Business Models for PC RPGs

[EdwinP]

These days you can't make money selling users a single game through a retailer - unless its a best seller. You need to offer a product that gives you a constant stream of income - either via a monthly feee (i.e. WOW) or a constant stream of expansions that are so low priced that a fan of the game finds it hard not to purchase it.

 

From what I am reading the new Dragon Age Origins business model is to follow the game release with a constrant stream (i.e. monthly) of add-on adventures and enhancements that players can purchase directly from Bioware (EA). The improved toolset will allow their design experts to turn out these high quality enhancements at a minimal cost.

 

This makes perfect sense, a $40 game of which Bioware receives $20 (50%) from retailers can easily become a $100 game of which Bioware receives $20 + $60 in addons. If they later offer a subscription model for these add-ons they will have a guaranteed stream of income for a specific period of time.

 

They are doing what Atari should have done with NWN2 and TOEE. Release a constant stream of direct purchase updates to increase the lifetime value of the product.

 

Take TOEE (Temple of Elemental Evil) for example, here you had a game with the best turn D&D based tactical combat engine of the time. There were no expansions or add-ons (other than the free and idependently developed Keep on the Borderlands by CO8.oRG). The game died, and they did not maximize its potential income.

 

It would have been a relatively inexpensive matter to offer a TOEE subscription package that offered new content monthly to the core package (new classes, spells, NPCs, magical items, races, creatures, quests and adventures) that utilized the existing locations and added new adventure locations for say $9.95 a month - thats about $120 a year - the price of 3 games. If sales did not meet profit projections they could have stopped the subscriptions.

[Deadly_Nightshade]

If games start requiring subscriptions I'll not be buying them - just as I don't buy MMOs.

[crakkie]

These days you can't make money selling users a single game through a retailer - unless its a best seller. You need to offer a product that gives you a constant stream of income - either via a monthly feee (i.e. WOW) or a constant stream of expansions that are so low priced that a fan of the game finds it hard not to purchase it.

Games are still sold through retailers without DLC or subscriptions and make money without being best sellers. NWN2 had 3 expansions.

[Slowtrain]

It's not worth the money. I'm not opposed to the business model per se, although it doesn't strike me personally as a particularly enjoyable way to play a game, but I'll just purchase all the content when it comes out collected onto one dvd at the store. A gold edition of the game or whatever.

[Wrath of Dagon]

I don't think there'll be new DLC monthly. At most they'll do what Bethesda has done.

[Gfted1]

I dont see the appeal of releasing little bits here and there in a small game world (compared to a MMORPG). I mean, are you going to replay the entire game just to get a keep? Or to try a few new spells? Or to get a new item? I dunno, maybe a new race would be worth it, but for me, replaying a single player game has never happened. Even my all time favorite, BGII has a large mod-made expansion come out (whos name escapes me at the moment) with tons of new classes and stuff and I just couldnt get into it enough to experience the same story with only a slight twist. Hell, I cant even bother to level my alts in WoW because I dont want to go through all the old crap again.

[Hurlshort]

ToEE died because it wasn't really a good game. It got bad reviews and had a pretty mediocre reception by the public. DLC would not have done anything to save it. Bioware does not release games in such a state, and that is why they are successful.

 

 

I'm a big fan of the ToEE combat engine, but lets call a spade a spade.

[entrerix]

These days you can't make money selling users a single game through a retailer - unless its a best seller.

 

 

your entire thread is based on this statement, do you have any evidence of this statement being true?

 

so long as your proceeds outweigh your costs (including leases, technology, salaries, marketing, development etc etc etc) you've made money. a game can even do barely more than break even and you're still in the game because you've gained at least the years of salary it took to develop it.

 

how do you define best-seller?

 

was world of goo a bestseller?

 

was nwn 2 a best seller?

 

gears of war?

 

torment?

 

your whole post is just speculation imo

 

edit: another obvious problem with your inanity is that dragon age is going to be a bestseller, regardless of whether it has dlc or not. the dlc isnt what makes it a bestseller, its the quality and marketing.

 

the key to making money is making a good game and marketing it, without going overbudget on your costs, dlc is just bonus on top of that, its not what makes or breaks anything

Edited October 30, 2009 by entrerix

[Volourn]

They will not be releasing new stuff every month.

[Niten_Ryu]

These days you can't make money selling users a single game through a retailer - unless its a best seller.

 

 

your entire thread is based on this statement, do you have any evidence of this statement being true?

 

Less then 30% of the games break even

 

And it's for this generation. If prices stay the same and games sell as much as they do now, in next generation situation will be even worse. Personally I think something need to change but there cerrtainly ain't easy solution.

 

I hate the whole DLC idea for singleplayer games. I don't need extra content unless it's total new adventure like in MotB or GTA 4 (exclusive damnit) DLCs. Content like Wardens Keep or Fallout 3 DLCs mean nothing to me.

[Volourn]

"I hate the whole DLC idea for singleplayer games."

 

Then don't buy them. DLC is there for those who want them.

 

I hate the whole diea of makeup but hey, it's there for those who want it. *shrUG*

[entrerix]

Less then 30% of the games break even

 

 

less than 30% of games are good (imo), so right now i say the success rate is better than it should be.

Edited October 30, 2009 by entrerix

[alanschu]

Do you have evidence of your statement being true?

[entrerix]

google metacritic, look at how many games are above 85%, then look at how many are below.

[alanschu]

What's the metric for a "good game?"

 

Is 80% not acceptable?

 

Have there been games that achieve your metascore but were not profitable? How strong is the correlation?

[lord of flies]

Business model for PC RPGs: Blame poor sales on piracy.

Edited October 30, 2009 by lord of flies

[Nightshape]

What's the metric for a "good game?"

 

Is 80% not acceptable?

 

Have there been games that achieve your metascore but were not profitable? How strong is the correlation?

 

Metacritic sure ain't the best way to define how good a game is, it is misleading.

[Mamoulian War]

These days you can't make money selling users a single game through a retailer - unless its a best seller. You need to offer a product that gives you a constant stream of income - either via a monthly feee (i.e. WOW) or a constant stream of expansions that are so low priced that a fan of the game finds it hard not to purchase it.

 

From what I am reading the new Dragon Age Origins business model is to follow the game release with a constrant stream (i.e. monthly) of add-on adventures and enhancements that players can purchase directly from Bioware (EA). The improved toolset will allow their design experts to turn out these high quality enhancements at a minimal cost.

 

This makes perfect sense, a $40 game of which Bioware receives $20 (50%) from retailers can easily become a $100 game of which Bioware receives $20 + $60 in addons. If they later offer a subscription model for these add-ons they will have a guaranteed stream of income for a specific period of time.

 

They are doing what Atari should have done with NWN2 and TOEE. Release a constant stream of direct purchase updates to increase the lifetime value of the product.

 

Take TOEE (Temple of Elemental Evil) for example, here you had a game with the best turn D&D based tactical combat engine of the time. There were no expansions or add-ons (other than the free and idependently developed Keep on the Borderlands by CO8.oRG). The game died, and they did not maximize its potential income.

 

It would have been a relatively inexpensive matter to offer a TOEE subscription package that offered new content monthly to the core package (new classes, spells, NPCs, magical items, races, creatures, quests and adventures) that utilized the existing locations and added new adventure locations for say $9.95 a month - thats about $120 a year - the price of 3 games. If sales did not meet profit projections they could have stopped the subscriptions.

 

 

yes that's what we realy need... monthly subcription to be able to play single player games... The only thing we need now, is the introduction of downloadable End Boss fights!!!

 

 

"Did you enjoy the game, now we offer to you, the possibility to beat it for only 10$ Buy now the End Boss DLC, from our online store!!!"

 

 

</sarcasm off>

Edited October 31, 2009 by Mamoulian War

[Mamoulian War]

Now i found that they even offer Digital Download Collector's Edition... This is extremely ridiculous...

 

 

yeah this sort of collector's edition will realy shine in my shelf near my Night Vision Goggles, PIP-Boy and Yo****aka Amano's artwork...

 

 

 

EDIT: And please make something with your bad word filtering thingie... if it filter's out the name of one of the best japanese game artists, there is something wrong

Edited October 31, 2009 by Mamoulian War

[Nepenthe]

yes that's what we realy need... monthly subcription to be able to play single player games... The only thing we need now, is the introduction of downloadable End Boss fights!!!

 

 

"Did you enjoy the game, now we offer to you, the possibility to beat it for only 10$ Buy now the End Boss DLC, from our online store!!!"

 

 

</sarcasm off>

 

And people seem to be buying it. And they can't even be console peasants, cos it's the, you know, PC version. What's up with THAT?

[Bos_hybrid]

What's the metric for a "good game?"

 

Is 80% not acceptable?

 

Have there been games that achieve your metascore but were not profitable? How strong is the correlation?

 

360 platform.

 

Assassin's Creed has an overall of 81 on metacritic, it sold 4.53 million.

 

Fable 2 overall 89, sold 3.21 mil.

 

Mass Effect overall of 91, sold 2.08 mil.

 

Fallout 3 overall 93, sold 2.63 mil.

 

Oblivion overall 94, sold 2.84 mil.

 

It seem pretty random to me, I don't think metacritic score has that big of a say in sales numbers.

[Jaesun]

What's the metric for a "good game?"

 

Is 80% not acceptable?

 

Have there been games that achieve your metascore but were not profitable? How strong is the correlation?

 

360 platform.

 

Assassin's Creed has an overall of 81 on metacritic, it sold 4.53 million.

 

Fable 2 overall 89, sold 3.21 mil.

 

Mass Effect overall of 91, sold 2.08 mil.

 

Fallout 3 overall 93, sold 2.63 mil.

 

Oblivion overall 94, sold 2.84 mil.

 

It seem pretty random to me, I don't think metacritic score has that big of a say in sales numbers.

 

Do you have a source for these sales numbers?

[Bos_hybrid]

Do you have a source for these sales numbers?

 

VGchartz.

[Jaesun]

Do you have a source for these sales numbers?

 

VGchartz.

 

Thank you sir.

[alanschu]

What's the metric for a "good game?"

 

Is 80% not acceptable?

 

Have there been games that achieve your metascore but were not profitable? How strong is the correlation?

 

360 platform.

 

Assassin's Creed has an overall of 81 on metacritic, it sold 4.53 million.

 

Fable 2 overall 89, sold 3.21 mil.

 

Mass Effect overall of 91, sold 2.08 mil.

 

Fallout 3 overall 93, sold 2.63 mil.

 

Oblivion overall 94, sold 2.84 mil.

 

It seem pretty random to me, I don't think metacritic score has that big of a say in sales numbers.

 

 

Oh I wouldn't doubt that there is a correlation somewhere. I would bet a lot of money that you have more game sales if you score more than 50% in metacritic compared to below

 

What determines a "good" game is tricky though. And whether or not game buyers want it is also a different story.