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TIGA Reports on In-Game Advertising and Customer Trends in UK Development

TIGA, the trade association representing the UK games industry,today released more key findings from a new report State of the UK Video Games Development Sector. The report is a comprehensive survey of 78 UK games development businesses and provides an accurate picture of games development in the UK.

Today’s findings relate to trends in in-game advertising and key customers in the UK development sector.

In-Game Advertising and Customers :

    <*>Extent of in-game advertising: A third of game developers surveyed now incorporate in game advertising into their games. <*>Prospects for further in-game advertising: Of the 52 game developers surveyed who do not currently incorporate in game advertising in their games, 48 per cent planned to do so in the future. <*>Dependence upon a single customer: On average, a typical game developer in our survey sold 54 per cent of their games to its single most important customer. <*>Principal customers: For independent developers the publisher is the principal customer (66 per cent) followed by direct to consumer (26 per cent). For independent developers who also publish games, consumers are the principal customer (50 per cent) (i.e. they sell direct to consumers), followed by publishers (28 per cent). Other customers include advertisers, broadcasters and developers.

Dr. Richard Wilson TIGA CEO stated:“Over the last week we have released a series of excerpts from our‘State of the UK Video Games Development Sector” report. The report illustrates the diversity that exists within the UK development sector in terms of size, location and scope of business. Overall the report illuminates some the new trends that are shaping the sector. Developers now have access to more options in terms of platforms, genres, distribution and funding. The old work-for-hire model is still alive but is now accompanied by a range of other opportunities and routes to market that do not involve traditional publishing. TIGA is committed to helping developers navigate these changes by providing access to expert advice and support for our members.”

State of the UK Video Games Development Sectorincludes information on topics such as industry profile; platforms and genres; self-publishing; in-game advertising; outsourcing; the cost of games development; customers and markets; the main obstacles to business growth and policies to promote growth. The report was support by Train2Game. To purchase a copy of the full report visit www.tiga.org.

Ends

Notes to editors:

Note on data sources:

In 2008 there were 9,850 development staff in the UK. 4350 were in 47 in-house, publisher owned studios and 4,150 were in 166 independent studios. 550 staff were in 73 service companies. Additionally and estimated 800 freelancers were working in active development roles<1>. The majority of development businesses are small to medium-size enterprises. In this survey 45 per cent of participants were independent developers that only publish games, 51 per cent were independent developers that develop and publish games and 4 percent were in-house publisher owned development studios. This survey is therefore representative of the independent development sector.

About TIGA:

TIGA is the trade association representing the UK’s games industry. The majority of our members are either independent games developers or in-house publisher owned developers. We also have games publishers, outsourcing companies, technology businesses and universities amongst our membership. TIGA was awarded‘Trade Association of the Year’ and the‘Member Recruitment Award’ at the Trade Association Forum Best Practice Awards 2010.

TIGA's vision is to make the UK the best place in the world to do games business. We focus on three sets of activities: political representation, generating media coverage and developing services that enhance the competitiveness of our members. This means that TIGA members are effectively represented in the corridors of power, their voice is heard in the media and they receive benefits that make a material difference to their businesses, including a reduction in costs and improved commercial opportunities.

For further information, please contact Eva Field, TIGA PR Manager on: 07814 039 983, or email eva@tiga.org.

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<1>Gibson, R. And Gibson, N., Raise the Game (NESTA, December 2008), p. 9.


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