Re: Call of Duty Black Ops Discussion Thread.
spindoctor said:
rockstar had nothing to do with the pricing of gta 4. that was a business decision by 2k games. as to why they did it... they probably reckon that some little revenue is better than nothing. which is a great attitude to have, but understand that the revenue they got was absolutely tiny.
suppose they sold 1000 copies of gta 4. do you imagine it could be more? at 500 bucks a piece, that's a total of 5 lakhs in revenue. now subtract the cost of importing the game, clearing customs, packaging, distribution, distributor's profit. also, did you know that india has dedicated authentication servers for the game? yea, the cost of that came out of that 5 lakhs. how much profit do you think 2k got out of this deal?
let's be unrealistic and presume they got all that money as profit. 5 lakhs is about 10,000$. that's the revenue they get from selling 166 console copies in america. a game like gta4 is guaranteed to sell 10 million copies and they know it. tell me how much they care about the revenue equivalent of 166 copies?
if you think my estimate of 1000 copies sold is too low, double it. triple it. how about 10,000 sales? you think there are 10,000 people in india who bought gta4? and even if there are, their total revenue generation is the equivalent of 1700 console copies in america. according to wikipedia, gta 4 has sold 17 million copies. how much do you think they care about the revenues they get from releasing the pc version in india?
don't be under any illusion... they are doing us a huge favor by releasing games for 499. it makes very little business sense to do what they do... don't expect everyone should just follow suit.
I know you are just taking some random numbers to give an example, but you are grossly wrong when it comes to those numbers and procedures involved in getting the games in India.
Games are not imported. Not anymore. Discs, packaging everything happens right here for most publishers. There is no logistical costs of all that involved anymore.
Costs of setting up game servers as well is no as high as you make it out to be. Keep in mind these are corporations and not the end user. So you even try to guess the actual costs these companies have to endure for that. Its very very less than your average consumer level server rental charges.
To top it off, you underestimate the buying power of Indian consumers. If its priced right it sells. It sells hugely even though it might be very small % of the population. We have enough people who will buy good titles at something less than Rs.1k. Why do you think EA is enjoying more than decent success in India.
Hell the shop from where I buy games sold more than 100 GTA 4 copies in first few weeks alone. I know 10 people in my friend circle alone who got original Mafia II. Price does make a lot of difference in Indian market.
I own a lot of games, but I have also skipped some major titles only because they were priced on par with US pricing in India as well.
I am not poor and I can afford fancy hardware, but I would rather wait for those special offers that pop up during holiday season or one of those steam game pack sales than to buy a pc game at 2499/-
I wont think twice before spending 10 times that much on a GPU, but I wont spend that much on game.
Hardware is something you cant live with. Games, you can skip or delay.
I have close to 100 original game titles with me. And I have only paid over 2000 once and that was for an exceptional game
Game cost is one of the reasons I am yet to embrace consoles.
Publishers have to understand the Indian market. There is a good market if price is right and if they ignore India, its their loss.
Nobody is doing us any favors, its just business. It might not give short term results, but if they have to tap the indian market. they have to start at low pricing.
Steam is the perfect platform for publishers to start selling games at low prices for Indian consumers. close to half my titles are on steam. And I prefer it that way.