Gamification - Marketing and Management Models

Masters Study
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Gamification


Helen Strong

Gamification: Purpose

This model is intended to provide a structure for managers wanting to take advantage of modern technology to engage with their customers. It provides a framework for the design and implementation of gamification in the marketing mix. Gamification can also be used as a tool in training and induction programs, where company culture, values, and operational standard operating procedures (SOPs) can be built into the games played by new employees.


Gamification: Structure and Description

Management models are progressing to incorporate the tsunami of innovation found in the area of social media and technology. Gamification is one such model linked to learning, training, and motivation (see Figure 16.1). Experience of mega brands such as Nike (McClaren 2013) and Coca-Cola (Kirby 2013) has also confirmed the hypothesis that it is possible to attract engagement of consumers through the device of gaming.

The theory behind gamification is that total involvement in the more memorable experience provided by the game forges stronger bonds, especially with today’s millennials (consumers who have been raised in a digital world). The immediate feedback is in itself a rewarding experience.


Gamification: Strategic Considerations

It is essential that the use of gamification has a clear objective and that this is incorporated into the design of the game, that is, the game should not drive the required outcomes.

elements and tools of gamification

Figure 16.1 The elements and tools of gamification

Source: R reprinted by permission from Palmer, Lunceford, and Patton (Deloitte Review, July 2012). © 2012 by Deloitte Development LLC.


In the corporate environment, gamification can be used for motivation, training, new product design, and web page engagement. Innovative ideas can be generated through gamification and it is also possible to use gaming techniques to attract leads, which can be converted into sales either through websites or personal intervention.

In the consumer environment, gamification can be designed to create product and brand awareness and emphasize benefits; to trawl for new product ideas; to engage with consumers; to generate positive attitudes to the brand.

Ryan et al. (2013) claim that gamification’s attraction for consumers lies in the satisfaction of the need for recognition for achievement. Successful applications incorporate interesting personal challenges or goals. Games provide players with feedback or milestones for their personal scores where they can be ranked against other people who may or may not be known to the player.

Whether it is for corporate or consumer use, personalization of the game appeals to the individual and his or her need for status. They are able to immerse themselves in a virtual world where they receive acknowledgment for achievement and the opportunity to interact with social communities.


Gamification: Implementation

Relevancy is key. The game structure and process need to appeal to the target market sufficiently to generate enthusiasm (both corporate and consumer environments) and viral spread of downloading or participation (in the consumer environment). This will best be achieved when players identify with the game’s purpose, and brand values and personality are reflected in the game.

Researchers can support direct marketing if they can find a profiled database including the target market. Use of a database including e-mails would be beneficial in reaching the target market, and in kick-starting participation. The game itself should reward sharing to generate a snowballing effect.

Ingredients of gamification include:

    Set of rules for playing
    Inclusion of goals, challenges, or both (positive achievements and negative obstacles)
    Rewards, either intrinsic or extrinsic (intrinsic would be satisfaction with achievement or enjoyment of completing a task; extrinsic could be monetary or obtaining grades in a learning situation)
    Definition of player relationships (individual or team; cooperative or competitive)
    Progression through levels of difficulty (addressing needs associated with challenge and accomplishment)


Hence to implement this model (and modify behavior), one needs to have the following information:

    Consumer:
        Conduct consumer researchG to establish interests, buying habits, product selection, and decision criteria, plus which rewards will appeal to consumers. This information is to be built into the design so that they will engage with the game and subsequently purchase the product or brand.

        Media consumption is an important element of the research. How best will the target markets become aware of and access the game?


     Corporate:

        Training:
  • What are the regular training needs within the organization?
  • What information needs to be included in the game?
  • Which systems need to be clarified or reinforced?
  • Improving decision making in this environment
  • How to chair meetings?
  • Induction programs
        Motivation:
  • What types of rewards are most meaningful for the employees?
  • Which rewards are most efficient in generating behavioral or motivational changes?
        Sales leads:
  • What are the customer interests, buying habits, product selection, and decision criteria? Which rewards will appeal to them? (business-to-business consumer research)
  • Are the customers connected and will they participate?
  • And at what point in the buying process will gamification have the maximum impact?
        Web page visitors:
  • Origin of page visits
  • Profile of web page visitors
  • Passage through the website and points of interest

Gamification: Conclusions

This tool is in its infancy and one should expect additional applications to emerge. Whether one is trying to teach consumers how to trade on the stock exchange, or learn the rules of the road, gamification is arguably one of the most efficient ways to achieve these objectives.

One cannot expect the game to stand alone, and the launch and rollout will require support through conventional and new (social) media.

For many, development costs are a perceived barrier to entry; however, it is possible to apply the principles of gamification in a simple way. Predictions are that the majority of global brands will utilize gamification within a few years. It already has a proven track record in attracting consumer participation, and if the games are repeated one will be able to assume that playing is translated into tangible results.


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