The media and marketing industry has long painted ‘gamers’ with an overly broad brush. From casual players who mindlessly tap on mobile games during coffee breaks to hardcore enthusiasts who invest countless hours mastering complex console games, these personas fail to capture the complexity of the true gaming landscape.
The traditional segmentation model relies on a simplistic metric: time spent gaming per week. This suggests that in-game play is the only, and most important, touchpoint. The more hours logged, the more ‘hardcore’ you’re considered. But this one-dimensional view is becoming increasingly outdated.
Understanding the Evolving Gaming Landscape
As marketers, it is crucial to look beyond what people do and instead explore why they do it. Nowadays, gaming and the reasons people engage with it have evolved. We have highly competitive e-sports teams motivated by success and achievement, akin to elite athletes. Moreover, there are large-scale online communities that play, watch, and chat in real-time, driven by connection and socialization.
Yet, most advertisers haven’t caught up. The industry continues to lament the missed opportunities in gaming. Commentators question why more brands aren’t seizing the gaming advertising opportunity, while leaders are left wondering what exactly is holding gaming advertising back.
The Challenges of Authentic Engagement
The simple truth? Getting brands to truly understand gamers and reach them with authenticity is difficult. Gamers are among the most ad-savvy consumers, often rejecting ads that feel intrusive, irrelevant, or inauthentic. Overly commercial messaging, forced brand integrations, or ads that disrupt gameplay can quickly turn gamers off, leading to negative sentiment that can set brands back years.
Marketers must recognize that gaming has moved well beyond gameplay and become a much richer and vibrant cultural ecosystem. Similar to other cultural pillars like sport or music, the gaming ecosystem is expansive. Just as sport and music’s influence extends far beyond team participation and solo listenership, in-game play is just a tiny slice of the gaming pie.
By the Numbers
In 2024, Australia’s in-game ad revenue overtook news media for the first time, with most of the revenue driven from mobile games. The average gamer plays across 2.72 devices, highlighting the cross-platform nature of modern gaming.
Strategizing for Success in Gaming Advertising
Nowadays, players seamlessly switch between mobile, PC, and consoles, with interoperability being the new standard. Emerging cloud gaming services, like Xbox Cloud Gaming and GeForce, are redefining what’s possible no matter the screen size. If brands don’t get up to speed, they’ll be left behind.
For brands looking to enter this ever-evolving space, a simple four-step process to craft gaming strategies is critical:
- Clearly identify and define the brand’s role within gaming environments – Determine how your brand fits naturally within the gaming space. Is it enhancing gameplay, supporting the community, or offering exclusive experiences? Define the unique value your brand brings to players.
- Segment audiences based on gaming and brand motivations and behaviors – Not all gamers are the same. Understand your audiences’ preferences and how they interact with brands, and tailor media, messaging, and creative accordingly.
- Create value exchanges that resonate with gaming communities – Players expect more than ads; they seek meaningful interactions. Whether through in-game rewards, sponsorships, or content collaborations, brands must provide genuine value that enhances the gaming experience rather than disrupts it.
- Develop measurement frameworks that capture both media and business impact – Success in gaming isn’t just about impressions. Track engagement, brand perception, and conversion metrics that demonstrate real brand and business impact. Ensure measurement strategies evolve with the dynamic gaming landscape to capture long-term brand growth.
The Future of Gaming Advertising
Gaming advertising isn’t just about reaching gamers anymore. It’s about understanding gaming culture itself, where community, content, and cross-platform experiences matter as much as in-game play. For meaningful and effective gaming strategies, brands must move beyond impressions and start embracing the full spectrum of gaming engagement.
The brands that can adapt will win. Those who don’t? It might just be game over.
