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Art or Commerce

Dive into the world of game development and marketing with insights into sales, consumer reach, and industry challenges. Learn from a postmortem analysis of a $30 million loss and discover key considerations for navigating the competitive landscape. Explore the delicate balance between artistry and profitability to achieve success in the gaming market.

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Art or Commerce

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  1. Art or Commerce Bruce Reilly President Mass Bay Marketing LLC

  2. Art Or Commerce • Introduction • Review of Game Industry • The “Sales” Function • TerraGlyph Interactive Postmortem • Or how to lose $30,000,000

  3. Art Or Commerce • Development is compete • Now what?

  4. Art or Commerce • How do we get to the consumer? • Who does that job…?

  5. Who are you…? • Are you big? • First Party – Hardware • Microsoft • Nintendo • Sony • Third Party – Software Publisher • EA • Take Two

  6. Who are you…? • Are you small…? • Publisher Only • Developer Only • Contract Developer • Little room in the middle

  7. Retail Channels • Top Five Accounts • Wal-mart • Best Buy • Target • Electronics Boutique • Game Stop

  8. Retail Channels • How much of the market do they control?

  9. Top 5 Accounts • 75% - 80% of total sales….

  10. Art or Commerce • Before consumer ever sees the game these chain buyers are the gatekeepers… • Much more conservative now. • Batman – Toys R US • Non risk takers

  11. Art or Commerce • How are products selected? • Reputation of Company • Only as good as last game • Past Performance • Why sequels are king • Expectation you can fix a problem • Price protection • Marketing and Advertising funds

  12. Art or Commerce • What doesn’t happen? • Buyers don’t play the games…often • Or have • Spirited discussion of game play • Care about the quality of graphics • Story line • Listen to the music

  13. Art or Commerce • They must trust the person “selling” game • Will ask your opinion… • Must believe “word of mouth” • Can not be PR purchased • Must believe what they see • E3 and Prototypes • Person who actually plays game

  14. Art or Commerce • Why did I call this presentation • Art or Commerce? • Aero The Acrobat • Do I want to make money? • Do I want to make art? • Must do both to survive and be successful!

  15. Art or Commerce • TerraGlyph Interactive Postmortem • $30,000,000 Loss • Lack of Time • First 80% easy • Lack of Internal approval • More like internal deception • Carnivale Beta

  16. Art or Commerce • TerraGlyph Interactive Postmortem • $30,000,000 Loss • Inadequate Content Pipeline • Large Team Problems • Crunch Time • Absolutely • Ruined families and friendships

  17. Art or Commerce • TerraGlyph Interactive Postmortem • $30,000,000 Loss • Technology / Performance • “Thought I could do it…” • Have to appreciate we tried… • Team Problems • Who gets limited resources • When technology waits for art • Quality/Bugs

  18. Art or Commerce • TerraGlyph Interactive Postmortem • $30,000,000 Loss • Publisher Interface • “What does Disney know…” • Contract versus reality • What does it all mean? • How did your projects work…? • Small versus large company

  19. Art or Commerce • What does it mean to you…? • Do it better • Be smarter • Take chances • Don’t settle for the way it’s always been done…

  20. Art or Commerce • For me…Solve this problem… • The ability to allow customers and consumers to play the “game” in 30-45 days • Cost no more than $100,000

  21. Art or Commerce • Questions…

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