Facebook & Zynga Blog

A No Holds Barred Approach.

Zynga Can Make Money But They Need To Change

Zynga

It has been a very bad couple of weeks for Zynga (ZNGA) and investors who believed in them. Between the bad 2Q numbers, downgrading the future earnings and all the lawsuits for various issues, including stock fraud, they have had their hands full and investors let them know it.

The stock has seen a major drop from its high of $15.91 back in March and now is hovering around the $3 dollar mark.

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Can Zynga recover? Absolutely, but only if they change the way they do business and start listening to their players to bring back the fun to their games. Right now they have major issues with their players who are tired of all the spamming of friends, game issues, content overload that makes it more of a job to play than a game.

I outlined a number of major issues Zynga has in my blog and these are issues that everyone, investors and players alike, agree need to be addressed.

The main thing investors want to know is if Zynga can make money going forward. I believe they can and will but not as much as Zynga hopes or what experts believe they should. Zynga has to change the way it does business and their public perception in order to do so.

They need to stop being so metrics driven and realize that while yes that model works for a regular gaming company, they are not a regular gaming company, they are a social gaming company. There is a big difference between the two and unfortunately conventional business models wont work, as this is still relatively new territory and the book hasn’t been fully written yet.

Social games are not metrics run alone you need to factor in the people factor to the model and once Zynga does that they will see change and profit. Most players of social games wouldn’t play them if it wasn’t for the social engagement and new friends they make along the way.

While yes they are tied to heavily to Facebook (FB) right now they can actually use that to their advantage. Facebook uses Sponsored Ads & Stories to make money and get engagement and Zynga can do the same but in a way to get new users to play and recommend more to play.

Zynga does make money and a lot of it, $332 million alone per their 2Q statement. So they showed they can make money but they need to fix game issues, and other issues for the players to come back and open their wallets again. Players will spend money on a game if it is fun and works properly and Zynga has seen that before they went public.

While Zynga will take a hit on their other issues and believe me it will hurt their bottom line in legal fees. They will make money if they change to more of a user friendly company and listen to its current players more to fix current game issues.

They also need to come up with exciting NEW games that will catch the public interest. That is also a key to their future.

Their mobile platform is great but if games don’t work properly it wont work. Having their own gaming platform is great but that will still have to be tied to Facebook as the users they have now, who are spending the money, are not willing to start a game all over after the years of building the one they play now.

Yes there are big challenges are ahead of them but if they do it right they will succeed and make money. Change is everything and Zynga must be willing to do it or they will be no more.

August 9, 2012 Posted by | Blogs | 1 Comment

Coming This Halloween A New Game / Zombieville

Coming this Halloween Zynga bring you a fun, new, exciting & different game sure to delight the Zombie urges in all of us, Zombieville. 

We have wished we could go over and tip our friends cows in Farmville and destroy towns in Cityville and especially cause havoc at our friends houses in The Ville. Well it seems Zynga has finally heard our pleas and has come out with a new game to help make that a reality. 

Zombieville promises to make all those dreams come true and then some. Let me explain the concept of the game to you all it is pretty kool. First you must build your character up in Zombieville by doing tasks and building your Zombie Army of Minions for the first 5 levels. Collect brains for energy so you can travel to other games. 

Once you have your army & brains you can begin traveling to your friends who play other games and release the Zombie Apocalypse on them in that game. But beware they are also going to be able to collect Anti Zombie Weapons to repel your attacks so you must strike fast and go on the the next friends game. As you go you are collecting points to get new high end virtual items that you can use in what ever game you want as well as becoming stronger and leveling up and increasing your brain capacity. 

Full details on game are still sketchy but watch for a big press release on it. Here are a list of games we be able to visit friends in :

  1. Farmville
  2. The Ville
  3. Mafia Wars
  4. Cityville
  5. Castleville
  6. Empires & Allies
  7. Cafe World
  8. Pioneer Trail 
  9. Adventure World 
  10. Yoville

This is the game we have all been waiting to come for years now and finally it is almost here. Imagine being able to go to your friends farms and eating or tipping their cows and destroying their crops, or going over to eat your friends Mafias family while they sleep or even running to your friends city and eating busloads of tourists. The combinations are limitless and should be fun!!! 

OK I got to admit I made this all up to prove a point to Zynga that games could be fun and if you use your imagination you could have fun games like this. Start listening to us players before Zynga Games is no more. Sorry folks I wish this was real too but it was just a figment of my imagination. But this would be KOOL !!! 

August 2, 2012 Posted by | Blogs | , , , , , , , , | Leave a comment

   

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