The Golden Triangle

Toys, Media & Virtual WorldsStrategies for Creating the Golden Triangle

About KZeroConsulting, Analytics, Insight

KZero services Sectors: Virtual worlds, branded virtual goods, casual/social gaming, 3D gaming, augmented reality Start-ups / Pre-launch: Business planning, market sizing, financial modelling, strategic guidance, launch planning Operational companies: Marketing strategy, product development, user analysis, market entry planning, partnerships/busdev Brands: Media planning, campaign creation, virtual brand strategy, social media monetization strategies For VC’s/Investors: Deal-flow, investment analysis, market sizing

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The Virtual Worlds Market

Total registered accountsAge 2009 2010 2011Range Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q25 to 10 77m 114m 152m 179m 190m 211m 219m 235m 272m 320m10 to 15 246m 334m 367m 392m 413m 444m 468m 511m 561m 652m15 to 25 73m 99m 117m 193m 237m 273m 288m 299m 313m 385m25+ 18m 21m 23m 25m 27m 30m 34m 36m 39m 42mTotal 414m 568m 659m 789m 867m 958m 1,009m 1,081m 1,185m 1,399m

Total registered accounts700m600m 5 to 10 10 to 15 15 to 25500m400m300m200m100m 0m Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11

Virtual Worlds and ToysKey Engagement Mechanics

Virtual Worlds and Toys Connected Play Community BuildingVirtual World Downloadable Virtual Goods Toys Real World Sales Virtual Versions, Customization, NPD Virtual Goods Sales Unique Activation Codes

Key Engagement Mechanics Connected Play: Linking the toy to the virtual world via USB, Bluetooth or WiFi to create interactive relationship. Community Building: Growing and nurturing the online fan base of a toy into a global audience. Downloadable Virtual Goods: Allowing users to purchase a digital good and have it available from their toy (eg. sounds or actions). Real World Sales: Virtual fans can become real world customers.

Key Engagement Mechanics Virtual Versions, Customization and NPD: New toy variants can be created in the VW with user customization. Research can also be conducted. Virtual Goods Sales: Real-world customers can be converted into virtual goods sales. Activation Codes: Toys can carry call-to-action activation codes in the VW. New Territories: VW can drive new toy sales from new popular territories.

Examples of Toy-based Virtual Worlds

Build-a-Bear-Ville

Lego Universe

Webkinz

Virtual Worlds and MediaKey Engagement Mechanics

Virtual Worlds and Media Storyline/Character Extension User/Viewer Relationship BuildingVirtual World Audience Growth in New Territories Media New Storylines/Characters Pre-Launch Marketing Virtual Goods Sales User Base Growth

Key Engagement Mechanics Storyline / Character Extension: VW can be used to extend existing storylines and provide backstories for characters. User / Viewer Relationship Building: VW as a tool to build, stimulate and engage with community. Audience Growth in New Territories: VW can identify potential new broadcast territories. New Storylines / Characters: New storylines / characters can be introduced and tested in VW.

Key Engagement Mechanics Pre-Launch Marketing: VW is an eﬀective tool to build pre-launch awareness and community building. Virtual Goods Sales: Real-world fans / viewers can be converted into virtual goods sales. User Base Growth: Real-world popularity can be converted into ramped-up user bases. Hand-Holding: The VW keeps fans ‘in the zone’ between broadcasts / seasons.

Examples of Media-based Virtual Worlds

MTV: Laguna Beach

MTV EMA: Habbo

Adventure in Oz: Dorothy of Oz

The Ministry of Silly Games: Monty Python

Activity Summary TV & Movies ples exam A few Toys & Games Virtual Worlds

http://www.kzero.co.uk	3789
http://www.transmediakids.com	1419
http://9126519847006177345_cb7ce5d3a8b8554b438635c07bfa9db1c8ca758d.blogspot.com	33
http://www.postclic.com	33
http://translate.googleusercontent.com	19
http://flavors.me	6
http://de.flavors.me	4
http://www.storytelling.es	2
http://translate.google.com	1
http://a0.twimg.com	1

The Golden Triangle

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