Social virtual goods revenues will grow from $2.1 billion in 2010 to $4.1 billion in 2016. Leading this growth are disruptive factors such as mobile, regulatory changes and alternatives to the traditional OS. But the most important disruption vector will be increasing the universality of virtual currencies. Read more at GigaOM Pro »
Apple came under fire last year from parents whose children racked up credit card charges on apps that were supposed to be “free.” Apple tried to throw out a lawsuit over the apps but a judge found the parents suffered sufficient harm to pursue the case. Read more at paidContent »
There is a lot riding on Facebook Credits. But for established media companies, the mandatory use of the in-app Payments system could be less than appealing. Will the company be able to become a major distributor of paid premium content? It depends if it wants ... Read more at GigaOM Pro »
How do virtual currencies work today and where, outside of gaming, might they be effective? Right now, practical alternative payments systems like Facebook’s and PayPal’s are still based on cash, though consumers might like bartering and loyalty programs rolled into the ... Read more at GigaOM Pro »
The impact of digital technology has shattered long-established monopolies and ways of making money in the newspaper publishing industry. Today, publishers must find ways to subsidize content-creation costs directly, and this report examines a few different approaches, from more flexible paywalls to charging users directly for access and mimicking the business models of other industries, such as online gaming. Companies mentioned in this report include Ford, Netflix, Amazon and Hulu. For a full list of companies, and to read the full report, sign up for a free trial. Read more at GigaOM Pro »
Most of the money people spend within mobile games is on “consumable” items that have no lasting value once used. The most popular form of that is “premium” currency, which allows users to buy their way into advancing faster in a game, according to Flurry. Read more »
Social commerce involves businesses using online collaborative tools — social networks, real-time feeds and user-generated contributions, for example — in order to sell products and services to consumers. The space is now more dynamic than ever: Hundreds of startups like Groupon, Zynga and CrowdStar have emerged, and it’s also attracting the attention — and cash — of online giants like Google, Amazon and Apple. This report examines the factors propelling the sector’s growth, how it will evolve over the next one to three years and what that means for those companies involved. We also examine factors inhibiting the growth of social commerce, and the likelihood of fragmentation as more local markets emerge. Companies mentioned in this report include Groupon, Foursquare, Gowalla, Playfish and LivingSocial. For a full list of companies, and to read the full report, sign up for a free trial. Read more at GigaOM Pro »
Offering freemium versions of mobile apps is a now a full-fledged trend, so shouldn’t all app developers employ the model? Not so fast. The strategy has worked, but it requires understanding of both the market and your product, along with careful thought, planning and a willingness ... Read more at GigaOM Pro »
The American market for virtual goods will grow 31 percent to $2.1 billion in 2011, according to a new report from Inside Network. Virtual goods sold in social games are set to account for 40 percent of the market, or about $840 million in 2011. Read more »
After finding more than $375 of iTunes transactions on my credit card this weekend, I thought I was hacked. It turns out the “hacker” was my step-daughter who was understandably confused between virtual goods and real currency for in-app purchases inside a free iPhone application. Read more »
Mig33, a mobile social service with 34 million members, in October of 2009 decided to shift its center of gravity to where its customers were: Asia. It also went from selling voice minutes to social games and virtual goods. The moves seem to be paying off. Read more »
Jeremy Liew, a managing director with Lightspeed Venture Partners, is a big believer in virtual goods. Liew recently stopped by GigaOM HQ for a quick chat about the explosive growth of that market and where it’s headed. Read more »
Gamers in North America and Europe are now “largely comfortable” with purchasing digital content such as virtual currency and in-game goods, according to new research. We sat down with the CEO of game aggregator Kongregate to learn how virtual goods are impacting his business. Read more »
Millions in the northeast U.S. are under blankets of snow that have shut down many cities. Although trapped in the home by the storm, the use of mobile tech can make that experience easier with proper planning. Here’s how to weather the storm with tech. Read more »
According to Zynga, the creator of Farmville and other popular Flash-based interactive games on Facebook, over the past two days alone, players with Farmville accounts have sent close to half a billion virtual Valentine’s Day gifts to each other. Read more »
