Hello everyone. I had this question which I extract from a competition online application form. But I do not know how and where to make research on it! I never really study marketing subject before. Any help please! Just assume my game is similar to Diablo 2. What is the market for your product? Tip: This is a really important section. You should describe your target market (who you are aiming the product at), who will buy it etc, remembering to justify your choice. Show that you have done some research by including some facts and figures and ideas of how you would get the product to market? I not really know how to start with? Oh my, If i face this question in future, how am I suppose to answer it? Please help! Thank you. Regards, Chua Wen Ching "Very new to games I think"

This question is obviously important. The answer to your question will determine the estimated amount of cash your game will generate when it will hit the shelves.
Behind that question, there are two questions:
- What kind of player is the game aimed at (man/woman, kid/adolescent/grown-up, core gamer/casual gamer, ...) ?
- Are there any competitive products (list here all the games that have the same gameplay as your game) ?

Both help to determine the depth of the market: the maximum amount of cash your game may generate.
The first question help to determine the number of potential players and their spending profile (what amount of cash do they spend each year on games). You may just walk to your nearest game store and ask the manager who he is selling games to and what is the mean amount spent on games per month or years. You may also walk to your library and see if there is already some articles of marketing magazines on the video game market (I have always found at least one article in any kind of library - you may check on the internet too like Gamasutra). If you have some money, you could order a Nielsen market analysis of the video game market (it is costly but thorough...)

The second question help to determine the number of players who will be interested in your game. This one is a little more tricky to determine. It involves a honest comparison of your game with all the competitors (is there anything in your game that will determine a player to buy it rather than buy Diablo). It also involves an appreciation of your target player: if your player is a fan of the Diablo2 type of games, he will buy almost all the Diablo2 kind of games. However, if he is not a fan, he may buy one Diablo 2 type of game but the best. Be also aware that the fan players represent a very small part of the players who do buy the type of game(more like 1 %).

Once you have answered both questions you know approximately the maximum number of players who may buy your games. Statistically, be aware that only 5% of that number will buy your game depending on the price of your game in relation to the spending amount of players and the added value of your game compared to the competitors (meaning it may be more than 5 % and it can be much less).

How do you determine your game price ? Simple, you just need to remember to at least pay for your costs.
When you design, program and test your game you spend time. In my company (it is a bank) the time spent by a developper on a program for test, program and design is estimated at $600 per day. To determine your cost, you may also check on internet the article on the annual salary of game programmers and dividing it by 220 working days.
I''ll give you an example with imaginary figures, and will let you make some researches to get the correct figures:
Let''s say you take 30 days to make your game, it will have cost you 30*$600 thus $18000. You programmed a Diablo2 clone with no real added value, chances are that very few people will be interested in your game. Let''s say you target for hardcore Diablo2 fan gamers and Diablo 2 sold for 1 million copies the first year: your pool of interested players will be 10000 players (1% of fan players). From these only 5% may statistically buy your game, your final market depth will be 500 players.
To cover your costs, the minimum price for your game will be $36 ($18000 / 500 players). Do not forget to add promotion costs and shipping costs. When you compare that price to what price your target audience is willing to pay, can you still sell your game or do you need to improve its added value ?

This explains two things in the video game industry:
- the famous everchanging features list: each time a new competitor game hits the shelves with new features, you must implement them to keep an edge when you will sell you game. The corollary is the rush of game development: you need to get your game on the shelves as fast as possible so as to avoid a competitor to sell a game with great added value before you.
- the abandonned game projects: there are many great ideas and great game projects, but as soon as the development price is too important compared to what your target audience is willing to pay for, the project is abandonned.

Hope that helps.
Ghostly yours,
Red.

Thanks Red.

That is pretty clear. Thanks again. I will make a huge extensive research on that.

Anyway about the annual salary of a game programmer, any recommended site. I am worried to get a fake website give wrong numbers!

Hehe.

Do i need to make research on the publisher side?

Regards,
Chua Wen Ching

"Very new to games I think"

I would suggest you to check on Google. A few months earlier, there was an article advertized by Flipcode and Gamedev regarding the annual report on game programmer wages. It would not be too difficult to find that article back.
Besides, maybe there also was a mention of that article on Gamasutra.
Hope that helps.
Ghostly yours,
Red.

GameDeveloper magazine does yearly salary listings, I think those are also published on Gamasutra. That''s probably the biggest and most consistent source for facts you''re likely to find on this topic.

hth,

(My projects and ramblings...)