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Social Games Market to Quintuple to $5 Billion by 2015

Industry Gamers, 4/11/11

Social gaming is one of the fastest growing sectors right now, and there doesn’t appear to be any slowdown in sight. According to a new report from Parks Associates, revenues in the social gaming market will increase fivefold to $5 billion between 2010 and 2015.

Parks attributes this growth in large part to advertising revenues and sales of virtual items. These two elements were mostly responsible for the over $1 billion in revenues seen in 2010.

“Gaming on social networks has quickly become the most visible category of online games,” said Pietro Macchiarella, Research Analyst, Parks Associates. “Right now more than 250 million people play games like Zynga’s CityVille and FarmVille on Facebook every month, and both game developers and marketers have taken notice. Big brands such as McDonald’s and 7-Eleven have carried out cross-promotions with existing social games.”

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Social Network Ad Outlook Is Modest And Unclear

paidcontent, 1/18/11

Deloitte predicts that in 2011 social networks are likely to surpass the breathtaking milestone of one billion unique members. Also, they may deliver over 2 trillion advertisements.

Yet the advertising revenues directly attributable to social networks may remain relatively modest compared to other media, at least in the short term.

With per member annual advertising revenue of about $4, that implies total 2011 advertising revenues of about $5 billion…

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