an alternative form of interaction or bonding
amongst friends
* Trends regarding popular games and developing companies
* Need to analyze gaming habits and motivations of players
*
* Help to form hypothesis for survey data analysis
* Explore gaming habits in depth
 People play games during transition time
* Heavily influenced by direct recommendation
* Important attributes from SMGs:
 Stress reliever
 Compete with friends
 Connect with friends
* Brands do not influence choice of games
* Reasons of not spending virtual currencies: not enough
excitement
 *
* Demographics
Gender (all respondents) Gender (social game players)
Male Female
Male Female

60 17
78
32

Year of Birth (all respondents) Year of Birth (social game players)

1975 1976 1978 1979 1980 1981 1982 1983 1984 1976 1979 1980 1981 1983 1984 1985
1985 1986 1987 1988 1989 1990 1991 1992 1986 1987 1988 1989 1990 1991 1992
28
24
20 10
8
12 13 11 6 5
3 3 4
5 5 4 4 2
1 1 1 1 1 2 1 1 1 1 1 1 1

1 1
 *
* Objective 1: Explore consumers’ current perception of SMGs
 What are their game-playing habit?

Do you play SMGs?

“What is current penetration rate of
SMGs?”
36.2% No

63.8% Yes

How were you first introduced to Other

SMGs? Relatives
Other Ads Male On-line strangers
Female Male
Recommendation Online… On-line friends

Social Advertising Personal Friends

0 5 10 15 20 25 30 0 10 20 30 40 50

“How are consumers exposed to SMGs?”

 *
* Objective 1: Explore consumers’ current perception of SMGs
What devices do you use to play SMGs? What media do you use to play SMGs?
Android-based phone Other
Mobile phone application
iPad/ Tablet EA On-line
Male Yahoo! Male
iPhone
Female MSN Live Female
Computer/Laptop Facebook

0 10 20 30 40 50 60 0 10 20 30 40 50

“Where do consumers play these games?”

 *
* Objective 1: Explore consumers’ current perception of SMGs

Average Game Session How often do you play social media

More than 3 hours
games?
1 hour to 3 hours Less than once a week
Once a week
30 minutes to 1 hour 2-3 times a week
More than once a day
10 minutes to 30 minutes Once a day
Less than 10 minutes 0 5 10 15 20 25

0 5 10 15 20 25 30

“What is the consumer’s game-playing habit?”

*
* Objective 2: Understand the consumer’s current
perception of social media titles promoted by EA
How are you first introduced to a new social media
game?

Advertising on sites other

then networking websites
First introduced

Recommendation from
Online Friends Restaurant City
Direct recommendation Pet Society
from friends or relatives
Madden NFL Superstars
Advertisement on social
media website

0 5 10 15

“How are consumers exposed to SMGs developed by EA?”

*
* Objective 2: Understand the consumer’s current
perception of social media titles promoted by EA

Madden NFL Superstars Excitement

Stress-reliever
Competitive
EA Games

Mental work
Pet Society
Connection
Accomplishment
Coordination
Restaurant City
Personality
Other
0 5 10 15 20 25 30 35

“What kind of experience have consumers had with these

games?”
*
* Objective 2: Understand the consumer’s current
perception of social media titles promoted by EA

Less than once a week

Once a week

Restaurant City
2-3 times a week
Pet Society
Madden NFL Superstars
More than once a day

Once a day

0 2 4 6 8 10

“How often are EA social media titles played by

consumers?”
 *
* Objective 2: Understand the consumer’s current
perception of social media titles promoted by EA
Never Tried
Madden NFL Superstars
Pet Society
Restaurant City Excitement
Stress-reliever
Collapse
Competitive
PetVille Mental work
YoVille Connection
Happy Aquarium Accomplishment
FishVille Coordination
Personality
Cafe World
Other
Farm Town
Texas Hold'Em Poker
Mafia Wars
FarmVille
Bejeweled Blitz

0 10 20 30 40 50 60 70 80 90

“How does consumer perceive EA social media titles as

compared with its competitors?”
 *
* Objective 3: Define the drivers behind new (and successful) social
network gaming market entrants
Other
Blog
Advertisement Other… Personal Friends
Influence

On-line friends
Social Advertisement
On-line strangers
Brand
Relatives
On-line friends
Other
Face-to-Face
Other
0 10 20 30 40 Personality
Face-to-Face
Reason For Playing

Coordination
On-line friends
Accomplishment
Brand
Connection
Social Advertisement
Mental Work
Advertisement Other Website
Competitive
Blog
Stress Reliever
Excitement Other

0 10 20 30 40 50 60

“What factors influence the consumer’s decision

to play a particular SMG?”
 *
* Objective 3: Define the drivers behind new (and successful) social
network gaming market entrants

Accomplishment Excitement Competitive

Stress Reliever 16
16 16
18 14 14
16 14
12 12
14 12 10
10 10
12 8
10 8 6 8
8 4 6
6 2
6 4 4
0
4

Advertisement…
2 2

Other
Social Advertisement
Face-to-Face

Brand

Blog
On-line friends
2 0
0
0

Influence
Influence
Influence
Influence

“What factors influence the consumer’s decision

to play a particular SMG?”
 *
* Objective 3: Define the drivers behind new (and successful) social
network gaming market entrants
30
40
35
25
30
25 20
20
15 15
10
10 Male
5
0 Female
5
Adventure

Action

Simulation

Sports

Casual
Strategy
Role-Playing

Adventure

Action

Simulation

Sports

Casual
Strategy
Role-Playing
Genre

Genre
“What genres appeal most to the consumers?”

Hypothesis: Game genres are significant for game development and EA should
concentrate on these major genres and games across the spectrum of these
games so as to penetrate the market with highest success rate. – Statistically
significant (T-Test and Cross tabulation)
 *
* Objective 3: Define the drivers behind new (and successful) social
network gaming market entrants
How Do You Use
Currency in SMGs
Currency?
25
25

20
20

15
15

10
10

5
5

0
Not Selected I play games I play games I do not play 0
that involve that involve games that
I don't use I spend it on I save it all I plan my
virtual currency virtual currency, involve virtual
virtual what I can for an item I spending
and I use virtual but I do not use currency
currency afford really want over a
currency in my it
currently to buy period of
game play
time

“What are the incentives for a consumer to spend money on a

SMGs?”
 *
* Objective 3: Define the drivers behind new (and successful) social
network gaming market entrants
How Often Do You Play?

Adventure
More than once a day
EnjoyPlay_Action
Role-Playing
Strategy
Once a day Simulation
Sports
Casual Chose Strategy
0 10 20 30 40 50
Less than once a week

Once a week

2-3 times a week No

More than once a day Yes

Once a day

0 5 10 15 20 25

“What are the driving forces that motivate consumers to become

repeat players?”
 *
* Objective 3: Define the drivers behind new (and successful) social
network gaming market entrants

Hypothesis: Players more likely to play more than once a day for strategy games.
 *
How Often Do You Play?
Other How Often Do You Play?
Personality
Coordination Once a day Once a day
Android-based…
Accomplishment More than once a day
Connection iPad/ Tablet More than once a
Mental work 2-3 times a week day
Competitive iPhone
Once a week 2-3 times a week
Stress-reliever
Excitement Less than once a week Computer/Laptop
Once a week
0 5 10 15 20 25 30 0 20 40 60

Accomplishment, Competitiveness, Stress-

Computers & iPhones
Relief, and Excitement
How Often Do You Play?
Other
Mobile phone application Once a day
EA On-line More than once a day
Yahoo! 2-3 times a week
MSN Live
Once a week
Facebook
Less than once a week
0 10 20 30 40 50

Facebook, Yahoo & EA Online

*
* Gender & Genre:
* Include at least 3 or more genres in each game chosen from ones appealing
most to each gender
* Focus on 1 core component of engagement and strategy

* Play partner:
* Females play games with personal friends, males are more open to
strangers  create suitable communication channels

* Develop existing games and future games into smart phone applications
* New platform allows more features and sophisticated experience
* Get more Revenues and build awareness

* Engagement
* Average game session =< 30 minutes
* More engaging features
 *

* Our thought process…

 *
* Sample limitation
 Survey sample
• Very few undergraduate students play social media games
• Extending sample size by different outlets, but no longer represent Clark’s
population
 Focus group sample
• Scheduling difficulty led to very small sample size
* Question wording
 Answer with highest response rate are at the beginning of the list of answers for
each question
* Lack of research on social media game advertising
* Data analysis: multiple response question challenge
* Overall purchasing behavior: neglected to include questions on the
overall buying habits of the respondents