lordopus99
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you guys said it point blank. Example of title released at low priced point:
Blowout, Space Channel 5, Haven, .... the list goes on.
Blowout, Space Channel 5, Haven, .... the list goes on.
I think they're finnaly listening. 19.99 new games
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Dustin Echoes
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[quote name='lordopus99']
you did say this... right? Think for a second....Well I will tell you... the budget titles are called Greatest Hits.[/quote]
I think you may have misunderstood his point. I believe he is saying that developers have a set royalty fee they must pay Sony to release a Playstation 2 game. There is no policy from Sony to have this fee lowered if you plan on releasing a budget title. So profit is cut even more and there is a less chance for big profits.
you did say this... right? Think for a second....Well I will tell you... the budget titles are called Greatest Hits.[/quote]
I think you may have misunderstood his point. I believe he is saying that developers have a set royalty fee they must pay Sony to release a Playstation 2 game. There is no policy from Sony to have this fee lowered if you plan on releasing a budget title. So profit is cut even more and there is a less chance for big profits.
[quote name='Cornfedwb'][quote name='TheRaven'][quote name='Cornfedwb']If games really start coming out at $19.99 and $29.99 MSRPs and that becomes the expected price point.. the possibilty of an industry crash will become a reality, and very quickly.
If we won't buy games anymore for $49.99 then the games are going to have to become much less expensive to make (i.e. no cinematics, less testing, less time in development, poorer graphics, etc).. we aren't going to enjoy these low budget games they crank out to sell to us for $20, we are going to stop buying them.. and the spiral will continue till the industry crashes and burns.
So in summary, I consider it a very scary trend.[/quote]
That is not necessarily true at all. And not all games are going to drop to 20. ESPN Football and Outlaw 2 are updates to franchises already in place. Developers just upgrade the graphics some, throw in a few more modes and there's a nice sequel. They would be doing the exact asme work regardless if the game sells for 50 or 20 bucks. You can bet your Final Fantasies, your Halos and a lot of other games will still be churning out at 50. If a game can support a 50 dollar game price, then great. But not a lot of other games can, so why not come out of the gate with a 20 dollar price tag, grab people's attention and possibly make a splash. If sales rise significantly because of it, then its a good move.[/quote]
You apparently ignored my comment about 'if this becomes the expected price point'. I didn't say it was neccesarly a terrible thing, I just said it was scary. And remember, we purchased games for SNES and Genesis at $70-$80 a pop.. now $50 is the expected price.. it isn't unbelievable for the prices to get forced down again.[/quote]
The $50 price point is a scam and the public is beginning to wake up to that. Up until the PlayStation every successful game system was based on mask ROM chips that were orders of magnitude more expensive than the optical media we now use. Where media cost per unit was once measured in tens of dollars for the largest games they're now measured in pennies. Even PS1 games like Riven, which had five CDs, had the same $49.95 list price as most other games. Likewise for Final Fantasy titles spanning four CDs. THe media cost is so minor that it fails to affect the retail price.
"But the games cost a lot to make!" So do movies. In fact most direct to video productions dwarf all but the most expensive games in cost, yet the DVD of these movies sold in the same retail outlets as $50 games are typically priced at only $15-$25.
"But we don't sell as many games as they sell movies!" Might the price have something to do with that? Consumers can do simple math. The installed based of game consoles is constrained by the number of consumers willing to purchase expensive games. Buy a GameCube with a memory card and a second controller. Now, buy three newly released games and you've already exceeded the hardware investment.
When gaame companies base pricing on an equation that weighs installed base of the platform, popularity of the genre, and production costs they all too often get into a self-fulfilling prophecy. This says you cannot reach more than, for example, about 1 million homes with this title so you have to charge $50. This neglects to consider whether a popular game released at $30 instead might reach several times more players since those who normally wait for a used copy or a GH release will be more inclined to simply buy it at SRP soon after release.
The home video industry already played out this same process in the early 80's. Movies on videotape were exhorbitantly priced so as to reach only video rental shops and affluent collectors. THis mad sense to the movie industry because it reflected how they handled movie on celluloid reels but it failed to consider the full potential of the mass market. Paramount got brave, released Raiders of the Lost Ark at a sell-through price of $24.95 and it became to most the then most profitable home video release in the space of only two months.
The numbers are there. It takes just one major player to change the rules and grab the prize.
If we won't buy games anymore for $49.99 then the games are going to have to become much less expensive to make (i.e. no cinematics, less testing, less time in development, poorer graphics, etc).. we aren't going to enjoy these low budget games they crank out to sell to us for $20, we are going to stop buying them.. and the spiral will continue till the industry crashes and burns.
So in summary, I consider it a very scary trend.[/quote]
That is not necessarily true at all. And not all games are going to drop to 20. ESPN Football and Outlaw 2 are updates to franchises already in place. Developers just upgrade the graphics some, throw in a few more modes and there's a nice sequel. They would be doing the exact asme work regardless if the game sells for 50 or 20 bucks. You can bet your Final Fantasies, your Halos and a lot of other games will still be churning out at 50. If a game can support a 50 dollar game price, then great. But not a lot of other games can, so why not come out of the gate with a 20 dollar price tag, grab people's attention and possibly make a splash. If sales rise significantly because of it, then its a good move.[/quote]
You apparently ignored my comment about 'if this becomes the expected price point'. I didn't say it was neccesarly a terrible thing, I just said it was scary. And remember, we purchased games for SNES and Genesis at $70-$80 a pop.. now $50 is the expected price.. it isn't unbelievable for the prices to get forced down again.[/quote]
The $50 price point is a scam and the public is beginning to wake up to that. Up until the PlayStation every successful game system was based on mask ROM chips that were orders of magnitude more expensive than the optical media we now use. Where media cost per unit was once measured in tens of dollars for the largest games they're now measured in pennies. Even PS1 games like Riven, which had five CDs, had the same $49.95 list price as most other games. Likewise for Final Fantasy titles spanning four CDs. THe media cost is so minor that it fails to affect the retail price.
"But the games cost a lot to make!" So do movies. In fact most direct to video productions dwarf all but the most expensive games in cost, yet the DVD of these movies sold in the same retail outlets as $50 games are typically priced at only $15-$25.
"But we don't sell as many games as they sell movies!" Might the price have something to do with that? Consumers can do simple math. The installed based of game consoles is constrained by the number of consumers willing to purchase expensive games. Buy a GameCube with a memory card and a second controller. Now, buy three newly released games and you've already exceeded the hardware investment.
When gaame companies base pricing on an equation that weighs installed base of the platform, popularity of the genre, and production costs they all too often get into a self-fulfilling prophecy. This says you cannot reach more than, for example, about 1 million homes with this title so you have to charge $50. This neglects to consider whether a popular game released at $30 instead might reach several times more players since those who normally wait for a used copy or a GH release will be more inclined to simply buy it at SRP soon after release.
The home video industry already played out this same process in the early 80's. Movies on videotape were exhorbitantly priced so as to reach only video rental shops and affluent collectors. THis mad sense to the movie industry because it reflected how they handled movie on celluloid reels but it failed to consider the full potential of the mass market. Paramount got brave, released Raiders of the Lost Ark at a sell-through price of $24.95 and it became to most the then most profitable home video release in the space of only two months.
The numbers are there. It takes just one major player to change the rules and grab the prize.
Dustin Echoes
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This is true, I remember when DVD first hit, you couldnt find anything under $30 dollars. Now look at it, movies coming out for $15.
hiccupleftovers
CAGiversary!
$20 per football game is reasonable. Hell i would buy one every year. If your think about what happening in sports games it truly isn't any innovation. I mean come on to buy a football game that might hae a few updated rosters, and for EA to switch Dynasty and franchise mode is not worth it. they add a few noew bells and whistles and that's it. the only real time to buy a sports game is at the second or third year of a console because that;s is when they have figured out how to truly work with the system. After that you truly can't tell that there is any differenec between them. Sure their might be a couple new players, but is it really worth it. If it its a new average player, they don't need to even tweek the programming just to put that characters face on another model. I feel this "price war" that Sega has started will get those designers off their lazy asses and start to think of innovation. When EA did Nba Street and NFL Street you saw droves of players come and by them even at their normal price (albeit not CAGs but nonetheless people bought them because they felt they were getting their moneys worth.) this is what they need implement.
CarmenJubei
CAGiversary!
[quote name='javeryh']If this is how its gonna be - I love it... and I will support Sega and whoever else and buy a copy...[/quote]
yea, i love SEGA and I will support them too~ :lol:
yea, i love SEGA and I will support them too~ :lol:
Mishimaryu
Banned
thats good considering were all cheapasses. :lol:
You're"interpretting" what I am saying, not "listening" to "what" I am saying.
Sony does not have an official budget title release plan yet for PS2 games -- meaning, specific low price points, with reduced Sony licensing fees, to encourage the development and sales of games with a low MSRP. A Publisher can set any price they want, but they still have to pay the fixed price per disc fee to Sony, regardless of whether the game sells for $59 or $19, unless they have changed this policy in the past 30 days.
The GH series is not a formal *budget title release plan* according to Sony, but rather a marketing plan, to supply a range of titles available for impulse purchase, and all titles (except VF4:EV) had to sell a specific quantity of titles to be labeled a GH title.
If u have problems with what I am saying, take it up with Sony -- they are the ones who make these policies. Besides, what they hell would I know, I only have 13 years professional experience in marketing and advertising (besides being old enough to be your dad).
Sony does not have an official budget title release plan yet for PS2 games -- meaning, specific low price points, with reduced Sony licensing fees, to encourage the development and sales of games with a low MSRP. A Publisher can set any price they want, but they still have to pay the fixed price per disc fee to Sony, regardless of whether the game sells for $59 or $19, unless they have changed this policy in the past 30 days.
The GH series is not a formal *budget title release plan* according to Sony, but rather a marketing plan, to supply a range of titles available for impulse purchase, and all titles (except VF4:EV) had to sell a specific quantity of titles to be labeled a GH title.
If u have problems with what I am saying, take it up with Sony -- they are the ones who make these policies. Besides, what they hell would I know, I only have 13 years professional experience in marketing and advertising (besides being old enough to be your dad).
bread's done