When you think of Neopets, you might imagine it as just a digital version of Tamagotchi, a 90s-era website where users could take care of virtual pets. But Neopets was much more than that. It taught a generation of young people how to use computers, introduced them to social networking before MySpace and Facebook, and even gave them a taste of the stock market. Its success was largely due to its unique approach to business.
Let’s travel back to 1999, a time when the internet was becoming a household staple. About half of all homes had personal computers, and people were starting to see the internet as a valuable tool. Yahoo was the top search engine, and Google was just getting started. Many people were creating their own websites on platforms like Geocities or sharing their thoughts on LiveJournal.
Adam Powell and Donna Williams saw an opportunity. They felt that the internet didn’t offer enough interactive experiences. Adam, a skilled programmer, was inspired by Pokémon and thought, “Why not create something similar online?” This idea led to the creation of Neopets, a virtual world where users could create and customize their own digital pets.
Unlike Tamagotchis, Neopets didn’t die if you neglected them. Instead, they encouraged users to return to the site to care for them, all while being exposed to advertising. Neopets created a vibrant world called Neopia, where users, known as “Neopians,” could explore areas like Mystery Island and Terror Mountain.
The site even had its own newspaper, the Neopian Times, which featured cartoons and articles about the Neopian economy. To take care of their Neopets, users played games to earn Neopoints, which could be used to buy food, costumes, toys, and even homes for their pets. Users could also buy Petpets for their Neopets and Petpetpets for those Petpets!
Neopets quickly became popular, with more than 500 people signing up every day. Adam and Donna realized they needed help to grow the site further. That’s when Doug Doering, a marketing expert, stepped in. He and his partners bought the site, allowing Adam and Donna to focus on creativity while Doug handled the business side.
Neopets was a pioneer in immersive advertising, where players encountered ads within the game world. This included characters like the Trix Rabbit and locations inspired by sponsors like Cartoon Network. Despite some concerns from parents about the casino-like games, Neopets was becoming a valuable learning experience.
By 2005, Neopets had 25 million users worldwide and was getting over 2.2 billion page views each month. Viacom, a major entertainment company, bought the site for $160 million. Neopets encouraged users to learn basic HTML to customize their pet pages, teaching them coding skills.
Neopets also had a digital stock market called Neodax, where users could invest Neopoints in fictional companies. Many young users became skilled at managing these virtual investments, often working together to influence stock prices.
However, as the internet evolved, Neopets faced challenges. By 2011, it had reached an incredible 1 trillion page views, but competition increased, and user engagement dropped. Neopets was sold in 2014 to an educational company, but the transition was difficult, leading to a data breach affecting millions of users. By 2016, the site was described as a ghost town.
In 2017, Neopets was acquired by another company, and it began to show signs of life again with new updates and events for players. Today, Neopets still has over 283 million pets and around 100,000 daily active users. Its legacy remains as a pioneering site that offered much more than virtual pets, providing lessons in coding and finance without users even realizing it.
If you ever had a Neopet, maybe it’s time to log back in and feed it!
Imagine you are Adam Powell in 1999. Design your own virtual pet, complete with a unique name, appearance, and special abilities. Draw your pet and write a short description of its personality and the virtual world it lives in. Share your creation with the class and explain why your pet would be popular among users.
Participate in a classroom simulation of the Neopian economy. You’ll be given a set amount of “Neopoints” and can earn more by completing tasks or winning games. Use your Neopoints to “purchase” items for your virtual pet. Reflect on how managing Neopoints helps you understand real-world economics.
Learn the basics of HTML by customizing a simple webpage for your virtual pet. Use HTML tags to add images, change text styles, and create links. This activity will help you understand how Neopets encouraged users to learn coding skills. Share your webpage with classmates and discuss the coding process.
Engage in a classroom stock market game inspired by Neodax. You’ll invest “Neopoints” in fictional companies and track their performance over a week. Work in teams to analyze trends and make investment decisions. Discuss how this activity mirrors real-world stock market strategies and the importance of teamwork.
Participate in a debate about the role of advertising in games like Neopets. One side will argue that immersive advertising enhances the gaming experience, while the other will discuss potential negative effects on young users. Prepare your arguments and engage in a respectful debate, considering both perspectives.
Here’s a sanitized version of the provided YouTube transcript:
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You might think of Neopets as nothing more than an internet-based Tamagotchi, a 90s-era webpage that allowed users to care for pixelated creatures. But what if I told you that it trained a generation of 13-year-olds to become skilled computer programmers or that it broke new ground in social networking before MySpace and Facebook? These digital creatures taught an entire generation of kids to be computer savvy and even got them well-versed in the stock market. Part of its success was due to its unique business model.
Welcome to the show where we take a look back at some of the most influential pop culture stories and events from your childhood. I’m Erin McCarthy, and in this case, I’m not too sure people realize just how influential our subject really was. Neopets was the Trojan horse of early websites—a seemingly simplistic interactive pet simulation that became something much bigger.
To understand how Neopets made such a big impact, we need to look back at the internet of 1999. By the end of the 1990s, personal computers were in roughly 50% of households, and people were getting accustomed to the internet as a valuable resource. Yahoo was the premier search engine, and Google was still in beta testing. Enterprising users were building their own websites on Geocities or sharing their thoughts on LiveJournal.
Adam Powell and Donna Williams thought they were being underserved by the internet’s limited interactive offerings. Their focus was on building a platform for university students that might generate income from banner ads. Adam, a capable programmer, took inspiration from Pokémon and had an idea: why not create something similar on the web? The result was Neopets, a virtual pet utopia where visitors could build different cyber pets, customizing their gender, color, and breed.
Unlike Tamagotchi, Neopets wouldn’t drop dead from neglect. These colorful creatures encouraged users to return to the site to care for them while being exposed to advertising. Neopets created an infrastructure that made everything feel more real. Users were dubbed “Neopians,” and the characters lived in a flash-animated world called Neopia, divided into areas with names like Mystery Island and Terror Mountain.
The game even had its own newspaper, the Neopian Times, featuring everything from cartoons to editorials about the Neopia economy. If you owned a Neopet, you had to play games to earn credits known as Neopoints, which could be redeemed for food, costumes, toys, and tiny homes for your pets. Users could even buy pets for their Neopets, called Petpets, and pets for those pets, known as Petpetpets.
Once users built up a stash of digital currency, they could share their virtual wealth with others and join guilds based on various interests. Neopets only offered nine pets when it launched in November 1999, but it quickly gained traction, with more than 500 people signing up daily. Traffic started to double every week, and Adam and Donna saw potential for growth.
They needed someone to take Neopets to the next level, and that’s when Doug Doering, a marketing research firm founder, entered the picture. He and his partners bought the site, allowing Adam and Donna to focus on creativity while Doering concentrated on business. Doering was a member of the Church of Scientology, which influenced Neopets’ development.
Neopets helped pioneer immersive advertising, where players encountered in-world advertising rather than traditional banner ads. This included characters like the Trix Rabbit and locations modeled after sponsors like Cartoon Network. While some parents were concerned about kids earning or losing Neopoints through casino games, Neopets was quickly becoming a learning experience.
By 2005, Neopets had registered 25 million users worldwide and was garnering over 2.2 billion page views monthly. Entertainment giant Viacom purchased the site for $160 million. Users had to have some skills beyond just accessing the internet; they could customize their Neopets pages using basic HTML, which encouraged learning coding skills.
Neopets also featured a digital currency called Neodax, resembling the Nasdaq stock market. Users could invest their Neopoints in fake companies and track their fortunes. Many young users became adept at managing virtual investments, often collaborating to drive stock prices up.
Neopets was a safe online hub for its era, and it maximized profits through various means, including merchandise and a planned feature film. However, as the internet evolved, Neopets faced challenges. By 2011, it had reached a staggering 1 trillion cumulative page views, but competition grew, and user engagement declined.
Neopets was sold in 2014 to an educational company, but the transition was rocky, leading to a data breach affecting millions of users. By 2016, the site was described as a ghost town. However, after being acquired by another company in 2017, Neopets began to show signs of life again, with new updates and events for players.
Today, Neopets still has over 283 million pets and around 100,000 daily active users. Its legacy remains as a pioneering site that offered much more than virtual pets, providing lessons in coding and finance without users even realizing it.
I’m Erin McCarthy. Thanks for watching! If you had a Neopet, leave a comment and maybe log back in to feed it. We’ll see you next time!
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This version removes any potentially sensitive or controversial references while maintaining the essence of the original content.
Computers – Electronic devices that process data and perform tasks according to a set of instructions called programs. – Example sentence: Computers have become essential tools for students to complete their homework and research projects.
Coding – The process of writing instructions for a computer to execute, using a programming language. – Example sentence: In our computer class, we are learning coding to create our own simple websites.
Internet – A global network of interconnected computers that allows users to access and share information. – Example sentence: The internet is a valuable resource for finding information on almost any topic imaginable.
Users – Individuals who interact with computers or software applications to perform tasks or access information. – Example sentence: Software developers must consider the needs of users when designing new applications.
Virtual – Existing or occurring on computers or on the internet rather than in the physical world. – Example sentence: Many students attended virtual classes during the pandemic, using video conferencing tools.
Pets – In the context of computers, virtual pets are digital creatures that users can care for and interact with on electronic devices. – Example sentence: My sister loves playing with her virtual pets on her tablet, feeding them and watching them grow.
Games – Interactive software applications designed for entertainment, often involving challenges or puzzles. – Example sentence: Many teenagers enjoy playing video games online with friends from around the world.
Advertising – The activity of promoting products or services through various digital platforms to reach potential customers. – Example sentence: Online advertising is a common way for companies to reach users who spend a lot of time on the internet.
Economy – The system of production, distribution, and consumption of goods and services, which can be influenced by technology and digital markets. – Example sentence: The digital economy has grown rapidly with the rise of e-commerce and online services.
HTML – Hypertext Markup Language, the standard language used to create and design web pages. – Example sentence: We learned how to use HTML to build the structure of a webpage in our web development class.
