Double Fusion likely to be acquired -Sagmier

Double Fusion‘s European Managing Director Frank Sagmier recently revealed that their firm may be acquired by a larger company in the next year or two, proving that game advertising is a fast-growing segment of the electronic entertainment business.

He highlighted the status of his company’s niche by saying “clearly this is a business that is so prone to growth that big companies – and you’ve seen it with Microsoft and Google – would be very happy to get their hands on such a growing segment.”

Sagmier refereed to Microsoft and Google’s recent moves to acquire and franchise similar firms. Game advertising waters are relatively uncharted to conventional ad industry people, but with the break-out of the industry in recent years, multinationals have found themselves taking a dip.

Nike and Gatorade have both been actively bannering their wares in sports titles. Pepsi even took it to a weird level with its Cool Spot game in the Sega Genesis days and Pepsi Man in the original Sony PlayStation heyday. Now that gaming has become a more cohesive part of popular culture, game ad companies find their value rising.

Sagmier, however, warns that the market can be tough for people who aren’t quite experts in the niche. Starting can be a really hard step and that’s where a lot of upstarts stumble. “Bigger companies do not want to spend the resources, time and effort in a niche market until it becomes bigger, and by then it’s too late. Therefore they buy,” he explains.

Prior to his stint with Double Fusion, Sagmier worked with Electronic arts running major franchises like The Sims, FIFA and Harry Potter.

Via Games Industry

Double Fusion‘s European Managing Director Frank Sagmier recently revealed that their firm may be acquired by a larger company in the next year or two, proving that game advertising is a fast-growing segment of the electronic entertainment business.

He highlighted the status of his company’s niche by saying “clearly this is a business that is so prone to growth that big companies – and you’ve seen it with Microsoft and Google – would be very happy to get their hands on such a growing segment.”

Sagmier refereed to Microsoft and Google’s recent moves to acquire and franchise similar firms. Game advertising waters are relatively uncharted to conventional ad industry people, but with the break-out of the industry in recent years, multinationals have found themselves taking a dip.

Nike and Gatorade have both been actively bannering their wares in sports titles. Pepsi even took it to a weird level with its Cool Spot game in the Sega Genesis days and Pepsi Man in the original Sony PlayStation heyday. Now that gaming has become a more cohesive part of popular culture, game ad companies find their value rising.

Sagmier, however, warns that the market can be tough for people who aren’t quite experts in the niche. Starting can be a really hard step and that’s where a lot of upstarts stumble. “Bigger companies do not want to spend the resources, time and effort in a niche market until it becomes bigger, and by then it’s too late. Therefore they buy,” he explains.

Prior to his stint with Double Fusion, Sagmier worked with Electronic arts running major franchises like The Sims, FIFA and Harry Potter.

Via Games Industry