Gameplay Tips

Tag Team Champions: Performance Display and In-Game Advertising

Posted in CPA Monetization, Gameplay Tips, Press Releases & Media Coverage on March 4th, 2010 by tim – Be the first to comment

Adotas - Mar 1, 2010

By Jason Bailey

According to Forrester’s “U.S. Interactive Marketing Forecast, 2009-2014,” search marketing represents about 60% of online marketing budgets, and a substantially higher percentage for advertisers focused solely on direct response. However, as Charlotte McEleny from NewMediaAge reports, the opportunity is significantly broader. Going forward, media strategies need to fully leverage developing forms of advertising.

Today I want to discuss two complementary channels for direct response advertisers, as well as brand advertisers who have clear engagement metrics: performance display on social networks and in-game advertising.

Performance Display on Social Networks

Facebook is the dominant provider in this space and the best place to start. Growing from 300 million users in September 2009 to 400 million in January 2010 is impressive. Even more staggering is when Facebook COO Sheryl Sandberg was quoted at Davos as reporting that 50% of Facebook users come to the site every day.

This is an audience that cannot be ignored.

Fortunately, Facebook provides a rich set of targeting criteria including geography, age, gender, education and even relationship status that allow you to sift through the 400 million users to your exact audience. Of course, targeting by itself is not enough. As has been discussed in the past on Adotas, advertisers must craft a consistent message, from ad copy all the way through the final steps in the conversion funnel – and for each niche audience. They must also measure and adjust to ensure optimal campaign performance.

In-Game Advertising

Users on Facebook spend more time on applications than on any other section of Facebook with the exception of the home page, according to a May 2009 study by Nielsen. What is the majority of these applications? Games.

The dominant form of in-game advertising is done via offers in which an advertiser defines the exact engagement criteria and, in return for completing the engagement, the consumer is rewarded with a small amount of virtual currency that they can use in the game. A sample of successful consumer engagements include:

  • Watching a movie trailer then joining the movie’s fan page
  • Submitting a credit card offer
  • Registering for a trial membership at a fitness club

By combining a performance display buy with in-game advertising, advertisers are able to significantly increase their reach as well as engagement. Where do you start? Facebook for performance display and Adknowledge as one option for in-game advertising.

Article Link Below: http://www.adotas.com/2010/03/tag-team-champions-performance-display-and-in-game-advertising/

5 Tips for Using Discount Pricing to Maximize Revenue in Social Games

Posted in CPA Monetization, Gameplay Tips, Press Releases & Media Coverage on March 4th, 2010 by tim – Be the first to comment

Inside Social Games - Feb 26th, 2010

By Bobby McFarland

[Editor's Note: Bobby McFarland of Super Rewards, part of Adknowledge, provides some tips on techniques for making money through virtual currencies in social games.]

Discount pricing programs have been used for years by online and brick-and-mortar businesses to acquire customers, promote products, drive brand loyalty, and materially increase profits. Similar programs have been proven to work extremely well for virtual currency and goods inside social games. Below are some discount pricing tips that social game publishers can use to maximize ROI and more deeply engage their players.

1. Tier Discounts for Virtual Currency

Creating different tiers or levels of discounts is a proven way to keep users engaged, especially for “hardcore” gamers. The Facebook game Country Life does a good job at this: gamers can pay $5 for 50 coins, $10 for 105 coins, $20 for 220 coins, etc. But once these direct pay ratios (or exchange rates) are set, it’s difficult to change them without irritating users who’ve grown accustomed to the pricing. One concern is that players will spend less when they get more. But this is a well-debunked myth. People will buy more than they need today, have a flush account, and then spend it all much more quickly than they intended. Brick-and-mortar stores have been proving this for years with massive bags of tube socks and ‘family-sized’ portions. Super Rewards provides simple tools for building these types of dynamic ratios.

It’s also very important to balance the payouts received from direct payments with those received from advertising offers to avoid cannibalizing offer revenue. For example, it would not make much sense to offer 100 coins for $10 via direct pay if the payout from a Netflix offer is $20 for 100 coins. Also, note that will cause some currency inflation as now you may have on average 125 coins going into your system for every dollar a user spends instead of your expected ratio of 100 points per dollar.

2. Set Proper Exchange Rates

Publishers and developers are increasingly using multivariate and A/B testing to help set their discount levels and currency exchange rates. Super Rewards is working with developers to help them set up accurate testing models to better understand user behavior in various scenarios. We encourage developers to build testing technology into their game designs to continually improve user experience and to maximize ROI. Many game developers have a ‘set it and forget it’ mentality when it comes to their exchange rate and use a number that they initially ‘felt’ was right. Virtual currencies are a science: go with facts not feelings. The Super Rewards Game Advisory Team or even our Account Managers can help with this, in addition to A/B testing tools.

3. Reduce Inflation with Dual Currencies

But over time, even smart discounts and exchange rates cannot completely escape inflation, which is the main reason why some games have developed two currencies (more details, here). The model works because it motivates both new and aggressive gamers to continue buying currency as they climb different levels. The model also improves user retention rates, enhances the overall game experience, and drives sustainable revenue for publishers. Mob Wars is a good example of the dual currency model in action. A user at level one will happily buy 10,000 coins for $10. A user at level 30, for example, may earn 100,000 coins a day on their farm. Make sure there is a compelling value proposition for all levels of players. This is where a dual currency easily allows you to offer more coins for the same price.

4. Tie Currency Discounts to Holidays & Special Events

Virtual currency discounts (e.g., a 20 percent off “across the board”) are also effective, particularly for casual gamers. While these “across the board” discounts are more volatile than the tiered discounts above, they can produce significant revenue spikes. Holidays (e.g., Christmas, Black Friday, Easter, 4th of July) and special events are good opportunities for publishers to offer this type of discount. For example, Galacticos Football has tied its discounts around World Cup soccer events, generally for one to two days. A pitfall to watch out for here is having players “wait” for a sale. If they know every Sunday is discount day, they will wait until Sunday to buy. Mix up the discount percentages and their frequency. You don’t want to be predictable. Having a sale will likely cause a dip in revenues as people ‘stock up’ on sale day, but the dip is always much less than the spike.

5. Discounted or Limited Time Virtual Goods

Finally, another simple but effective way to engage gamers is to discount virtual goods for short periods of time, usually one to two days or even for a few hours. This is most effective for role-playing games like World of Warcraft, or games where the goal is to accrue goods over time, such as Pet Society and FarmVille. In FooPets, you can find discounted water bowls or leashes for your favorite virtual pet. Having an ultra-rare item that is only available for a few days and then is no longer available or expires can often see spikes in revenue of 3-4x your usual daily rates with little residual revenue down turn effects in the following days.

Article Link Below:

http://www.insidesocialgames.com/2010/02/26/5-tips-for-using-discount-pricing-to-maximize-revenue-in-social-games/

SR Developers Garage

Posted in Gameplay Tips, Uncategorized on February 12th, 2010 by Super Rewards Team – Be the first to comment

The first 2010 Super Rewards Dev Garage came during a very busy period for all of those that are contributing to Facebook. As the community is aware, Facebook has rolled out a series of policy and platform changes designed to significantly improve user experience while maintaining a balanced opportunity for developers to provide content for the platform.

With all change comes new and exciting challenges. The main topic of discussion for the evening was virality in 2010. Given the notifications modification rolled out by Facebook, one of the main questions on everyone’s mind was: how do I get my game out there? Many talented developers came out to join us, and Blake Commagere, from Commagere Ventures, LLC, was kind enough to share his thoughts as to the new year, and provide insight on how to thrive in the new market. Andrew Gracie, SR’s own Games Advisor, was also there to provide an overlay on where he sees trends going and discussed strategies with emerging game genres.

While there is some tension about the potential side effects of a lack of a notifications channel, Blake was bullish in embracing the new channels that will rise to take it’s place. He sees any particular channel reaching a point of diminishing return - it’ll work really well in the beginning, but will hit an eventual point where the return plateaus. Perhaps notifications is one of those, and the new environment will provide a unique way to approach users. One key take away he provided was ” surf - don’t fight the current - adapt and change”. We couldn’t agree more: the Facebook Platform is a constantly evolving environment where change is inevitable, and a successful developer is one who knows how to roll with those punches.

Blake commended the independent developer community as the moving force behind game innovation, as they are the ones who continually push the envelope with new ideas. Experimentation is key, from which perfection then follows, and there is still a lot of room for experimentation with the ever-changing Facebook platform.

SR Developers Garage

SR Developers Garage

Blake Commagere speaking on the topic of Virality

Blake Commagere speaking on the topic of Virality

DiscoveryBeat2009 Success: The race is on……

Posted in Alerts, Conferences and Conventions, Gameplay Tips on December 9th, 2009 by Super Rewards Team – Be the first to comment

A few hundred people showed up yesterday at VentureBeat’s successful industry event, DiscoveryBeat2009, focused on application discovery in an age of noise.  Some of the event highlights include presentations by Zynga and YouWeb:

Bill Mooney, general manager of Zynga’s insanely popular social game FarmVille, offered his advice for social game developers. Speed seemed to be the theme uniting his different ideas. The social game industry is changing quickly and unpredictably, he said, and companies need to keep up.

“This space is much, much faster than a traditional space,” Mooney said, later adding, “A week is a month, a month is a quarter, and a quarter is a year.”

Read the full story on VentureBeat.com:
http://digital.venturebeat.com/2009/12/08/zyngas-tips-for-social-gaming-success-move-fast-play-farmville/

Peter Relan, Founder and Chairman, YouWeb, talked about his team’s success in incubating several social and mobile gaming companies. He announced the launch of Little Monsters, similar to the cross platform play that was launched by SpyMaster at http://playspymaster.com/, it allows users to play cross platform on Facebook, iPhone and the Web.

Check it out: http://apps.facebook.com/little-monsters/

The race is on…..stay tuned in 2010…..to see who will lead with speed!


Super Rewards’ Top 10 Key Takeaways - Virtual Goods Summit 2009

Posted in Conferences and Conventions, Gameplay Tips on November 5th, 2009 by Super Rewards Team – Be the first to comment

There has been a great deal of conversation the last several days in regards to the closing session at the Virtual Goods Summit. Super Rewards wanted to take a couple of minutes and highlight some of the other content that was discussed.

We will continue to work to drive the highest quality offers for the consumers who have come to love social and online games.

1. Virtual Goods Industry Booming – the industry is on track to be a $1B US industry with new participants from all over the world. It was encouraging to see that the VGS University had sold out educating hundreds of brand new developers who are thinking about entering this lucrative space. The IMVU team all got MoHawks for reaching $2M a month in revenue – sign of good times!

2. Emersion of New Industry Jobs – In its infancy many developers were flying solo and working out of their bedrooms, and now that the industry is flourishing we are seeing more and more individuals turning to incorporation and building out more sophisticated teams to take their social games to the next level. Some of these new titles include Virtual Economists, Game Analysts, Mobile Mavens, Virtual Goods Designers, Game Producers, Marketplace Managers, Platform Integration Specialists and Social Network Monetization Directors.

3. Virtual Currency Monetization Model Continues to Flourish – The model has been proven with month over month sustainable growth for more than two years now. Super Rewards was a pioneer in this industry in mid 2007 and now the marketplace is flooded with new entrants. Competition is a valuable motivator for all four of our customer sets, including advertisers, publishers, consumers and platform partners, because it is forcing all providers to focus on the key metrics of maximizing lead quality, user experience, monetization performance and ROI. We believe that only the ones that can truly excel in all four of these areas will be around at the 4th annual VGS.

4. Economy Balancing is Key – real world economists are having a hard time understanding why the same principals do not work in the virtual economies, but this VentureBeat article does an excellent job of summarizing the differences and why virtual economies are thriving: http://venturebeat.com/2009/10/30/why-virtual-economies-defy-the-rules-of-your-old-college-textbooks/

5. Industry Consolidation – This was one of the hottest topics at the event, in terms of who is buying who, which game giants are looking to acquire smaller game developers and at what price, and of course, the never-ending merging payment providers, who are all looking to leverage global strengths through consolidation. We believe this is only the beginning and there will be more consolidation as the industry matures and the time-to-market advantages will result in more acquisitions.

6. International Expansion – This will be the focus for 2010 and beyond as we see more Asian and European social networks grow with international developers jumping into this space, along with the development of more sophisticated tools to support language naturalization and global monetary conversions. Super Rewards is taking the lead by opening advertising sales offices around the world to focus on delivering localized direct advertising. This will make a huge difference by delivering a more relevant and personal user experience resulting in a higher ARPU for developers and better ROI for advertisers.

7. Social Graph Sophistication - Social network users are becoming savvier with vast and wide interests and preferences. The leading application developers are actively monitoring their user preferences and are taking great strides to accommodate them by creating a database of massive virtual goods inventory and offering unique selections at a range of price points that are targeted to specific users. Super Rewards is helping developers to achieve this goal by delivering direct and unique localized advertising offers utilizing our proprietary targeting algorithms.

8. Multivariate Testing and A/B testing is becoming more commonplace. In the early days, developers would pick a number out of a hat to set their exchange rate, but now developers are quite educated and understand the significance of testing to maximize their overall performance. They are investing in technology and partnering with Super Rewards and others to set up accurate testing models to better understand their user behaviors within various scenarios. We encourage developers to build testing technology into their actual game design for continuous improvement of the user experience and to maximize ROI.

9. Product Innovation – 2008-2009 was all about how fast a developer can re-skin a popular game title, but we are now starting to see a trend towards market differentiation with a more intense focus on product innovation. We are encouraged by the growth in sophisticated Flash animation, multi-dimensional story lines, in-Flash payment systems, and unique virtual goods inventory.

10. Diversification – At Super Rewards, we partner with thousands of game developers who have built wildly successful games and their focus has increasingly turned to product innovation and platform diversification. More and more developers are coming to us for advice and assistance in helping them port their games to other social networks, such as MySpace, Hi5, Bebo, etc., along with porting to the iPhone and other mobile platforms and even to building out their own stand alone website or gaming portal. This strategic maneuver is a great way for game developers to have more flexibility and control over their own destiny.

Please contact info@srpoints.com if you would like to talk with a Super Rewards consultant about any of these topics or to learn more about how we can help take your game to the next level!

Why do some games have multiple currencies?

Posted in Gameplay Tips on October 26th, 2009 by Super Rewards Team – Be the first to comment

There is one core reason: currency inflation.

For example, if you have a single currency, ‘coins’, and you sell 1,000 ‘coins’ for $1, then a new or early stage user may find it to be a good value to spend $10 to buy 10,000 ‘coins’. Once that user has spent those ‘coins’, they would have leveled up considerably, and are now in a position where they could earn 50,000 ‘coins’ a day. Once they reach this level they will no longer be motivated to buy more ‘coins’. It would now cost them $50 to earn what they could get for free every day.

In this same example, if a publisher now introduces a second currency, let’s call it ‘gold’, and a user visits the Super Rewards offer wall to buy 10 ‘gold’ for $1, then the game publisher can put in an individualized exchange rate.  For example, the user that is at level 5 and gets 10,000 ‘coins’ per day for their daily allotment, can now exchange 10 ‘gold’ for 10,000 ‘coins’ and a user who is at level 50 and gets 500,000 ‘coins’ per day would be able to exchange 10 ‘gold’ for 500,000 ‘coins’.  As the first company to enter the virtual currency monetization space, the Super Rewards team has consulted with hundreds of game developers to effectively implement this dual currency model. The model works because it motivates new users to purchase currency, and also helps maintain motivation for aggressive users who like to climb that leader-board making it so they too continue to buy currency. This dual currency model is a winning combination for improving user retention rates, enhancing the overall game experience, while driving sustainable and significant revenue for the publisher.

You will find real world examples of this dual currency in action in most of the mafia RPG games that are in the marketplace today.  In these games, a user earns ‘Favor Points’ for completing offers or making a purchase through a microtransaction provider, such as Paypal.  The user can then convert their ‘Favor Points’ into various things, including the main currency, Money or Cash.  The exchange rate is determined by the user’s current daily income, for example, 5 Favor Points = 1x their daily income; 10 FP = 2x daily income; 15 FP = 3x daily income. Super Rewards has been consulting and working with one of the top mafia RPGs, Mob Wars, on Facebook, since it’s inception almost two years ago. Below you will see a perfect example of this dual currency model in play on Mob Wars.

http://apps.facebook.com/mobwars/godfather/

Mob Wars

Mob Wars

This is the most compelling reason for a developer to implement multiple currencies. Without this model in place there will be an extreme lack of motivation for your high level users to spend real money to advance in the game. Contact info@srpoints.com if you would like a Super Rewards game analyst to assist you in effectively implementing this dual currency model into your game today!

Jason Bailey

GM of Virtual Currencies, Adknowledge Inc.

http://SRpoints.com

http://Adknowledge.com

How to Make Money on the iPhone

Posted in CPA Monetization, Conferences and Conventions, Gameplay Tips, Uncategorized on September 28th, 2009 by Super Rewards Team – Be the first to comment

SuperRewards continues to maintain the leadership position in helping iPhone developers monetize their apps through virtual currency.  Julie Craft, Super Rewards Vice President, presented the Super Rewards SDK and mobile monetization solutions last week to approximately 300 iPhone app developers at the standing room only iPhone Meet-up in Palo Alto.   

Julie Craft presenting at iPhone meet-up

Julie Craft presenting at iPhone meet-up

Super Rewards powers many existing iPhone apps and was the first company to monetize virtual currency on mobile platforms, social network applications, virtual worlds, and Twitter.  You can check out the Super Rewards’ offerwall on iPhone apps such as  Loot Wars and Epic Pet Wars and many more.  We encourage all application developers to check out just how easy it is to implement the Super Rewards iPhone SDK by signing up today at www.srpoints.com.

Chris Abad, CEO of Irata Labs, accompanied Julie to the event and gave an outstanding demo of his Super Rewards integration on his overnight-sensation and the very first Twitter game, Spymaster http://playspymaster.com which recently launched on the iPhone as well.  What started as a fun and unique exploration of Twitter’s application platform for Chris and his team, has since taken over Twitter and become an addiction for thousands of passionate users. Chris and his team are the first company to successfully implement a true cross-platform persistent play user experience spanning the web, twitter and now mobile. 

Chris Abad presenting at iPhone meet-up

Chris Abad presenting at iPhone meet-up

Adam Caplan, President of Super Rewards, Speaking Today at Casual Connect

Posted in Alerts, Conferences and Conventions, Gameplay Tips on July 23rd, 2009 by Super Rewards Team – 1 Comment

Don’t miss Adam Caplan, President of Super Rewards, speaking today at the Casual Connect  gaming conference in Seattle, WA.   Adam will join a panel of experts to discuss the business of gaming, emerging business models, and new ways to monetize games.   

http://seattle.casualconnect.org/

Also - be sure to stop by the Super Rewards table at the show to talk to one of our super sales stars or game analysts if you are looking to monetize your games or social applications or if you are looking for creative ideas on how to take your game to the next level.

Enjoy the show!

Super Rewards LIVE on MSNBC

Posted in Alerts, CPA Monetization, Gameplay Tips, Press Releases & Media Coverage on July 9th, 2009 by Super Rewards Team – 1 Comment

June 25th - MSNBC, “It’s the Economy” segment covered Super Rewards live from NYC!

The segment highlights Super Rewards virtual currency monetization platform and in particular, focuses on the fact that Super Rewards was the first company to monetize Twitter Games.  The wildly popular Twitter game, 140 Mafia, was showcased as an example of how Super Rewards is successfully monetizing Twitter games and demonstrates how Super Rewards continues to maintain its leadership position in this market segment.    

Check out the Super Rewards MSNBC video now:   Super Rewards LIVE on MSNBC

This news story was also picked up on 17 additional TV stations across the U.S. on Fox, NBC and ABC.

CNET.com Covers Super Rewards Successful Mafia Ties

Posted in Alerts, CPA Monetization, Gameplay Tips, Press Releases & Media Coverage on June 29th, 2009 by Super Rewards Team – Be the first to comment

The Social

June 29, 2009 10:00 AM PDT

How the Mafia conquered social networks

Not so long ago, the faces of gaming on social networks were those of zombies, vampires, and cuddly virtual pets. Now it’s more along the lines of Michael Corleone or Tony Soprano.

You’ve probably seen it in your news feed: From Facebook to MySpace and now Twitter, Mafia-themed games have more or less taken over. Mobsters, a game created by development company Playdom, is the most popular application on MySpace’s platform. Mafia Wars, owned by Zynga, is a huge hit on Facebook. The Social Gaming Network has an iPhone app called Mafia: Respect and Retaliation. And earlier this month, a Twitter-based game called 140 Mafia launched. The craze appears to have started with a Facebook app called Mob Wars, which was built by a smaller company called Psycho Monkey.

 

 

The premises of most of these games are the same. You can found or join a “mob” with friends from the social network that the game has been built on. You can carry out missions, including “killing” other players in rival mobs, in order to earn points. Your activities are broadcast, via news feeds or Twitter posts, to your friends on the network in question.

With the mobster gaming craze, social-network developers may have found the secret to bringing multiplayer role-playing games–long the lucrative domain of ultrageeks–fully into the mainstream. They can build elaborate role-playing scenarios with points, levels, teams, and weapons, but without the nerdy stigma that’s become attached to fantasy-themed games in the vein of World of Warcraft. (A 2006 episode of the Comedy Central cartoon “South Park” summed this up well.)

“A lot of the core architecture is very similar to role-playing games in the past, in the way that levels and achievements and so forth are often themed around the certain topic but are pretty generic, actually,” said Justin Smith, who runs the blogs Inside Facebook and Inside Social Games. “When you compare a dragon game to a mob-based game, they’re actually pretty much the same thing with different content.”

“People just really like the crime genre,” said Mark Pincus, CEO of Zynga, which publishes Mafia Wars. The mobster game is currently the company’s most popular app, with 15 million active users across social networks Facebook, MySpace, and Tagged. “GTA (Grand Theft Auto) and a lot of derivative games of GTA top the charts, and I think that it’s more those games feel more culturally relevant to people than a lot of other games that go into other genres that are either historical or more fantasy. I think that people like fantasies that are closer to reality.”

There’s another side to it: Organized crime in the real world tends to be concerned with the illicit transfer of wealth in one form or another (drugs, laundered money, gambling, you name it). When you take the popular perception of the mobster lifestyle and transport it to a gaming environment, there are plenty of opportunities to bring money into the mix. Most of the Web’s Mafia-themed role-playing games make money from display ads as well as the sale of virtual goods, and some make it possible to earn extra points and “level up” by completing offers and surveys. It’s no secret that some social gaming companies are making a ton of money, but mobster games are a particularly lucrative enterprise.

“(It’s about) climbing your way to the top, and the status, and the ego of being the biggest and the best and the toughest,” said Jason Bailey, CEO and co-founder of Super Rewards, the company that has partnered with 140 Mafia to power its payment platform. In 140 Mafia, for example, players who want to speed up their “recovery” from a round of game play can petition to the “godfather” for a favor (and that’ll cost them real money).

Plus, Bailey said, it gets personal: “It has that small violence factor as well, being able to feed on people and put them on the hit list. When somebody does that to you, when somebody kills your character…the rage that it conjures up in people is much much stronger and they’re much more willing to retaliate than in a sports game or a racing-themed game.”

As with any online sensation, though, the question remains: Is this just a fad? From film noir to “The Godfather” to “The Sopranos,” mobster themes have a solid shelf life to them, but mobster games on social networks could easily fade from favor if something more exciting comes along. But the real lasting power, social gaming insiders said, is in the fact that Web development makes it possible to keep a game in a constant stage of evolution. Once these games hit critical mass–which Mafia games arguably have–it’s easier to keep people around.

Short attention spans
They’re also low-maintenance, said Dave Kahn, head product manager for Zynga’s Mafia Wars.

“I would say the difference between what makes Mafia Wars more popular over time than your traditional console game or your traditional hardcore game is that you can have the same experience with five minutes of play and you can interact with your friends,” Kahn said. “I would say a game like GTA or a game of that crime genre would be much more popular if you could interact with your friends on a daily basis, and it doesn’t require much time investment for you and your friends to have that satisfactory interaction.”

“You’re able to come in and come out in short spurts. You can play for 30 seconds, you can play for five minutes,” Jason Bailey said. “It’s not like a first-person shooter or a real-time strategy game where, if the phone rings, you’re going to get shot. It’s really easy to come in and out of these games.”

On the flip side, though, casual players who haven’t put a massive time investment into a game are quite likely to be more fickle about whether they stick around or not. Time will tell when it comes to just how “sticky” mobster games turn out to be for players who aren’t completely hardcore.

But beyond attention span issues, perhaps the biggest challenge to the creators of mobster games is that there are simply too many of them already, and the companies that make them have fallen into courtroom infighting that bears an ironic resemblance to actual mob warfare. There’s an outstanding lawsuit between Zynga and Playdom, for example, over the latter’s allegedly illegal use of the Mafia Wars name in advertising its own Mobsters game. And Mob Wars creator Psycho Monkey sued Zynga over copyright infringement in February.

“There’s a variety of litigation that’s still pending, and I think it just generally reflects the current culture of game development on social networks right now,” Inside Social Games’ Justin Smith said. “There’s a lot of rapid iteration based on adapting other games and twisting them in a very slight way, and there haven’t been many good examples of cases in which the IP has been successfully protected in the courts. So I think it will really be interesting in seeing how some of these cases play out over the next few months.”

As we learned in the Scrabulous-Wordscraper-Lexulous affair last year, in which the manufacturer of board game Scrabble used litigation to force a Facebook-based imitator to change its name, intellectual property laws for games are complicated, and extremely similar games may legally coexist as long as they don’t share a few key features. But it’s not clear whether the mob wars over Mob Wars and its ilk will be without carnage.

“There’s literally 20 or 30 mob-themed games on the Facebook and MySpace platforms, and that’s conservative,” Jason Bailey said. “If people find something that works, they copy it and copy it and copy it, ad nauseam.”

The playing field for mobster games, as well as any other games on social networks that make money through virtual goods and transactions, could also change dramatically when social networks start introducing payment systems of their own. Facebook will start to do this soon, and it’s also been circulated as a possible business model for Twitter. It’s unclear what the rules will be in either case.

But Super Rewards’ Jason Bailey–whose company will be a competitor to Facebook’s in-house virtual currency platform, it should be said–thinks the dominance of mobster games won’t change much if Facebook brings new rules to the applications on its platform. It may be too late for the massive social network to be the real kingpin when it comes to monetizing the likes of the mobster game craze.

“Facebook’s issue, I believe, is it’s hard to tack something like this on later…companies go out and spend millions of dollars building games for your platform,” he said. Were Facebook to start requiring a cut of the revenues, “there would be literally a riot of people with torches at (CEO Mark) Zuckerberg’s house tonight complaining about it.”

Well, that’s a whole different kind of mob.

http://news.cnet.com/8301-13577_3-10274060-36.html