It’s been amazing to watch the virtual world (VW) space grow by leaps and bounds over such a short time. Using unique user traffic as a yardstick, the virtual world and massively multiplayer online (MMO) space increased more than 50% last year. Compare that with 15% for the prior year (in the US). The first thing to note is that traffic patterns seem to follow a seasonal rise and fall. Traffic increases from spring to early summer only to drop significantly when school starts in September. Then, as the holiday season approaches, it peaks before dropping off again in the new year.

WHAT’S HOT? The most popular destinations for both kids and adults are “casual gaming” destinations. For kids and tweens, that means Wizard 101, Poptropica, Club Penguin and Moshi Monsters (which was just valued at $200 million). While social and chat-based destinations like IMVU and Hi5 fall in second place for the young adult and older crowd, destinations that have a toy tie-in or real world connection, like Webkinz and Build-A-Bearville hold second place for kids and tweens. However, this VW/MMO type has been on a slow two-year decline, largely as a result of Webkinz loosing significant marketshare over that period, to newcomers like Wizard 101 and Poptropica. While Club Penguin has dropped in placement on the best top 10 list for kids, it has done a surprisingly good job of maintaining marketshare, loosing only a small percentage compared to Webkinz.

Two destinations have really taken off. Minecraft, a “better than LEGO Universe” online building (or “crafting”) world that appeals to both boys and girls is growing at an amazing rate globally. The funny thing about Minecraft is that it is still in public Beta! It’s not even a fully released product yet. (Note to execs, learn from this product’s creative expression thinking AND business model!) If you are not yet familiar with this low res, yesteryear looking world, tonight’s homework is to get familiar with it, NOW. Educators should note that teachers are beginning to create lesson plans around Minecraft’s in-world building activities. The second destination of note is Nickelodeon’s latest virtual world offering, Monkey Quest. This new 3D world is also growing quickly since its launch earlier this year and you can’t miss the advertising on Nickelodeon cable channels throughout the day. It’s a world that spent more than a couple of years in development and the polish shows now that it’s ready for prime time.

As we head into the summer months, the kids VW/MMO industry typically assumes that as the dog days of summer drag on, kids will become bored and start to gravitate to virtual world activities from the indoor comfort of an air conditioned room. If you watch any amount of children’s commercial television during the summer you can’t help notice the number of virtual world advertisements. However, while it is unclear if subscription rates actually rise during the summer months, unique traffic to kids VW/MMOs actually falls through July and August, especially in the casual gaming sector and in the toy and web connect space, an interesting trend that goes against popular belief.

What about education-based destinations? You might imagine these kind of sites have some appeal with younger audiences and kids, right? While the casual gaming space has captured almost 34% of all VW/MMO traffic, educational destinations hold less than 6% for all ages, and only 4.4% of all traffic for the top 20 kid and tween educational destinations. Out of this list, a majority share of traffic goes to Knowledge Adventure’s JumpStart and their new and fast growing world Math Blaster. Almost all other destinations show small numbers in comparison.

As I look back on the virtual world and MMO data I have collected over the past five years one thing is certain; expect to see many more virtual worlds launching in the months and years ahead. I remember a few years ago hearing one day there will be over 300 virtual worlds globally. I remember thinking “that’s impossible, we will never have that many.” Well, that day has recently come and gone. I continue to add another ten destinations to my list every month. Adding more new worlds to the existing list of players will create challenges for everyone in this field, pushing all players to continually improve, build out, and try to hold onto market share. Ultimately it will be the children and their parents that will benefit. Each new world that launches raises the bar for quality, engagement, innovation and ultimately, access. That’s the good for kids, but it presents an ongoing challenge for publishers who choose to play in the virtual space.

If you were challenged to define what math is, what would you say? How about science? What makes the two different, or maybe even the same? I started exploring the idea of what makes up these educational disciplines as a result of hearing the term STEM more and more in the news. STEM is a short-handed way of referring to science, technology, engineering and mathematics, but is this term simply a collection of separate items, or could there be something larger at play here because of the overlaps between these disciplines? Is there greater benefit to the whole than simply its parts and could this concept be applied to other similar examples outside of education as well?

While noodling with the idea of categories and boundaries, I remembered a discussion I had with Vinton Cerf from Google many months ago. Vint is frequently cited as “the father of the Internet” a title he will quickly point out involves the contributions of many of his fellow colleagues, and not just those of his own.

During our meeting we talked about how Google looks at the world of content. Vint shared with me the following:

“In the academic world it has become traditional to speak of disciplines, and that’s an organizational artifact; geology, history, English, physics, chemistry, medicine, and so on. Yet when we dive down deep we discover this is all a continuum. These things are not really broken up with such hard walls and barriers between them. Understanding that those disciplines are actually related to each other in a very intimate way is an important thing. I want to be careful about the idea of organizing information into categories. That can be helpful abstraction but it’s dangerous if you actually believe these things are segregated from each other.”

Upon reflecting on Vint’s words, I immediately thought of a quote by the great media thinker Marshall McLuhan, who famously said:

“Anyone who makes a distinction between entertainment and education doesn’t know the first thing about either.”

Connecting the dots between the two statements came over me like a tidal wave. Could we as media creators, educators, researchers, whatever the industry, be carrying with us artificial boundaries that prevent us from making real breakthroughs in our field? If we look for new ways to engage audiences through media creation wouldn’t it be in defining new boundaries that reshapes society’s thinking about these boundaries?

Simply being aware that we have the ability to redefine those boundaries may actually be the first step in creating something larger, something that is truly breakthrough. How would you define the boundaries between education and entertainment? Or should we instead define the overlaps, or maybe even define how we wish those boundaries to be drawn? The overlaps appear to change and grow with every advance in technology. Their sum is greater than the parts. To separate the two diminishes our ability as creators to discover new opportunities and reach audiences in ways never before dreamed possible.

Ever wonder what you can do with those 3D glasses after you go to see one of the latest 3D movies? Yes, you can recycle the glasses, but what if you wanted to do something creative with them? Well, here you go, make your own Kermit the Frog glasses!

I’ve had the idea to create froggy spectacles for a couple of years now. Whenever I have a creative idea, I try to capture it in my “Idea Book.” I’ve been keeping an idea book for a long time, and I encourage others, especially young children, to keep an idea book too. Going on a long family trip? Bring along your idea book! Kids want to play another 15 minutes of video games? Okay, after you have come up with three new ideas to put in your idea book. It’s a lot of fun to look back on ideas you have sketched out. Sometime, long after you have captured your idea, you might realize you have the materials laying around to make your idea a reality!

To get started with your own glasses, click here to download a PDF template I made with a few different designs. I’ve added stars, hearts and dollar signs. After you print out the page, use a pair of scissors to cut carefully along the inside of the thick gray line. If you’re really good, you can also try cutting out the inside shape using a sharp X-Acto knife, which will allow you to see through your glasses after you have applied the paper cut outs on top of the frames. I’ve found you can just slip the paper cutouts under the plastic rim to hold them in place. If you want the paper to stay in place more permanently, use a glue stick or rubber cement.

Enjoy making your own glasses, and take lots of photos to remember the fun! You can even paste a photo of your completed creations into your very own idea book to show others you can made your ideas come true!

Last week I attended Back to School – Learning and Growing in a Digital Age, an event which explored federal policy, e-learning, and digital literacy, sponsored by Common Sense Media, PBS Kids, USC Annenberg’s Center on Communication Leadership & Policy, and The Children’s Partnership. The session that impacted me most was Empowering Parents and Kids with Technology. What was fascinating about the speakers on this panel was that collectively they described the evolution of Internet and its perceived challenges facing parents and kids over the last ten years, from a social perspective.

In the early online days, parents’ concerns about the Internet were largely about preventing children from stumbling upon inappropriate content online. As time passed, the concern shifted towards one of a fear of online predators. Today, the focus of concern is more about a child’s privacy, cyberbullying, and what constitutes appropriate behavior online. If you think about it, our social perceptions of the Internet and how kids will experience positive as well as negative aspects of the online world have changed a lot in a very short time. The changes we see looking back, and the changes we have yet to realize, still point to the amazing potential the Internet offers our children. Here are a few noteworthy comments from the panel that capture this change:

Mandeep Dhillon, CEO & Co-Founder, Togetherville

“There are many sociological changes occurring … If you look at the last couple of years, computing has become more social. We’re just now starting to see the first generation of tech-savvy parents know more about technology than their kids. In the past it was common for a parent to turn to their kid for help with technology. That’s no longer true. Now parents can actually say something meaningful about the technology their kids use. As a result, this is changing attitudes about how kids should be engaging with technology.”

Marian Merritt, Internet Safety Advocate, Symantec

“It’s been remarkable, over the last several years, seeing the dialog shift from fear and panic and a real lack of understanding on the parent’s part to discussions like this where we’ve moved the conversation to one that’s more realistic. However, I still think our parent community is lacking a bit, still focusing on mythology rather than the real world of their children. This gap prevents our children from being honest about what they are experiencing in the digital world, be it cyberbullying, be it downloading inappropriate content, running into things they don’t understand on the Internet. I think there’s some old fashioned issues we still need to contend with. Parents have been educated to protect their children from the Internet by placing the home computer in a central location. That was great information for a generation ago. Today, as our children increasingly have full access to the Internet on a device that fits in their pocket, these rules need to be adapted for a changing environment.”

Catherine Titlebaum, Director of Child Safety and Product Policy, Yahoo!

“I’ve been watching online behavior for more than a decade now, In the past the conversation ws all about what kids consume, what they search for, and what they find. Over the years, as kids become increasingly more social online, we’ve had concerns about who they might connect with and speak with, and now it’s really about how are your children behave online. How are they living in these digital spaces as opposed to their real spaces? The challenge for parents to recognize is that this extension to digital life is real. It’s a real extension to real friendships, real learning, and there’s real interaction back and forth between these two spaces.”

During the opening remarks of this event, FCC Chairman Julius Genachowski spoke to the challenges all parents and children face:

“It’s striking how much technology is part of kids’ lives today. Children are using multiple devices to consume 11 hours of content a day. They send a text message an average of once every 10 minutes they’re awake. There’s a lot to be concerned about here, and I don’t know a parent who isn’t. We need to find common-sense strategies to mitigate the risks of the new technologies, including the safety and the privacy of children online. We need to establish new norms for families; new strategies for the home and for when kids are on the move. Technology can and must be a key part of the solution to the problems technology creates. Real solutions that address real and growing needs that honor the First Amendment. Because here’s the truth: We can’t slow technology, and we shouldn’t try.”

Though the Internet is not a perfect place, Genachowski went on to describe the benefits that are almost within our reach:

“I believe that the opportunities of new communications technologies for our kids far exceed the risks. Indeed, I think it’s mandatory in the digital age – in our global digital economy – that we seize the opportunities of technology for our children; that we ensure universal access and digital literacy for all our kids; that we ensure that all our children, no matter the town or the school district they’re from, have the tools they need to be full participants in our digital economy and 21st century democracy.”

This vision took a huge step forward last week as the FCC voted to modernize the current E-Rate program, a mandate which was originally established by Congress years ago to bring the Internet to all schools and libraries in the US. This update will now guarantee these same institutions the very best and fastest broadband access to pave the way for innovative high-tech tools that are essential for a world-class education.

As we begin to see the National Broadband Plan advance this country’s digital infrastructure, the changes in social perceptions mentioned above only help propel this promise, complete with all of its widening educational possibilities. What an exciting time to be involved in the digital universe on behalf of children (and everyone one else too!) Yes, very real concerns will continue to exist in this digital future, perpetuated by media outlets looking to capitalize on shocking headlines, but it’s truly amazing how our collective intelligence about the Internet is changing from one of fear and reservation, to one of infinite possibilities.

Breakfast cereal is really not my thing. Sure I eat it, but when I’m reviewing commercials on TV for work, I’m usually looking for toys and techno playthings, not cereal. Recently however, while reviewing virtual world commercials as part of a new client request, I just couldn’t ignore the dozens of breakfast cereals being advertised to kids. After noticing how many there are I decided to start a little side project. I would watch one children’s television station on any given Saturday morning and see what shows up. To begin my experiment I watched a five-hour Saturday morning block on Nickelodeon. Here are a few of the cereal ads I saw:

• Cinnamon Toast Crunch
• Cocoa Puffs
• Cookie Crisp
• Cupcake Fruity Pebbles
• Frosted Flakes
• Honey Nut Cheerios
• Lucky Charms
• Rheese’s Puffs
• Trix Swirls

These commercials are in such heavy rotation you could see most of them within about an hour, along with numerous yogurt, candy and restaurant ads targeting kids. (Just a note, Nickelodeon is not the only children’s channel to air these commercials. These same ads could be seen on Cartoon Network and Disney XD.)

The technicolor explosion of sugary cereal ads blew my mind. Wasn’t there some standard, at least a code of ethics in place, that prevented marketing these cereals to children during their morning cartoons? After doing a little research I learned in late 2007 the breakfast cereal industry announced they would self-regulate which products would and would not be advertised to children. They defined a number of industry guidelines; one in particular stated that this coalition of companies would not advertise cereals that contained more than 12 grams of sugar per serving to children. How much sugar did the cereals above contain? A quick trip to the supermarket revealed almost all skated just below the self-imposed rule of 12 grams per serving. But what was the standard serving size as part of this guideline? Almost all of these cereals recommended a serving size of 3/4 of a cup. Was that a lot? How much cereal does the average person eat for breakfast?

The next morning I went to the kitchen, poured myself a bowl of everyday, non-sugary cereal and measured it. I found I eat about 1 1/2 cups of cereal for breakfast. I then asked a number of kids, ages 11 – 14, to pour themselves a bowl of cereal, after which I measured each one. Their bowls ranged from 1 to 1 1/4 cups, 33 – 66% more than the recommended serving size.

The conspiracy theorist in me wondered if these cereal companies simply reduced the size of a single serving to guarantee they could get the sugar levels below 12 grams per serving. In an attempt to prove my theory, all I would need to do is find the Nutritional Facts for each cereal before the self-imposed 2007 regulations. Did you know that eBay and Flickr are both excellent resources for finding photographs of nostalgic cereal boxes? I couldn’t find all of the cereals listed above, but I did find a 1979 box of Cocoa Puffs and Lucky Charms. That year both cereals had a recommended serving size of one cup. Today, the recommended serving size is 3/4 of a cup.

This retro cereal box sleuthing proved nothing though. These cereal companies may have changed their ingredients over the years, maybe even realized that one cup of cereal was actually too much to eat in a single sitting. I started to wonder if all this sugar-talk was a moot point. Just how much sugar is actually okay to eat in one day?

In 2003, the World Health Organization stated that a person’s daily caloric intake should not exceed more than 10% from sugar. If a typical adult calorie count per day is 2,200 calories, the 10% ceiling translates into about 12 teaspoons or about 50 grams of sugar per day. After this announcement the US Sugar lobby had a fit with the WHO’s sugar guidelines and countered that the daily caloric intake of sugar could be as much as 25% per day. That’s about 30 teaspoons or 120 grams of sugar per day. Last year the American Heart Association recommended no more than 6 1/2 teaspoons or 25 grams of sugar per day for adult women, and no more than 9 1/2 teaspoons or 37 grams of sugar per day for adult men, recommendations below the WHO’s position. According to that math, if you have just one cup of any sugary cereal in the morning, and you wash it down with a cup of milk or orange juice, you’ve just about reached the upper limit of sugar intake for the day in a single meal. That means no more juices, cookies, sweets or deserts for the rest of the day.

If this country truly wants to reverse the growing childhood obesity problem, relying on self-imposed industry regulations for food advertising clearly won’t lead kids (or adults) to healthier eating choices. Like I said, cereal is not my thing, but I just can’t ignore what I see on children’s television every day. The food ads kids consume on a regular basis are far from sweet, and when you begin to pull back the curtain on this sugary controversy, you too may find you’re left with a very sour taste in your mouth.

Start your engines! Disney’s newest virtual world, World of Cars, is at the starting gate! World of Cars recently went live and is the latest online community for kids. The LA Times posted a great interview with Rachel DiPaola (shown in photo above) who is the Product Director for Disney Online and commander in chief for Cars Online. Reading the piece reminded me that just a few months earlier I had a conversation with Lane Merrifield (also in photo above) about Cars. Merrifield, founder of Club Penguin, now oversees all virtual worlds for Disney. Below are highlights from our conversation together as he discusses the thinking behind Cars Online. This interview was conducted in the Spring of 2010 and has been edited for clarity purposes.

QUICK QUESTION PICKER:

In our last interview together, Club Penguin had just been acquired by Disney. Today you’re in charge of all virtual worlds for Disney. How many virtual worlds are you managing?

You were made the Executive Vice President of Disney Online Studio. Where do you start with this role?

What makes World of Cars unique compared to other virtual worlds?

What 3D solution are you using for Cars, Unity?

Was John Lasseter involved with this project?

In addition to Cars Online, what else can Cars fans look forward to in the near future?

INTERVIEW:

Scott Traylor: In our last interview together, Club Penguin had just been acquired by Disney in August of 2007. Today you’re in charge of all virtual worlds for Disney. How many virtual worlds are you currently managing?

Lane Merrifield: We have four actively launched virtual worlds. ToonTown was the first, Pirates of the Caribbean Online, Pixie Hollow, Club Penguin, and soon to be World of Cars. That’s four live currently with a fifth virtual world actively being worked on. It’s a lot of worlds to manage, but we have really strong teams who own the product, who are passionate about it, and passionate about their audience. For me, I’m less inclined to feel like I have to manage the worlds themselves, and more inclined to make sure that the values are lined up, the priorities are right, the expectations on quality are consistent. (Return to Question Picker)

Traylor: You’re under Disney’s wing now, which was nothing unfamiliar to you since you first worked in the parks at Disney as a teenager. You’re brought on as the Executive Vice President of Disney Online. Where do you start with this role? Do you focus on business models for these virtual worlds? Do you coordinate branding? Do you modify these virtual worlds to meet the business objectives of Disney Online or maybe the entire Disney enterprise?

Merrifield: When I first came onboard, almost all of these worlds, with the exception of Cars, had already been launched. So all of them had a nature. They were all in different parts of their life cycle. Some were struggling a little more than others. Pirates, which had great content, was not technically functioning as well as it could. It wasn’t working well on all machines. The team had reached pretty far with what they could do technically, but as a result, had made the site less accessible. For Pirates, we put a halt on a lot of new development, went back to the drawing board, and retooled to get it to a place where it is now. Recently we started to move the content ahead again, and the experience is far more accessible. You can play it in a browser now. Anyway, these virtual worlds are all on different paths, and a lot of my focus has been stepping in, bring the two studios together (the Club Penguin studio in Kelowna, now called Disneyland Studios Canada, together with the Disneyland Studios LA,) and bring together a lot of shared learning.

It’s interesting, the two studios are almost identical in size, although one was focused on just one product and the numerous facets of that product, and the other was focused on multiple products. One studio wasn’t involved with as many languages. The other wasn’t as tied into their consumer products and other things. One was driving very deep, and the other was focused on all the pieces. Internationally, Club Penguin was really leading the way, and now the infrastructure that we developed for Club Penguin is going to allow all of our virtual worlds to be able to grow internationally in the same way that Club Penguin did. The sharing between the two studios has been a great cross learning experience. (Return to Question Picker)

Traylor: What makes World of Cars unique compared to other virtual worlds that compete in the same space?

Merrifield: Well the most obvious is that it starts from such a strong place in terms of its intellectual property. People know the product, people know the characters, they know what Radiator Springs should look like and feel like, although they haven’t necessarily experienced it like this before. There’s great strength in that, but it’s also a double-edged sword. It means people’s expectations are going to be higher. We already had a head start in the narrative, and in the environment and the characters. I don’t like to focus on the technology, but we’ve also created a way of doing 3D in Flash that’s pretty unique and different from Papervision and some of the other technologies out there. (Return to Question Picker)

Traylor: The front-end is in 3D using Flash? You’re not using Unity?

Merrifield: We’re using Flash, at least until some of these other tools get to the same adoption rate. Our goal is never to try and perpetuate the technology. We’d rather come in behind it once it’s already reached a significant adoption level. This is not to say we’re not looking at all of these other new tools, playing with all of them. Just the same, we’re not locked into Flash either.

We always talk about being technologically agnostic. That’s a big focus for us. It’s difficult to bring a Pixar 3D movie to life in 2D. Not to say we didn’t experiment with it, but it just wasn’t the same thing. The character of the cars, and the ability to bring them to life, and the way they are articulated, we knew we had to address that problem. And yet, the requirement was always not to chase technology. If we’re going to do it in 3D, it has to have a 98 percent install base, which is what Flash has. It was a tough challenge, but the team rose to it. In part, it’s also why we’re making sure everything will work right for the launch. This is a technology approach that hasn’t been done before. We need to make sure when there are 60 cars driving around on the same page at the same time, that it’s still as strong an experience as if there were just two cars driving on screen. (Return to Question Picker)

Traylor: Was John Lasseter involved with this project?

Merrifield: Yeah, John’s been pretty involved. He would do check in meetings throughout. He also has the dedicated gurus of Cars at Pixar who are involved in work on Cars II and the Cars Land Experience. The relationship has not been like a licensing situation where we say “Okay, can you tell us everything about Cars, and we’ll go make it.” It’s been a real collaboration. In fact, there are elements of what we’ve created that are being incorporated into the Cars manual, the Cars bible. Some point down the road, it could be incorporated into future movies or theme parks or whatever else. It’s neat to see this. It’s a collaborative effort, more than it is one way. John’s been a big fan, and he’s very interested in this because it presents a new medium for storytelling. (Return to Question Picker)

Traylor: What you have shared with me so far is that there’s a new Cars Virtual World, a new physical world theme park called Cars Land, you’re also talking about the next Cars movie. I’m seeing a “tent pole” approach with the Cars brand that has many different elements circling around that center pole. Fans of the Cars franchise are soon to see much more than just the Cars virtual world, is that correct?

Merrifield: There is a lot of cool stuff coming out. The neat thing about everything you mention is that the center pole IS the story and IS the narrative. People sometimes say, “The virtual world is the connection point.” The Internet may be the connection, the vehicle, and Cars Online will be a browser experience. However, as devices get more and more connected and smarter, as we connect more with mobile, as we connect more with console games, as we connect more with the physical environment, my hope is that this next evolution of engaging with the Cars franchise will be more about this connected experience. Disney has been making similar connections from a franchise perspective for years. It’s not just about the replayability of these various experiences. It’s really about one continuous story across multiple experiences. (Return to Question Picker)

• FunFare Magazine’s Hot Dozen Toy List
• KMart’s Fab 15 Toy List
• Time to Play’s Most Wanted List
• The Toys R Us Fabulous 15 List

I thought it would be interesting to see what could be learned by mashing together all of these lists. After doing so, a few trends did make themselves apparent. From this new mashup list of 44 toys, I could see:

• a little more than half of the toys are technology-based
• a little less than a quarter of this list uses well known branded characters
• four of the toys cited involve some sort of virtual world along with a tangible toy (Dora’s Explorer Girls, Littlest Pet Shop Adoption Center, Liv Dolls, Nanovor Nanoscope)
• only two toys on the list could be considered educational (Color Me a Song, Zippity Learning System)
• two toys on the list are video games (Beatles Rock Band, Wii Sports Resort)

I also found that three toys in my mashup list were recommended on three out of the four separate toy lists:

Bakugan 7-in-1 Maxus Dragonoid is a toy that folds up, expands, and connects to build a much larger toy. This toy feels a bit like a mashup itself between Transformers and Pokemon. From what I’ve heard from classroom teachers, many 8 year old boys are buzzing about this product.

The Nerf Strike Raider is a full sized, automatic toy machine gun and looks pretty threatening. The Nerf line is a very popular toy product for Hasbro, but I wish that toy guns didn’t make it to the list!

Zhu Zhu Pets are little robotic hamsters that react in some way, with noise or motion, when you touch them. These critters can be sent to live in a super hampster wonderland, similar to the real world animal Habitrail concept, complete with its own hampster ball. This product is just a little misleading. The price of the pet itself is really affordable! What parents will most likely miss is that if you buy the pet, they will also end up spending a fortune on all the accessories. None-the-less, I think this toy will be the hot product for kids under the age of 10, if you can find it. It already looks like stores are already all sold out of this product.

This next list below includes toys found on two of the four lists:

The toy I think will be a big seller from this list is the Girl Gourmet Sweets Candy Jewelry Factory by Jakks Pacific. It’s a little like the old Easy Bake Oven, but instead of making baked goods, it makes candy jewelry. The catch to be aware of with this product is that it does not come with the special 40 watt bulb you need to make the product work. It has to be purchased separately.

I’m also watching the Printies Design Studio by Techno Source. This is a clever product where a child can create all kinds of unique crafts using a specially prepared (and pre-perfed) paper that your child can design, print, cut out, and then stuff with cotton. It uses low end color printers, like the kind you most people have at home.

Some surprises? First, I was surprised to see the LeapFrog TAG & TAG Jr. reading systems did not make it onto any list. Once I realized that LeapFrog was missing from the list I then noted that not a single toy from VTech was on the list either. Maybe just a bad year for electronic learning products? Also, WowWee, the amazing robotic toy experts did not have a single mention as well. The Nintendo DS and DSi were not on the list either, but that may be more of an issue with toy experts not specializing in reviewing software and gaming platforms than anything else.

I was also surprised not to see more website toy tie ins on the list. There certainly are a number of them out there, but not so many captured on these more traditional toy lists.

If you are interested in my complete mashup toy list, you can download a copy as an Excel file here. Note the tabs on the bottom of the spreadsheet, I have arranged the list by product, age, cost, etc.

Let me know if you see any other trends. I’d enjoy hearing what toys are on the top of your list!

For those that follow my blog, you may remember a post I wrote last winter where I explored the world of children’s television commercials, just before and after the last holiday season. At the time my focus was mostly on the world of technology toys, and how toy companies promote their wares to children through television. Over eight consecutive weekends, I had watched about 100 hours of children’s television across seven stations, which loosely added up to over 3,000 commercials viewed. That many commercials edited end-to-end would fill an entire day of watching nothing but commercials.

A couple of months ago I was reviewing the data I had collected, deciding if I might undertake a similar effort again this year (I’m looking for sponsors), when I realized I was sitting on a ton of stats related to virtual worlds and kids. After pulling my head out of the world of toys, and instead focusing on social and virtual worlds for kids, I realized that many virtual worlds were advertised for the first time ever on television during the latter part of 2008.

In the months leading up to last year’s Christmas holiday, at least nine virtual worlds were advertised in the US to older kids and younger tweens. These destinations included Bella Sara by Hidden City Games, Build-A-Bearville by Build-A-Bear Workshop, Mattel’s UB Funkeys, Cartoon Network’s Fusion Fall, Irwin Toy’s Me2 Universe, Disney’s Pixie Hollow, Hasbro’s MyEpets and LittlestPetShop, and Wizard 101 by KingsIsle Entertainment. Most companies offered commercial spots in 15 and 30 second lengths to promote their online virtual worlds. All commercials were placed on channels that aired children’s programming with the heaviest rotation appearing on weekends.

The company that had the most commercials in rotation was for Cartoon Network’s virtual world Fusion Fall. Cartoon Network ran an AMAZING number of spots in 10, 15, 30 and 45 second lengths to promote Fusion Fall, but all of Fusion Fall’s advertising was on a single channel, that being Cartoon Network. The shorter spots were placed strategically as bumpers around all show entry end exit points. I can’t cite the exact number, but the amount of Fusion Fall impressions per hour was impressive and more than any other competing site.

The Pixie Hollow and Wizard 101 virtual world commercials were the next heaviest in rotation after Fusion Fall, but for these worlds, they were advertised across multiple channels. Next in line was Build-A-Bearville, Bella Sara, and Funkeys. Each virtual world destination experienced an increase in unique visits to their virtual world but none more than Fusion Fall and Wizard 101 in the November to December 2008 time period. Both of these desitinations experienced an increase in web traffic 3 to 5 times more than before those on air campaigns began. All virtual worlds lost traffic to their sites after the holiday season as advertisement campaigns wound down, all except for Disney’s Pixie Hollow. However, gains remained for seven out of nine of the virtual worlds advertised when measured over a two month period, though only three out of the nine had experienced any significant gains. Out of the collection of these nine virtual worlds, seven companies offered a tangible product that was sold as part of their virtual world service.

Over the summer months, I’ve had the opportunity to check in on a few children’s channels to see what’s being advertised. A new crop of virtual world commercials are running on air this summer. One big surprise to me was MapleStory which is a virtual world that started outside the US. It makes sense to try to reach out to kids during these months to grow an audience base. I’ve been thinking that this might be a better and cheaper way to gain visibility as opposed to winning kids over during the winter holiday season.

Outside of children’s television, I’ve also been keeping a close watch on a number of virtual worlds for kids. Every now and then I’m surprised by how some site just explodes. Moshi Monsters has had my interest most of this summer. This is a UK virtual world for kids that has yet to take off here in the states, but has been doing great at home. I’ve wondered why it has been so successful in the last two months. Only recently did I came across an interview with Michael Smith, CEO for Moshi Monsters on YouTube. (Thanks Joi Podgorny for the tip!) In this interview Michael discusses the growth in visitors and subscribers to his site as a direct response to advertising on TV.

If you’re interested in learning more about the data I have, shoot me an email. One thing is certain though, we should all be prepared to see many more commercials of virtual world advertised to kids in the months, and years, ahead. What used to be a vital part of toy promotion is now expanding to the virtual world as well.

When toy companies talk about new toy products, there’s often a lot of discussion around a toy’s play patterns. What is it about the toy that resonates with a child? What play patterns will the toy tap into? Will the play pattern extend across age and gender differences?

Sometimes answering play pattern questions like these are pretty straight forward, other times their answers are not as clear cut. Potentially even more complicated is describing the play pattern around a toy product tied to a virtual world or online experience. What kind of play pattern are we talking about now? How does the play experience through an avatar in an online world differ from that of a child playing with a physical toy in the real world?

These are hard questions to answer, but they are ones I’m betting more and more people will be asking in the world of youth marketing.

The 2008 American International Toy Fair was a big year for virtual world toy products. Unlike years before, 2008 saw many virtual world product announcements, a first for the show. Some of the biggest announcements came from the likes of Disney and Techno Source with Pixie Hallow and Clickables, iToys with the Me2 Universe, Ty with Beanie Babies 2.0 and TyGirls, and 10Vox with Tracksters and KooKeys. Each of these companies offered a virtual play experience through the purchase of a tangible toy product—the business model of preference being one in which the consumer buys a tangible product that grants access to an online world.

Fast forward to 2009. It seems almost every few days we learn of a new virtual world for kids. While a number of virtual worlds were announced on the show floor during the 2009 Toy Fair, even more were announced outside of the walls of the Javits Center. What was surprising was the number of new product announcements, not just updates to old products launched a year or two prior. Take note for the future: February could very well become the product announcement month of choice in the virtual world space. Such announcements started in 2008 and today appear to be picking up steam.

As you can imagine, any announcement attached to a toy industry event will include some tangible toy product as part of the virtual world offering. Most often plush toys are the vehicle of choice for promoting virtual worlds to kids, but changes are underway within the toy-related niche of the virtual world space. Just about anything these days can include a password key on a piece of paper to allow access to an online destination. Also added to the mix are new solutions that include USB thumb drives that plug into your computer and become the keys to playing in these online destinations.

When I look back on the last two years of tangible toy/virtual world product announcements, I notice two trends, in particular, related to the software portion of the announcement:

1. At the time when a company first makes a virtual world announcement, the virtual world is generally far from completion. If the virtual world has been in development for a long time and is in the process of a sizable public beta effort (meaning many actual consumers are testing the virtual world to flush out problems and improve the quality and stability of the product), this is a good thing. A sizable public testing effort should be the norm with all such products, but sadly it is not. As a result, first-year launches can be challenging for both the companies that make the products as well as the children who use them, typically resulting in poor reviews out of the gate.
   
   
2. After a product has officially launched, it tends to be improved and expanded upon as sales grow or as web traffic proves what is working and what is not within the virtual world. These sorts of improvements are generally seen with products that have been in the marketplace for at least two years.

As it relates to the overall offering of both the physical and virtual parts of the product, I have these additional observations related to the buying and selling of these items that can lead to consumer success:

• How “giftable” is the product? For example, one of the things I love about Webkinz is that the current line of plush toys makes for a great gift idea. They are priced right and are easy to give. Also, the cost to get online is attached to the purchase of the tangible item. This removes the burden from a child of figuring out how they may have to pay for the online experience.
  
  
• Related to cost, are there any hidden fees to gain access to the online world? Sometimes the purchase of the tangible product will not allow full access online. Some virtual worlds can be tiered or gated in a way that premium content is restricted until a credit card is used. A number of different financial models exist related the sale of such products. Be sure to ask if the purchase of the tangible good is the only fee involved or if other fees are part of the online experience.
  
  
• What kind of tangible toy selection is possible? Are there only a small number of items at one specific cost or are many SKUs available across a variety of price points? A variety of products and pricing options can be of benefit to sales.
  
  
• Is there more to the virtual world than just game play? Few of the latest virtual world announcements offer an experience beyond games. Two products to watch that offer something more include Jacabee’s The Jacabee Code, which promotes a unique approach to learning history and Tales 4 Tomorrow, a destination that is all about animal conservation (with plush toys from Fiesta).
  
  
• How deep is the online experience? How many activities and how much content is available? What is the mix of games to creativity tools? Newer sites may not have as much depth as sites that have been on the market for some time.
  
  
• Who does the product appeal to, boys or girls? Historically, very few of these virtual world offerings have had an appeal to boys 9 years old and older. However, this too is changing. New destinations with a greater appeal to boys include products like the car-centric Tracksters, Revnjenz (Revnjenz) and KizMoto (KizToys); and the dinosaur-themed Webosaurs (Reel FX) and Xtractaurs (Mattel).
  
  
• What about younger users? While it may be surprising to find even younger users interested in similar online destinations, many of the social and communication tools available to older users are just not of interest to younger users. Age-appropriate products for young users have been in short supply. However, Ganz recently announced a younger version of Webkinz called Webkinz Jr., and since 2007, Gigapals has offered an eponymously-named site with related toys for the same audience: ages 3 to 6. When thinking up products for younger children, consider the amount of reading and audio instruction provided within these worlds. This demographic may be computer savvy enough to get to your site, but they may still be challenged by the inclusion of too much text once they arrive there.
  
  
• If the online world allows its users the ability to communicate with one another, is the method of communication “canned chat,” “filtered chat” or “open chat”? In addition, what kind of monitoring is provided to prevent inappropriate conversation or cyber bullying?

It’s hard to easily describe the appeal of online worlds for kids. An answer may be found with the sense of independence or a feeling of being in complete control over the digital universe. There might also be an aspirational component to these worlds, as well, that is hard for an adult to fully understand. Part of this new play experience may be an extension of pretend play we’re all so familiar with, related to kids and toys in the real world. One thing is certain, virtual worlds are an expanding part of a child’s play options, however you choose to define the play pattern. And because new virtual worlds are being announced more frequently, chances are there’s one that’s a perfect fit for any girl or boy, or maybe even the child at heart.

Young fans of Webkinz have many pets in their collection. Sometimes many more than you think possible! Above is a photo of most of the Webkinz in my daughter’s collection. (Click image to see larger photo.)

She received her first Webkinz as a gift from me while I was doing research about the ever expanding online world for kids. After this flagship friend was received, a small number of birthday parties resulted in a few more as gifts from friends. A couple were even earned for successfully completing challenging at-home clean up requests. However, a majority of the Webkinz in her collection were purchased by my daughter, through diligent savings of her small weekly allowance.

If you have young children in your home between the ages of 6 to 10, chances are you’ve already heard the Webkinz buzz. While there are many tangible pets to choose from, and too many features online to count with many more being added regularly, let me pull back the curtain of this online destination to show just one small part of this universe. One central online activity includes the ability to build out a virtual home for your newly acquired animals. The more pets your child acquires, the bigger this virtual home becomes.

Illustrated translations of tangible Webkinz toys in the virtual world.

As many parents will probably already know, every Webkinz plush comes with a card that includes a secret code to gain entry into the Webkinz site. One of the very first activities you child will participate in online is decorate a place for your new pet to live. Your child will receive one “starter” room to decorate. Additional rooms can be added by either a.) saving up KinzCash by playing online games/activities to purchase additional rooms, or b.) through buying additional Webkinz in the real world. My daughter pointed out that you only get an additional room for the first ten Webkinz you buy. After that, no more free rooms. The rest can only be purchased online with KinzCash.

This map, stitched together from multiple screen captures taken within the Webkinz World, shows all of the rooms that have been purchased and designed within my daughter’s collection of Webinz online. She started with just one room and built out this large living space for all of her pets. Clicking on any one of the squares from this map within the Webkinz World will bring you into an orthographic view of the individual room itself. Note the different sizes and themes to each room. (Click image to see larger photo.)

Rooms can be decorated with a wide selection of items for purchase through the WShop, the online equivalent of a home furnishings store. There are plenty of items available to spark a child’s decorative imagination. Chairs, beds, games, TVs, wall paper, you name it. Also, some of the items you can acquire are considered “exclusive” and are only made available from “adopting” your 10th, 15th, 20th (etc.) pet. (Translation of adopting — the purchase of additional Webkinz in the real world.)

The front step to the WShop which displays all the different categories of home furnishings you can buy within the Webkinz World. Selecting a category will bring you deeper into the store, showing the store visitor pictures of the item they may wish to place within one of their pet’s rooms. (Click for larger individual images.)

There are three different room sizes and a small number of different themed rooms. For example, you can purchase themed rooms that reflect a certain holiday, like Halloween, or if your pet lives underwater you can purchase a water room. Your pet moves around the room by clicking on an invisible tile matrix that covers the floor of the room. Large rooms are made up of a 10 x 10 grid. There are also medium sized rooms, 7 x 7, and small rooms, 5 x 5. This grid system also helps with the positioning of items purchased from the WShop within the room.

There are three main room sizes available in Webkinz World and a variety of different themes as well. If one of your Webkinz is a fish, chances are you will want a water room. Ask your child what happens when a non-water animal enters a water room. (Click for larger individual images.)

I’m fascinated with the technical logistics of this room making activity within Webkinz. There are a number of individual parts that need to work perfectly together, and need to scale just right with every new addition to your child’s collection. If your child is a Webkinz fan, ask them how many pets they own. Ask your child’s friends as well. You may be surprised at the answer! I’m amazed at the number of Webkinz my daughter’s friends own. Just this week we met a new friend that had over 20 Webkinz in her collection. One boy in the neighborhood who she sometimes plays with boasts owning 46 Webkinz! What sorts of stories about Webkinz do you hear from your children? What do they like best about Webkinz? How many pets do they own? Thanks for reading and for sharing your comments below!