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For the Win: What Businesses are Learning from the World of Games

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For the Win: What Businesses are Learning from the World of Games

  1. FOR THE WIN Kevin Werbach The Wharton School werbach@wharton.upenn.edu What Businesses are Learning from the Penn Homecoming World of Games November 2011
  2. A Famous Growth Story Place a single grain of rice on the first square of a chessboard. Double the amount on each subsequent square. How many grains in total at the end of the board?
  3. A Famous Growth Story Place a single grain of rice on the first square of a chessboard. Double the amount on each subsequent square. How many grains in total at the end of the board? 18,446,744,073,709,551,615
  4. A Famous Games Story Place a single grain of rice on the first square of a chessboard. Double the amount on each subsequent square. How many grains in total at the end of the board? 18,446,744,073,709,551,615
  5. A Contemporary Growth Story
  6. Growth Zero to 100 million users in 41 days
  7. Growth http://blogs.wsj.com/venturecapital/2011/02/26/facebook-groupon-zynga-off-the-chart-revenue/ “Zynga’s profit was also about $400 million in 2010, only its third full year.”
  8. (aka “WoW”) Massively Multiplayer Online Game 11+ million players; >$1 billion annual revenue
  9. how?
  10. first, let’s play a game
  11. Look in your wallet or purse. Pull out the oldest coin (just one).
  12. Who thinks they have the oldest coin in the room (raise your hand)? http://www.flickr.com/photos/uhuru1701/2247520563
  13. Winner!
  14. GAME 2: With your teammates, make exactly 200 using either the denominations or the last two digits of the date.
  15. Which was a better game? What made the games fun (or not)?
  16. Why is this Girl so Excited?
  17. fun
  18. games are fun
  19. digital games are designed to be fun
  20. designed to be fun
  21. designed to be fun
  22. designed to be fun
  23. designed to be fun
  24. growth of digital games
  25. in the beginning… …AKA 1972
  26. And, the most successful video game of all time…
  27. Windows Solitaire: 9 billion hours in 2003
  28. Today
  29. Games Today
  30. …and mobile, too
  31. …and social, too …and casual.
  32. Digital Allows Feedback Loops “So we put it in a feature we can build in a week – it’s a ghetto build we AB test it, we flow test it, we put it out to one percent. We built a data warehouse with a testing platform so we’re running several hundred tests at any given time for every one of our games. And no single user has more than one test.” Mark Pincus Founder & CEO, Zynga http://grattisfaction.com/2010/01/ Wharton alumnus how-zynga-does-customer-development-minimum-viable-product/
  33. Put it Together = Monster Growth Zero to 100 million users in 41 days
  34. Overall Games Market Source: Digi-Capital
  35. Games are 21st Century Media In 2011, the games industry will generate double Hollywood box office revenues.
  36. Games are 21st Century Media 97% of kids 12-17 play videogames (Pew 2008)
  37. lessons (for business)?
  38. Games for Business
  39. designed to be fun
  40. what else might be designed to be fun ?
  41. gamification
  42. “Suddenly, gamification is the hot new business concept, with many of the world’s most admired companies signing on.” - Alex Konrad, Fortune, Oct. 17, 2011
  43. Gamification is… The use of game elements and game design techniques in non-game contexts.
  44. 3 keys
  45. points design interest curves competition narrative challenges appointments rankings surprise customization quests achievements avatars collections social experiences etc.
  46. analytics “So we put it in a feature we can build in a week – it’s a ghetto build we AB test it, we flow test it, we put it out to one percent. We built a data warehouse with a testing platform so we’re running several hundred tests at any given time for every one of our games. And no single user has more than one test.” http://grattisfaction.com/2010/01/how-zynga-does-customer-development-minimum-viable-product/
  47. motivation • competence (mastery) • autonomy (meaningful choices) • relatedness (social, purpose) = Intrinsic engagement Source: http://www.despair.com/motivation.html
  48. http://www.gamifyforthewin.com Twitter: @gamifyforthewin
  49. let’s have some fun! http://www.gamifyforthewin.com Twitter: @gamifyforthewin werbach@wharton.upenn.edu

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