bbva innovation edge. gamification (english)

33
3 SEPTEMBER 2012 Gamification The Business of Fun Getting into the Flow The Fun Way to Engage Gaming Gamification Global Snapshots also in this issue Technology Trends Trending Issues

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Gamification is a process of using game thinking and mechanics to engage users. This concept can be applied to both customer facing applications and employee facing applications in the company’s business model. Enterprise architects must be ready to manage a variety of “player types” (achievers, socializers, explorers and killers) and deployment scenarios. BBVA Innovation Edge' is the first corporate iPad magazine focused on innovation. Each edition features articles, analysis and huge information about a particular theme. The main purpose of the magazine is to express the new trends and the upcoming technologies that may impact to the financial industry.

TRANSCRIPT

Page 1: BBVA Innovation Edge. Gamification  (English)

3SEPTEMBER 2012

GamificationThe Business of FunGetting into the Flow

The Fun Way to Engage

Gaming Gamification

Global Snapshots

also in thisissue Technology Trends

Trending Issues

02 Innovation Edge

Facts amp Figures We Love to Play 4

Getting into the Flow 8

The Fun Way to Engage 12

Gaming Gamification 22

The Promise and the ldquoFine Printrdquo 26

Global Snapshots 32

BBVA amp The Gamification 37

Innovation Forecast 40

In Depth44

Sections 48

Technology Trends 48

Trending Issues 52

Gamification amp Banking event59

Innovation at BBVA 60

Credits 62

contents

September 2012 | GAMIFICATION 5 4

ldquoGaming is productive It produces positive emotion stronger social

relationship a sense of accomplishment and for players who are a

part of a game community a chance to build a sense of purposerdquo

18 of gamers are under

18 years of age

29

ldquoWe love to playrdquo Facts amp Figures

70of senior level executives

take breaks to play

games everyday of households

play computer

or video games

53

58 42

72

of gamers are between

18 to 49 years old

The average age of a gameris 37 years old

of gamers are over

50 years of age

of gamers

are men

are women

Jane McGonigal Institute of the Future (IFTF)Director of Game Research amp Development

Ver video

6 September 2012 | GAMIFICATION 7

65

55

33

19

of gamers play

games socially

of gamers play

on mobile devices

of gamers say that

games is their favorite

entertainment activity

of gamers pay

to play online

13play Downloadable Games

21

47play Puzzle Trivial Board

Games and Card Games

play Action Strategy

Sports and Role Playing

Other types

play Persistent Multi-Player

Universe

11

8

Sources Entertainment Software Association | 2011 Sales Demographic and Usage Data 2011PSFK l The Future of Gaming 2011Jane McGonigal l Reality is Broken 2011

September 2012 | GAMIFICATION 9

Fun is Found in the Flow

Mihaly Csikszentmihalyi one of the leading re-

searcher on the topic of happiness describes

flow as ldquobeing completely involved in an activity for

its own sake The ego falls away Time flies Every

action movement and thought follows inevitably

from the previous one like playing jazz Your whole

being is involved and yoursquore using your skills to

the utmostrdquo There are 8 major components com-

ponents of flow

A challenging activity requiring skill A merging of action and awareness Clear goals Direct immediate feedback Concentration on the task at hand A sense of control A loss of self-consciousness An altered sense of time

The experience of flow is often described as ldquoa spon-

taneous joy while performing a taskrdquo In the context

of sports athletes sometimes talk about being in the

zone ldquoa state where the body and mind are in per-

fect harmony and movement becomes effortlessrdquo

Sources Wired |has shown Go with the flow 1996

httpwwwwiredcomwiredarchive409czik_prhtml

Gartner | Maverick Investigacioacuten Motivation Momentum and

Meaning How Gamification Can Inspire Engagement October 2011

Managing the FlowResearch has shown that it normally took years if not

decades of learning the structure of an activity and

strengthening the required skills and abilities to ex-

perience flow Otherwise it required being immersed

in a truly spectacular and unusual context However

Getting into

Diff

icu

lty

SkillTime

FLOW

BOREDOM

ANXIETY

According to Psychologist Mihaly Csikszentmihalyi people feel best when they

are at the perfect level of their skills neither underchallenged (boredrom) nor

overchallenged (anxiety and frustration) And as people learn with time and

repetition challenges have to increase to keep up with growing skills

Source Google Tech Talk I Sebastian Deterding 2011

the FlowThe experience of flow is often

described as ldquoa spontaneous

joy while performing a taskrdquo

This concept of flow as the

gateway to happiness is also

the basis of video games

The video game industry

understands flow and has

accumulated much experience

should we learn from this

experience

8

10 September 2012 | GAMIFICATION 11

Health Computer and video games serve as

useful tools to preserve well-being heal the in-

jured and train the professionals who respond

to medical emergencies

Social Issues Nonprofit organizations and

issue advocates now view video games as an

effective medium for communicating ideas and

generating support among young tech-savvy

consumers

Workplace As the generation that grew up

with video games enters and assumes leader-

ship positions in the workplace computer and

video games increasingly play a role in busi-

ness operations

Source Entertainment Software

Association | Games Improving What Matters

Future of FlowResearch has discovered that ldquosuperstarsrdquo (high

achieving individuals) are found to have spent

more than 10000 hours of practice before the

age of twenty in their respective fields and top

performers (successful but not superstars) have

spent about 8000 hours

Thanks to video games Digital Natives are expert

problem solvers and collaborators by the age of

21 years (or at least in the virtual world) Typically

they would have amassed well over 10000 hours

of experience of resolving issues as a group

When they enter into the workforce they enter as

experts in collaborative problem solving All they

need is flow v

Source Jane McGonigal | Reality is Broken

with video games one can go from zero to flow in 30

seconds The video game industry understands the

concept of flow and has accumulated much experi-

ence and knowledge harnessing the power of flow

Source Jane McGonigal | Reality is Broken

Harnessing the FlowBy having a shared vision shared goals and the

right processes organizations can tap the power of

flow and channel it to drive motivation and change

behaviors in group settings ultimately helping peo-

ple to become more productive and perhaps even

happier

Source Jane McGonigal | Reality is Broken

Flow EverywhereIn about 40 years video games have transformed

from a diversion for the few into a mass medium

helping people learn work and of course play

According to the Entertainment Software Associa-

tion video games can be applied to

Family Life Games in the ldquofamily entertainmentrdquo

category are one of the most popular segments

of the video game market

Art Galleries now feature game artwork in a

number of exhibits and entertainment software

serves as a new medium for emerging artists

Economy The video game industry is one of the

fastest growing sectors in the US economy con-

tinuing to provide jobs to state and local econo-

mies across the nation

Education Entertainment software helps impart

knowledge develop life skills and reinforce posi-

tive habits in students of all ages

Early versions of team based ballgames were played such as Episkyros (in Greece) and Harpastum (Rome) which later gave rise to Shrovetide Football during the Medieval ages (the forerunner to modern day ldquosoccerrdquo)

In Egypt a early board game played with dice was found as part of a Backgammon set dating back to 3100 BC

As the generation who grew up with video games enters and assumes leadership positions in the workplace computer and video games increasingly play a role in business operations

12 September 2012 | GAMIFICATION 13

Gamification is a process of using game thinking and mechanics to engage users This concept can be applied to both customer facing applications and employee facing applications in the companyrsquos business model Enterprise architects must be ready to manage a variety of ldquoplayer typesrdquo (achievers socializers explorers and killers) and deployment scenarios

The

to EngageFun Way

14 September 2012 | GAMIFICATION 15

Gamification What is it

As is the case for an emerging concept defining the

term ldquocorrectlyrdquo is both challenging and elusive -

as it depends on who you talk to platform providers

game designers practitioners industry observers etc

Below a Google Trends snapshot taken on April 2012

shows the historical evolution of Gamification as a

search term According to Gartner ldquogamification has

emerged as a recognizable trend Rarely does an

emerging trend impact so many areas of business

societyrdquo

Key Findings about Gamification Gamification is positioned to become a significant

trend over the next few years

Organizations are increasingly turning to gami-

fication to motivate changed behaviors and

engage internal and external stakeholders

Novelty and hype are driving the current success

of gamification

Success doesnrsquot come easy ldquoDuring four decades

of video game development many games have

failed despite their developers having the best

intentionsrdquo

Sources Gartner | Gamification Primer Life Becomes a Game enero 2011

Gartner | Maverick Research Motivation Momentum and Meaning How

Gamification Can Inspire Engagement October 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation

to Inspire Engagement December 2011

Some formal definitions

RESEARChER AND GAME DESIGNERldquoThe use of design elements from video games in non-game contexts to make a product service or application more fun engaging motivatingrdquo

Source Sebastian Deterding | Getting ldquoGamificationrdquo Right January 2011

GAMIFICATION PLATFORM PROVIDERldquoWhen used in a business context gamification is the process of integrating game dynamics (and game mechanics) into a website business service online community content portal or marketing campaign in order to drive participation and engagementrdquo

Source Bunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

PRACTITIONER (GAMIFICATION INDUSTRY)Gamification is ldquothe process of using game thinking and mechanics to engage usersrdquo

Source Gabe Zichermann | Gamification Innovation and the future 2012

INDUSTRY OBSERVERldquoGamification uses game mechanics such as challenges rules chance rewards and levels to transform daily tasks into playful activitiesrdquo

Source Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Jan 12Jan 11 Apr 11 Jul 11 Oct 11 Apr 12Oct 10

100

80

60

40

20

0

Evolution of the term ldquoGamificationrdquo in Google search

16 September 2012 | GAMIFICATION 17

ldquoGames are the New NormalrdquoDuring the Games for Change Festival an event that

facilitates the creation and distribution of social im-

pact games that serve as critical tools in humanitarian

and educational efforts Al Gore said that ldquoThe gami-

fication trend is really extremely powerfulhellip Games

are the new lsquonormalrsquo for hundreds of millions of users

every month It has been very exciting to me to see

so many ideas that integrate social good and efforts

to make the world a better place into gamesrdquo

The current expectation of Gamification is generating

tremendous buzz everywhere Gartner suggests that

more than 70 of the global 2000 businesses will

Some examples of gamification

MINTMint is a free service which can

aggregate all financial accounts

into one place Users can set a

budget track goals and more

MINDBLOOMMindbloom is a ldquoLife Gamerdquo which

improves the quality of life of the

players in a simple and effective way

NIKENike + FuelBand tracks usersrsquo pro-

gress throughout the day providing

real-time feedback visually

Hype Cycle

Less than 2 years 2-5 years 5-10 years more than 10 years

Imagen recognition

3D printing

Hosted virtualdesktops

E-book readers

Mobile Application Stores

Predictive Analytics

Location-Aware Applications

Speech recognition

Consumerization

Virtual worlds

Wireless power ampSocial Analytics

ldquoBig Datardquo Speech recognition

Biometric Authentication

Methods

Idea management

Mobile robots

Plateau ofProductivity

Slope of EnlightenmentTrough of Disillusionment

Peak ofInflated

Expectations

TechnologyTrigger

Gamification

Exp

ecta

tio

ns

Time

Social TV

Video Analyticsfor customer service

Computer-Brain interface

Quantum computing

Human Augmentation

3D bioprinting

Internet TV

Group buying

Cloud web Platforms

QRcolor code

Machine-to-MachineCommunication services

Private Cloud computing

Cloud computing amp Media tablets

Gesture recognition

Augmented Reality

Virtual Assistants

In-memory Database Management Systems

Mesh Networks Sensor

Source Gartner

apply gamification by 2015 Gamification is believed to

innovate key processes which enhance value proposi-

tions and maximize infrastructure efficiency Whatever

the reason may be it seems that everyone is express-

ing an interest in it including BBVA

Once an obscure search term a short while ago

gamification has now leapt into Gartnerrsquos Hype Cy-

cle for Emerging Technologies 2011 mdash directly into

the Peak of Inflated Expectations However Gartner

also warns their clients to be patient as they believe

that gamification will not reach the Plateau of Pro-

ductivity for another 5 to 10 years

Ver video

Ver video

Ver video

18 September 2012 | GAMIFICATION 19

The Core Issue of Gamification a Closer Look at Game Mechanics and Intrinsic Motivation The current discussion of gamification hinges on a

lively debate between two sides one camp focuses

on game mechanics such as points badges leader-

boards and Incentives and the other camp focuses

internal motivation such as ldquoGame Thinkingrdquo and

motivational design For businesses the arguments

proposed by game mechanics are stirring up excite-

ment as the platform providers are backing up their

talk with great early results Gamification is initially

proving that itrsquos engaging people

GAME MEChANICS POINTS BADGES AND LEADERBOARDSAccording to a leading gamification platform

provider gamification works because game me-

chanics help to drive participation engagement

and loyalty on online properties site or commu-

nity Game mechanics include points levels cha-

llenges virtual goods score boards and gifting

amp charity In theory game mechanics are directly

linked to human desires reward status achieve-

ment self-expression competition and altruism

Although the early results are positive Gartner

warns that gamification is currently driven by

novelty and hype The technology research firm

suggests that the Plateau of Productivity wonrsquot

be reached for another 5 to 10 years Businesses

need to figure out how best apply gamification

in their business models Towards that end con-

sidering the inputs from game thinkers or moti-

vational designers may be beneficial

INTRINSIC MOTIVATION (OR GAME ThINKINGMOTIVATIONAL DESIGN)As a counterpoint to all the current game me-

chanics buzz Sebastian Deterding (researcher

and game designer) offers his take on the whole

gamification thing He advises that to be effective

gamification projects should include key elements

from game thinkingdesign meaning mastery

and autonomy

Meaning Gamified applications have to con-

nect to something that is already meaningful to

the user - or to wrap themselves in a story that

makes them meaningful ldquoThe general lesson

is that to be successful a gamified application

must provide something that is already mean-

ingful to the user in its own rightrdquo

Mastery The experience of being competent

of achieving something Video games donrsquot just

present goals They ensure that a structured flow

of nested goals pulls you through from the long-

term goal (save world rescue princess) to medi-

um-term (kill level boss-monster) and short-term

goals (collect five level coins) Wherever you are in

and whenever you return to a good game there

will always be one next goal that is just within

reachrdquo

Autonomy A free space to play in and some-

thing to play with providing ldquospacerdquo for explora-

tion and expression

Source Sebastian Deterding | Getting ldquoGamificationrdquo RightPrimary desire a particular game mechanic fulfills Other areas that it affects

Reward

Points

Levels

Challenges

VirtualGoods

ScoreBoards

Gifftings amp Charity

StatusArchieve-

mentSelf-

ExpressionCompetition Altruism

human desires

Gam

es m

ech

anic

s

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 2: BBVA Innovation Edge. Gamification  (English)

02 Innovation Edge

Facts amp Figures We Love to Play 4

Getting into the Flow 8

The Fun Way to Engage 12

Gaming Gamification 22

The Promise and the ldquoFine Printrdquo 26

Global Snapshots 32

BBVA amp The Gamification 37

Innovation Forecast 40

In Depth44

Sections 48

Technology Trends 48

Trending Issues 52

Gamification amp Banking event59

Innovation at BBVA 60

Credits 62

contents

September 2012 | GAMIFICATION 5 4

ldquoGaming is productive It produces positive emotion stronger social

relationship a sense of accomplishment and for players who are a

part of a game community a chance to build a sense of purposerdquo

18 of gamers are under

18 years of age

29

ldquoWe love to playrdquo Facts amp Figures

70of senior level executives

take breaks to play

games everyday of households

play computer

or video games

53

58 42

72

of gamers are between

18 to 49 years old

The average age of a gameris 37 years old

of gamers are over

50 years of age

of gamers

are men

are women

Jane McGonigal Institute of the Future (IFTF)Director of Game Research amp Development

Ver video

6 September 2012 | GAMIFICATION 7

65

55

33

19

of gamers play

games socially

of gamers play

on mobile devices

of gamers say that

games is their favorite

entertainment activity

of gamers pay

to play online

13play Downloadable Games

21

47play Puzzle Trivial Board

Games and Card Games

play Action Strategy

Sports and Role Playing

Other types

play Persistent Multi-Player

Universe

11

8

Sources Entertainment Software Association | 2011 Sales Demographic and Usage Data 2011PSFK l The Future of Gaming 2011Jane McGonigal l Reality is Broken 2011

September 2012 | GAMIFICATION 9

Fun is Found in the Flow

Mihaly Csikszentmihalyi one of the leading re-

searcher on the topic of happiness describes

flow as ldquobeing completely involved in an activity for

its own sake The ego falls away Time flies Every

action movement and thought follows inevitably

from the previous one like playing jazz Your whole

being is involved and yoursquore using your skills to

the utmostrdquo There are 8 major components com-

ponents of flow

A challenging activity requiring skill A merging of action and awareness Clear goals Direct immediate feedback Concentration on the task at hand A sense of control A loss of self-consciousness An altered sense of time

The experience of flow is often described as ldquoa spon-

taneous joy while performing a taskrdquo In the context

of sports athletes sometimes talk about being in the

zone ldquoa state where the body and mind are in per-

fect harmony and movement becomes effortlessrdquo

Sources Wired |has shown Go with the flow 1996

httpwwwwiredcomwiredarchive409czik_prhtml

Gartner | Maverick Investigacioacuten Motivation Momentum and

Meaning How Gamification Can Inspire Engagement October 2011

Managing the FlowResearch has shown that it normally took years if not

decades of learning the structure of an activity and

strengthening the required skills and abilities to ex-

perience flow Otherwise it required being immersed

in a truly spectacular and unusual context However

Getting into

Diff

icu

lty

SkillTime

FLOW

BOREDOM

ANXIETY

According to Psychologist Mihaly Csikszentmihalyi people feel best when they

are at the perfect level of their skills neither underchallenged (boredrom) nor

overchallenged (anxiety and frustration) And as people learn with time and

repetition challenges have to increase to keep up with growing skills

Source Google Tech Talk I Sebastian Deterding 2011

the FlowThe experience of flow is often

described as ldquoa spontaneous

joy while performing a taskrdquo

This concept of flow as the

gateway to happiness is also

the basis of video games

The video game industry

understands flow and has

accumulated much experience

should we learn from this

experience

8

10 September 2012 | GAMIFICATION 11

Health Computer and video games serve as

useful tools to preserve well-being heal the in-

jured and train the professionals who respond

to medical emergencies

Social Issues Nonprofit organizations and

issue advocates now view video games as an

effective medium for communicating ideas and

generating support among young tech-savvy

consumers

Workplace As the generation that grew up

with video games enters and assumes leader-

ship positions in the workplace computer and

video games increasingly play a role in busi-

ness operations

Source Entertainment Software

Association | Games Improving What Matters

Future of FlowResearch has discovered that ldquosuperstarsrdquo (high

achieving individuals) are found to have spent

more than 10000 hours of practice before the

age of twenty in their respective fields and top

performers (successful but not superstars) have

spent about 8000 hours

Thanks to video games Digital Natives are expert

problem solvers and collaborators by the age of

21 years (or at least in the virtual world) Typically

they would have amassed well over 10000 hours

of experience of resolving issues as a group

When they enter into the workforce they enter as

experts in collaborative problem solving All they

need is flow v

Source Jane McGonigal | Reality is Broken

with video games one can go from zero to flow in 30

seconds The video game industry understands the

concept of flow and has accumulated much experi-

ence and knowledge harnessing the power of flow

Source Jane McGonigal | Reality is Broken

Harnessing the FlowBy having a shared vision shared goals and the

right processes organizations can tap the power of

flow and channel it to drive motivation and change

behaviors in group settings ultimately helping peo-

ple to become more productive and perhaps even

happier

Source Jane McGonigal | Reality is Broken

Flow EverywhereIn about 40 years video games have transformed

from a diversion for the few into a mass medium

helping people learn work and of course play

According to the Entertainment Software Associa-

tion video games can be applied to

Family Life Games in the ldquofamily entertainmentrdquo

category are one of the most popular segments

of the video game market

Art Galleries now feature game artwork in a

number of exhibits and entertainment software

serves as a new medium for emerging artists

Economy The video game industry is one of the

fastest growing sectors in the US economy con-

tinuing to provide jobs to state and local econo-

mies across the nation

Education Entertainment software helps impart

knowledge develop life skills and reinforce posi-

tive habits in students of all ages

Early versions of team based ballgames were played such as Episkyros (in Greece) and Harpastum (Rome) which later gave rise to Shrovetide Football during the Medieval ages (the forerunner to modern day ldquosoccerrdquo)

In Egypt a early board game played with dice was found as part of a Backgammon set dating back to 3100 BC

As the generation who grew up with video games enters and assumes leadership positions in the workplace computer and video games increasingly play a role in business operations

12 September 2012 | GAMIFICATION 13

Gamification is a process of using game thinking and mechanics to engage users This concept can be applied to both customer facing applications and employee facing applications in the companyrsquos business model Enterprise architects must be ready to manage a variety of ldquoplayer typesrdquo (achievers socializers explorers and killers) and deployment scenarios

The

to EngageFun Way

14 September 2012 | GAMIFICATION 15

Gamification What is it

As is the case for an emerging concept defining the

term ldquocorrectlyrdquo is both challenging and elusive -

as it depends on who you talk to platform providers

game designers practitioners industry observers etc

Below a Google Trends snapshot taken on April 2012

shows the historical evolution of Gamification as a

search term According to Gartner ldquogamification has

emerged as a recognizable trend Rarely does an

emerging trend impact so many areas of business

societyrdquo

Key Findings about Gamification Gamification is positioned to become a significant

trend over the next few years

Organizations are increasingly turning to gami-

fication to motivate changed behaviors and

engage internal and external stakeholders

Novelty and hype are driving the current success

of gamification

Success doesnrsquot come easy ldquoDuring four decades

of video game development many games have

failed despite their developers having the best

intentionsrdquo

Sources Gartner | Gamification Primer Life Becomes a Game enero 2011

Gartner | Maverick Research Motivation Momentum and Meaning How

Gamification Can Inspire Engagement October 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation

to Inspire Engagement December 2011

Some formal definitions

RESEARChER AND GAME DESIGNERldquoThe use of design elements from video games in non-game contexts to make a product service or application more fun engaging motivatingrdquo

Source Sebastian Deterding | Getting ldquoGamificationrdquo Right January 2011

GAMIFICATION PLATFORM PROVIDERldquoWhen used in a business context gamification is the process of integrating game dynamics (and game mechanics) into a website business service online community content portal or marketing campaign in order to drive participation and engagementrdquo

Source Bunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

PRACTITIONER (GAMIFICATION INDUSTRY)Gamification is ldquothe process of using game thinking and mechanics to engage usersrdquo

Source Gabe Zichermann | Gamification Innovation and the future 2012

INDUSTRY OBSERVERldquoGamification uses game mechanics such as challenges rules chance rewards and levels to transform daily tasks into playful activitiesrdquo

Source Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Jan 12Jan 11 Apr 11 Jul 11 Oct 11 Apr 12Oct 10

100

80

60

40

20

0

Evolution of the term ldquoGamificationrdquo in Google search

16 September 2012 | GAMIFICATION 17

ldquoGames are the New NormalrdquoDuring the Games for Change Festival an event that

facilitates the creation and distribution of social im-

pact games that serve as critical tools in humanitarian

and educational efforts Al Gore said that ldquoThe gami-

fication trend is really extremely powerfulhellip Games

are the new lsquonormalrsquo for hundreds of millions of users

every month It has been very exciting to me to see

so many ideas that integrate social good and efforts

to make the world a better place into gamesrdquo

The current expectation of Gamification is generating

tremendous buzz everywhere Gartner suggests that

more than 70 of the global 2000 businesses will

Some examples of gamification

MINTMint is a free service which can

aggregate all financial accounts

into one place Users can set a

budget track goals and more

MINDBLOOMMindbloom is a ldquoLife Gamerdquo which

improves the quality of life of the

players in a simple and effective way

NIKENike + FuelBand tracks usersrsquo pro-

gress throughout the day providing

real-time feedback visually

Hype Cycle

Less than 2 years 2-5 years 5-10 years more than 10 years

Imagen recognition

3D printing

Hosted virtualdesktops

E-book readers

Mobile Application Stores

Predictive Analytics

Location-Aware Applications

Speech recognition

Consumerization

Virtual worlds

Wireless power ampSocial Analytics

ldquoBig Datardquo Speech recognition

Biometric Authentication

Methods

Idea management

Mobile robots

Plateau ofProductivity

Slope of EnlightenmentTrough of Disillusionment

Peak ofInflated

Expectations

TechnologyTrigger

Gamification

Exp

ecta

tio

ns

Time

Social TV

Video Analyticsfor customer service

Computer-Brain interface

Quantum computing

Human Augmentation

3D bioprinting

Internet TV

Group buying

Cloud web Platforms

QRcolor code

Machine-to-MachineCommunication services

Private Cloud computing

Cloud computing amp Media tablets

Gesture recognition

Augmented Reality

Virtual Assistants

In-memory Database Management Systems

Mesh Networks Sensor

Source Gartner

apply gamification by 2015 Gamification is believed to

innovate key processes which enhance value proposi-

tions and maximize infrastructure efficiency Whatever

the reason may be it seems that everyone is express-

ing an interest in it including BBVA

Once an obscure search term a short while ago

gamification has now leapt into Gartnerrsquos Hype Cy-

cle for Emerging Technologies 2011 mdash directly into

the Peak of Inflated Expectations However Gartner

also warns their clients to be patient as they believe

that gamification will not reach the Plateau of Pro-

ductivity for another 5 to 10 years

Ver video

Ver video

Ver video

18 September 2012 | GAMIFICATION 19

The Core Issue of Gamification a Closer Look at Game Mechanics and Intrinsic Motivation The current discussion of gamification hinges on a

lively debate between two sides one camp focuses

on game mechanics such as points badges leader-

boards and Incentives and the other camp focuses

internal motivation such as ldquoGame Thinkingrdquo and

motivational design For businesses the arguments

proposed by game mechanics are stirring up excite-

ment as the platform providers are backing up their

talk with great early results Gamification is initially

proving that itrsquos engaging people

GAME MEChANICS POINTS BADGES AND LEADERBOARDSAccording to a leading gamification platform

provider gamification works because game me-

chanics help to drive participation engagement

and loyalty on online properties site or commu-

nity Game mechanics include points levels cha-

llenges virtual goods score boards and gifting

amp charity In theory game mechanics are directly

linked to human desires reward status achieve-

ment self-expression competition and altruism

Although the early results are positive Gartner

warns that gamification is currently driven by

novelty and hype The technology research firm

suggests that the Plateau of Productivity wonrsquot

be reached for another 5 to 10 years Businesses

need to figure out how best apply gamification

in their business models Towards that end con-

sidering the inputs from game thinkers or moti-

vational designers may be beneficial

INTRINSIC MOTIVATION (OR GAME ThINKINGMOTIVATIONAL DESIGN)As a counterpoint to all the current game me-

chanics buzz Sebastian Deterding (researcher

and game designer) offers his take on the whole

gamification thing He advises that to be effective

gamification projects should include key elements

from game thinkingdesign meaning mastery

and autonomy

Meaning Gamified applications have to con-

nect to something that is already meaningful to

the user - or to wrap themselves in a story that

makes them meaningful ldquoThe general lesson

is that to be successful a gamified application

must provide something that is already mean-

ingful to the user in its own rightrdquo

Mastery The experience of being competent

of achieving something Video games donrsquot just

present goals They ensure that a structured flow

of nested goals pulls you through from the long-

term goal (save world rescue princess) to medi-

um-term (kill level boss-monster) and short-term

goals (collect five level coins) Wherever you are in

and whenever you return to a good game there

will always be one next goal that is just within

reachrdquo

Autonomy A free space to play in and some-

thing to play with providing ldquospacerdquo for explora-

tion and expression

Source Sebastian Deterding | Getting ldquoGamificationrdquo RightPrimary desire a particular game mechanic fulfills Other areas that it affects

Reward

Points

Levels

Challenges

VirtualGoods

ScoreBoards

Gifftings amp Charity

StatusArchieve-

mentSelf-

ExpressionCompetition Altruism

human desires

Gam

es m

ech

anic

s

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

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BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 3: BBVA Innovation Edge. Gamification  (English)

September 2012 | GAMIFICATION 5 4

ldquoGaming is productive It produces positive emotion stronger social

relationship a sense of accomplishment and for players who are a

part of a game community a chance to build a sense of purposerdquo

18 of gamers are under

18 years of age

29

ldquoWe love to playrdquo Facts amp Figures

70of senior level executives

take breaks to play

games everyday of households

play computer

or video games

53

58 42

72

of gamers are between

18 to 49 years old

The average age of a gameris 37 years old

of gamers are over

50 years of age

of gamers

are men

are women

Jane McGonigal Institute of the Future (IFTF)Director of Game Research amp Development

Ver video

6 September 2012 | GAMIFICATION 7

65

55

33

19

of gamers play

games socially

of gamers play

on mobile devices

of gamers say that

games is their favorite

entertainment activity

of gamers pay

to play online

13play Downloadable Games

21

47play Puzzle Trivial Board

Games and Card Games

play Action Strategy

Sports and Role Playing

Other types

play Persistent Multi-Player

Universe

11

8

Sources Entertainment Software Association | 2011 Sales Demographic and Usage Data 2011PSFK l The Future of Gaming 2011Jane McGonigal l Reality is Broken 2011

September 2012 | GAMIFICATION 9

Fun is Found in the Flow

Mihaly Csikszentmihalyi one of the leading re-

searcher on the topic of happiness describes

flow as ldquobeing completely involved in an activity for

its own sake The ego falls away Time flies Every

action movement and thought follows inevitably

from the previous one like playing jazz Your whole

being is involved and yoursquore using your skills to

the utmostrdquo There are 8 major components com-

ponents of flow

A challenging activity requiring skill A merging of action and awareness Clear goals Direct immediate feedback Concentration on the task at hand A sense of control A loss of self-consciousness An altered sense of time

The experience of flow is often described as ldquoa spon-

taneous joy while performing a taskrdquo In the context

of sports athletes sometimes talk about being in the

zone ldquoa state where the body and mind are in per-

fect harmony and movement becomes effortlessrdquo

Sources Wired |has shown Go with the flow 1996

httpwwwwiredcomwiredarchive409czik_prhtml

Gartner | Maverick Investigacioacuten Motivation Momentum and

Meaning How Gamification Can Inspire Engagement October 2011

Managing the FlowResearch has shown that it normally took years if not

decades of learning the structure of an activity and

strengthening the required skills and abilities to ex-

perience flow Otherwise it required being immersed

in a truly spectacular and unusual context However

Getting into

Diff

icu

lty

SkillTime

FLOW

BOREDOM

ANXIETY

According to Psychologist Mihaly Csikszentmihalyi people feel best when they

are at the perfect level of their skills neither underchallenged (boredrom) nor

overchallenged (anxiety and frustration) And as people learn with time and

repetition challenges have to increase to keep up with growing skills

Source Google Tech Talk I Sebastian Deterding 2011

the FlowThe experience of flow is often

described as ldquoa spontaneous

joy while performing a taskrdquo

This concept of flow as the

gateway to happiness is also

the basis of video games

The video game industry

understands flow and has

accumulated much experience

should we learn from this

experience

8

10 September 2012 | GAMIFICATION 11

Health Computer and video games serve as

useful tools to preserve well-being heal the in-

jured and train the professionals who respond

to medical emergencies

Social Issues Nonprofit organizations and

issue advocates now view video games as an

effective medium for communicating ideas and

generating support among young tech-savvy

consumers

Workplace As the generation that grew up

with video games enters and assumes leader-

ship positions in the workplace computer and

video games increasingly play a role in busi-

ness operations

Source Entertainment Software

Association | Games Improving What Matters

Future of FlowResearch has discovered that ldquosuperstarsrdquo (high

achieving individuals) are found to have spent

more than 10000 hours of practice before the

age of twenty in their respective fields and top

performers (successful but not superstars) have

spent about 8000 hours

Thanks to video games Digital Natives are expert

problem solvers and collaborators by the age of

21 years (or at least in the virtual world) Typically

they would have amassed well over 10000 hours

of experience of resolving issues as a group

When they enter into the workforce they enter as

experts in collaborative problem solving All they

need is flow v

Source Jane McGonigal | Reality is Broken

with video games one can go from zero to flow in 30

seconds The video game industry understands the

concept of flow and has accumulated much experi-

ence and knowledge harnessing the power of flow

Source Jane McGonigal | Reality is Broken

Harnessing the FlowBy having a shared vision shared goals and the

right processes organizations can tap the power of

flow and channel it to drive motivation and change

behaviors in group settings ultimately helping peo-

ple to become more productive and perhaps even

happier

Source Jane McGonigal | Reality is Broken

Flow EverywhereIn about 40 years video games have transformed

from a diversion for the few into a mass medium

helping people learn work and of course play

According to the Entertainment Software Associa-

tion video games can be applied to

Family Life Games in the ldquofamily entertainmentrdquo

category are one of the most popular segments

of the video game market

Art Galleries now feature game artwork in a

number of exhibits and entertainment software

serves as a new medium for emerging artists

Economy The video game industry is one of the

fastest growing sectors in the US economy con-

tinuing to provide jobs to state and local econo-

mies across the nation

Education Entertainment software helps impart

knowledge develop life skills and reinforce posi-

tive habits in students of all ages

Early versions of team based ballgames were played such as Episkyros (in Greece) and Harpastum (Rome) which later gave rise to Shrovetide Football during the Medieval ages (the forerunner to modern day ldquosoccerrdquo)

In Egypt a early board game played with dice was found as part of a Backgammon set dating back to 3100 BC

As the generation who grew up with video games enters and assumes leadership positions in the workplace computer and video games increasingly play a role in business operations

12 September 2012 | GAMIFICATION 13

Gamification is a process of using game thinking and mechanics to engage users This concept can be applied to both customer facing applications and employee facing applications in the companyrsquos business model Enterprise architects must be ready to manage a variety of ldquoplayer typesrdquo (achievers socializers explorers and killers) and deployment scenarios

The

to EngageFun Way

14 September 2012 | GAMIFICATION 15

Gamification What is it

As is the case for an emerging concept defining the

term ldquocorrectlyrdquo is both challenging and elusive -

as it depends on who you talk to platform providers

game designers practitioners industry observers etc

Below a Google Trends snapshot taken on April 2012

shows the historical evolution of Gamification as a

search term According to Gartner ldquogamification has

emerged as a recognizable trend Rarely does an

emerging trend impact so many areas of business

societyrdquo

Key Findings about Gamification Gamification is positioned to become a significant

trend over the next few years

Organizations are increasingly turning to gami-

fication to motivate changed behaviors and

engage internal and external stakeholders

Novelty and hype are driving the current success

of gamification

Success doesnrsquot come easy ldquoDuring four decades

of video game development many games have

failed despite their developers having the best

intentionsrdquo

Sources Gartner | Gamification Primer Life Becomes a Game enero 2011

Gartner | Maverick Research Motivation Momentum and Meaning How

Gamification Can Inspire Engagement October 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation

to Inspire Engagement December 2011

Some formal definitions

RESEARChER AND GAME DESIGNERldquoThe use of design elements from video games in non-game contexts to make a product service or application more fun engaging motivatingrdquo

Source Sebastian Deterding | Getting ldquoGamificationrdquo Right January 2011

GAMIFICATION PLATFORM PROVIDERldquoWhen used in a business context gamification is the process of integrating game dynamics (and game mechanics) into a website business service online community content portal or marketing campaign in order to drive participation and engagementrdquo

Source Bunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

PRACTITIONER (GAMIFICATION INDUSTRY)Gamification is ldquothe process of using game thinking and mechanics to engage usersrdquo

Source Gabe Zichermann | Gamification Innovation and the future 2012

INDUSTRY OBSERVERldquoGamification uses game mechanics such as challenges rules chance rewards and levels to transform daily tasks into playful activitiesrdquo

Source Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Jan 12Jan 11 Apr 11 Jul 11 Oct 11 Apr 12Oct 10

100

80

60

40

20

0

Evolution of the term ldquoGamificationrdquo in Google search

16 September 2012 | GAMIFICATION 17

ldquoGames are the New NormalrdquoDuring the Games for Change Festival an event that

facilitates the creation and distribution of social im-

pact games that serve as critical tools in humanitarian

and educational efforts Al Gore said that ldquoThe gami-

fication trend is really extremely powerfulhellip Games

are the new lsquonormalrsquo for hundreds of millions of users

every month It has been very exciting to me to see

so many ideas that integrate social good and efforts

to make the world a better place into gamesrdquo

The current expectation of Gamification is generating

tremendous buzz everywhere Gartner suggests that

more than 70 of the global 2000 businesses will

Some examples of gamification

MINTMint is a free service which can

aggregate all financial accounts

into one place Users can set a

budget track goals and more

MINDBLOOMMindbloom is a ldquoLife Gamerdquo which

improves the quality of life of the

players in a simple and effective way

NIKENike + FuelBand tracks usersrsquo pro-

gress throughout the day providing

real-time feedback visually

Hype Cycle

Less than 2 years 2-5 years 5-10 years more than 10 years

Imagen recognition

3D printing

Hosted virtualdesktops

E-book readers

Mobile Application Stores

Predictive Analytics

Location-Aware Applications

Speech recognition

Consumerization

Virtual worlds

Wireless power ampSocial Analytics

ldquoBig Datardquo Speech recognition

Biometric Authentication

Methods

Idea management

Mobile robots

Plateau ofProductivity

Slope of EnlightenmentTrough of Disillusionment

Peak ofInflated

Expectations

TechnologyTrigger

Gamification

Exp

ecta

tio

ns

Time

Social TV

Video Analyticsfor customer service

Computer-Brain interface

Quantum computing

Human Augmentation

3D bioprinting

Internet TV

Group buying

Cloud web Platforms

QRcolor code

Machine-to-MachineCommunication services

Private Cloud computing

Cloud computing amp Media tablets

Gesture recognition

Augmented Reality

Virtual Assistants

In-memory Database Management Systems

Mesh Networks Sensor

Source Gartner

apply gamification by 2015 Gamification is believed to

innovate key processes which enhance value proposi-

tions and maximize infrastructure efficiency Whatever

the reason may be it seems that everyone is express-

ing an interest in it including BBVA

Once an obscure search term a short while ago

gamification has now leapt into Gartnerrsquos Hype Cy-

cle for Emerging Technologies 2011 mdash directly into

the Peak of Inflated Expectations However Gartner

also warns their clients to be patient as they believe

that gamification will not reach the Plateau of Pro-

ductivity for another 5 to 10 years

Ver video

Ver video

Ver video

18 September 2012 | GAMIFICATION 19

The Core Issue of Gamification a Closer Look at Game Mechanics and Intrinsic Motivation The current discussion of gamification hinges on a

lively debate between two sides one camp focuses

on game mechanics such as points badges leader-

boards and Incentives and the other camp focuses

internal motivation such as ldquoGame Thinkingrdquo and

motivational design For businesses the arguments

proposed by game mechanics are stirring up excite-

ment as the platform providers are backing up their

talk with great early results Gamification is initially

proving that itrsquos engaging people

GAME MEChANICS POINTS BADGES AND LEADERBOARDSAccording to a leading gamification platform

provider gamification works because game me-

chanics help to drive participation engagement

and loyalty on online properties site or commu-

nity Game mechanics include points levels cha-

llenges virtual goods score boards and gifting

amp charity In theory game mechanics are directly

linked to human desires reward status achieve-

ment self-expression competition and altruism

Although the early results are positive Gartner

warns that gamification is currently driven by

novelty and hype The technology research firm

suggests that the Plateau of Productivity wonrsquot

be reached for another 5 to 10 years Businesses

need to figure out how best apply gamification

in their business models Towards that end con-

sidering the inputs from game thinkers or moti-

vational designers may be beneficial

INTRINSIC MOTIVATION (OR GAME ThINKINGMOTIVATIONAL DESIGN)As a counterpoint to all the current game me-

chanics buzz Sebastian Deterding (researcher

and game designer) offers his take on the whole

gamification thing He advises that to be effective

gamification projects should include key elements

from game thinkingdesign meaning mastery

and autonomy

Meaning Gamified applications have to con-

nect to something that is already meaningful to

the user - or to wrap themselves in a story that

makes them meaningful ldquoThe general lesson

is that to be successful a gamified application

must provide something that is already mean-

ingful to the user in its own rightrdquo

Mastery The experience of being competent

of achieving something Video games donrsquot just

present goals They ensure that a structured flow

of nested goals pulls you through from the long-

term goal (save world rescue princess) to medi-

um-term (kill level boss-monster) and short-term

goals (collect five level coins) Wherever you are in

and whenever you return to a good game there

will always be one next goal that is just within

reachrdquo

Autonomy A free space to play in and some-

thing to play with providing ldquospacerdquo for explora-

tion and expression

Source Sebastian Deterding | Getting ldquoGamificationrdquo RightPrimary desire a particular game mechanic fulfills Other areas that it affects

Reward

Points

Levels

Challenges

VirtualGoods

ScoreBoards

Gifftings amp Charity

StatusArchieve-

mentSelf-

ExpressionCompetition Altruism

human desires

Gam

es m

ech

anic

s

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

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Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

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Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

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  1. Button 11
Page 4: BBVA Innovation Edge. Gamification  (English)

6 September 2012 | GAMIFICATION 7

65

55

33

19

of gamers play

games socially

of gamers play

on mobile devices

of gamers say that

games is their favorite

entertainment activity

of gamers pay

to play online

13play Downloadable Games

21

47play Puzzle Trivial Board

Games and Card Games

play Action Strategy

Sports and Role Playing

Other types

play Persistent Multi-Player

Universe

11

8

Sources Entertainment Software Association | 2011 Sales Demographic and Usage Data 2011PSFK l The Future of Gaming 2011Jane McGonigal l Reality is Broken 2011

September 2012 | GAMIFICATION 9

Fun is Found in the Flow

Mihaly Csikszentmihalyi one of the leading re-

searcher on the topic of happiness describes

flow as ldquobeing completely involved in an activity for

its own sake The ego falls away Time flies Every

action movement and thought follows inevitably

from the previous one like playing jazz Your whole

being is involved and yoursquore using your skills to

the utmostrdquo There are 8 major components com-

ponents of flow

A challenging activity requiring skill A merging of action and awareness Clear goals Direct immediate feedback Concentration on the task at hand A sense of control A loss of self-consciousness An altered sense of time

The experience of flow is often described as ldquoa spon-

taneous joy while performing a taskrdquo In the context

of sports athletes sometimes talk about being in the

zone ldquoa state where the body and mind are in per-

fect harmony and movement becomes effortlessrdquo

Sources Wired |has shown Go with the flow 1996

httpwwwwiredcomwiredarchive409czik_prhtml

Gartner | Maverick Investigacioacuten Motivation Momentum and

Meaning How Gamification Can Inspire Engagement October 2011

Managing the FlowResearch has shown that it normally took years if not

decades of learning the structure of an activity and

strengthening the required skills and abilities to ex-

perience flow Otherwise it required being immersed

in a truly spectacular and unusual context However

Getting into

Diff

icu

lty

SkillTime

FLOW

BOREDOM

ANXIETY

According to Psychologist Mihaly Csikszentmihalyi people feel best when they

are at the perfect level of their skills neither underchallenged (boredrom) nor

overchallenged (anxiety and frustration) And as people learn with time and

repetition challenges have to increase to keep up with growing skills

Source Google Tech Talk I Sebastian Deterding 2011

the FlowThe experience of flow is often

described as ldquoa spontaneous

joy while performing a taskrdquo

This concept of flow as the

gateway to happiness is also

the basis of video games

The video game industry

understands flow and has

accumulated much experience

should we learn from this

experience

8

10 September 2012 | GAMIFICATION 11

Health Computer and video games serve as

useful tools to preserve well-being heal the in-

jured and train the professionals who respond

to medical emergencies

Social Issues Nonprofit organizations and

issue advocates now view video games as an

effective medium for communicating ideas and

generating support among young tech-savvy

consumers

Workplace As the generation that grew up

with video games enters and assumes leader-

ship positions in the workplace computer and

video games increasingly play a role in busi-

ness operations

Source Entertainment Software

Association | Games Improving What Matters

Future of FlowResearch has discovered that ldquosuperstarsrdquo (high

achieving individuals) are found to have spent

more than 10000 hours of practice before the

age of twenty in their respective fields and top

performers (successful but not superstars) have

spent about 8000 hours

Thanks to video games Digital Natives are expert

problem solvers and collaborators by the age of

21 years (or at least in the virtual world) Typically

they would have amassed well over 10000 hours

of experience of resolving issues as a group

When they enter into the workforce they enter as

experts in collaborative problem solving All they

need is flow v

Source Jane McGonigal | Reality is Broken

with video games one can go from zero to flow in 30

seconds The video game industry understands the

concept of flow and has accumulated much experi-

ence and knowledge harnessing the power of flow

Source Jane McGonigal | Reality is Broken

Harnessing the FlowBy having a shared vision shared goals and the

right processes organizations can tap the power of

flow and channel it to drive motivation and change

behaviors in group settings ultimately helping peo-

ple to become more productive and perhaps even

happier

Source Jane McGonigal | Reality is Broken

Flow EverywhereIn about 40 years video games have transformed

from a diversion for the few into a mass medium

helping people learn work and of course play

According to the Entertainment Software Associa-

tion video games can be applied to

Family Life Games in the ldquofamily entertainmentrdquo

category are one of the most popular segments

of the video game market

Art Galleries now feature game artwork in a

number of exhibits and entertainment software

serves as a new medium for emerging artists

Economy The video game industry is one of the

fastest growing sectors in the US economy con-

tinuing to provide jobs to state and local econo-

mies across the nation

Education Entertainment software helps impart

knowledge develop life skills and reinforce posi-

tive habits in students of all ages

Early versions of team based ballgames were played such as Episkyros (in Greece) and Harpastum (Rome) which later gave rise to Shrovetide Football during the Medieval ages (the forerunner to modern day ldquosoccerrdquo)

In Egypt a early board game played with dice was found as part of a Backgammon set dating back to 3100 BC

As the generation who grew up with video games enters and assumes leadership positions in the workplace computer and video games increasingly play a role in business operations

12 September 2012 | GAMIFICATION 13

Gamification is a process of using game thinking and mechanics to engage users This concept can be applied to both customer facing applications and employee facing applications in the companyrsquos business model Enterprise architects must be ready to manage a variety of ldquoplayer typesrdquo (achievers socializers explorers and killers) and deployment scenarios

The

to EngageFun Way

14 September 2012 | GAMIFICATION 15

Gamification What is it

As is the case for an emerging concept defining the

term ldquocorrectlyrdquo is both challenging and elusive -

as it depends on who you talk to platform providers

game designers practitioners industry observers etc

Below a Google Trends snapshot taken on April 2012

shows the historical evolution of Gamification as a

search term According to Gartner ldquogamification has

emerged as a recognizable trend Rarely does an

emerging trend impact so many areas of business

societyrdquo

Key Findings about Gamification Gamification is positioned to become a significant

trend over the next few years

Organizations are increasingly turning to gami-

fication to motivate changed behaviors and

engage internal and external stakeholders

Novelty and hype are driving the current success

of gamification

Success doesnrsquot come easy ldquoDuring four decades

of video game development many games have

failed despite their developers having the best

intentionsrdquo

Sources Gartner | Gamification Primer Life Becomes a Game enero 2011

Gartner | Maverick Research Motivation Momentum and Meaning How

Gamification Can Inspire Engagement October 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation

to Inspire Engagement December 2011

Some formal definitions

RESEARChER AND GAME DESIGNERldquoThe use of design elements from video games in non-game contexts to make a product service or application more fun engaging motivatingrdquo

Source Sebastian Deterding | Getting ldquoGamificationrdquo Right January 2011

GAMIFICATION PLATFORM PROVIDERldquoWhen used in a business context gamification is the process of integrating game dynamics (and game mechanics) into a website business service online community content portal or marketing campaign in order to drive participation and engagementrdquo

Source Bunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

PRACTITIONER (GAMIFICATION INDUSTRY)Gamification is ldquothe process of using game thinking and mechanics to engage usersrdquo

Source Gabe Zichermann | Gamification Innovation and the future 2012

INDUSTRY OBSERVERldquoGamification uses game mechanics such as challenges rules chance rewards and levels to transform daily tasks into playful activitiesrdquo

Source Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Jan 12Jan 11 Apr 11 Jul 11 Oct 11 Apr 12Oct 10

100

80

60

40

20

0

Evolution of the term ldquoGamificationrdquo in Google search

16 September 2012 | GAMIFICATION 17

ldquoGames are the New NormalrdquoDuring the Games for Change Festival an event that

facilitates the creation and distribution of social im-

pact games that serve as critical tools in humanitarian

and educational efforts Al Gore said that ldquoThe gami-

fication trend is really extremely powerfulhellip Games

are the new lsquonormalrsquo for hundreds of millions of users

every month It has been very exciting to me to see

so many ideas that integrate social good and efforts

to make the world a better place into gamesrdquo

The current expectation of Gamification is generating

tremendous buzz everywhere Gartner suggests that

more than 70 of the global 2000 businesses will

Some examples of gamification

MINTMint is a free service which can

aggregate all financial accounts

into one place Users can set a

budget track goals and more

MINDBLOOMMindbloom is a ldquoLife Gamerdquo which

improves the quality of life of the

players in a simple and effective way

NIKENike + FuelBand tracks usersrsquo pro-

gress throughout the day providing

real-time feedback visually

Hype Cycle

Less than 2 years 2-5 years 5-10 years more than 10 years

Imagen recognition

3D printing

Hosted virtualdesktops

E-book readers

Mobile Application Stores

Predictive Analytics

Location-Aware Applications

Speech recognition

Consumerization

Virtual worlds

Wireless power ampSocial Analytics

ldquoBig Datardquo Speech recognition

Biometric Authentication

Methods

Idea management

Mobile robots

Plateau ofProductivity

Slope of EnlightenmentTrough of Disillusionment

Peak ofInflated

Expectations

TechnologyTrigger

Gamification

Exp

ecta

tio

ns

Time

Social TV

Video Analyticsfor customer service

Computer-Brain interface

Quantum computing

Human Augmentation

3D bioprinting

Internet TV

Group buying

Cloud web Platforms

QRcolor code

Machine-to-MachineCommunication services

Private Cloud computing

Cloud computing amp Media tablets

Gesture recognition

Augmented Reality

Virtual Assistants

In-memory Database Management Systems

Mesh Networks Sensor

Source Gartner

apply gamification by 2015 Gamification is believed to

innovate key processes which enhance value proposi-

tions and maximize infrastructure efficiency Whatever

the reason may be it seems that everyone is express-

ing an interest in it including BBVA

Once an obscure search term a short while ago

gamification has now leapt into Gartnerrsquos Hype Cy-

cle for Emerging Technologies 2011 mdash directly into

the Peak of Inflated Expectations However Gartner

also warns their clients to be patient as they believe

that gamification will not reach the Plateau of Pro-

ductivity for another 5 to 10 years

Ver video

Ver video

Ver video

18 September 2012 | GAMIFICATION 19

The Core Issue of Gamification a Closer Look at Game Mechanics and Intrinsic Motivation The current discussion of gamification hinges on a

lively debate between two sides one camp focuses

on game mechanics such as points badges leader-

boards and Incentives and the other camp focuses

internal motivation such as ldquoGame Thinkingrdquo and

motivational design For businesses the arguments

proposed by game mechanics are stirring up excite-

ment as the platform providers are backing up their

talk with great early results Gamification is initially

proving that itrsquos engaging people

GAME MEChANICS POINTS BADGES AND LEADERBOARDSAccording to a leading gamification platform

provider gamification works because game me-

chanics help to drive participation engagement

and loyalty on online properties site or commu-

nity Game mechanics include points levels cha-

llenges virtual goods score boards and gifting

amp charity In theory game mechanics are directly

linked to human desires reward status achieve-

ment self-expression competition and altruism

Although the early results are positive Gartner

warns that gamification is currently driven by

novelty and hype The technology research firm

suggests that the Plateau of Productivity wonrsquot

be reached for another 5 to 10 years Businesses

need to figure out how best apply gamification

in their business models Towards that end con-

sidering the inputs from game thinkers or moti-

vational designers may be beneficial

INTRINSIC MOTIVATION (OR GAME ThINKINGMOTIVATIONAL DESIGN)As a counterpoint to all the current game me-

chanics buzz Sebastian Deterding (researcher

and game designer) offers his take on the whole

gamification thing He advises that to be effective

gamification projects should include key elements

from game thinkingdesign meaning mastery

and autonomy

Meaning Gamified applications have to con-

nect to something that is already meaningful to

the user - or to wrap themselves in a story that

makes them meaningful ldquoThe general lesson

is that to be successful a gamified application

must provide something that is already mean-

ingful to the user in its own rightrdquo

Mastery The experience of being competent

of achieving something Video games donrsquot just

present goals They ensure that a structured flow

of nested goals pulls you through from the long-

term goal (save world rescue princess) to medi-

um-term (kill level boss-monster) and short-term

goals (collect five level coins) Wherever you are in

and whenever you return to a good game there

will always be one next goal that is just within

reachrdquo

Autonomy A free space to play in and some-

thing to play with providing ldquospacerdquo for explora-

tion and expression

Source Sebastian Deterding | Getting ldquoGamificationrdquo RightPrimary desire a particular game mechanic fulfills Other areas that it affects

Reward

Points

Levels

Challenges

VirtualGoods

ScoreBoards

Gifftings amp Charity

StatusArchieve-

mentSelf-

ExpressionCompetition Altruism

human desires

Gam

es m

ech

anic

s

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 5: BBVA Innovation Edge. Gamification  (English)

September 2012 | GAMIFICATION 9

Fun is Found in the Flow

Mihaly Csikszentmihalyi one of the leading re-

searcher on the topic of happiness describes

flow as ldquobeing completely involved in an activity for

its own sake The ego falls away Time flies Every

action movement and thought follows inevitably

from the previous one like playing jazz Your whole

being is involved and yoursquore using your skills to

the utmostrdquo There are 8 major components com-

ponents of flow

A challenging activity requiring skill A merging of action and awareness Clear goals Direct immediate feedback Concentration on the task at hand A sense of control A loss of self-consciousness An altered sense of time

The experience of flow is often described as ldquoa spon-

taneous joy while performing a taskrdquo In the context

of sports athletes sometimes talk about being in the

zone ldquoa state where the body and mind are in per-

fect harmony and movement becomes effortlessrdquo

Sources Wired |has shown Go with the flow 1996

httpwwwwiredcomwiredarchive409czik_prhtml

Gartner | Maverick Investigacioacuten Motivation Momentum and

Meaning How Gamification Can Inspire Engagement October 2011

Managing the FlowResearch has shown that it normally took years if not

decades of learning the structure of an activity and

strengthening the required skills and abilities to ex-

perience flow Otherwise it required being immersed

in a truly spectacular and unusual context However

Getting into

Diff

icu

lty

SkillTime

FLOW

BOREDOM

ANXIETY

According to Psychologist Mihaly Csikszentmihalyi people feel best when they

are at the perfect level of their skills neither underchallenged (boredrom) nor

overchallenged (anxiety and frustration) And as people learn with time and

repetition challenges have to increase to keep up with growing skills

Source Google Tech Talk I Sebastian Deterding 2011

the FlowThe experience of flow is often

described as ldquoa spontaneous

joy while performing a taskrdquo

This concept of flow as the

gateway to happiness is also

the basis of video games

The video game industry

understands flow and has

accumulated much experience

should we learn from this

experience

8

10 September 2012 | GAMIFICATION 11

Health Computer and video games serve as

useful tools to preserve well-being heal the in-

jured and train the professionals who respond

to medical emergencies

Social Issues Nonprofit organizations and

issue advocates now view video games as an

effective medium for communicating ideas and

generating support among young tech-savvy

consumers

Workplace As the generation that grew up

with video games enters and assumes leader-

ship positions in the workplace computer and

video games increasingly play a role in busi-

ness operations

Source Entertainment Software

Association | Games Improving What Matters

Future of FlowResearch has discovered that ldquosuperstarsrdquo (high

achieving individuals) are found to have spent

more than 10000 hours of practice before the

age of twenty in their respective fields and top

performers (successful but not superstars) have

spent about 8000 hours

Thanks to video games Digital Natives are expert

problem solvers and collaborators by the age of

21 years (or at least in the virtual world) Typically

they would have amassed well over 10000 hours

of experience of resolving issues as a group

When they enter into the workforce they enter as

experts in collaborative problem solving All they

need is flow v

Source Jane McGonigal | Reality is Broken

with video games one can go from zero to flow in 30

seconds The video game industry understands the

concept of flow and has accumulated much experi-

ence and knowledge harnessing the power of flow

Source Jane McGonigal | Reality is Broken

Harnessing the FlowBy having a shared vision shared goals and the

right processes organizations can tap the power of

flow and channel it to drive motivation and change

behaviors in group settings ultimately helping peo-

ple to become more productive and perhaps even

happier

Source Jane McGonigal | Reality is Broken

Flow EverywhereIn about 40 years video games have transformed

from a diversion for the few into a mass medium

helping people learn work and of course play

According to the Entertainment Software Associa-

tion video games can be applied to

Family Life Games in the ldquofamily entertainmentrdquo

category are one of the most popular segments

of the video game market

Art Galleries now feature game artwork in a

number of exhibits and entertainment software

serves as a new medium for emerging artists

Economy The video game industry is one of the

fastest growing sectors in the US economy con-

tinuing to provide jobs to state and local econo-

mies across the nation

Education Entertainment software helps impart

knowledge develop life skills and reinforce posi-

tive habits in students of all ages

Early versions of team based ballgames were played such as Episkyros (in Greece) and Harpastum (Rome) which later gave rise to Shrovetide Football during the Medieval ages (the forerunner to modern day ldquosoccerrdquo)

In Egypt a early board game played with dice was found as part of a Backgammon set dating back to 3100 BC

As the generation who grew up with video games enters and assumes leadership positions in the workplace computer and video games increasingly play a role in business operations

12 September 2012 | GAMIFICATION 13

Gamification is a process of using game thinking and mechanics to engage users This concept can be applied to both customer facing applications and employee facing applications in the companyrsquos business model Enterprise architects must be ready to manage a variety of ldquoplayer typesrdquo (achievers socializers explorers and killers) and deployment scenarios

The

to EngageFun Way

14 September 2012 | GAMIFICATION 15

Gamification What is it

As is the case for an emerging concept defining the

term ldquocorrectlyrdquo is both challenging and elusive -

as it depends on who you talk to platform providers

game designers practitioners industry observers etc

Below a Google Trends snapshot taken on April 2012

shows the historical evolution of Gamification as a

search term According to Gartner ldquogamification has

emerged as a recognizable trend Rarely does an

emerging trend impact so many areas of business

societyrdquo

Key Findings about Gamification Gamification is positioned to become a significant

trend over the next few years

Organizations are increasingly turning to gami-

fication to motivate changed behaviors and

engage internal and external stakeholders

Novelty and hype are driving the current success

of gamification

Success doesnrsquot come easy ldquoDuring four decades

of video game development many games have

failed despite their developers having the best

intentionsrdquo

Sources Gartner | Gamification Primer Life Becomes a Game enero 2011

Gartner | Maverick Research Motivation Momentum and Meaning How

Gamification Can Inspire Engagement October 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation

to Inspire Engagement December 2011

Some formal definitions

RESEARChER AND GAME DESIGNERldquoThe use of design elements from video games in non-game contexts to make a product service or application more fun engaging motivatingrdquo

Source Sebastian Deterding | Getting ldquoGamificationrdquo Right January 2011

GAMIFICATION PLATFORM PROVIDERldquoWhen used in a business context gamification is the process of integrating game dynamics (and game mechanics) into a website business service online community content portal or marketing campaign in order to drive participation and engagementrdquo

Source Bunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

PRACTITIONER (GAMIFICATION INDUSTRY)Gamification is ldquothe process of using game thinking and mechanics to engage usersrdquo

Source Gabe Zichermann | Gamification Innovation and the future 2012

INDUSTRY OBSERVERldquoGamification uses game mechanics such as challenges rules chance rewards and levels to transform daily tasks into playful activitiesrdquo

Source Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Jan 12Jan 11 Apr 11 Jul 11 Oct 11 Apr 12Oct 10

100

80

60

40

20

0

Evolution of the term ldquoGamificationrdquo in Google search

16 September 2012 | GAMIFICATION 17

ldquoGames are the New NormalrdquoDuring the Games for Change Festival an event that

facilitates the creation and distribution of social im-

pact games that serve as critical tools in humanitarian

and educational efforts Al Gore said that ldquoThe gami-

fication trend is really extremely powerfulhellip Games

are the new lsquonormalrsquo for hundreds of millions of users

every month It has been very exciting to me to see

so many ideas that integrate social good and efforts

to make the world a better place into gamesrdquo

The current expectation of Gamification is generating

tremendous buzz everywhere Gartner suggests that

more than 70 of the global 2000 businesses will

Some examples of gamification

MINTMint is a free service which can

aggregate all financial accounts

into one place Users can set a

budget track goals and more

MINDBLOOMMindbloom is a ldquoLife Gamerdquo which

improves the quality of life of the

players in a simple and effective way

NIKENike + FuelBand tracks usersrsquo pro-

gress throughout the day providing

real-time feedback visually

Hype Cycle

Less than 2 years 2-5 years 5-10 years more than 10 years

Imagen recognition

3D printing

Hosted virtualdesktops

E-book readers

Mobile Application Stores

Predictive Analytics

Location-Aware Applications

Speech recognition

Consumerization

Virtual worlds

Wireless power ampSocial Analytics

ldquoBig Datardquo Speech recognition

Biometric Authentication

Methods

Idea management

Mobile robots

Plateau ofProductivity

Slope of EnlightenmentTrough of Disillusionment

Peak ofInflated

Expectations

TechnologyTrigger

Gamification

Exp

ecta

tio

ns

Time

Social TV

Video Analyticsfor customer service

Computer-Brain interface

Quantum computing

Human Augmentation

3D bioprinting

Internet TV

Group buying

Cloud web Platforms

QRcolor code

Machine-to-MachineCommunication services

Private Cloud computing

Cloud computing amp Media tablets

Gesture recognition

Augmented Reality

Virtual Assistants

In-memory Database Management Systems

Mesh Networks Sensor

Source Gartner

apply gamification by 2015 Gamification is believed to

innovate key processes which enhance value proposi-

tions and maximize infrastructure efficiency Whatever

the reason may be it seems that everyone is express-

ing an interest in it including BBVA

Once an obscure search term a short while ago

gamification has now leapt into Gartnerrsquos Hype Cy-

cle for Emerging Technologies 2011 mdash directly into

the Peak of Inflated Expectations However Gartner

also warns their clients to be patient as they believe

that gamification will not reach the Plateau of Pro-

ductivity for another 5 to 10 years

Ver video

Ver video

Ver video

18 September 2012 | GAMIFICATION 19

The Core Issue of Gamification a Closer Look at Game Mechanics and Intrinsic Motivation The current discussion of gamification hinges on a

lively debate between two sides one camp focuses

on game mechanics such as points badges leader-

boards and Incentives and the other camp focuses

internal motivation such as ldquoGame Thinkingrdquo and

motivational design For businesses the arguments

proposed by game mechanics are stirring up excite-

ment as the platform providers are backing up their

talk with great early results Gamification is initially

proving that itrsquos engaging people

GAME MEChANICS POINTS BADGES AND LEADERBOARDSAccording to a leading gamification platform

provider gamification works because game me-

chanics help to drive participation engagement

and loyalty on online properties site or commu-

nity Game mechanics include points levels cha-

llenges virtual goods score boards and gifting

amp charity In theory game mechanics are directly

linked to human desires reward status achieve-

ment self-expression competition and altruism

Although the early results are positive Gartner

warns that gamification is currently driven by

novelty and hype The technology research firm

suggests that the Plateau of Productivity wonrsquot

be reached for another 5 to 10 years Businesses

need to figure out how best apply gamification

in their business models Towards that end con-

sidering the inputs from game thinkers or moti-

vational designers may be beneficial

INTRINSIC MOTIVATION (OR GAME ThINKINGMOTIVATIONAL DESIGN)As a counterpoint to all the current game me-

chanics buzz Sebastian Deterding (researcher

and game designer) offers his take on the whole

gamification thing He advises that to be effective

gamification projects should include key elements

from game thinkingdesign meaning mastery

and autonomy

Meaning Gamified applications have to con-

nect to something that is already meaningful to

the user - or to wrap themselves in a story that

makes them meaningful ldquoThe general lesson

is that to be successful a gamified application

must provide something that is already mean-

ingful to the user in its own rightrdquo

Mastery The experience of being competent

of achieving something Video games donrsquot just

present goals They ensure that a structured flow

of nested goals pulls you through from the long-

term goal (save world rescue princess) to medi-

um-term (kill level boss-monster) and short-term

goals (collect five level coins) Wherever you are in

and whenever you return to a good game there

will always be one next goal that is just within

reachrdquo

Autonomy A free space to play in and some-

thing to play with providing ldquospacerdquo for explora-

tion and expression

Source Sebastian Deterding | Getting ldquoGamificationrdquo RightPrimary desire a particular game mechanic fulfills Other areas that it affects

Reward

Points

Levels

Challenges

VirtualGoods

ScoreBoards

Gifftings amp Charity

StatusArchieve-

mentSelf-

ExpressionCompetition Altruism

human desires

Gam

es m

ech

anic

s

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 6: BBVA Innovation Edge. Gamification  (English)

10 September 2012 | GAMIFICATION 11

Health Computer and video games serve as

useful tools to preserve well-being heal the in-

jured and train the professionals who respond

to medical emergencies

Social Issues Nonprofit organizations and

issue advocates now view video games as an

effective medium for communicating ideas and

generating support among young tech-savvy

consumers

Workplace As the generation that grew up

with video games enters and assumes leader-

ship positions in the workplace computer and

video games increasingly play a role in busi-

ness operations

Source Entertainment Software

Association | Games Improving What Matters

Future of FlowResearch has discovered that ldquosuperstarsrdquo (high

achieving individuals) are found to have spent

more than 10000 hours of practice before the

age of twenty in their respective fields and top

performers (successful but not superstars) have

spent about 8000 hours

Thanks to video games Digital Natives are expert

problem solvers and collaborators by the age of

21 years (or at least in the virtual world) Typically

they would have amassed well over 10000 hours

of experience of resolving issues as a group

When they enter into the workforce they enter as

experts in collaborative problem solving All they

need is flow v

Source Jane McGonigal | Reality is Broken

with video games one can go from zero to flow in 30

seconds The video game industry understands the

concept of flow and has accumulated much experi-

ence and knowledge harnessing the power of flow

Source Jane McGonigal | Reality is Broken

Harnessing the FlowBy having a shared vision shared goals and the

right processes organizations can tap the power of

flow and channel it to drive motivation and change

behaviors in group settings ultimately helping peo-

ple to become more productive and perhaps even

happier

Source Jane McGonigal | Reality is Broken

Flow EverywhereIn about 40 years video games have transformed

from a diversion for the few into a mass medium

helping people learn work and of course play

According to the Entertainment Software Associa-

tion video games can be applied to

Family Life Games in the ldquofamily entertainmentrdquo

category are one of the most popular segments

of the video game market

Art Galleries now feature game artwork in a

number of exhibits and entertainment software

serves as a new medium for emerging artists

Economy The video game industry is one of the

fastest growing sectors in the US economy con-

tinuing to provide jobs to state and local econo-

mies across the nation

Education Entertainment software helps impart

knowledge develop life skills and reinforce posi-

tive habits in students of all ages

Early versions of team based ballgames were played such as Episkyros (in Greece) and Harpastum (Rome) which later gave rise to Shrovetide Football during the Medieval ages (the forerunner to modern day ldquosoccerrdquo)

In Egypt a early board game played with dice was found as part of a Backgammon set dating back to 3100 BC

As the generation who grew up with video games enters and assumes leadership positions in the workplace computer and video games increasingly play a role in business operations

12 September 2012 | GAMIFICATION 13

Gamification is a process of using game thinking and mechanics to engage users This concept can be applied to both customer facing applications and employee facing applications in the companyrsquos business model Enterprise architects must be ready to manage a variety of ldquoplayer typesrdquo (achievers socializers explorers and killers) and deployment scenarios

The

to EngageFun Way

14 September 2012 | GAMIFICATION 15

Gamification What is it

As is the case for an emerging concept defining the

term ldquocorrectlyrdquo is both challenging and elusive -

as it depends on who you talk to platform providers

game designers practitioners industry observers etc

Below a Google Trends snapshot taken on April 2012

shows the historical evolution of Gamification as a

search term According to Gartner ldquogamification has

emerged as a recognizable trend Rarely does an

emerging trend impact so many areas of business

societyrdquo

Key Findings about Gamification Gamification is positioned to become a significant

trend over the next few years

Organizations are increasingly turning to gami-

fication to motivate changed behaviors and

engage internal and external stakeholders

Novelty and hype are driving the current success

of gamification

Success doesnrsquot come easy ldquoDuring four decades

of video game development many games have

failed despite their developers having the best

intentionsrdquo

Sources Gartner | Gamification Primer Life Becomes a Game enero 2011

Gartner | Maverick Research Motivation Momentum and Meaning How

Gamification Can Inspire Engagement October 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation

to Inspire Engagement December 2011

Some formal definitions

RESEARChER AND GAME DESIGNERldquoThe use of design elements from video games in non-game contexts to make a product service or application more fun engaging motivatingrdquo

Source Sebastian Deterding | Getting ldquoGamificationrdquo Right January 2011

GAMIFICATION PLATFORM PROVIDERldquoWhen used in a business context gamification is the process of integrating game dynamics (and game mechanics) into a website business service online community content portal or marketing campaign in order to drive participation and engagementrdquo

Source Bunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

PRACTITIONER (GAMIFICATION INDUSTRY)Gamification is ldquothe process of using game thinking and mechanics to engage usersrdquo

Source Gabe Zichermann | Gamification Innovation and the future 2012

INDUSTRY OBSERVERldquoGamification uses game mechanics such as challenges rules chance rewards and levels to transform daily tasks into playful activitiesrdquo

Source Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Jan 12Jan 11 Apr 11 Jul 11 Oct 11 Apr 12Oct 10

100

80

60

40

20

0

Evolution of the term ldquoGamificationrdquo in Google search

16 September 2012 | GAMIFICATION 17

ldquoGames are the New NormalrdquoDuring the Games for Change Festival an event that

facilitates the creation and distribution of social im-

pact games that serve as critical tools in humanitarian

and educational efforts Al Gore said that ldquoThe gami-

fication trend is really extremely powerfulhellip Games

are the new lsquonormalrsquo for hundreds of millions of users

every month It has been very exciting to me to see

so many ideas that integrate social good and efforts

to make the world a better place into gamesrdquo

The current expectation of Gamification is generating

tremendous buzz everywhere Gartner suggests that

more than 70 of the global 2000 businesses will

Some examples of gamification

MINTMint is a free service which can

aggregate all financial accounts

into one place Users can set a

budget track goals and more

MINDBLOOMMindbloom is a ldquoLife Gamerdquo which

improves the quality of life of the

players in a simple and effective way

NIKENike + FuelBand tracks usersrsquo pro-

gress throughout the day providing

real-time feedback visually

Hype Cycle

Less than 2 years 2-5 years 5-10 years more than 10 years

Imagen recognition

3D printing

Hosted virtualdesktops

E-book readers

Mobile Application Stores

Predictive Analytics

Location-Aware Applications

Speech recognition

Consumerization

Virtual worlds

Wireless power ampSocial Analytics

ldquoBig Datardquo Speech recognition

Biometric Authentication

Methods

Idea management

Mobile robots

Plateau ofProductivity

Slope of EnlightenmentTrough of Disillusionment

Peak ofInflated

Expectations

TechnologyTrigger

Gamification

Exp

ecta

tio

ns

Time

Social TV

Video Analyticsfor customer service

Computer-Brain interface

Quantum computing

Human Augmentation

3D bioprinting

Internet TV

Group buying

Cloud web Platforms

QRcolor code

Machine-to-MachineCommunication services

Private Cloud computing

Cloud computing amp Media tablets

Gesture recognition

Augmented Reality

Virtual Assistants

In-memory Database Management Systems

Mesh Networks Sensor

Source Gartner

apply gamification by 2015 Gamification is believed to

innovate key processes which enhance value proposi-

tions and maximize infrastructure efficiency Whatever

the reason may be it seems that everyone is express-

ing an interest in it including BBVA

Once an obscure search term a short while ago

gamification has now leapt into Gartnerrsquos Hype Cy-

cle for Emerging Technologies 2011 mdash directly into

the Peak of Inflated Expectations However Gartner

also warns their clients to be patient as they believe

that gamification will not reach the Plateau of Pro-

ductivity for another 5 to 10 years

Ver video

Ver video

Ver video

18 September 2012 | GAMIFICATION 19

The Core Issue of Gamification a Closer Look at Game Mechanics and Intrinsic Motivation The current discussion of gamification hinges on a

lively debate between two sides one camp focuses

on game mechanics such as points badges leader-

boards and Incentives and the other camp focuses

internal motivation such as ldquoGame Thinkingrdquo and

motivational design For businesses the arguments

proposed by game mechanics are stirring up excite-

ment as the platform providers are backing up their

talk with great early results Gamification is initially

proving that itrsquos engaging people

GAME MEChANICS POINTS BADGES AND LEADERBOARDSAccording to a leading gamification platform

provider gamification works because game me-

chanics help to drive participation engagement

and loyalty on online properties site or commu-

nity Game mechanics include points levels cha-

llenges virtual goods score boards and gifting

amp charity In theory game mechanics are directly

linked to human desires reward status achieve-

ment self-expression competition and altruism

Although the early results are positive Gartner

warns that gamification is currently driven by

novelty and hype The technology research firm

suggests that the Plateau of Productivity wonrsquot

be reached for another 5 to 10 years Businesses

need to figure out how best apply gamification

in their business models Towards that end con-

sidering the inputs from game thinkers or moti-

vational designers may be beneficial

INTRINSIC MOTIVATION (OR GAME ThINKINGMOTIVATIONAL DESIGN)As a counterpoint to all the current game me-

chanics buzz Sebastian Deterding (researcher

and game designer) offers his take on the whole

gamification thing He advises that to be effective

gamification projects should include key elements

from game thinkingdesign meaning mastery

and autonomy

Meaning Gamified applications have to con-

nect to something that is already meaningful to

the user - or to wrap themselves in a story that

makes them meaningful ldquoThe general lesson

is that to be successful a gamified application

must provide something that is already mean-

ingful to the user in its own rightrdquo

Mastery The experience of being competent

of achieving something Video games donrsquot just

present goals They ensure that a structured flow

of nested goals pulls you through from the long-

term goal (save world rescue princess) to medi-

um-term (kill level boss-monster) and short-term

goals (collect five level coins) Wherever you are in

and whenever you return to a good game there

will always be one next goal that is just within

reachrdquo

Autonomy A free space to play in and some-

thing to play with providing ldquospacerdquo for explora-

tion and expression

Source Sebastian Deterding | Getting ldquoGamificationrdquo RightPrimary desire a particular game mechanic fulfills Other areas that it affects

Reward

Points

Levels

Challenges

VirtualGoods

ScoreBoards

Gifftings amp Charity

StatusArchieve-

mentSelf-

ExpressionCompetition Altruism

human desires

Gam

es m

ech

anic

s

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 7: BBVA Innovation Edge. Gamification  (English)

12 September 2012 | GAMIFICATION 13

Gamification is a process of using game thinking and mechanics to engage users This concept can be applied to both customer facing applications and employee facing applications in the companyrsquos business model Enterprise architects must be ready to manage a variety of ldquoplayer typesrdquo (achievers socializers explorers and killers) and deployment scenarios

The

to EngageFun Way

14 September 2012 | GAMIFICATION 15

Gamification What is it

As is the case for an emerging concept defining the

term ldquocorrectlyrdquo is both challenging and elusive -

as it depends on who you talk to platform providers

game designers practitioners industry observers etc

Below a Google Trends snapshot taken on April 2012

shows the historical evolution of Gamification as a

search term According to Gartner ldquogamification has

emerged as a recognizable trend Rarely does an

emerging trend impact so many areas of business

societyrdquo

Key Findings about Gamification Gamification is positioned to become a significant

trend over the next few years

Organizations are increasingly turning to gami-

fication to motivate changed behaviors and

engage internal and external stakeholders

Novelty and hype are driving the current success

of gamification

Success doesnrsquot come easy ldquoDuring four decades

of video game development many games have

failed despite their developers having the best

intentionsrdquo

Sources Gartner | Gamification Primer Life Becomes a Game enero 2011

Gartner | Maverick Research Motivation Momentum and Meaning How

Gamification Can Inspire Engagement October 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation

to Inspire Engagement December 2011

Some formal definitions

RESEARChER AND GAME DESIGNERldquoThe use of design elements from video games in non-game contexts to make a product service or application more fun engaging motivatingrdquo

Source Sebastian Deterding | Getting ldquoGamificationrdquo Right January 2011

GAMIFICATION PLATFORM PROVIDERldquoWhen used in a business context gamification is the process of integrating game dynamics (and game mechanics) into a website business service online community content portal or marketing campaign in order to drive participation and engagementrdquo

Source Bunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

PRACTITIONER (GAMIFICATION INDUSTRY)Gamification is ldquothe process of using game thinking and mechanics to engage usersrdquo

Source Gabe Zichermann | Gamification Innovation and the future 2012

INDUSTRY OBSERVERldquoGamification uses game mechanics such as challenges rules chance rewards and levels to transform daily tasks into playful activitiesrdquo

Source Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Jan 12Jan 11 Apr 11 Jul 11 Oct 11 Apr 12Oct 10

100

80

60

40

20

0

Evolution of the term ldquoGamificationrdquo in Google search

16 September 2012 | GAMIFICATION 17

ldquoGames are the New NormalrdquoDuring the Games for Change Festival an event that

facilitates the creation and distribution of social im-

pact games that serve as critical tools in humanitarian

and educational efforts Al Gore said that ldquoThe gami-

fication trend is really extremely powerfulhellip Games

are the new lsquonormalrsquo for hundreds of millions of users

every month It has been very exciting to me to see

so many ideas that integrate social good and efforts

to make the world a better place into gamesrdquo

The current expectation of Gamification is generating

tremendous buzz everywhere Gartner suggests that

more than 70 of the global 2000 businesses will

Some examples of gamification

MINTMint is a free service which can

aggregate all financial accounts

into one place Users can set a

budget track goals and more

MINDBLOOMMindbloom is a ldquoLife Gamerdquo which

improves the quality of life of the

players in a simple and effective way

NIKENike + FuelBand tracks usersrsquo pro-

gress throughout the day providing

real-time feedback visually

Hype Cycle

Less than 2 years 2-5 years 5-10 years more than 10 years

Imagen recognition

3D printing

Hosted virtualdesktops

E-book readers

Mobile Application Stores

Predictive Analytics

Location-Aware Applications

Speech recognition

Consumerization

Virtual worlds

Wireless power ampSocial Analytics

ldquoBig Datardquo Speech recognition

Biometric Authentication

Methods

Idea management

Mobile robots

Plateau ofProductivity

Slope of EnlightenmentTrough of Disillusionment

Peak ofInflated

Expectations

TechnologyTrigger

Gamification

Exp

ecta

tio

ns

Time

Social TV

Video Analyticsfor customer service

Computer-Brain interface

Quantum computing

Human Augmentation

3D bioprinting

Internet TV

Group buying

Cloud web Platforms

QRcolor code

Machine-to-MachineCommunication services

Private Cloud computing

Cloud computing amp Media tablets

Gesture recognition

Augmented Reality

Virtual Assistants

In-memory Database Management Systems

Mesh Networks Sensor

Source Gartner

apply gamification by 2015 Gamification is believed to

innovate key processes which enhance value proposi-

tions and maximize infrastructure efficiency Whatever

the reason may be it seems that everyone is express-

ing an interest in it including BBVA

Once an obscure search term a short while ago

gamification has now leapt into Gartnerrsquos Hype Cy-

cle for Emerging Technologies 2011 mdash directly into

the Peak of Inflated Expectations However Gartner

also warns their clients to be patient as they believe

that gamification will not reach the Plateau of Pro-

ductivity for another 5 to 10 years

Ver video

Ver video

Ver video

18 September 2012 | GAMIFICATION 19

The Core Issue of Gamification a Closer Look at Game Mechanics and Intrinsic Motivation The current discussion of gamification hinges on a

lively debate between two sides one camp focuses

on game mechanics such as points badges leader-

boards and Incentives and the other camp focuses

internal motivation such as ldquoGame Thinkingrdquo and

motivational design For businesses the arguments

proposed by game mechanics are stirring up excite-

ment as the platform providers are backing up their

talk with great early results Gamification is initially

proving that itrsquos engaging people

GAME MEChANICS POINTS BADGES AND LEADERBOARDSAccording to a leading gamification platform

provider gamification works because game me-

chanics help to drive participation engagement

and loyalty on online properties site or commu-

nity Game mechanics include points levels cha-

llenges virtual goods score boards and gifting

amp charity In theory game mechanics are directly

linked to human desires reward status achieve-

ment self-expression competition and altruism

Although the early results are positive Gartner

warns that gamification is currently driven by

novelty and hype The technology research firm

suggests that the Plateau of Productivity wonrsquot

be reached for another 5 to 10 years Businesses

need to figure out how best apply gamification

in their business models Towards that end con-

sidering the inputs from game thinkers or moti-

vational designers may be beneficial

INTRINSIC MOTIVATION (OR GAME ThINKINGMOTIVATIONAL DESIGN)As a counterpoint to all the current game me-

chanics buzz Sebastian Deterding (researcher

and game designer) offers his take on the whole

gamification thing He advises that to be effective

gamification projects should include key elements

from game thinkingdesign meaning mastery

and autonomy

Meaning Gamified applications have to con-

nect to something that is already meaningful to

the user - or to wrap themselves in a story that

makes them meaningful ldquoThe general lesson

is that to be successful a gamified application

must provide something that is already mean-

ingful to the user in its own rightrdquo

Mastery The experience of being competent

of achieving something Video games donrsquot just

present goals They ensure that a structured flow

of nested goals pulls you through from the long-

term goal (save world rescue princess) to medi-

um-term (kill level boss-monster) and short-term

goals (collect five level coins) Wherever you are in

and whenever you return to a good game there

will always be one next goal that is just within

reachrdquo

Autonomy A free space to play in and some-

thing to play with providing ldquospacerdquo for explora-

tion and expression

Source Sebastian Deterding | Getting ldquoGamificationrdquo RightPrimary desire a particular game mechanic fulfills Other areas that it affects

Reward

Points

Levels

Challenges

VirtualGoods

ScoreBoards

Gifftings amp Charity

StatusArchieve-

mentSelf-

ExpressionCompetition Altruism

human desires

Gam

es m

ech

anic

s

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 8: BBVA Innovation Edge. Gamification  (English)

14 September 2012 | GAMIFICATION 15

Gamification What is it

As is the case for an emerging concept defining the

term ldquocorrectlyrdquo is both challenging and elusive -

as it depends on who you talk to platform providers

game designers practitioners industry observers etc

Below a Google Trends snapshot taken on April 2012

shows the historical evolution of Gamification as a

search term According to Gartner ldquogamification has

emerged as a recognizable trend Rarely does an

emerging trend impact so many areas of business

societyrdquo

Key Findings about Gamification Gamification is positioned to become a significant

trend over the next few years

Organizations are increasingly turning to gami-

fication to motivate changed behaviors and

engage internal and external stakeholders

Novelty and hype are driving the current success

of gamification

Success doesnrsquot come easy ldquoDuring four decades

of video game development many games have

failed despite their developers having the best

intentionsrdquo

Sources Gartner | Gamification Primer Life Becomes a Game enero 2011

Gartner | Maverick Research Motivation Momentum and Meaning How

Gamification Can Inspire Engagement October 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation

to Inspire Engagement December 2011

Some formal definitions

RESEARChER AND GAME DESIGNERldquoThe use of design elements from video games in non-game contexts to make a product service or application more fun engaging motivatingrdquo

Source Sebastian Deterding | Getting ldquoGamificationrdquo Right January 2011

GAMIFICATION PLATFORM PROVIDERldquoWhen used in a business context gamification is the process of integrating game dynamics (and game mechanics) into a website business service online community content portal or marketing campaign in order to drive participation and engagementrdquo

Source Bunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

PRACTITIONER (GAMIFICATION INDUSTRY)Gamification is ldquothe process of using game thinking and mechanics to engage usersrdquo

Source Gabe Zichermann | Gamification Innovation and the future 2012

INDUSTRY OBSERVERldquoGamification uses game mechanics such as challenges rules chance rewards and levels to transform daily tasks into playful activitiesrdquo

Source Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Jan 12Jan 11 Apr 11 Jul 11 Oct 11 Apr 12Oct 10

100

80

60

40

20

0

Evolution of the term ldquoGamificationrdquo in Google search

16 September 2012 | GAMIFICATION 17

ldquoGames are the New NormalrdquoDuring the Games for Change Festival an event that

facilitates the creation and distribution of social im-

pact games that serve as critical tools in humanitarian

and educational efforts Al Gore said that ldquoThe gami-

fication trend is really extremely powerfulhellip Games

are the new lsquonormalrsquo for hundreds of millions of users

every month It has been very exciting to me to see

so many ideas that integrate social good and efforts

to make the world a better place into gamesrdquo

The current expectation of Gamification is generating

tremendous buzz everywhere Gartner suggests that

more than 70 of the global 2000 businesses will

Some examples of gamification

MINTMint is a free service which can

aggregate all financial accounts

into one place Users can set a

budget track goals and more

MINDBLOOMMindbloom is a ldquoLife Gamerdquo which

improves the quality of life of the

players in a simple and effective way

NIKENike + FuelBand tracks usersrsquo pro-

gress throughout the day providing

real-time feedback visually

Hype Cycle

Less than 2 years 2-5 years 5-10 years more than 10 years

Imagen recognition

3D printing

Hosted virtualdesktops

E-book readers

Mobile Application Stores

Predictive Analytics

Location-Aware Applications

Speech recognition

Consumerization

Virtual worlds

Wireless power ampSocial Analytics

ldquoBig Datardquo Speech recognition

Biometric Authentication

Methods

Idea management

Mobile robots

Plateau ofProductivity

Slope of EnlightenmentTrough of Disillusionment

Peak ofInflated

Expectations

TechnologyTrigger

Gamification

Exp

ecta

tio

ns

Time

Social TV

Video Analyticsfor customer service

Computer-Brain interface

Quantum computing

Human Augmentation

3D bioprinting

Internet TV

Group buying

Cloud web Platforms

QRcolor code

Machine-to-MachineCommunication services

Private Cloud computing

Cloud computing amp Media tablets

Gesture recognition

Augmented Reality

Virtual Assistants

In-memory Database Management Systems

Mesh Networks Sensor

Source Gartner

apply gamification by 2015 Gamification is believed to

innovate key processes which enhance value proposi-

tions and maximize infrastructure efficiency Whatever

the reason may be it seems that everyone is express-

ing an interest in it including BBVA

Once an obscure search term a short while ago

gamification has now leapt into Gartnerrsquos Hype Cy-

cle for Emerging Technologies 2011 mdash directly into

the Peak of Inflated Expectations However Gartner

also warns their clients to be patient as they believe

that gamification will not reach the Plateau of Pro-

ductivity for another 5 to 10 years

Ver video

Ver video

Ver video

18 September 2012 | GAMIFICATION 19

The Core Issue of Gamification a Closer Look at Game Mechanics and Intrinsic Motivation The current discussion of gamification hinges on a

lively debate between two sides one camp focuses

on game mechanics such as points badges leader-

boards and Incentives and the other camp focuses

internal motivation such as ldquoGame Thinkingrdquo and

motivational design For businesses the arguments

proposed by game mechanics are stirring up excite-

ment as the platform providers are backing up their

talk with great early results Gamification is initially

proving that itrsquos engaging people

GAME MEChANICS POINTS BADGES AND LEADERBOARDSAccording to a leading gamification platform

provider gamification works because game me-

chanics help to drive participation engagement

and loyalty on online properties site or commu-

nity Game mechanics include points levels cha-

llenges virtual goods score boards and gifting

amp charity In theory game mechanics are directly

linked to human desires reward status achieve-

ment self-expression competition and altruism

Although the early results are positive Gartner

warns that gamification is currently driven by

novelty and hype The technology research firm

suggests that the Plateau of Productivity wonrsquot

be reached for another 5 to 10 years Businesses

need to figure out how best apply gamification

in their business models Towards that end con-

sidering the inputs from game thinkers or moti-

vational designers may be beneficial

INTRINSIC MOTIVATION (OR GAME ThINKINGMOTIVATIONAL DESIGN)As a counterpoint to all the current game me-

chanics buzz Sebastian Deterding (researcher

and game designer) offers his take on the whole

gamification thing He advises that to be effective

gamification projects should include key elements

from game thinkingdesign meaning mastery

and autonomy

Meaning Gamified applications have to con-

nect to something that is already meaningful to

the user - or to wrap themselves in a story that

makes them meaningful ldquoThe general lesson

is that to be successful a gamified application

must provide something that is already mean-

ingful to the user in its own rightrdquo

Mastery The experience of being competent

of achieving something Video games donrsquot just

present goals They ensure that a structured flow

of nested goals pulls you through from the long-

term goal (save world rescue princess) to medi-

um-term (kill level boss-monster) and short-term

goals (collect five level coins) Wherever you are in

and whenever you return to a good game there

will always be one next goal that is just within

reachrdquo

Autonomy A free space to play in and some-

thing to play with providing ldquospacerdquo for explora-

tion and expression

Source Sebastian Deterding | Getting ldquoGamificationrdquo RightPrimary desire a particular game mechanic fulfills Other areas that it affects

Reward

Points

Levels

Challenges

VirtualGoods

ScoreBoards

Gifftings amp Charity

StatusArchieve-

mentSelf-

ExpressionCompetition Altruism

human desires

Gam

es m

ech

anic

s

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 9: BBVA Innovation Edge. Gamification  (English)

16 September 2012 | GAMIFICATION 17

ldquoGames are the New NormalrdquoDuring the Games for Change Festival an event that

facilitates the creation and distribution of social im-

pact games that serve as critical tools in humanitarian

and educational efforts Al Gore said that ldquoThe gami-

fication trend is really extremely powerfulhellip Games

are the new lsquonormalrsquo for hundreds of millions of users

every month It has been very exciting to me to see

so many ideas that integrate social good and efforts

to make the world a better place into gamesrdquo

The current expectation of Gamification is generating

tremendous buzz everywhere Gartner suggests that

more than 70 of the global 2000 businesses will

Some examples of gamification

MINTMint is a free service which can

aggregate all financial accounts

into one place Users can set a

budget track goals and more

MINDBLOOMMindbloom is a ldquoLife Gamerdquo which

improves the quality of life of the

players in a simple and effective way

NIKENike + FuelBand tracks usersrsquo pro-

gress throughout the day providing

real-time feedback visually

Hype Cycle

Less than 2 years 2-5 years 5-10 years more than 10 years

Imagen recognition

3D printing

Hosted virtualdesktops

E-book readers

Mobile Application Stores

Predictive Analytics

Location-Aware Applications

Speech recognition

Consumerization

Virtual worlds

Wireless power ampSocial Analytics

ldquoBig Datardquo Speech recognition

Biometric Authentication

Methods

Idea management

Mobile robots

Plateau ofProductivity

Slope of EnlightenmentTrough of Disillusionment

Peak ofInflated

Expectations

TechnologyTrigger

Gamification

Exp

ecta

tio

ns

Time

Social TV

Video Analyticsfor customer service

Computer-Brain interface

Quantum computing

Human Augmentation

3D bioprinting

Internet TV

Group buying

Cloud web Platforms

QRcolor code

Machine-to-MachineCommunication services

Private Cloud computing

Cloud computing amp Media tablets

Gesture recognition

Augmented Reality

Virtual Assistants

In-memory Database Management Systems

Mesh Networks Sensor

Source Gartner

apply gamification by 2015 Gamification is believed to

innovate key processes which enhance value proposi-

tions and maximize infrastructure efficiency Whatever

the reason may be it seems that everyone is express-

ing an interest in it including BBVA

Once an obscure search term a short while ago

gamification has now leapt into Gartnerrsquos Hype Cy-

cle for Emerging Technologies 2011 mdash directly into

the Peak of Inflated Expectations However Gartner

also warns their clients to be patient as they believe

that gamification will not reach the Plateau of Pro-

ductivity for another 5 to 10 years

Ver video

Ver video

Ver video

18 September 2012 | GAMIFICATION 19

The Core Issue of Gamification a Closer Look at Game Mechanics and Intrinsic Motivation The current discussion of gamification hinges on a

lively debate between two sides one camp focuses

on game mechanics such as points badges leader-

boards and Incentives and the other camp focuses

internal motivation such as ldquoGame Thinkingrdquo and

motivational design For businesses the arguments

proposed by game mechanics are stirring up excite-

ment as the platform providers are backing up their

talk with great early results Gamification is initially

proving that itrsquos engaging people

GAME MEChANICS POINTS BADGES AND LEADERBOARDSAccording to a leading gamification platform

provider gamification works because game me-

chanics help to drive participation engagement

and loyalty on online properties site or commu-

nity Game mechanics include points levels cha-

llenges virtual goods score boards and gifting

amp charity In theory game mechanics are directly

linked to human desires reward status achieve-

ment self-expression competition and altruism

Although the early results are positive Gartner

warns that gamification is currently driven by

novelty and hype The technology research firm

suggests that the Plateau of Productivity wonrsquot

be reached for another 5 to 10 years Businesses

need to figure out how best apply gamification

in their business models Towards that end con-

sidering the inputs from game thinkers or moti-

vational designers may be beneficial

INTRINSIC MOTIVATION (OR GAME ThINKINGMOTIVATIONAL DESIGN)As a counterpoint to all the current game me-

chanics buzz Sebastian Deterding (researcher

and game designer) offers his take on the whole

gamification thing He advises that to be effective

gamification projects should include key elements

from game thinkingdesign meaning mastery

and autonomy

Meaning Gamified applications have to con-

nect to something that is already meaningful to

the user - or to wrap themselves in a story that

makes them meaningful ldquoThe general lesson

is that to be successful a gamified application

must provide something that is already mean-

ingful to the user in its own rightrdquo

Mastery The experience of being competent

of achieving something Video games donrsquot just

present goals They ensure that a structured flow

of nested goals pulls you through from the long-

term goal (save world rescue princess) to medi-

um-term (kill level boss-monster) and short-term

goals (collect five level coins) Wherever you are in

and whenever you return to a good game there

will always be one next goal that is just within

reachrdquo

Autonomy A free space to play in and some-

thing to play with providing ldquospacerdquo for explora-

tion and expression

Source Sebastian Deterding | Getting ldquoGamificationrdquo RightPrimary desire a particular game mechanic fulfills Other areas that it affects

Reward

Points

Levels

Challenges

VirtualGoods

ScoreBoards

Gifftings amp Charity

StatusArchieve-

mentSelf-

ExpressionCompetition Altruism

human desires

Gam

es m

ech

anic

s

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

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Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 10: BBVA Innovation Edge. Gamification  (English)

18 September 2012 | GAMIFICATION 19

The Core Issue of Gamification a Closer Look at Game Mechanics and Intrinsic Motivation The current discussion of gamification hinges on a

lively debate between two sides one camp focuses

on game mechanics such as points badges leader-

boards and Incentives and the other camp focuses

internal motivation such as ldquoGame Thinkingrdquo and

motivational design For businesses the arguments

proposed by game mechanics are stirring up excite-

ment as the platform providers are backing up their

talk with great early results Gamification is initially

proving that itrsquos engaging people

GAME MEChANICS POINTS BADGES AND LEADERBOARDSAccording to a leading gamification platform

provider gamification works because game me-

chanics help to drive participation engagement

and loyalty on online properties site or commu-

nity Game mechanics include points levels cha-

llenges virtual goods score boards and gifting

amp charity In theory game mechanics are directly

linked to human desires reward status achieve-

ment self-expression competition and altruism

Although the early results are positive Gartner

warns that gamification is currently driven by

novelty and hype The technology research firm

suggests that the Plateau of Productivity wonrsquot

be reached for another 5 to 10 years Businesses

need to figure out how best apply gamification

in their business models Towards that end con-

sidering the inputs from game thinkers or moti-

vational designers may be beneficial

INTRINSIC MOTIVATION (OR GAME ThINKINGMOTIVATIONAL DESIGN)As a counterpoint to all the current game me-

chanics buzz Sebastian Deterding (researcher

and game designer) offers his take on the whole

gamification thing He advises that to be effective

gamification projects should include key elements

from game thinkingdesign meaning mastery

and autonomy

Meaning Gamified applications have to con-

nect to something that is already meaningful to

the user - or to wrap themselves in a story that

makes them meaningful ldquoThe general lesson

is that to be successful a gamified application

must provide something that is already mean-

ingful to the user in its own rightrdquo

Mastery The experience of being competent

of achieving something Video games donrsquot just

present goals They ensure that a structured flow

of nested goals pulls you through from the long-

term goal (save world rescue princess) to medi-

um-term (kill level boss-monster) and short-term

goals (collect five level coins) Wherever you are in

and whenever you return to a good game there

will always be one next goal that is just within

reachrdquo

Autonomy A free space to play in and some-

thing to play with providing ldquospacerdquo for explora-

tion and expression

Source Sebastian Deterding | Getting ldquoGamificationrdquo RightPrimary desire a particular game mechanic fulfills Other areas that it affects

Reward

Points

Levels

Challenges

VirtualGoods

ScoreBoards

Gifftings amp Charity

StatusArchieve-

mentSelf-

ExpressionCompetition Altruism

human desires

Gam

es m

ech

anic

s

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 11: BBVA Innovation Edge. Gamification  (English)

September 2012 | GAMIFICATION 21

Putting Gamification to Work

ldquoWhere games traditionally model the real world or-

ganizations must now take the opportunity for their

real world to emulate gameshellip enterprise architects

must be ready to contribute to gamification strategy

formulation and should try at least one gaming ex-

ercise as part of their enterprise context planning

efforts this yearrdquo

All games when reduced to their core have four de-

fining traitsDeployment Scenarios

(Brian Burke - Gartner)

Gamification designers need to consider the desired results and behaviors

when gamifying Key Processes for the organization

Cooperative

IntrinsicExtrinsic

Competitive

Poker game Players are motivated to maximize their own score to achieve a greater share of the rewards increasing their personal worth effectively taking a larger share of the pie

Fishing boat Players are motivated to maximize to produce the highest possible overall score to maximize the team production effectively creating a larger pie to be split

Beauty Contest Players are motivated to maximize their individual results usually to achieve a higher status

Burning Building Players are motivated to maximize the overall outcome and to maximize the im-pact of game play

Feedback system ldquoThe feedback system

tells players how close they are to achie-

ving the goalhellip Real-time feedback serves as a

promise to the players that the goal is achie-

vable and it provides motivation to keep playingrdquo

Voluntary participation ldquoEveryone who is play-

ing the game knowingly and willingly accepts the

Player Types

(Richard Bartle - Designing Virtual Worlds)

The Player Types are four terms describing generalized behavior in a Multi-user virtual space

Source httpwwwmudcoukrichardhcdshtm httpfrankcaroncomFloggerp=1732 and

httpwwwgamasutracomblogsSteveMallory20120413168507Social_Gaming_and_the_Bartle_Archetypesphp

AchieversDEFINED BYA focus on attaining status and achieving preset goals quickly andor completely

ENGAGED BYAchievements

SocialitesDEFINED BYA focus on socializing and drive to develop a network of friends and contacts

ENGAGED BYNewsfeeds friends list chat

ExplorersDEFINED BYA focus on exploring and drive to discover the unknown

ENGAGED BYObfuscated achievements

KillersDEFINED BYA focus on winning rank and direct peer-to-peer competition

ENGAGED BYLeaderboards ranks

Goal ldquoThe specific outcome that players will work

to achieve It focuses their attention and continually

orients their participation throughout the gameThe

goal provides player with a sense of purposerdquo

Rules The ldquolimitations on how players can achieve

the goal By removing or limiting the obvious ways of

getting to the goal the rules push players to explore

previously uncharted possibilities spaces They un-

leash creativity and foster strategic thinking

goal the rules and the feedback Knowingness esta-

blishes common ground for multiple people to play

togetherrdquo

Source Jane McGonigal | Reality is Broken 2011

In addition understanding player types and de-ployment scenarios can help organizations to think

strategically about gamification and explore the best

application for the companyrsquos business model v

20

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 12: BBVA Innovation Edge. Gamification  (English)

September 2012 | GAMIFICATION 23 22

GamificationGaming

Gamification is a hot topic today and

everyone wants to play Playing this game to

win requires the right strategies tactics and

moves Currently organizations are gaming

gamification to understand the possible

advantages while avoiding potential pitfall

along the way Can our hero make it to the

next level

ldquoOrganizations are using gamification internally to recruit train and enhance employee performance They are using it to drive innovation share knowledge and improve employee health Gamification is also helping organizations engage external stakeholders in customer loyalty marketing education and innovation initiatives The target audience of gamification can be any defined group of stakeholders (customers employees or the Web collective)rdquo

Source Brian Burke Gartner | Gamification Primer Life Becomes a Game

We have some interesting data

1 Business ApplicationGamification helps companies to

Increase User Engagement

47Increase Brand Loyalty

22Increase Brand Awareness

15Motivation

9Employee Training

7Source M2 Research

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 13: BBVA Innovation Edge. Gamification  (English)

24 September 2012 | GAMIFICATION 25

2 Gamification Platform client Industry BreakdownThe early adopters of gamification come mostly

from entertainment and publishing industries repre-

senting 60 of all companies Financial companies represented 6 of early adopters

Gamification offers significant innovation opportuni-

ties for financial companies especially for employee

facing applications The breakdown of other indus-

tries are presented below

Entertainment 42

Publishers 18

Consumer Goods 15

healthcareWellness 10

Financial 6

Retail 5

Education 3

Telecom 1

Source M2 Research

3 Growth of Gamification

growth in 2012

197

growth in 2011

155

4 Potential MarketSpending on gamification is projected to grow from

$100 million in 2011 to $28 billion dollars in 2016

2000000

1500000

1000000

500000

2012 2013 2014 2015

$ 196000

$ 434000

$ 860000

$ 1600000

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 14: BBVA Innovation Edge. Gamification  (English)

Promiseand the ldquoFine Printrdquo

TheGamification despite its name is a se-

rious business opportunity and risk

It may be the ldquosecret saucerdquo to unlocking

value for the organization Given that we

are early stages of this trend it makes

sense that there are a lot of positive

news being generated at this moment

and there arenrsquot a whole lot of negative

stuff Letrsquos take a look at the opportunities

and challenges of gamification

To help clarify Gamification and to best apply it CIBBVA is thinking in business models We are going to use the Business Model Canvas to better understand the business implications of gamification For readers who may not be familiar with the Business Model Canvas a brief back-grounder is provided

ldquoA business model describes the rationale of how an organization creates delivers and captures valuerdquo

A business model can be best described through nine basic building blocks that show the logic of how a company intends to make money The business model is like a blueprint for a strategy to be implemented through organizational structures processes and systems

When done ldquorightrdquo gamification can

offer new ways of engaging an eager

user base and when done ldquowrongrdquo

it can estrange them Itrsquos the next

ldquobig thingrdquo but each organization

needs to explore the opportunities

and risks associated with it But

be warnedhellip read the fine print

ldquogamification is currently driven by

novelty and hyperdquo and filled with

potential pitfalls

26 September 2012 | GAMIFICATION 27

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 15: BBVA Innovation Edge. Gamification  (English)

Key Partnerships

Key Resources

Cost Structure

Business OpportunitiesBased on early experiences and ldquoguru talkrdquo it seems

clear that gamification presents opportunities for

both sides of companyrsquos business model both value

(the customer facing business units) and efficiency

(the employeepartner facing business units) More

exploration is needed to test its usefulness in specific

areas of business models such as customer relation-

ships channels key activities key partners etc

Though a ldquowait and seerdquo strategy to assessing busi-

ness opportunities seems prudent it is evident that

gamification offers an immediate opportunity to

showcase BBVArsquos innovation power (if done correctly)

Business RisksThere are some concerns related to gamification

Gartner advises clients that current gamification

applications is ldquomotivated by the novelty of gami-

fication This will wear off as user fatigue sets in

an the sustainability of engagement becomes an

issuerdquo Gamification from a business point of view

has some perceived risks as it is almost impossi-

ble to separate the wheat from the chaff However

there are some significant threats that should be

addressed

Totally green (as in not mature) ldquoBoth in success-

ful models to emulate and in a shortage of people

who understand game design Game design ex-

perience has not intersected with typical business

functions not even ITrdquo

Blockbuster game donrsquot happen that often and

probably less with gamification ldquoTrying to add fun

to an activity that has another purpose is more

difficult still One fact that does seem clear is that

Key Activities

EMPLOYEE BEHAVIOR IMPROVEMENT Surveys suggest low employee engagement Gamification can make work ldquofunrdquo

NEW PRODUCTS AND SERVICES designed by ldquogame thinkingrdquoGamification can become the process for building a comprehensive new digital services platform

Customer Segments

Revenue Streams

Value Propositions Customer Relationships

Channels

Gamification offers customers personalized automated self-service relationships with a high component of co-creation and community

BRANDING AS A VPGood gamification deployments can increase the value of a companyrsquos brand

BUNDLING AS A VP Gamification is ldquobundledrdquo to existing productsservices to enhance the value proposition to customers

Gamification when done

ldquorightrdquo can increase customer

ldquostickinessrdquo at almost

every channel phase

Gen X and Gen Y customers These CSs are already familiar with game dynamics and mechanics Gamification may help to attract and engage new customers

28 September 2012 | GAMIFICATION 29

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 16: BBVA Innovation Edge. Gamification  (English)

Key Partnerships Key Activities

Key Resources

Gamification is more of a process than a productUser engagement must be built in at the productservice development level

Cost Structure

simply adding points badges and leader boards is

not going to make engaging with an organization

more funrdquo

No ldquoone size fits allrdquo with gamification Different

people play different games for different reasons

ldquoWhile gamifying some activity may engage part

of the stakeholders it is not likely to appeal to all

stakeholders

Does it make sense for us ldquoIn many corporate

environments the very notion of building lsquofunrsquo into

any activity will be a nonstarter The idea of lsquofunrsquo can

seem very trivializingsuperficialno what grown-

ups do Selling gamification in these organizations

will be very difficultrdquo

Unexpected consequences ldquoTurning an acti-

vity in a game invites players to try to lsquogame the

systemrsquo and may result in unintended conse-

quencesrdquo

More time is needed to better identify the risks

associated with gamification As the technology

enters Trough of Disillusionment in Gartnerrsquos Hype

Cycle the negative version of the fairytale will

soon materialize and begin to dominate as some

companies will painfully learn that all that glitters

isnrsquot gold The golden child might look more like a

whipping boy v

Trial and Error is part of the learning curve Donrsquot put on the ROI hat hellip

Value Propositions

Channels

Customer Segments

Revenue Streams

Customer Relationships

Companies risk taking customers on unnecessary journeys distracting them from the main purpose of giving them what they actually want

Who owns the data Data

ownershipresponsibility

needs to be addressed and for

financial services companies

this may be difficult

30 September 2012 | GAMIFICATION 31

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 17: BBVA Innovation Edge. Gamification  (English)

32 September 2012 | GAMIFICATION 33

GlobalSnapshots

Around the world companies and organizations are seriously experimenting with gamification Whether playing a lottery with the speed limit or learning about real estate investments gamification projects are capturing the imagination of people

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 18: BBVA Innovation Edge. Gamification  (English)

34 September 2012 | GAMIFICATION 35

SIEMENS A visual FarmVille-style game that allows players to

learn the connections of each part of the plant and

manufacturing process

Ver video

IBM INNOV8 the IBM Business Process Management

(BPM) simulation game gives both IT and business

players a better understanding of how effective BPM

impacts an entire business ecosystem

GOOGLE Google employees get a per diem amount for busi-

ness trips depending on the destinations If they

are above the limit they submit the receipt and get

reimbursed If they are below the per diem they

can use it to save it towards another business trips

(which would have had no budget) or upgrade 1st

class Compliance with the process has shot up to

over 90

SAP Sustainability Quiz The idea was to make beha-

vioral change fun and inform employees about the

success of SAPrsquos sustainability efforts and what steps

they can take themselves In less than a month over

one thousand colleagues played the game many of

them repeatedly

SAP Community Networks (SCN) ldquoThe SCN is

also a good example to introduce you to a couple

of game mechanics Points (as ldquopoints pointsrdquo but

also views of your articlesblogs) leaderboards (list

of top contributors but also exposure of you arti-

cle on the main SDN page) status (mentor badge

goldsilverbronze medal) social interaction (dis-

cussions meetups)rdquo

DELOITTE ldquoConsulting firm Deloitte Touche Tohmatsu Ltd

are incorporating elements of videogames into the

workplace Theyrsquore deploying reward and competi-

tive tactics commonly found in the gaming world

to make tasks such as management training data

entry and brainstorming seem less like workrdquo

SALESFORCE Salesforce Motivation motivates professionals us-

ing proven techniques that sales managers have

always used team competitions leaderboards and

rewards But instead of tracking and managing those

programs manually companies can use cloud-based

applications to ldquoautomaterdquo tasks so that the team

stays focused on the activities and rewards that are

critical

BARCLAYS 56 Sage Street A portal to help teach about mo-

ney finance and banking in an enjoyable way

BANK OF AMERICA Bad Credit Hotel (in collaboration for the US De-

partment of Treasury) Learn about debt manage-

ment credit history and credit scores

COMMONWEALTh BANK Investorville is a virtual world where one can try

hisher luck at investing in rental property without

the risk of buying one

MICROSOFT RibbonHero is an application that encourages MS

Office users to learn more about the different fea-

tures by watching videos and taking short exams

CODEACADEMY Codecademy is a web-based interactive platform

where players can learn to code and are rewarded

with points and badges The players get encouraging

real-time feedback on progress bars and can connect

with their friends and compete against them

VOLKSWAGEN (FUN ThEORY)Speed Camera Lottery ldquoCan we get more people

to obey the speed limit by making it fun to do (The

idea) was so good that Volkswagen together with

The Swedish National Society for Road Safety ac-

tually made this innovative idea a reality in Stock-

holm Sweden The average speed of cars passing

the camera dropped from 32kmh before the experi-

ment to 25kmh afterrdquo (Wired)

Ver video

Walking up the Piano Stairs ldquoCan we get more peo-

ple to take the stairs over the escalator by making it

fun to dordquo The project led to an increase of 66 in

the use of the piano stairs

Ver video

Recycling is Fun At Bottle Bank Arcade recycling

was turned into a fun activity

Ver video

Employee

Facing

Gamification

Customer Facing

Gamification

Projects in

Financial

Services

Customer

Facing

Gamification

Projects

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 19: BBVA Innovation Edge. Gamification  (English)

36 September 2012 | GAMIFICATION 37

Other notable companies include

Bigdoor

Crowd Twist

Get Glue

Playgen

SCVNGR

Gamification Platform ProvidersFor organizations who are considering off the shelf

solutions platform providers are offering turnkey so-

lutions for gamification Below we present some of

the leading vendors

BUNChBALLBunchball offers the Nitro gamification platform and

its analytics solution to create customized action-

able and scalable user experiences for consumers

employees and partners Nitro is a scalable and

reliable gamification platform managing over 125

million users and tracking over 15 Billion actions to

date Founded in 2005 Bunchballrsquos investors include

Granite Ventures Triangle Peak Partners Northport

Investments Correlation Ventures and Adobe Sys-

tems Incorporated

BADGEVILLE Founded in 2010 Badgeville draws on techniques

from social gaming traditional loyalty programs and

social networking in its suite of Behavior Lifecycle

Management solutions Built on database techno-

logy Badgevillersquos PaaS (Platform-as-a-Service) is de-

signed to connect user reputation across all of your

digital touch points Badgeville is funded by Norwest

Venture Partners El Dorado Ventures Trinity Ven-

tures and the Webb Investment Network

CROWDTAP Crowdtap is the Influencer Marketing platform ena-

bling leading brands to easily identify activate and

manage their influential consumers for real-time

insights and powerful online and offline peer-to-peer

marketing Crowdtap intends to shift marketing to

a fully collaborative and participatory process be-

tween brands and consumers

CYNERGY According to Cynergy ldquoWe make incredible experi-

ences happenmdashno easy task Great design is criti-

cal but incredible experiences are much more than

just pixelsmdashthey require the artful merging of expert

strategy design excellence and cutting-edge tech-

nology delivered by a single integrated team Thatrsquos

our formulamdashthatrsquos how we make incredible experi-

ences happenrdquo

IACTIONABLE IActionable is a web based (SaaS) gamification

software platform that applies game mechanics

to non-game applications IActionable can be used

to change user interface and user experience and

drive behavior in the form of participation and en-

gagement v

BBVA amp thegamificationWith BBVA Game we have

launched an important Beta

project wich we want to create

an space of interaction with our

on line clients

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 20: BBVA Innovation Edge. Gamification  (English)

38

We understand that to generate a fun dialog

with our clients is a challenge Most online us-

ers access our site to check positions and perform

transactions Without a doubt itrsquos quite a challenge

BBVA Game a gamification platform has incorpo-

rated game dynamics as a way to provide additional

value for online banking customers We put together

our best value proposition loyalty programs and

game dynamics which offer the most fun We wanted

to work in teams to create a game that educates our

clients offers stickiness to our clients and offer cross-

selling and upselling opportunities for our business

We will not really know the final results until we learn

from our customers any other pretense would be

rather arrogant

What we do know is that we can use gamification to

get know know our customers better to get closer

to them in an refreshing way to educate them to be

ldquostickyrdquo and of course we can apply this model in

all countries in which we have presence Like BBVA

the concept of gamification is universal

All the team members in various teams who par-

ticipated in bringing BBVA Game to life (Marketing

and Innovation amp Technology) shared one thing in

common We had fun And that is a good sign v

Bernardo Crespo

Head of Digital Marketing and Marketing Lab

BBVA Spain and Portugal

Brian Burke

are leveraging game mechanics to engage customers and financial services companies are no exception This trend is called gamification and while it being used in many different ways the sweet spot is in engaging customers As an early adopter of gamification in the financial services industry BBVA joins a small group of innovators that are turning customers into players and banking into a game The BBVA Game is a leading edge example of using gamification to both engage customers in a fun way while architecting the customer journey Gamification is a win-win for BBVA and its customersrdquo

ldquoCompanies around the world

September 2012 | GAMIFICATION 39

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 21: BBVA Innovation Edge. Gamification  (English)

September 2012 | GAMIFICATION 41 40

ForecastInnovationThe early results are in Bunchball a pure gamification platform provider see their customers enjoy the benefits value creation aspects of gamification

An increase of 2x page view Page view per visit increased 60 Unique visitors increased 30 Increase of 100 on time on site An increase of 2x repeat monthly visits 400 ROI (with payback time of as

little as 3 months)

Though the results display initial deploy-

ments numbers itrsquos clear what should

be done with gamification for the short-

term future Just Play See how gamifica-

tion can create or capture value for the

organization

To wrap things up we leave you with

some ldquoGamification Tips from the Prosrdquo

hoping that they may help you better

understand this key topic and perhaps

even help spark some new innovations

in the organization

Gamification Tips from the Pros

SEBASTIAN DETERDING Game designer

ldquoThe most important thing to keep in

mind here is that any good design mdash

game or software mdash hinges on good

designers and design process not on

featuresrdquo

Know your users What motivates

them What is meaningful to them

What keeps them from following

through on their intentions What

kind of games to they like What kind

of community do they prefer Without

user research to figure these things

out you will miss your target audience

Read the Rules Goals and rules create

interesting challenges even can create

meta-games

Sources Sebastian

Deterding Getting Gamifi-

cation Right January 2011

| Sebastian Deterding

Donrsquot Play Games with

Me Pitfalls of Gameful

Design May 2011

Prototype Playtest and Iterate The

core of game design is to build a func-

tional prototype of the rule system as

early as possible to test whether it is

any fun tweak it based on the test re-

sults test it again etc to iterate your

way toward something that is fun and

engaging

Bring in the Data Quantitative

analytics will tell you whether your

point systems donrsquot have loopholes

or exploits or whether you balanced

the difficulty of the goals and mis-

sions you present to the players

ldquoReality ultimately is much more messy

complex random unfair and beyond

our control than gamesrdquo

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 22: BBVA Innovation Edge. Gamification  (English)

42 September 2012 | GAMIFICATION 43

Source Gabe Zicher-

mann | Mashable - 7 Win-

ning Examples of Game

Mechanics in Action

Sources Gartner | Gamification Primer Life Becomes a

Game January 2011

Gartner | Maverick Research Motivation Momentum and

Meaning How Gamification Can Inspire Engagement

October 2011

Gartner | Innovation Insight Gamification Adds Fun and

Innovation to Inspire Engagement December 2011

GABE ZIChERMANNGamification expert

ldquoThe initial findings from gamification

specialists are nothing short of astonish-

ing Regardless of your business model

the following seven gamified innovations

should inspire you to strategize via game

analysisrdquo

Make a market (Foursquare) Four-

square proved that location-based

networking wasnrsquot doomed to fail that

simple game mechanics can affect

behavior and that you can engage 10

million customers mdash all while raising

$50 million

Get fit (NextJump) By leveraging the

power of gamification 70 of Next-

Jump employees exercise regularly mdash

enough to save the company millions

in work attendance and insurance

costs over the medium term mdash all the

while making the workplace healthier

and happier

Slow down and smell the money (Volkswagen - Fun Theory) Speed

Camera Lottery idea rewards those

drivers who obey the posted limit by

entering them into a lottery When test-

ed at a checkpoint in Stockholm aver-

age driver speed was reduced by 20

Generate ad revenues (Psych amp NBCUniversal) Club Psych implemented

gamified incentives to raise page

BRIAN BURKE GARTNERTechnology analyst

ldquoThe goal is to inspire deeper more en-

gaged relationships and to motivate

changed behaviors Many organizations

report significantly higher engagement

with gamification But risks abound and

organizations should consider their de-

ployment strategies carefully

Gamification is a business issue that

is enabled by technology mdash business

managers must take the lead in dri-

ving gamification efforts

The application of gamification is very

diverse Focusing on specific goals is

critical to success

Avoid the herd mentality mdash donrsquot imple-

ment a copycat application Most cur-

rent gamified applications are doomed

to fail

Design gamified applications that co-

rrectly position motivation momen-

tum and meaning (M3) to inspire en-

gagement with the audience

Exploit this trend today if you work in

an organization that is willing to take

risks But remember that careful plan-

ning and improvement through itera-

tion are central to every successful im-

plementation of gamification

views by over 130 and

return visits by 40

The resulting rise in

engagement has gener-

ated substantial revenue

for the company bringing

registered user counts from

400000 to nearly 3 million since

the launch of the gamified version

Make research amp evangelism count (Crowdtap) Through the use of gami-

fied virtual rewards the company has

been able to raise average user par-

ticipation by 25 times thus reducing

research costs by 80 or more for key

clients

Save the planet (RecycleBank) RecycleBank utilized game mecha-

nics such as points challenges and

rewards to drive breakthroughs The

project has seen a 16 increase in re-

cycling in Philadelphia where the recy-

cling rate has broken 20 for the first

time in history

Make teaching fun (Ananth Pai) grouped students by learning style

and retooled the curriculum to make

use of off-the-shelf games to teach

reading math and other subjects In

the space of 18 weeks Mr Pairsquos class

went from below third grade average

reading and math levels to mid-fourth

grade v

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 23: BBVA Innovation Edge. Gamification  (English)

44 September 2012 | GAMIFICATION 45

MPAA | Theatrical Market Statistics 2012

Alex Osterwalder and Yves Pigneur | Business Model Generation 2009

Daniel Pink | Drive The Surprising Truth About What Motivates Us April 2011

PSFK | The Future of Gaming 2011

Byron Reeves amp J Leighton Read | Total Engagement Using Games and Virtual Worlds to Change the Way People Work and Businesses Compete 2009

Gabe Zichermann | Gamification by Design Implementing Game Mechanics in Web and Mobile Apps August 2011

Gabe Zichermann | Gamification Innovation and the Future (presentation) 2012

Gabe Zichermann amp Joselin Linder | Game-Based Marketing Inspire Customer Loyalty Through Rewards Challenges and Contest 2010

On the WebIan Bogost (Video Game Theorist Critic and Designer)

Bunchball | Gamificationcom

Sebastian Deterding (Game Researcher and Designer) | Coding Conduct Persuasive Design for digital media

Entertainment Software Association | Games Improving What Matters

Gamasutra | Social Gaming and the Bartle Archetype April 13 2012

Gamification of Work

Gamification Research Network

Gaming Business Review | Designing Gamification for the Most Frequent Personality Types September 20 2011

Gaming Business Review | Who Owns Gamification Data February 18 2012

GigaOM | The future of Social Games is Mobile October 2010

Google Insight for Search | Gamification

Mashable | 7 Winning Examples of Game Mechanics in Action July 6 2011

Scott Nicholson (MIT Gambit Game Lab) | Because Play Matters

Wired Magazine | Go with the Flow 1996

Wired Magazine | Swedish Speed-Camera Pays Drivers to Slow Down December 6 2010

Gabe Zichermann | The Gamification Blog

A list of links to other useful tools and resources that you may find useful as a supplement to the information offered on the lsquoSimple Bankrsquo report

Books amp PublicationsBunchball | Gamification 101 An Introduction to the Use of Game Dynamics to Influence Behavior October 2010

Tom Chatfield | Fun Inc Why Games are the 21st Centuryrsquos Most Serious Business 2010

Jenova Chen | Flow in Games (and Everything Else) April 2007

Aaron Dignan | Game Frame Using Games as a Strategy for Success 2011

Sebastian Deterding | Getting ldquoGamificationrdquo Right (presentation) January 2011

Entertainment Software Association | 2011 Sales Demographic and Usage Data Essential Facts about the Computer and Video Game Industry 2011

Gartner | Gamification Primer Life Becomes a Game January 2011

Gartner | Innovation Insight Gamification Adds Fun and Innovation to Inspire Engagement December 2011

Gartner | Market Trends Gaming Ecosystem 2011

Gartner | Maverick Research Motivation Momentum and Meaning how Gamification Can Inspire Engagement October 2011

Insight Express | 1Q2012 Digital Consumer Portrait 2011

International Federation of the Phonographic Industry | Recording Industry in Numbers The Recorded Music Market in 2011 March 2012

Jane McGonigal | Reality is Broken Why Games Can Make Us Better and how They Can Change the World 2011

Mihaly Csikszentmihalyi | Flow The Psychology of Optimal Experience 1991

Ralph Koster | A Theory of Fun for Game Design 2005

M2 Research | What is Gamification (presentation) January 2011

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 24: BBVA Innovation Edge. Gamification  (English)

46 September 2012 | GAMIFICATION 47

Gamification Experts

In depth

Brian BurkeBrian Burke is an analyst for Gartner specializing in enterprise architecture and IT portfolio management and most recently developing research on the emerging gamification trend His groundbreaking work in the development of federated architectures has been implemented in hundreds of organizations in both the public and private sectors He is also a prominent researcher and speaker in the areas of IT strategy IT organizational structures and businessIT alignment

Jane McGonigalJane McGonigal takes play seriously She studies the power of

games to impact the real-world mdash and she creates games that do just that She is an expert on applying game design and game theory to real work and real business and has consulted and devel-oped internal game workshops for leading technology companies MIT Technology Review named her one of the top 35 innovators changing the world through technology for her role in pioneering the field of alternate reality gaming and Harvard Business Review called her theory of ldquoalternate reality businessrdquo one of the ldquoTop 20 Breakthrough Ideas of 2008rdquo She has a PhD from UC Berkeley in performance studies

Wanda MeloniFounder and president of M2 Research is an industry analyst and market strategist Wanda has a deep understanding of emerging trends in interactive entertainment games and social media Wanda publishes articles and reports that on the market dynamics affecting development and consumer trends In addi-tion to her published works she consults with many of the top companies in the industry providing custom analysis investment strategies strategic positioning and competitive analysis

Gabe ZichermannGabe Zichermann is an entrepreneur author highly rated public speaker and gamification thought leader He is the chair of the Gamification Summit and Workshops and is co-author of the book ldquoGame-Based Marketingrdquo (Wiley 2010) where he makes a compelling case for the use of games and game mechanics in everyday life the web and business

Sebastian Deterding

Sebastian Deterding is a researcher and designer working on user experience persuasive design video games and gamifica-tion His PhD research at the Research Center for Media and Communication at Hamburg University looks into the use of game design to motivate user behavior in non-game contexts Today he speaks and publishes internationally on persuasive design and gamification at events such as reboot republica or Playful and consults game companies on game usability and playability

Other experts include

R Ray Wang Micheal Wu Toby Beresford Dennis Crowley Keith Smith Steven L Johnson Buster Benson Scott Dodson Ian Bogost

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 25: BBVA Innovation Edge. Gamification  (English)

48 September 2012 | GAMIFICATION 49

The following section outlines the upcoming technologies that will change everything with predictions on what may come of them in financial industry

The Maps WarEmerging players are consolidating their Maps products and becoming

trusted partners in the Maps solutions landscape A few weeks ago Wikipedia

moved from Google Maps to OpenStreetMap followed by FourSquare Even

Apple launched iPhoto for iOS using OpenStreetMap data for photos with

geolocation tags embedded

IS OPENSTREETMAP A MATURE SOLUTIONOpenStreetMap was founded in July 2004 and it is

defined as a collaborative project to create a free edit-

able map of the world In April 2012 OpenStreetMap

cleared 600000 registered contributors However

not all registered users actually contribute to the

map a minority of individuals contribute the major-

ity of the content (around 3)

High populated areas such as big cities are constant-

ly being updated even at a higher rate than Google

Maps does Low populated areas on the other hand

are not so accurate These areas are currently being

covered by Bing Microsoft Maps solution Despite

Microsoft support certain places may not have ac-

curate information to display Therefore depending

on the needs OpenStreetMaps can be considered a

good approach

AND WhAT ABOUT GOOGLE MAPSGoogle Maps solution is much more than Maps It

is also considered the main advertising platform for

many merchants and functionalities as Street View

add value to final user far beyond geo-localization

But it is no longer free It seems to be quite hard

to make money putting ads on maps so Google

Maps API is limited to 25000 free queries per day

Over that limit it is required to pay Nothing free lasts

forever

Rumors keep growing and it is said that Apple is

working on its own Map solution that will be re-

vealed with the iOS 6 and will include 3D features

We already have a winner the final user

The Maps war is escalating During Applersquos

WWDC in June 2012 the company

announced that the new iOS will no longer

use Google Maps Instead Apple will offer

its own maps solution in the iOS 6 The

new map service along with Siri seems to

offer iOS users more convenience and

solutions (of course shutting out Google)

In fact it looks like Apple wants to extend

the war beyond Maps hellip be careful out

there the titans are clashing

BREAKING NEWS

Technology trends

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 26: BBVA Innovation Edge. Gamification  (English)

50 September 2012 | GAMIFICATION 51

According to McKinsey Global Institute big data

can unlock value (high level) for the enterprise

by 1) creating transparency 2) enabling experimen-

tation to discover needs expose variability and im-

prove performance 3) segmenting populations to

customize actions 4) replacingsupporting human

decisions making with automated algorithms and

5) innovating new business models products and

services

RELEVANCE OF BIG DATAOpportunities ndash for example a retail business can

increase operating margins by 60 Early results

show that big data leaders are taking market share

from the laggards suggesting that big data will be-

come a keystone for competitiveness and growth

for the organization

Specifically for the banking sector Citibank has

partnered with IBM (ldquoWatsonrdquo) to use big data for

up-sellingcross-selling opportunities It is stipulated

that they will also use Watson to detect fraud and

analyze customer credit worthiness

The danger (or risk) of big data stems from issues

which will affect all stakeholders namely data pro-

tection and security rights and responsibilities for

using data and accountability and enforcement Ad-

ditionally it is estimated that by 2020 the volume

of data will exceed our capacity for data storage by

more than 21 v

Sources IBM | ldquoUnderstanding Big Datardquo March 2011

McKinsey Global Institute | ldquoBig Datardquo June 2011

World Economic Forum | ldquoRethinking Personal Data

Strengthening Trustrdquo (August 2011)

The Economist | ldquoBig Data Crunching the Numbersrdquo

May 19 2012

2020 346

2005 013

Created

2005 2010 2015 2020

35

30

25

20

15

10

5

0

Storage available Zettabytes = 1 trilion gigabytes

ESTIMATE FORECAST

forecast

OPEN WIDE Global digital information

Source IDC

Striking Gold with Big DataToday the world creates 25 quintillion

bytes of new data ndash everyday 90 of

the worldrsquos data has been created in the

last two years alone In this mountain of

data (both structured and unstructured)

there is gold to be found Companies must

acquire the right tools and processes to

separate the dirt from the gold efficiently

Technology trends

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 27: BBVA Innovation Edge. Gamification  (English)

52 September 2012 | GAMIFICATION 53

Innovation at the Core just Copy amp Paste

By using virtualization and replication technolo-

gies banks can create copies of the core system

quickly and provide them to partners in standalone

sandboxes By allowing developers work with a real

core banking environment the pace of innovation

will quicken as developers can test new functionali-

ties without worrying how it will perform when the

product goes live According to ING a full replication

of the core system used to take about 260 days it

now takes less than a day

Source Information Management | May 2012

Core banking platform

New formats

Enterprise 20

Smartphone + Fanatics = Smartphonatics

Smartphonatics are consumers who change their

shopping financial and payment behavior as a

result of owning a smartphone According Aitersquos

Ron Shevlin ldquoThis group is driving the adoption of

mobile payments and banking and setting the bar

for how financial institutions will have to respond

over the next five yearsrdquo 70 of Smartphonatics have used a mobile

device to make a payment 80 of Smartphonatics have used the mobile

banking channel Less than 25 of other consumers have made a

mobile payment About 33 of other consumers have used the

mobile banking channel

Source Aite | May 2012

Everyone wants Mobile Banking including

companies

A recent global survey of treasury executives

suggest that 66 of corporate customers are ready

to use mobile banking which can provide access

to real-time information related to the corporate

environment Customers are willing to pay for

premium services if they can realize efficiencies As

tablets are already part of the C-suite they can boost

adoption by enabling other value added services

Source finextra | May 2012

An analysis of one yearrsquos worth of data of Google

Apps enterprise customers shows us An average user creates 84 DocsSites An average enterprise has 250000 DocsSites

on their domain Compared to on premise solutions the results

are very similar Year over year growth of DocsSites is projected

to be 400 Percentage of DocsSites that are designated

lsquoEverybodyrsquo 55 Percentage of DocsSites that are designated

lsquoPublicrsquo 025 Percentage of Docs Shared Externally 25

Mobile banking

Smartphonatics by Country(Source ACI Worldwide Aite Group)

India

South Africa

Brazil

UAE

China

Italy

Singapore

US

Australia

UK

Sweden

Germany

France

Canada

6042

3734

3127

2420

1816

1110

87

Average Number of External Collaborators 3000

Thinking about the results it seems like enterprise

users have no problems embracing Google Apps

and of course should be mindful of when share

DocsSites with others

Source Forbes | June 2012

When Google Apps go Bighellip What happens

In this section readers will find summaries of the most relevant news of selected topics that have been published over the course of the month based on its relevance to the Banking industry The summaries were prepared by the editorial board Further information is made available for each given topic

Trending issues

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 28: BBVA Innovation Edge. Gamification  (English)

54

Good News Bad News

A recent survey shows consumers want to use

mobile wallets and thatrsquos good news However

consumers clearly prefer PayPal Google and Apple

over banks to provide the solutions In fact 8 of 10

consumers in the survey indicated that they would

use mobile wallets if PayPal offered a service

Banks should heed this wake-up call or prepare for

a future without a mobile wallet

Source MarketWatch | June 2012

When it Comes to Social

Women 2 - Men 1

A recent survey of 2000 Britons (commissioned by

British Telecom) discovered that ldquoover half of female

internet users used social networking websites such

as Twitter and Facebook whilst only 34 per cent of

men surveyed admitted to doing so Similarly out of

those surveyed 18 per cent of women believed that

if the internet no longer existed they would miss

social media websites the most This compares to

just seven per cent of menrdquo

Source The Telegraph | May 2012

Mobile payments

Digital Marketing

Crowd finance

Social Media

The ldquoPinrdquo is Mightier than

According to the 2012 Social and Mobile Com-

merce Study (a joint research project by Shoporg

comScore and The Partnering Group) American

consumers follow an average of 93 retail compa-

nies on Pinterest compared to 85 on Twitter and

69 on Facebook For now when it comes to digital

marketing the Pin is mightier

Source Shoporg comScore amp The Partnering Group | June 2012

The Crowd is Growing Crazy

The Crowdfunding Industry Report from

researchers Massolution reveals that

crowdfunding platforms raised almost $15 billion

funding over one million projects in 2011 They also

say that with current trends the already growing

market is set to double in 2012

Source Massolution | June 2012

FUNDER AND FUNDRAISER ACTIVITYPercentage based on sample of 57 and 47 CFPs respectively

89

7

26

4 5

69

1-2 C

AMPAIG

NS

3-5 C

AMPAIG

NS

gt5 CAM

PAIGNS

FUNDERS FUNDRAISERS

Trending issues

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 29: BBVA Innovation Edge. Gamification  (English)

56 September 2012 | GAMIFICATION 57

The Internet is Becoming Mobile

By 2017 there will be 5 billion mobile

broadband users three times as

many people as are

using that technology today

With faster mobile network

speeds and global coverage

the mobile internet is poised to

deliver new innovative services as the app

ecosystem will surely find a way to create newer and

or better mobile services According to Ericssonrsquos CEO there is

a ldquoshift in power from the network to the handsetrdquo from connectivity to

apps

Source GigaOm | June 2012

Love at First Bite People just love Applersquos iPad A customer satisfac-

tion polls shows that iPad clearly is heads and

shoulder above its competitors when it comes to

wowing the customers Customers are ldquovery satis-

fiedrdquo with Apple (new) iPad - 81 Apple iPad2 - 71 Samsung Galaxy Tablet - 46 Amazon Kindle Fire - 41 Others - 41

Source Computer World | June 2012

App ecosystem New banking concepts

Join amp enjoy

New Gizmo era

Talk to Bank Voice-enabled search is fast becoming a

differentiator especially with smart devices in the

e-commerce space EasyAsk a natural language

technology company launched Quiri in March 2012

Quiri a virtual personal shopping assistent under-

stands both the intent of the search and has deep

knowledge of the content and products within the

e-commerce site Shoppers can use their iPhone 4S

or Android to verbally search sites for products and

the products they are looking for It is like having

a highly knowledgeable personal shopping

assistant for that one store

Source Sacramento Bee | June 2012

Flashback to EVOKE

Though there is a lot of commercial buzz re-

lated to games and gamification today some

are designed to change the world In 2010 the

World Bank launched the EVOKE a game which

motivate players all over the world to come up

with creative solutions to our most urgent social

problems According to the website ldquoEVOKE is a

ten-week crash course in changing the worldrdquo In

this issue of Innovation Edge we pay homage to

one of the pioneers of gamification

Source World Bank | March 2010

Trending issues

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 30: BBVA Innovation Edge. Gamification  (English)

58 September 2012 | GAMIFICATION 59

Connected Cars Solution Market Expected to Exceed $350 million in 5 years

By 2017 according to ABI Research the connected

car market will be about $350 million dollars

growing from $66 million in 2012 Connect Car

solutions include stolen vehicle tracking insurance

telematics infotainment and road user charging

The consumers are asking for a connected lifestyle

and they are asking to be connected to the car

especially the younger consumers

Source ABI | May 2012

Gimme a Hi-Five for health

TldquoFor healthcare delivery wersquore rapidly moving

from a world of inbound patients to a world of in-

bound data The impact of this shift on the health-

care system and how consumers use and act on

health information should not be underestimated

Here are five ways digital apps and smartphones

will transform healthcarerdquo

Improved access to care Improved patient engagement New provider of business models Reduced medicare fraud Improved patient safety

Source Forbes | June 2012

Smart cities + urban mobility

Health

Trending issues

BBVA Innovation Center (Plaza de Santa Baacuterbara 2 Madrid)

13th September | 900ndash1400 h

World renowned experts based on real world ex-

periences would help you ascertain whether or not

gamification is being hyped or is here to stay

Check out the videos and photos of the

event in our web

wwwcentrodeinnovacionbbvacom

Bernardo Crespo Velasco b_crespo

Head of Digital Marketing and Marketing Lab at

BBVA Spain Degree in Management and Econom-

ics from the University of Castilla-La Mancha and the

University of St Andrews He holds a masters in Re-

lational Marketing CRM and e-Commerce at ICEMD

Brian Burke brian_burke

Analyst for Gartner expert in gamification and enter-

prise architecture His groundbreaking work in the

development of federated architectures has been

implemented in hundreds of organizations in both

public and private sectors

Priya Haji priyahaji

CEO and co-founder of SaveUp the first free

rewards program that encourages Americans

to save money and pay down debt while of-

fering a chance to win prizes including a life-

changing $2000000 jackpot Through a fun

and simple approach that employs game me-

chanics SaveUp helps transform the otherwise

mundane activities of savings

Sergio Jimenez gamkt

Sergio Jimenez is an analyst consultant and speak-

er specialized in gamification enthusiastic market-

ing technology and games Mr Jimenez has partici-

pated in numerous projects related to gamification

helping companies of different sectors to introduce

game mechanics in products and service

Gamification amp Banking a passing fad or a serious business

More info

Event

Videos pictures and

all the info

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 31: BBVA Innovation Edge. Gamification  (English)

September 2012 | GAMIFICATION 61

We Innovate to GrowBBVA understands innovation as a source of value

creation both for our group and people In order to

effectively manage its development the group relies

on time tested innovation methodologies which were

co-developed with leading experts around the world

The Open Innovation model adopted by the group

attests that BBVA highly values people and talent re-

gardless where they may be and shows the bankrsquos

willingness to lead the transformation of the financial

industry with total openness and without any borders

The BBVA Innovation Center is the focal point for sig-

nificant and disruptive innovation projects

Furthermore the BBVA Innovation Center is a space

to meet a space to share and above all a space listen

and learn from the innovation ecosystem

Being part of an innovation ecosystem allows BBVA to

be near ideas and talent and to facilitate access to the

worldrsquos leading experts It is also a way to share our

collective knowledge with innovation community

wwwcentrodeinnovacionbbvacom

Follow us

wwwfacebookcomcentrodeinnovacionbbva

twittercomcibbva

wwwyoutubecomusercentroinnovacionbbva

wwwslidesharenetCIBBVA

This month events

More info

More info

Innovation at BBVAFor BBVA innovation is a strategic pillar and the BBVA Innovation Center is a major focal point for the grouprsquos effort in this field

CLOUDSTAGE

September 27th BBVA Innova-

tion Center will host the 8th

edition of Cloudstage an event

focused on the cloud This is a

meeting between profession-

als that want to deal with the

possibilities and development

of the cloud computing

KNOWSQUARE

September 25th BBVA Innova-

tion Center will host the event

Knowsqure an online and off

line network board of direc-

tors The aim of this event is

share experiences and knowl-

edge to improve the manage-

ment of companies

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 32: BBVA Innovation Edge. Gamification  (English)

Produced by Prodigioso Volcaacuten

(wwwprodigiosovolcancom)

BBVA Innovation Edge is the first corporate magazine focused on innovation Innovation Edge aims to explore new trends and technologies that may impact the financial industry especially retail banking

Each edition features articles analysis and in-depth information about a given trend

WEB Articles and sections are available for free on wwwcentrodeinnovacioncom in both English and Spanish

PDF Our website offers pdf versions of the publications for your reading enjoyment online or offline

APP Innovation Edge is also available in Applersquos App Store All issues will be made available for download at the App Store free of chargerdquo

More info

Are you interested in Innovation Edge Subscribe to our newsletter and be informed of new issuescopyBBVA2012

BBVA Innovation Edge is the result of a collaborative work done by all the people who are involved in innovation at BBVA Group

CONTRIBUTORS TO THIS ISSUE

Mariacutea Pilar Aacutelvarez Garciacutea l Javier Anguiano

Javier Benediacute l Alfonso Bey Navarro

Jaime Bisbal l Reyes Bolumar

Javier Borderiacuteas l Bernardo Crespo

Antonio Garciacutea l Eugenio Garciacutea

Rafael Hernaacutendez l Miguel Aacutengel Intildeesta

Beatriz Lara Bartolomeacute l Carmen Loacutepez

Marcos Marrodaacuten Ciorcia l Luz Martiacuten

Ricardo Martiacuten Manjoacuten l Samuel Martiacuten Valentiacuten

Aacutelvaro Moroacuten l Manolo Moure

Jay Reinemann l Alicia Saacutenchez

Javier Sebastiaacuten l Marcelo Soria

Gustavo Vinacua l Shan Ggu ldquoPhilrdquo Yim

DL AS 2498-2012

No part of this publication can be reproduced or communicate in any form or by any platform electronic o mechanic including photocopying recording o any other system of storage and retrieval without permission of the publisher BBVA

  1. Button 11
Page 33: BBVA Innovation Edge. Gamification  (English)
  1. Button 11