Zynga's Approach to Identifying and Monetizing High-Value Players

The concept of "whales" in the gaming industry has evolved, with many publishers now referring to their highest-spending customers as "VIPs." This shift in terminology reflects a more respectful approach to these valuable players, but the tactics used to separate them from their money remain as cynical as ever. Zynga, a leading game developer, has implemented a VIP management program that provides high-spending players with personalized account managers, special promotions, and exclusive perks. The program is designed to not only show appreciation for loyal customers but also to maximize their spending in the present moment. Gemma Doyle, Zynga's vice president of player success, highlighted the importance of understanding the VIP base and its spending habits. She noted that, depending on the game, 70% to 90% of revenue comes from the VIP base. Doyle also emphasized the role of data science modeling in identifying "pockets of potential liquidity" within the VIP base and optimizing the frequency and type of contact with these players. The VIP program has been successful, with a profit margin of 89.36% on expenditures. Doyle attributed this success to the program's ability to build relationships with VIPs and provide them with a sense of entitlement and exclusivity. However, critics argue that this approach can be manipulative and dehumanizing, treating players as mere sources of revenue rather than individuals with agency. The use of data science and analytics to drive the VIP program raises concerns about the exploitation of players and the potential for harm. As the gaming industry continues to evolve, it is essential to consider the impact of such strategies on players and the broader gaming community. In related news, Epic Games CTO Kim Libreri discussed the potential of generative AI to inspire creativity in artists, while Rod Humble explained why his new life simulator, Life By You, will not have a forced online component. Meanwhile, Microsoft president Brad Smith downplayed concerns about Russian intelligence using gaming communities to spread leaks, and Rob Fahey criticized the idea of a streaming-only handheld console. Other notable news includes the release of The Super Mario Bros. Movie, which broke box office records, and the announcement of American McGee's retirement from game development. Additionally, Media Molecule clarified its stance on exporting creations from Dreams, and the Elder Scrolls Online Twitter account addressed the use of community fan art without proper credit.