Neopets

Neopets (originally NeoPets) is a virtual pet website launched by Adam Powell and Donna Williams on November 15, 1999. more...

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Six months after the web site was launched, Adam Powell and Donna Williams successfully sold a majority share to a consortium of investors led by Doug Dohring. On 20 June 2005, Viacom bought Neopets, Inc. for $160 million (USD). Neopets consistently ranks as one of the top stickiest sites.

Neopets is based around the eponymous virtual pets that inhabit the virtual world of Neopia. Visitors can create an account and take care of up to four virtual pets, buying them food, toys, clothes, and other accessories using a virtual currency called Neopoints. Neopoints can be earned through playing games, investing in the stock market, trading, winning contests and making your own shop. Users can explore the world of Neopia with their Neopets and interact with each other through the NeoBoards, Neomail, and guilds.

In addition to the main site, Neopets also operates a pay-to-play version known as Neopets Premium, which offers additional features and benefits for a monthly fee of $7.99 (USD). Several issues with the site, such as immersive advertising, gambling-based games, and hacks and glitches have garnered criticism.

History

See also: Neopets, Inc.

Adam Powell started UK-based advertising company Shout! Advertising in 1997, which grew to be the third largest click-through program on the Internet by 1999. He also co-founded Netmagic, an online banner advertising design and sales firm and Powlex Ltd., a web site design firm. While studying at Nottingham University in 1997, he came up with the idea of Neopets. He and Donna Williams, a marketing manager for Shout! Advertising from September 1997 to July 1999 responsible for internet advertising, sales and services, graphic and web design, started creating the site in September 1999, Powell responsible for the programming and database, and Williams the web design and art. The Neopets web site was launched on November 15, 1999.

By Christmas of that year, they were receiving 600,000 page views daily and decided to seek investment to cover the high cost of running the site. The same month, Doug Dohring was introduced to the creators of the site and, along with other investors, bought a majority share in January of the following year. The company Neopets, Inc. was then formed by Powell, Williams and Dohring in April of 2000. The website became profitable in late 2000 mainly due to large advertising revenues. Future revenues were derived from "immersive advertising", touted as "an evolutionary step forward in the traditional marketing practice of product placement" in television and film.

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