Why People Don't Advertise in Home

Written by: Kapow
According to a report by Brandweek, advertisers are largely ignoring PlayStation Home, opting to pursue opportunities on Xbox Live instead. Ad agency Publicis Denuo's John Rafferty told the site that "from moment one, it kind of felt clunky. And once you got through that, there wasn't much there."



Jack Buser, director of PlayStation Home, argues that it offers "a chance to cut through the noise and actively engage directly with a large, targeted, and highly desirable consumer base." However, it appears that advertisers that want to work with Sony are interested in pursuing a different relationship -- one with the PlayStation Network itself.



This year Sony sat out Engage, and it seems that all’s quiet on the Home front. The product has disappointed both users and advertisers. In fact, Red Bull remains one of the few non-endemic advertisers to carve out space in the world. According to some digital buyers, Home exemplifies Sony’s slow-footed nature when it comes to embracing advertising.



Sony says that PlayStation Network, which launched three years ago, has 40 million users globally, compared to 20 million paid subscribers for the older Xbox Live. Meanwhile Home, which debuted in December 2008, just passed 11 million users globally.



“I don’t see how it’s relevant to the casual or hardcore market,” said Leigh Alexander, news director of gaming site Gamasutra. Alexander explained that Home was developed during a period of intense hype around virtual worlds—where many were predicting that average adults would socialize via avatars with people across the globe and even gather virtually to watch movies and play games. But most people remain satisfied with reality-based social networks like Facebook. “Everyone was looking into making the Web more 3-D,” she said.
“One of the lessons we are learning on the Web—
users want to do things as quickly and easily as possible even if that means static Web pages.”

Thus, Home is a nonstarter for many buyers, especially when PlayStation often demands labor-intensive six-figure deals. “There’s just a huge barrier to entry for advertisers,” said Denuo’s Rafferty, who added that after an early push, he’s heard little from the Sony sales team regarding Home.


Courtesy of Joystiq and Brandweek. Hit the Brandweek link for the full story

8 comments:

  1. Well, that's what happens when dishonesty is your business practice Sony. You guys go and advertise public voice chat, TVs, Stereos, etc, and then don't deliver? People lost interest in this platform and so did advertisers. This platform could have been so much more if it were done right (i.e. if they hadn't made Phil step down).

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  2. I really think Phil showed us want it could be and we liked that but i really honestly believe SCEJ said no sorry we don't want it this way we wanna focus another route and to why Phil left ? i'm guessing maybe cause he didn't like where SCEJ was taking Homes Direction.


    i thought before Home came out Sony said we have all these supporters behind us like

    Nike
    Addidas ETC... ( can't remember but their were big named companies )

    and then like the article said they wanted nothing too do with home.


    this is my thoughts. we will really never know what is what cause the dirty truth in companies will NEVER come out cause it makes companies look bad and can tarnish their reputation in ways ( which is a no brainer )

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  3. I want to welcome Lucas Entertainment and the Star Wars brand to PlayStation Home - the first of many big name companies to join Home in 2010.

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  4. Yep. I posted the same link from Joystiq.com on then official HOME forum and appearantly no one want to give feed back to it. I even stated if Jack can pop his comment in, but its most likely be a dead thread before someone kindly enough to type a post to everyone's attention. Well, that goes to show you how HOME forum is operate because no HCM or Jack would like to comment on things thats abit touchy or out of their hand to begin with...Sad day indeed, sad day...

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  5. Well hey, at least it wasn't deleted. Kudos to Lithium/Sony, face-palms to user apathy.

    Wow, 6 figs for custom spaces. One more face-palm.

    I'm tellin ya Sony, if you bring true social networking to Home, including user created content as was promised, the retention rate and visit frequency will increase. Then you'll have a decent platform to sell advertising. I know this would be a leap for a company like Sony, but what do you have to lose (except everything you have invested to this point.) You know that when the new-Home smell wears off for all of those new PS3 users out there most are not coming back. Your virtual doll house is just not relevant. Do something big! Kick some arse!

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  6. @Pygmy

    ha. well maybe that's just it, maybe they don't Want to give us everything. maybe they realized, "damn, if home is running this bad and we don't even have Half of all PSN users using it, we would be fucked if we actually made this thing Good."

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  7. I liked this article. *thumbs up*

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  8. does not surprise me. they should just can home. the whole thing is going nowhere.

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