Volvo, H&M and MTV embrace virtual goods
The phenomenon of virtual goods selling for real currency in online games such as World of Warcraft has stoked the interest of some big brands who believe they can market themselves and sell more products by creating virtual merchandise, according to the New York Times.
Typically these transactions consist of micro purchases of a £1 or so for trinkets on FarmVille or MafiaWars but also include virtual gifts for friends and even ranges of online collectibles all targeted at the discretionary spend of under 40’s on social networking sites, smartphone apps and fantasy internet pages.
Despite these modest sums the market for such intangible baubles is reckoned to be worth nearly $2bn this year in the US alone, according to financial research firm ThinkEquity.
This has given big brands, such as Volvo, pause to take notice. The Swedish vehicle manufacturer is taking a longer term view by giving away virtual trinkets to players of the MyTown iPhone app, in the hope of building company loyalty.
MTV on the other hand view the practice as a tool for drawing traffic to their upmarket Video Music Awards ceremony. Virtual replicas of celebrity accessories and fashion items are being dolled out to subscribers of the Mall World Facebook application to do just that.
Clothing retailer H&M is adopting a different tack, showcasing their new clothing collections on MyTown, thus encouraging people to pop into their nearest store and snap up the real thing.