For the Win: What Businesses are Learning from the World of Games
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Wharton professor Kevin Werbach explains the business potential of gamification.
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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
- 25. in the beginning… …AKA 1972
- 28. And, the most successful video game of all time…
- 29. Windows Solitaire: 9 billion hours in 2003
- 30. Today
- 31. Games Today
- 32. …and mobile, too
- 33. …and social, too …and casual.
- 34. 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/
- 35. Put it Together = Monster Growth Zero to 100 million users in 41 days
- 36. Overall Games Market Source: Digi-Capital
- 37. Games are 21st Century Media In 2011, the games industry will generate double Hollywood box office revenues.
- 38. Games are 21st Century Media 97% of kids 12-17 play videogames (Pew 2008)
- 41. designed to be fun
- 42. what else might be designed to be fun ?
- 43. gamification
- 44. “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
- 45. Gamification is… The use of game elements and game design techniques in non-game contexts.
- 55. 3 keys
- 56. points design interest curves competition narrative challenges appointments rankings surprise customization quests achievements avatars collections social experiences etc.
- 57. 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/
- 58. motivation • competence (mastery) • autonomy (meaningful choices) • relatedness (social, purpose) = Intrinsic engagement Source: http://www.despair.com/motivation.html
- 59. http://www.gamifyforthewin.com Twitter: @gamifyforthewin
- 60. let’s have some fun! http://www.gamifyforthewin.com Twitter: @gamifyforthewin werbach@wharton.upenn.edu