| puffy said: MadWorld will be a flop to Sega if they don't profit from the title.. Let's have a guess at how likely that is.. We know that the average cost of developing a GameCube game was between $3 and $6 Million so lets pretend that Wii development is a bit more expensive say between $4 and $8 Million. I think everyone that has played MadWorld would agree that it probably didn't have massive levels of funding and so we'll put it a $5 Million just to be on the safe side. How about marketing? Throw in another million I guess.. So Sega has to get over $6 Million from the title otherwise it's a flop. How many copies would it have to sell then? Going by this information: For a $49.95 RRP title, a 3rd-party publisher will make around $17-$20 per unit. For a $39.95 RRP title, a 3rd-party publisher will make around $13-$15 per unit. It's safe to put the %Revenue for Sega for each copy sold to be at 30% - Just to be on the safe side.. Now I also want to make another accomodation for the sceptics and assume that all sales are made at a price point of $35 after the first 100k in sales. Fair enough? OK so let's work out how much revenue Sega made from those first 100k and we'll for the lower estimate at $17 per unit on this one. 100k*$17 = $1,700,000 So now we have $4.3 Million left.. lets see how many copies of MadWorld would need to sell at the $35 price point going by 30% revenue off of each copy.. 4,300,000/10.5 = 409,523. WAIT WHAT? MadWorld would need a total of 509,523 copies to break even?? Are you Wii fanboys kidding me? That's assuming up until 500k: - $1 Million was spent on marketing/executive level expenses - The game costed around $5 Million to make - The average cost of the game was $35 after the initial 100k Hmm looks like Sega might make some profit doesn't it guys. |
well, anyway Sega said they were happy with MadWorld sales and it's one of the most successful title of ex-Clover ever











