"Duplication of Purchase Law in the gaming entertainment industry—A transnational investigation"

"Duplication of Purchase Law in the gaming entertainment industry—A transnational investigation"

In the gaming entertainment industry, the Duplication of Purchase Law has been a significant factor in understanding the relationship between duplicated purchases of competitive or complementary brands and their market shares. This law has been found to apply well across different time periods and nations, highlighting its relevance in understanding consumer behavior in the gaming industry.

One interesting finding is the high correlation between the duplications of games played and the games' penetration rates. This suggests that the more a game is played, the higher its market share is likely to be. In 2009, the gaming entertainment industry generated a staggering $89 billion in gross gambling revenue, showcasing the immense impact of this law on the industry's overall success (The United States Census Bureau, 2012).

Moreover, the influence of the Duplication of Purchase Law extends beyond the gaming industry. For example, in Australia, the total gambling revenue in 2008-09 exceeded $15 billion, demonstrating the significant role that consumer behavior plays in driving the success of the gambling sector (Productivity Commission, 2010). Similarly, Macao's gross casino revenue reached an astonishing $33.5 billion in 2011, further emphasizing the importance of understanding consumer purchasing patterns in the gaming entertainment industry (Gaming Inspection and Coordination Bureau, 2012).

While the Duplication of Purchase Law holds true in most cases, there are exceptions to this regularity. Lam (2006) found that gambling purchases in the United States followed a different pattern of cross-buying. This highlights the need for further research and investigation to understand the unique factors influencing consumer behavior in different regions.

In line with the consumption of many consumer products, the Duplication of Purchase Law is a commonly observed regularity. Uncles et al. (1995) suggest that the key factor for purchase duplication between any two brands is the penetration of each brand. This implies that brands with higher penetration are more likely to be purchased together by consumers. This insight can be valuable for gaming companies looking to expand their market share and improve their overall revenue.

To apply this knowledge in a practical manner, gaming companies can consider the following actionable advice:

1. Focus on increasing the penetration of your brand: By investing in marketing and promotional activities that target a wider audience, gaming companies can increase the likelihood of consumers purchasing their games. This can be achieved through strategic partnerships, influencer collaborations, and targeted advertising campaigns.

2. Analyze the gaming preferences of your target audience: Understanding the specific gaming preferences and purchasing behaviors of your target audience can help in identifying complementary brands that are frequently purchased together. By offering bundled deals or cross-promotions with these brands, gaming companies can tap into the power of the Duplication of Purchase Law and attract more consumers.

3. Leverage technology for personalized gaming experiences: With advancements in technology, gaming companies can now offer personalized gaming experiences tailored to individual preferences. By utilizing data analytics and artificial intelligence, companies can recommend games and in-game purchases that align with the consumer's past preferences and behaviors. This personalized approach can significantly increase the likelihood of repeat purchases and brand loyalty.

In conclusion, the Duplication of Purchase Law is a vital concept in understanding consumer behavior in the gaming entertainment industry. It highlights the relationship between duplicated purchases of competitive or complementary brands and their market shares. By recognizing the importance of this law and implementing the actionable advice mentioned above, gaming companies can position themselves for success in an increasingly competitive market.