A perfect business model

Check out Christine Herron’s Top 10 mobile marketing campaigns. In my humble opinion, I believe that NBC’s Lucky Case Game is a rare example of a perfect business model. The Lucky Case Game is only available during the Deal or No Deal broadcast, and for a chance at winning $10,000, players text in the number of the case that they think is the “lucky case”. A winner is randomly chosen from those who correctly guessed the Lucky Case. The winner is even announced live in the TV show. Christine reports that “this mobile content revenue pays for the entire show’s production - and as a result, all of the normal TV advertising becomes gravy.” The question is whether or not this business model will work in the future when text messaging is free and everyone has Google ad-supported phone service. I believe it will (that’s why it’s perfect) for the following reasons:

The biggest reason The Lucky Case Game has legs is that it is essentially a lottery, and a significant number of people will always love and play lotteries, it’s just human nature. The Lucky Case Game isn’t like buying a ringtone or a wallpaper for your cell phone; those business models can and will eventually be disrupted by free content. However, no amount of disruption will ever affect the human desire to strike it rich by getting lucky. For as long as money is important to people, The Lucky Case Game (in some form or another) will always bring in the bucks.

Of course, part of the brilliance of the Lucky Case Game in particular is how well it’s integrated with the hit TV show, Deal or No Deal. It’s a parallel contest that makes sense in the context of the overall show. That’s why I think I love it so much; I get to participate and try my luck. It’s not a one-way, one-size-fits-all, and usually really lame and annoying TV commercial that gets shoved down my throat. I can also play by just texting a message from my cell phone; I don’t even have to get up off the couch! This is the ultimate impulse game.

There’s a sense of urgency from the fact that you have to play while the TV show airs. This is instantly more compelling than a contest that lasts for a long time. Also, it doesn’t cost that much to enter. There’s a $.99 premium text messaging fee per entry. I really wish I knew what percent of the TV show’s audience plays the Lucky Case Game. NBC has to be raking it in though if the game revenue covers the cost of the show. To me, that’s just the coolest thing ever. Players have fun and get a chance to win money while the show makes money and stays on the air. I’d rather be the show of course because the house always wins.

I think this business model could be replicated over and over again. As long as the TV show is good and has an audience, and the mobile texting game makes sense, there will be players. You don’t even have to package it as a game. If you’re a show like American Idol, you can rely on fans who love your show’s contestants. Wow, I just realized that while I’ve never heard any text messaging numbers for the show, American Idol must really be raking it in.

I would love to see an internet TV show that mimics this perfect business model: setup a broadcast time during which your show is watched and the mobile game is played live, and create a compelling reason for people to watch and text in from their cell phones. How cool would it be to have an internet “TV” show/mobile game that was played simultaneously all over the world? You could even alternate the viewing time to make it fair for all countries (the graveyard playing shift would rotate from country to country). Easier said than done, I know, but it’s only a matter of time before someone does it right.