Killzone 2 has £2million advertising budget in the UK

[theRepublic]

kowenicki said:

theRepublic said:
From what Sven of Capcom said about advertising the other day, it sounds like Sony is expecting around £20 million in gross sales of Killzone 2 in the UK.

how much profit is that?

 

It's a tough call, but I'll go through all the reasoning to see what estimate we can come up with.

The info from Capcom said that the company average advertising budget for a game is roughly 9-12% of the expected gross sales of a game. So a £2 million dollar advertising budget means that they expect sales of around £20 million for the game.

At £40 a game, that means Sony thinks that the game will sell 500,000 copies in the region.

I have heard that third parties get around $20-25 dollars per game sold. That is in US currency where games are $60 for the PS3. Since this is a first party game, they should get more since they don't pay licensing fees. I'm going to round that to $30, which is half of the total price. Assuming that logic holds true for the UK, I'll guess that £20 of every game sold goes to Sony.

So multiply 500,000 by £20 and you get £10 million. Subtract the £2 million ad budget, and that leaves you with £8 million in profit net revenue for the region.

Keep in mind that this is a rough estimate. Feel free to correct me on this.

EDIT:  That is an estimate of the expected net revenue for the region.  It is not profit.