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Roblox immersive advertising may arrive sooner than expected

A recent code update shows Roblox immersive advertising, which includes things like in-game pop-up shops and billboards, may arrive soon

Roblox immersive advertising may come to the platform soon. The image shows a billboard advertising a movie within a Roblox game.

In an exclusive interview with Bloomberg, Roblox CEO Dave Baszucki recently announced the platform would launch its foray into Roblox immersive advertising before the end of the year. However, it looks like that rollout could take place in the sandbox game sooner than many expected.

The newest Roblox software update shows a script that contains references to ‘AdGui,’ which some developers speculate is the first clue that these immersive advertising features are on the horizon. If developers are correct, its inclusion shows the company is taking steps to begin testing and advertising such ad content on the platform. 

In the interview, Baszucki describes the forthcoming ad platform as “visionary” and says it’s “immersive and native and actually feels fun rather than getting in the way of our players.” The timing would be ripe for the platform to include such features, as Roblox failed to reach its earnings projections for Q2 2022, which caused the stock to drop significantly. Drawing on the fact that Roblox use is growing among young adults, Baszucki also noted immersive advertising experiences tend to monetize better with older users, who tend to spend more money on digital experiences.

“This has been a vision for a long time,” Baszucki said in the interview. Immersive advertising refers to things like billboards or pop-up shops in the town centre on a platform. He said the company is optimistic these things will add to the Roblox experience rather than detract from it. 

Brands spending money on Roblox-based activations do so to build a brand experience into something fun and immersive. This differs from other, more common digital advertising methods such as display ads or ad retargeting on social media platforms. Those still have a role in the advertising ecosystem, but digital activations benefit from being less intrusive and allowing users to engage positively with the brands.

Baszucki sought to soothe investor concerns by noting that July was Roblox’s biggest month ever in terms of users and engagement, with 4.7 billion hours of engagement on the platform and 58.5 million daily active users. Touting the draw of the metaverse, he shared that he considers Roblox more of a “utility people use in their daily lives,” which separates it from a game or gaming platform.

He also says the company’s recent growth is driven by “amazing content,” “the core virality of the platform,” and “constant technical innovation,” speaking to things such as layered clothing and spatial audio. 

Immersive advertising could be a game-changer for Roblox’s revenue model. Most immersive experiences exist within Roblox worlds built by development teams and are limited to companies that can afford the time and budget to invest in them, such as Gucci and Tommy Hilfiger. A widespread ad platform could make it easier for all companies to take advantage of immersive advertising experiences. Creators of smaller games could also leverage immersive advertising for additional income within their own games.

Ultimately, it’s still unclear how Roblox will handle its in-experience advertising. Regardless, it will be interesting to see how the company has chosen to take advantage of emerging technology to build out its advertising. 

It’s possible players will soon find the new advertising throughout Roblox. Be on the lookout for immersive ads in the games on our list of the best Roblox games in 2022. Remember to also visit our Roblox promo code list for August for some free swag, and look for our Roblox music promo codes for August for songs to listen to while you explore everything the platform offers.