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Yahoo Games$$?

Posted on 2000-03-16
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Last Modified: 2010-04-11
im planning to put up (as a school prj on java) a litte gaming zone featuring (initially) multi-player chess game. i may or may not (depending if time will permit me) create the game engine. (or ill just get an open source chess angine). my question is what is the importance or "business solution" (if there are any) that is being brought to Yahoo (or Excite) companies by putting up a game zone like chess? yes i know there are a thousands of gamers that login to yahoo games to play. i know that they can also earn by just putting banner ads from sponsors. what other reasons or importance are/is there? the prob is i have to justify "networking proj" that ive proposed to make as a net proj. what are the benefits that these big companies gain? "business solution"? :/ need ur opinions.
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Question by:ibo
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by:Zoplax
ID: 2629920
I think money is the only real motivation for companies to do this.  Every user is guaranteed to see at least a few banners of Yahoo! or other game sites' sponsors.  This justifies Yahoo!'s ability to charge $$$ for banner space.  

Other than that, there are of course other motivations which have got to be more personal motivations than company ones.  For example, whoever coded the game may be looking at it and saying "Wow, check it out, my program can support thousands of users at once with no errors!"  Or, someone is enjoying being able to bring a bunch of people together to play chess with each other and have a good time.  These motivations are certainly valid but are minor compared to the monetary motivation.  These, by themselves, would not necessarily facilitate someone getting and maintaining a server online with such a huge user base.
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tlangland earned 100 total points
ID: 2682016
By putting up the games, the site gets valuable "face time" with the player.  While you are playing you are seeing all these different banners ads (ie the banner ads can change say with each different move, etc.) and the player will probably see an ad the sparks their interest and click on it.  Now the host site (Yahoo, Excite) will either get paid by the number of times the customers banner shows up, or based on click-thru (ie how many players actually clicked on the banner and went to the associated page).

    Now beyond banners, the site is trying to push the number of people coming to the site.  If Yahoo can say that they get 10,00,000 logins per day while Excite gets only 500,000 then they can charge more for the banners.  Also they get the recognition of being the biggest portal site.  This is good for stock prices and mergers with other companies.  

    Plus with games you can taylor the information/ads to the players.  Say during a chess game, you can put up only ads for the US Chess Federation memberships or a link to books related to chess at Amazon.com.  The possibilities are endless!
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