How It Works
With the growing interest in living vicariously, applications for your smart phone that deal with celebrity, like Kim Kardashian’s, lives are in demand. Players in the game create their own avatar, and work to achieve celebrity status. The game is free to download, but gives you a limited amount of playing time. To get more time, or to dress up in expensive clothes, go to photo shoots, live out the rise to fame fantasy will take in application currency called “K-stars.”
It’s the technique of dangling a carrot in front of you, and if you want more, you will have to come up with money. It is easy to get addicted to this game. The “Kim” character is voiced by the star herself, adding to the appeal of the game. Kim Kardashian has a large fan base, and it’s to these fans that the marketing of this game is directed. The more your avatar does, the more it will cost you in money.
Players start out at the “E” list level of celebrity, going through level D,C and B levels before they reach the final objective being the “A-list” celebrity level which is the objective of the game.
Monetization
Monetization is the ability to generate revenue from in-application purchases, when the application is a free download. The Kim Kardashian game: Hollywood, hooks the gamer in with attractive people living the “high life” that they might want to emulate. In order to get more playing time they must spend real world money to get “K-stars,” get upscale clothing and modern haircuts in their objective to become an A-List Hollywood celebrity.
All gamers start out at “E” level and work their avatar through the levels from E to A to be the A-List celebrity. But being on the A list comes at a price, a real dollar cost. In order to keep on getting your addiction for the game fed, you will continually have to go into your coffers for reinforcements. The “Hollywood” gamble has apparently paid off for the Glu-Mobile studio, generating Kim Kardashian 200 million dollars in income for this game alone. Glu-Mobile, the studio behind the game received 1.6 million in the first 5 days of its launching.
Doesn’t everyone want to be just like Kim Kardashian? Her countless fans are not the only ones who have downloaded her game. There will always be those who want to live vicariously, and this game fits the bill nicely.
The Company
Glu-Mobile, a leader in mobile game technology has been in business since 2001. They are headquartered in San Francisco, enjoying a second quarter revenue spike of 30% since June. It presently is selling at $5.19/share.
It’s CEO, Niccole Di Masi, has said that the company was in “uncharted territory” with the release of Kim Kardashian’s application of “Hollywood.” It has turned out to be a “win-win” proposition with annual revenue estimated at $200 million. That puts this game in the same category as King’s game Candy Crush.
Their objective is to get more gamers comfortable with spending money in games they have downloaded for free. Presently the percentage is 3%. The company seems to have honed in to what the public wants; blood and guts, adventure and celebrity lives mimicry. The attraction to live the life you have only dreamed of, is hard to pass up. Civility cant hold a candle to brutality, its a harmless form of entertainment at your fingertips.
Glu-Mobile’s has 500 employees. Their common stock is mostly held by institutions, followed by mutual funds and insiders lastly.
