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Forums - Sales Discussion - So...I Challenged Michael Pachter in an Email and it seems he responded

Well I don't have pricing information off-hand, so I had to look at software sales and I did say that more third party games were sold on Wii than first party games - that isn't the impression you get at all from listening to most analysts or industry people. As far as I'm concerned Wii is only dangerous for the big publishers who would normally take up the difference in first party strength between Nintendo and Sony/Microsoft which have low-teen figure representation on their systems. The top three publishers for each system might be as a (theoretical) example:

Wii

Nintendo - 38%

EA - 15%

Act-Blizz - 12%

35% for all others

 

PS3

EA - 22%

Sony - 14%

Act-Blizz - 14%

50% for all others

 

But the math is the math worldwide for third party software:

Wii

200m * 0.6 = 120m

PS3

120m * 0.8 = 96m 

 

That 96m market is really only a 48m market since the development costs on average are twice that of Wii development costs.



People are difficult to govern because they have too much knowledge.

When there are more laws, there are more criminals.

- Lao Tzu

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darthdevidem01 said:
Demotruk said:
darthdevidem01 said:

Wow, I'm reading. 

@simulacrum

Please simulacrum, don't say "writted", it's "wrote"! "Do you agree with what he wrote?"!

The bonus round is a show on gametrailers BTW.

Since you're correcting grammar, I hope you don't mind me fixing yours, not completely, but mostly.

I'm not correcting his grammar at all,  I was correcting him because the word "writted" doesn't even exist.

 

What? LOLspeak does exist! it is the language of the LOLcats!

 



“It appeared that there had even been demonstrations to thank Big Brother for raising the chocolate ration to twenty grams a week. And only yesterday, he reflected, it had been announced that the ration was to be reduced to twenty grams a week. Was it possible that they could swallow that, after only twenty-four hours? Yes, they swallowed it.”

- George Orwell, ‘1984’

TheSource said:

That 96m market is really only a 48m market since the development costs on average are twice that of Wii development costs.

Wii titles don't sell for as much as PS3 titles though.



Currently playing on PS3: God of War III

Currently playing on Xbox360: Final Fantasy XIII

Currently playing on NDS: Chrono Trigger

The real question is

WHY didn't he reply back to you The Source?!!

mabe he thinks your right.



All hail the KING, Andrespetmonkey

dolemit3 said:
TheSource said:

That 96m market is really only a 48m market since the development costs on average are twice that of Wii development costs.

Wii titles don't sell for as much as PS3 titles though.

nor 360 titles, therefore makin the argument on unit sales irrelevant. Dollars per sale is what truly matter, and you don't have the information he has.



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The new RE and Dead Space: Ex are kinda poor examples, those might be quality, but I for one would have paid for it had them been full fledged TPS with real effort rather than cash in spin offs.



gansito said:
dolemit3 said:
TheSource said:

That 96m market is really only a 48m market since the development costs on average are twice that of Wii development costs.

Wii titles don't sell for as much as PS3 titles though.

nor 360 titles, therefore makin the argument on unit sales irrelevant. Dollars per sale is what truly matter, and you don't have the information he has.

If we're going that far, it's dollars-costs/sale.



A game I'm developing with some friends:

www.xnagg.com/zombieasteroids/publish.htm

It is largely a technical exercise but feedback is appreciated.

TheSource said:

Well I don't have pricing information off-hand, so I had to look at software sales and I did say that more third party games were sold on Wii than first party games - that isn't the impression you get at all from listening to most analysts or industry people. As far as I'm concerned Wii is only dangerous for the big publishers who would normally take up the difference in first party strength between Nintendo and Sony/Microsoft which have low-teen figure representation on their systems. The top three publishers for each system might be as a (theoretical) example:

Wii

Nintendo - 38%

EA - 15%

Act-Blizz - 12%

35% for all others

 

PS3

EA - 22%

Sony - 14%

Act-Blizz - 14%

50% for all others

 

But the math is the math worldwide for third party software:

Wii

200m * 0.6 = 120m

PS3

120m * 0.8 = 96m 

 

That 96m market is really only a 48m market since the development costs on average are twice that of Wii development costs.

Right... but how many products/investments did it take to generate the total 3rd party revenue?  Its more on the Wii than the PS3, and the PS3 projects share a good portion of the dev cost with the 360 SKUs, usually.  The PS3/360 games obviously share advertising budgets as well.

Its not about total revenue.  Its investment/return.  On top of that, the safer a project is, the better the invester feels about it, as well.  Wii investments are very sporadic relative to HDs, or have been thus, to date.  You could argue that's because the 3rd parties try too hard to bring the Wii demographic into the traditional game console "realm", and don't try hard enough to make their casual games worth playing... but they also lack the muscle of Mario and the Wii name to sell their products -- and that's a huge detriment.



 

The Source = A beast



I see where Pachter is going. Making an AAA game on Wii - assuming it's a traditional console game like Left 4 Dead - will not likely make great sales and not the type of sales developers would be looking for, for that type of investment.

3rd Party games that sell 1m plus are (by and large) more casual in nature and a great many of them get to that total at reduced prices (Lego Star Wars). In comparison a game like L4D should easily break 1m on HD consoles at full price.

Most successful 3rd party games are well known (and by well known I mean known outside of gaming circles) brand from Star Wars and Resident Evil (both movie franchises) to Deal or No Deal to Dance Dance Revolution and Guitar Hero. Even Call of Duty fits that mode as it's big enough even non-gamers have heard of it.

A Grand Theft Auto game would sell reasonably well as it's a well known brand to everyone (whether they played it or not) but almost any other 'known' gaming IP is still unknown to the Wii audience.

With Nintendo, EA and Activision taking 65% of the Wii pie, that doesn't leave much for everyone else considering how many titles there are on Wii.

If I was a developer I'd either go for a Boom Blox type game (fun and accessible for all) or find a dedicated niche to mine like NMH is doing. I sure wouldn't put a God of War type and quality game on Wii.