Zynga's Online Gambling Success Analyzed

Published Thursday, January 02, 2014 - Online-Casinos.com
Zynga's Online Gambling Success Analyzed

The social network aspect of online gambling has not made a great deal of progress in recent months and the gaming software firm Zynga is a good example of what could happen to the whole process. The instant results of the issues and challenges the firm faced in 2013 were interesting to say the least. The uneasy tension between Zynga and its partnerships was very apparent as its customer base and its revenues declined rapidly.

Zynga’s quarterly results saw a decline in revenue of almost thirty percentage points after the fallout with partners and the removal of some of its iconic products from the market. After a consumer base of 300 million in 2012 was depleted to nearly half its size to 150 million in 2013 the challenge to come back became even greater. Management changes were another factor to hamper the firm’s transformation.

The recruitment of Don Mattrick as the new chief executive officer left investors concerned as to whether this move in 2014 will improve the company’s bottom line.

While 2014 presents a new year it also represents new challenges and opportunities for the veteran company. Mattrick is a seasoned professional that knows what moves must be made to facilitate a comeback and quickly. Recruited from the Microsoft Corporation he brings to the table a lot of experience on how to create games that work. The CEO’s stint at Electronics Arts Inc also gave Mattrick insight into strategies for company comebacks.

Mattrick knows the soft spot in social gaming remains in the relatively short life expectancy of social games and has seen to it that Zynga has introduced a number of role-playing games that create more retention among players.

Despite Zynga pulling away from the American real money social gambling market it still has created an impression in the international market for it products in that sector. The launch of ZyngaPlusCasino and ZyngaPlusPoker for the UK market has been marginally successful to date. That could still translate into a sizable profit considering the large market.

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