The Yankee Group, a Boston-based technology research firm, said advertisers are turning away from traditional ads and toward product placements in video games.
According to the group, in-game advertising generated $77.7 million globally in 2006. The group predicted that by 2011, in-game advertising could grow to $971.3 million.
Advertising in video games with product placements has taken hold as traditional advertising in newspapers, magazines, on television and radio has declined. The Yankee Group said advertising in traditional media grew by $3.6 billion last year while advertising in so-called “new media” grew by $4.3 billion.
