Greedy Webkinz Annoys Parents, Trashes Brand

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One of the greatest online success stories of the past two years, Webkinz, has suddenly threatened its brand and annoyed its most important constituency (parents) by bombarding kids with ads.

The Webkinz model was simple and brilliant: sell kids a $15 stuffed toy and invite them into a virtual world where their toy exists as an avatar. The concept was so successful that the Webkinz site has jumped to 7 million uniques in October, up 800% year over year and more than twice the size of kiddie site Club Penguin, which Disney recently bought for about $700 million.

But now Webkinz has quietly added ads to its site, and parents feel ambushed and pissed. As Louise Story reports in the Times, many Webkinz parents are threatening to bar their kids from using the site, thus threatening the good will and business value Webkinz' Toronto-based producer Ganz has built over the past two years.

The answer? If Ganz really needs the money, it should immediately eliminate the ads and charge more for the toys. Specifically, it should add "accessory" packages that allow kids to do more in the virtual world. Otherwise, it should just kill the ads, sit back, and collect cash.


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8 Comments


It now seems that Webkinz are after even more money from unfortunate parents. I run a popular uk parenting website and over the last month we've had problems with a group of spammers who've been 'social marketing' Webkinz.com via fake forum topics and replies.

Caught them out by IP tracking, but this sort of thing is unethical, and frankly damages their brand even more once outed (thanks for the sounding board, btw ;))



Webkinz Lover said:
Webkinz has only added ads for movies. it gives away free items on webkinz. the new ads that are going to be added are "mom approved".

Come on People Everyone advertises,Do you not watch T.V. WEbkinz is one site children can safely go to without worry.Kids neeed to be taught they can not have everything they want or see.We love webkinz at our house, we have a rule you can only get one for special occations or holidays.They are working on improvements which will cost money.

A very angry parent said:
Webkinz is probably bordering on antitrust.

It is UNFAIR and UNETHICAL to "corner" a captive audience of "minors" by:

1. forcing kids, after having bought tens of Webkinz the first year, to "continue" to buy one webkinz EVERY year or the "poor" kid's account will expire...

2. "dangling" the carrot with false advertising. They tell a kid, you won this... or you have that... BUT in order to get it, you must go and buy this or that accessory... This is UNCONSCIONABLE... This CRUEL!...

I really hope that there is a legal way to file a class action lawsuit to fine Webkinz, send rebates to ALL kids who bought webkinz and wer subjected to such abusive antics... and finally FORCE Webkingz to adhere to ETHICAL business practices to avoid breaking the hearts of children...

Tailor Made said:
As a parent with two kids whom between them have a dozen of these critters...the sooner it implodes the better.

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