Maura Welch on Social Media

Branded Virtual Goods set for explosive growth

This week Viximo and Virtual Greats issued the first major industry report on branded virtual goods, predicting that the branded segment of the virtual goods market will be worth $150 million by 2013, an annual growth rate of 113%.  

Branded virtual goods represent a nascent market, holding less than 1% of the booming virtual goods marketplace.…but the forecast shows the incredible growth to come year over year.

At WeeWorld our passionate userbase of 2 million teens per month, display tremendous purchase intent for branded items. Teens flock to WeeWorld to express themselves through their WeeMee avatars, play games, meet friends and chat in our virtual world. Each and every day they beg us for branded items that can help them reflect their real world affiliations and styles in the virtual space.

How popular are branded items? Here is a glimpse from the report:

"According to WeeWorld, a social game and virtual world with a global audience of more than 36 million registered “WeeMee” avatars, unit sales of Snoop Dogg branded items are 2.5 times higher than the highest selling non-branded, comparably priced item. In addition, sales of Snoop Double Doggs (which fall into the category of branded pets called “Cweetures”) are 5 times higher than the highest selling non-branded pet. Since all WeeMee avatars are created equal and do not feature special functionality (i.e. they are vanity-only items) it is clear that Snoop Dogg’s own brand equity is the driving factor behind the increased desirability for these virtual goods that draw from his likeness."

We're proud to offer a prime destination for brands interested in selling virtual goods. Stay tuned - we've got a lot more to come.

Read more about the report at Virtual Goods News

Facebook good. Twitter bad.

...for your brain, that is. Social games and strategy games are thinking activities and good for your brain. Texting, Twitter, etc. are interrupt activities and mess up your brain action.

This via Raph Koster's blog:

Dr. Tracy Alloway of Scotland’s University of Stirling, says her study shows using Facebook stretches our “working memory” our short-term or recent memory, while Twitter, YouTube and text messages tend to weaken it.

Alloway studies working memory and has developed a training program to increase the performance of children – ages 11 to 14 – who are slow learners. She found:

• Keeping up-to-date with Facebook improved the children’s IQ scores
• Playing video games – especially those that require planning and strategy – and Sudoku also were beneficial
• Using Twitter, YouTube and text messaging does not engage enough of the brain to be helpful, and actually reduce attention span.

Did you know?

Microhoo!

The long anticipated combination of Microsoft and Yahoo! may at last be upon us. In its most aggressive move yet, Microsoft went public with their offer to buy Yahoo for $44.6 billion in cash and stock, or $31 per share - a 62 percent premium to Yahoo's closing stock price Thursday.

The combination of the two companies will in theory create enough of a powerhouse to face Google in a marketplace now dominated by search and web applications.

The combined companies will be able to take advantage of economies of scale and eliminate redundant costs. Their combined reach would provide higher value to advertisers.

It's the way to go.

If this goes through it will be interesting to see how Microsoft and Yahoo cultures mesh...whatever is left of Yahoo's culture, that is, given the successive rounds of layoffs and management shifts. Will the resulting company be more media savvy or will Microsoft suck the life out of Yahoo?