E3sconf Netid2021 03028
E3sconf Netid2021 03028
E3sconf Netid2021 03028
1051/e3sconf/202123503028
NETID 2020
Abstract.This paper mainly focuses on the marketing strategies of Tencent Games. Tencent Games has the
largest revenue all over the world. It is considered that the effective marketing strategies play important roles
in global competition. Many researches have been focusing on this topic. In this article, strategies are
summarized into four main points: product marketing, entertainment marketing, cross-border cooperation and
intellectual property creation. Then the author conducts out a deep case study of Honor of Kings, introducing
the most striking and latest strategies of the game. The game has cross-border cooperation with a cosmetics
brand, idolizes the in-game characters and gets hold of festivals to launch virtual products. The experience of
Tencent Games indicates that different strategies fit different periods and the developer should listen to the
users and follow the trend.
1 Introduction
In the 21st century, with the rapid popularization and
innovation of electronic products, more and more video
games have penetrated into people’s lives. Games market
is now promising and plentiful. At the same time, it is
highly competitive.
Tencent is one of the most important names of mobile
games industry. The company owns a great number of
famous games including Player Unknown’s Battlegrounds
(PUBG), Honor of Kings, Fortnite, Cross Fire and other Fig2. Top 5 companies in gaming revenue in 2018.
games. In the past decade, the annual online games The game market, especially mobile game market, is
revenue of Tencent has shown a steady and unstoppable still expanding fast today, thanks to the rapid technology
growth. In 2019, Tencent’s online games grossed 115 innovation in smart phones. With mobile phones, people
billion yuan—more than a ten-fold increase compared to may click on game apps at any fragmented time when they
2010[1]. According to the Global Games Market Report are on buses or during class breaks. It is a crucial task for
of Newzoo, Tencent has remained as the world’s top game game companies to promote their games, thus people will
publisher by revenue in 2018, followed by Sony and subconsciously choose their games in an instant.
Microsoft. Additionally, the companies need to think about how they
can remain popularity and user loyalty from countless
choices.
Marketing strategies play key roles in this situation.
Tencent Games, as an industry leader, surely has some
distinctive and remarkable methods to make the products
stand out. This paper will dig deeply into the marketing
strategies of Tencent Games. The significance of the paper
are as follows.
1) Summarize the excellent marketing strategies of
Tencent Games and use them as reference for other
companies or fields.
2) To see whether Tencent Games can develop more
Fig1. Annual online games revenue of Tencent in the past ten marketing tools to have a further promotion of the games.
years.
3) To see how marketing on games brings the whole specific game products.
company more revenue. Honor of Kings has been a hot topic among the
The research on this topic is practical and concrete. It researchers. Yuxi Qiao concluded six main marketing
is conducted in a qualitative way. The most typical strategies of this game in her research on innovative
marketing strategies of Tencent Games are first marketing strategies[4]. The strategies are shown below.
summarized and explained with examples. Then, there is 1) Use opinion leaders to expand game’s popularity.
a case study of the success of Honor of Kings, which is 2) Network interaction (with QQ, weChat) for
one of the most profitable and successful game IP of increasing user stickiness
Tencent in recent years. 3) Launch a pattern for fragmented time
4) Use Star Effect to increase popularity
5) Launch multifarious skins and property in game at
2 Literature review low cost
There is a considerable amount of literature on the video 6) Bring out derivative products and culture
game’s marketing strategies. Some researchers have Her illustration is quite clear and concrete. However,
already collected the promotion behaviors of game some of the points are not really relevant to the game
companies. In Marketing strategy analysis of mobile marketing. Additionally, since the paper was published
games—Taking King of Glory Games as an example, Li two years ago, the latest and most innovative strategies are
not included.
listed out several main ideas of game marketing, including Jing Zhang and Wuqiang Tan studied on brand
integrated marketing, crossover marketing, brand communication strategy of League of Legends, another
marketing and precision marketing[2]. A disadvantage of famous game of Tencent[5]. There are posters and theme
her paper is that it only expressed in general term and did Internet cafes which are offline. As for online media, game
not go into much details. videos, novice teaching videos and competition videos can
Li pointed out that integrated marketing refers to attract the attention of players. We Media communication
integration of individual marketing tools into a whole, complements with star effect marketing. In the creative
which can achieve synergies. The mobile game industry mining of culture, television and animation industry are
will make full use of huge network resources in promotion, booming.
combine online promotion with offline activities, and Bingyu Zou and Xinji Chen investigated on a game
integrate various resources to serve the promotion of the called Identity V, a game of NetEase[6]. They illustrated
same game[2]. In his analysis of marketing strategies of that the game used cross-boundary cooperation to raise
mobile game brands, Mingyang Ma indicated that through attention. Last April, Identity V cooperated with
corporation with live broadcast platform, the game can Strawberry Music Festival to play game background
have more exposure to the public and game users can have music at the festival. Last November, Identity V
a certain understanding of the basic operation of the collaborated with animation “ITO run’s second surprise
game[3]. Ma also raised an idea that some games had collection” written by the famous Japanese terrorist master
urban and campus competition for attracting attention[3]. ITO runji and launched a new skin of characters. In
Setting up prizes for game winners could not only addition, the game and Shanghai Happy Valley together
motivate the players, but also improve the reputation of launch the map of “Moon River Park”.
brand in public. These studies are more specific and practical. However,
In terms of crossover marketing, Li gave some because of the rapidly changing games market, some
examples[2]. One example is that users can get free mobile strategies may be out of date. In the study of Honor of
data to play by downloading the game, and another Kings in this paper, the author tries to cover all the latest
example refers to the interaction with film and and innovative marketing methods. The existing studies
entertainment, including film and television implantation also seldom talk about the ultimate effect of strategies as
and celebrity endorsement. Li also stated that precision the researchers are objective, which means that they stand
marketing, which made use of new media means to push on the sidelines and has not thought as a game player or
marketing information to specific target consumer groups, potential customer. This paper tries to turn off these flaws.
is now prevailing and quite effective[2].
The above papers give us a general idea of how game
companies may promote and spread their games. 3 Analysis of Marketing Strategies
Unfortunately, some literature fails to combine viewpoints
with concrete examples, namely games products. Instead In this part, the marketing strategies of Tencent Games are
of focusing on the product strategy of one specific classified into four main aspects. The analysis covers the
company, the researchers simply generalize the strategies, most typical and successful strategies, which
which may be shared by other companies. Many questions distinguished Tencent Games from its competitors’
remain unanswered such as in which situation should a product. Some points are obtained from speeches on
specific strategy be used? Should the promotion methods Tencent Game Developers Conference (TGDC), a
be adjusted at different stages of the product life cycle? conference on which the developers share their ideas of
What kind of methods enable a game to stand out in the game development and marketization.
market? In short, the effect of marketing strategies has not Tencent has an innovation team called TGideas.
been shown or determined in these papers. According to its manager Ruofan Li, TGideas commits to
Several studies have focused on the promotion of help the products to communicate and connect with users
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E3S Web of Conferences 235, 03028 (2021) https://doi.org/10.1051/e3sconf/202123503028
NETID 2020
effectively through creative design means and high- the following two years, eight episodes of documentaries,
quality derivative contents, and thus accomplish business focusing on skateboarding, music, graffiti and some other
value of products[7]. This team is the hero in marketing trends and cultures have been published, bringing a full
games. Its creative design marketing can run through the range of content experience for game users. The
whole life cycle of a game. documentaries enable young people in China to feel the
lifestyles and values of young people from other parts of
the world. The scenes in documentaries were also
3.1 Four classification
introduced into the game as tracks and maps for attraction.
In a word, this case of cooperation not only promote the
3.1.1 Product marketing positive ideas and values but also maintain and enhance
the heat of the game.
Product marketing is based on content of the game,
including game playing, art images and the world view of
the game. The main idea of product marketing is to 3.1.4 Intellectual property creation
decorate and package these things to make the game more
For many players, playing a game is not only because of
attractive. The LOGO, ICON, official website and trailer
its core gameplay or image design, but also because of its
together structure the image and temperament of the game
world view architecture, wonderful story and characters.
product. This strategy is usually used before or at the first
Based on the same theme, namely the intellectual property
stage of its launch. This strategy is explicit and common.
(IP), a game can be transformed into movies, comics or
The posting is usually through mandatory advertising, a
even theme parks. IP is the soul of a game.
kind of one-way transmission of information which may
The creation and design of intellectual property can
not be so effective.
expand the mature stage of a game and thus the lifetime of
However, Tencent does a good job in product
the game. Honor of Kings does quite well in this aspect
differentiation. TGideas design a unique set of visual
(which will be discussed in next part).
symbols so that each game can show its own features.
The design of IP brings the characters closer to real
When TGideas are to design a creative plan for Monument
world. A mature IP can feed the second-generation
Valley II, a game of ultimate beauty, the team devises a QR
products and help the new product go online. Furthermore,
code which contains the beauty element in the game. The
when a game is updated to an IP, it becomes more
result of the design is particularly good since the simple
profitable. The derivative products, the in-game characters,
code has brought 130,000 downloads directly. Tencent
the related animation can all earn money for the game
proves that even the basic marketing tool can break out a
company.
big hit when it is used properly.
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E3S Web of Conferences 235, 03028 (2021) https://doi.org/10.1051/e3sconf/202123503028
NETID 2020
cosmetic brand. In 2019, the two brands released five co- relative animations. For the characters which are
branded lipsticks, featuring the lip colors of five well- originated from historical celebrities, the company can
known game characters. This collaboration was inspired promote their deeds and guide teenagers positively. As for
by the players of Honor of Kings. The cosmetics brand cross-border cooperation, Tencent is expected to corporate
observed the players attempting to find lipstick shades that with some fashion brands, since both are popular among
perfectly match the lip colors of their beloved game young people.
characters; these players mentioned M.A.C a number of
times. Moreover, the two brands share the same target
audience, who are girls between the ages of 18 and 5 Conclusion and Future Work
24. These factors created a perfect opportunity for a cross- This paper delves into the marketing strategies of Tencent
industry collaboration[9]. The marketing turned to be a big Games. The four main points are product marketing,
success. Over 14,000 pre-orders were placed and all five entertainment marketing, cross-border cooperation and
shades sold out across all sales channels within 24 hours intellectual property creation. The classification does not
of the launch. mean these four aspects are overlapped. Instead, they are
Another wisdom decision is the idolization of the from different entry points.
characters in the game. Instead of getting a popular star to Several points can be concluded from the marketing
endorse the game, which is the strategy in the early stage, strategies of Tencent Games. First, the innovation team
Tencent use the hot characters in the game to promote. has been involved in the whole process of planning, testing
More than 80% of the characters in game are Chinese and launch. Therefore, the team can successful catch the
historical celebrities or heroes from excellent literature. In highlights and know what may be welcomed. Second,
2019, 5 most popular male characters were picked out to different strategies are used in different periods. A game,
form a virtual idol group, which seemed attractive to girls. as well as its marketing, should follow up with the trend
The group later published songs and shew on the TV of the times and bring freshness continuously.
programs. Tencent skillfully use the characters to Furthermore, the company should take on the board users’
strengthen the connection between players and the game. thoughts and be bold to cooperate with other companies.
This strategy is a novel use of the entertainment marketing. These points can also be applied to other fields.
The game is also good at promotion on festivals. However, the research has some flaws. Firstly, it lacks
Players can purchase virtual products, such as skins for the literature from other countries. This may be because
characters in the game. Honor of Kings launches products Tencent is a Chinese company and is mainly noticed by
of different themes on different festivals, such as Chinese. Second, not so much data related to marketing
Valentine’s Day and Spring Festival. For example, a bridal effect can be found, since it is hard to anticipate what
skin was introduced on a Valentine’s Day. Since many of would happen if the strategies were not used.
these products are limited in a short period, players usually In the next step, the author will focus on the new
show a great passion to them. A special setting is that the promotion tools of Tencent Games. Some questionnaires
products can be sent to in-game friends. This strategy also will be designed to investigate how the people look upon
brings a lot of profits and popularity to Tencent. these strategies and how the strategies influence people’s
In short, the innovative strategies of Honor of Kings behavior. Additionally, more data will be collected to
continuously bring players fresh experience, which makes visualize the effectiveness of marketing strategies. If
it popular on the market. possible, some cases of other companies will be picked out
and comparative analysis will be conducted.
4 Discussion
The four main points of marketing strategies aim at Acknowledgment
different functions and follow a sequential order. Product The author would like to thank to Stephen Coggeshall of
marketing introduces the game to the public and leaves a USC for helpful discussions on topic related to this work
good impression at the first stage. Entertainment and enlightenment on market field. Further, the author
marketing then accumulates popularity and opens the would like to thank the consultant of Hongtao Jiang of
market quickly. After the game enters the mature stage, Columbia University, who contributed brilliant ideas on
cross-border cooperation can be used to provide a feeling the structure of this paper.
of freshness and help the company generate more profit. A
good IP could extend the life of the game and maintain its
competitive advantage on the market. References
For Honor of Kings, it is now in a mature stage. Thus,
the center of marketing should be cross-border 1. Thomala, L. L. Tencent annual online games revenue
cooperation and IP creation. Tencent has a good 2010-2019. 2020 [Online] Available, Retrieved on
performance in these aspects. However, it is not easy for June 27, 2020, from
the company to bring out something novel which can https://www.statista.com/statistics/527280/tencent-
make an impression. The author’s suggestion is that annual-online-games-revenue/.
virtual products of different themes will still be attractive. 2. Li, T. J. Marketing Strategy Analysis of Mobile
Moreover, the company can enrich the background stories Games — Taking Honor of Kings As An Example.
of the characters in the game. The company can create Henan Education, 2018-2, 125-129.
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E3S Web of Conferences 235, 03028 (2021) https://doi.org/10.1051/e3sconf/202123503028
NETID 2020