Just over a year ago, Mercedes Benz launched in Second Life, creating an island to play host to its brand. While the company says it has taken away key learnings, received positive feedback, and led over 10,000 conversations with its branded avatar, as of today, it's closing down shop in the virtual world. This isn't a reaction against virtual worlds for marketing, though.
The Mercedes Benz blog notes that "This brief and exciting foray into virtual communities brought us several essential realisations and the conviction that 3D worlds play a vital role as engaging communication channels. We will continue to monitor this theme and keep you updated on any new developments."
That's similar to the tone of AOL's announcement, when it decided to shut down its branded island in Second Life back in December.
As Nic Mitham notes over at K Zero, one of the biggest insights for Mercedes is that branded islands are a tough row to hoe: "Holistically, if your branded island doesn’t get visitors then the strategy was flawed and you should close it anyway."
Another I'd add is that one of the biggest benefits of being a first-mover in virtual worlds marketing is the learning. There's likely more announcements to come along these lines, as brands move past their first builds in a virtual world. If they're telling the truth, though, the next year will bring even more announcements of more focused and effective second builds.






Arguably, Mercedes would say that, wouldn't they? But then, if one of the key learnings is "Don't touch virtual worlds with a 100-foot pole" it may not be quite so positive. Or perhaps this was one of the "essential realisations."
While promoting the use of virtual worlds by RL companies, I remain deeply skeptical about the efficacy of marketing in Virtual Worlds. In the last 18-24 months we've witnessed many, many different attempts - but I can't think of any that have been an outrageous success. Maybe Nic, and a few other marketing consultants, have a few faves up their respective sleeves. But I would like to see a more objective assessment.
On the plus side, while there's a few high profile leavers, there's many more starters, from many more countries.
Posted by: Aleister Kronos | March 18, 2008 at 10:02 AM
Was this a surprise? No.
From the moment LL announced that corporations or their reps could own virtual land in SL and operate from them, the goal should have been to use that opening in a way few corporations have even tried. The biggest learning for everyone should be how, as a group, high-paid "creatives" in the advertising and marketing world failed to adapt.
Posted by: csven | March 18, 2008 at 12:39 PM
I feel sad that I didn't even know Mercedes Benz was there, such to have now left!
Did they have freebie vehicles? Anybody have a copy?
I don't know why something that big and rich and powerful in RL could somehow not get traffic in a place filled with characters who would love to park a Mercedes in their virtual garages.
So, hmm, what was it?
o Did they check off the search box for
$30 a week to generate search/places traffic, which accounts for most traffic and sales? Did they give their welcome landing area the name "Mercedes Benz" or was it still stuck with a metaversal service agency name/owner?
o Did they have their own named island with the brand name to show up in the sim search list?
o Did they run a weekly classified for at least $50 with select and constantly improved key words, including all major foreign languages?
o Did they have any live music or fashion events?
o Did they give away stuff?
o Did they sell stuff? (People like paying sometimes more than taking freebies!)
o Did they staff the island at all, even for "office hours"?
o Did they have an interactive objects that helped you shop for the real cars, possibly by customizing them on a conveyor belt and seeing their 3-D image (like Dell)?
o Did they do something stupid and get in the Herald?
These are all the MUSTS of any virtual corporate presence. Every base must be tagged.
We can help. Especially that "do something stupid and get in the Herald" part.
Posted by: Prokofy Neva | March 18, 2008 at 01:13 PM
hi prokofy. a's to your q's
No
Yes
No
Yes
Yes
No
Yes (sometimes)
No
Possibly - they launched a golf game.
Posted by: nic mitham | March 18, 2008 at 01:57 PM
For want of a nail...I'm telling you, a simple thing. Check off the "search" box in the "about land" menu, press on the top of your game screen, tab over, it's less than a penny a week, most sales come from search/places.
Posted by: Prokofy Neva | March 18, 2008 at 06:08 PM