The Most Expensive Real Estate in the World – and it’s going to waste.

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It looks like online games might be about to change the way
media and advertising companies interact with the Internet.

 

Believe it or not, the most expensive real estate in the
world is a little red barn.

 

Nearly 40,000,000 million Farmville players have purchased
one.

It uses up exactly 3 squares of virtual farm or 20 pixels by
15 pixels.

 

And these users paid 1.3 trillion (Farmville coins) dollars
for their barns.

 

In real dollars, (Zynga allow their users to buy virtual dollars
for real dollars at the rate of (Best Buy – $40.00 real money buys $70,600 in
Farmville coins.)

 

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Which values the little red barn at $16.99 (Real American
Dollars).

 

If 40 million people buy a barn for $17.00, that equals $680,000,000 real
dollars
for a little 20 pixel by 15 pixel virtual barn.

 

Which then doesn’t
do anything except look pretty – usually in the corner of the farm.

 

Of course, one can
buy a barn by sheer hard work, clicking away like a demon (without having to
fork out via mastercard, visa or paypal), but it takes anywhere from 7-9 days.
Which of course is achieved by 3 mouse clicks for every crop, 2 mouse clicks
for every tree harvest and a painfully slow chicken, sheep, goat, duck, cow or
horse harvest (mainly because the game insists on saving itself or resetting
after every two or three animals are harvested).

But lets get back to the little red virtual barn.

 

Imagine if the users could get a barn from day one.

 

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Advertising sponsored ?

 

Well, let’s imagine that the Zynga guys think outside the (Second
Life) square, they might think of something like this……..

 

 

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So the Barn will end up with some billboard advertising.

 

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Which of course will be seen by all of the farmers friends
and their friends when the photos are shared around.

 

Total eyeball “click-thru’s for (obviously popular choice)
Shell?

An estimated 26 million eyes per day (players only – based
on two visits per day).

 

Gee, what is that worth? 2 cents each ?

Nope. The attention model here is hours, not 30 seconds.

 

The valuation should not be the same as click-through.

 

What else do the majority of the world do for at least a
half hour per day?

 

They watch the news.

 

What is a prime spot in the news worth?

Well I guess it’s worth about $20,000 per 600,000 viewers.

So Koltai, a billboard on the farm selected by a player is
worth 600K ?

No, its worth .03333 cents per eyes, and neighbours of eyes.

 

So how many is that ?

 

Amongst 13 million daily players ? Each of whom might visit
5 (low), 10 (medium), 15 (high)  of their
neighbours farms?

 

Eyeballs Low

Medium

High

65000000

130000000

195000000

 $    
2,166,450

 $    
4,332,900

 $    
6,499,350

 

A shitload.

 

In other words, we’re not in Kansas
anymore – Zynga are leading the pack in getting consumer attention; in fact
about 150% up on the US TV Networks.

 

The big difference?

 

The Zynga “viewers” keep returning to the same piece of “stale”
content, happily, eagerly.

 

Why?

 

We’ll talk about why later this week.

 

References:

 

It’s Official – Interactive Entertainment Kills off Cable
TV, Newspapers, Magazines and FTA

http://www.perceptric.com/blog/_archives/2009/8/28/4302089.html

 

Perceptric Corporate Data

 

 

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