Are Club Penguin's days of growth numbered?
An interesting report on social media by the Nielsen group recently found that Club Penguin, the kid-friendly browser-based MMO acquired by Disney last year for a robust $350 million, may be plateauing or even declining in growth in the face of newer, more competitive social media experiences. While the Nielsen methodology is never made expressly clear (and no direct competitors managed to crack the Top 10), the report does indicate that using the same methodology, they found a 250% growth rate year-over-year just last August.
MMO vet Raph Koster is less than surprised by this development, attributing the slight decline in unique visitors more to the increased competition in that space, rather than any specific detriment in Club Penguin itself. Raph speculates that we'll continue to see the market fragment as more kiddie MMOs enter the market. And, judging my store shelves these days, they're coming in droves. While he seems to be of the opinion that the days of these niche MMOs competing in the same arena as MySpace and Facebook are over, that doesn't mean there isn't a lot of money to be made and kids to be entertained.
