US In-Game Adspend To Reach $1.8 Billion By 2010
US in-game advertising spend is expected to range between $1.6 billion and $1.8 billion by 2010, with Mitch Davis, chief executive officer of Massive, estimating the medium to account for 3% of total media spend.
Figures from the Yankee Group expect US in-game advertising will hit just $733 million in 2010, less than half of Davis’ forecast.
Despite this form of advertising being relatively new, it is proving popular with advertisers, with computer games featuring the technology enjoying a 60% increase in awareness of products, according to a joint study by Nielsen Interactive Services and Double Fusion.
The gaming market is growing rapidly, with Kagen Research forecasting US game sales to increase to $16 billion by 2007, up from $10 billion in 2004, a rise of 16% (see Gaming Revenues To Rise 5.3% In 2005).
