Sign in to follow this  
IDamiez

Indie Dev Question . . .

Recommended Posts

IDamiez    106
For indie developers that wish to develop games on platforms like Microsoft XNA and WIIWARE, im nearly a hundred percent sure that the company that owns the console takes a percentage of all earnings when its selling copies in their virtual stores . . can anyone tell me the exact percentages? Also, how much money does it cost exactly to produce a wiiware/XNA game. *assuming you already have an artist and a programmer and have no need to buy content for your game* im guessing costs for an SDK, DevKit, and im predicting Licencefee all contribute to the deduction. Lastly, how are things like this handled in retail sales? please summarize how much money it would cost for an indie dev team to produce a retail game. assuming the price will be $60 like new ps3 games, is there some kind of 10$ deduction in net income or what id like to know these things . . . . thank you for taking the time to read through this . . . i know i wouldn't . . :/

Share this post


Link to post
Share on other sites
Obscure    175
Quote:
Original post by IDamiez
For indie developers that wish to develop games on platforms like Microsoft XNA and WIIWARE,. . can anyone tell me the exact percentages?

Yes, Nintendo and Microsoft can tell you exact % for their systems.

Quote:
Also, how much money does it cost exactly to produce a wiiware/XNA game.

Sorry but no one can answer this question except you. Every game is different, every team is different. The cost will depend on how big/complex your game is to make, what salaries you pay your team and what other overheads you incur. Only you know what game you are making so only you can calculate the cost.

Quote:
please summarize how much money it would cost for an indie dev team
to produce a retail game. assuming the price will be $60 like new ps3 games, is there some kind of 10$ deduction in net income or what id like to know these things....

See the answer above then add a load of additional costs for manufacturing, pr & marketing, sales incentives and co-marketing contributions that make in unfeasible for indies to get games into retail.

Retail shelf space is very expensive so retailers will only stock games that they believe will sell a lot. That means games with a significant marketing spend. Indie developers seldom have enough money for development costs, let alone anything left over to pay for marketing. Only publishers that can afford large budgets for development and marketing get games into retail.

Share this post


Link to post
Share on other sites
kdog77    229
MS and Nintendo deduct a distribution fee for every unit downloaded. This is the cost of publishing on their platforms. Their cut is at least 30% of the net sales price (e.g. if the game is sold for $10, you get $7).

I'd have to second Obscure's comment that the cost of a retail PS3 game is beyond the capabilities of a small indie team. Your assumption that you would retain $50 after $10 deduction on a $60 game is 180 degrees wrong. You'd be lucky to see $10 in net profit (if you ever managed to get shelf space). Here are some articles discussing the economics of retail publishing:

http://games.ign.com/articles/708/708972p1.html

http://www.crispygamer.com/features/2009-09-23/the-60buck-dilemma.aspx

These articles miss some key costs in factoring a developer's share, but you start to get the point. It's too damn expensive for small companies to compete with large multi-billion dollar video game producers for the shelf space.

Companies like Best Buy, Gamestop, Wal-Mart, Target etc. require vendors to maintain certain revenue and insurance levels to even get a meeting with their buyers. You would also need operational capacity to handle ordering product, shipping it to retail and processing invoices/returns etc. This is not the type of info that you can just pick up and understand by reading an online forum. If you want to become a publisher, then you should go work for one and learn how that side of the business is conducted. If you want to make games for retail then you should find a publisher with the experience and capital to distribute your product.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

Sign in to follow this