Questions for Economics report (volunteers please)
Hello, Gamedev.
I'm writing a report for an economics class in which I need to feature an "interview" with someone who works in the game industry. The questions are more business oriented than programming, so it would be great if someone with experience in the management side of things would answer them, but any engineering/programming lead response would be excellent. Other than that, you may answer them as you see fit.
Final Note: I realize that posting a large list of questions is rude, and I apologize. I have trimmed them down to just the ones that I can't answer with common sense, and those that are the most interesting to me, so you can rest assured in the fact that I will use your answers to the fullest.
The Questions:
1.) How do you determine the amount of demand for the type of game you plan on making?
2.) If this is under your control, how do you decide on how many units to produce at launch?
3.) How do you attempt to set yourself apart from your competition?
4.) Why did you choose to enter in the game industry?
5.) When starting a company/large project what are some major obstacles that you would face in the game industry?
6.) What is the most challenging thing about being a manager/lead?
7.) If I wanted to start a new company in the game industry, what resources would you say are most important to my success?
8.) Finally, do you have any interesting anecdotes regarding your experience in the business of game development?
Thank you for your time.
Hi Corp, you wrote:
1.) How do you determine the amount of demand for the type of game you plan on making?
I don't do that myself, but I've observed how this works. Executives from sales, marketing, and international put their head together, consider the concept, and base their estimates on the current market, trends, and their experience.
2.) If this is under your control, how do you decide on how many units to produce at launch?
It's not, but this is essentially the same as question 1 above.
3.) How do you attempt to set yourself apart from your competition?
I'm not answering this for myself. I'm answering this as if "you" is "a game publisher" (How do game publishers position themselves apart from their competition.)
One way to do it is by specializing. A company may specialize in one genre or a franchise or a platform. Another way to do it is by focusing on quality. Another way is to be innovative.
4.) Why did you choose to enter in the game industry?
It happened accidentally. I was in the toy industry, then it just kinda happened that I had switched into games.
5.) When starting a company/large project what are some major obstacles that you would face in the game industry?
Getting funding is the biggest one. Most upstarts, I mean startups, take the wrong approach - they focus their efforts on one concept, hoping to get funding to take that one concept to fruition. But the thing they ought to do instead is develop that concept not as an end in and of itself, but as a means to another end - to become a developer and get project deals.
6.) What is the most challenging thing about being a manager/lead?
Managing egos, managing expectations, managing workload, budget, and schedule.
7.) If I wanted to start a new company in the game industry, what resources would you say are most important to my success?
Experience, experience, and experience.
8.) Finally, do you have any interesting anecdotes regarding your experience in the business of game development?
Yes, I do.
Good luck with your project!
Tom
1.) How do you determine the amount of demand for the type of game you plan on making?
I don't do that myself, but I've observed how this works. Executives from sales, marketing, and international put their head together, consider the concept, and base their estimates on the current market, trends, and their experience.
2.) If this is under your control, how do you decide on how many units to produce at launch?
It's not, but this is essentially the same as question 1 above.
3.) How do you attempt to set yourself apart from your competition?
I'm not answering this for myself. I'm answering this as if "you" is "a game publisher" (How do game publishers position themselves apart from their competition.)
One way to do it is by specializing. A company may specialize in one genre or a franchise or a platform. Another way to do it is by focusing on quality. Another way is to be innovative.
4.) Why did you choose to enter in the game industry?
It happened accidentally. I was in the toy industry, then it just kinda happened that I had switched into games.
5.) When starting a company/large project what are some major obstacles that you would face in the game industry?
Getting funding is the biggest one. Most upstarts, I mean startups, take the wrong approach - they focus their efforts on one concept, hoping to get funding to take that one concept to fruition. But the thing they ought to do instead is develop that concept not as an end in and of itself, but as a means to another end - to become a developer and get project deals.
6.) What is the most challenging thing about being a manager/lead?
Managing egos, managing expectations, managing workload, budget, and schedule.
7.) If I wanted to start a new company in the game industry, what resources would you say are most important to my success?
Experience, experience, and experience.
8.) Finally, do you have any interesting anecdotes regarding your experience in the business of game development?
Yes, I do.
Good luck with your project!
Tom
-- Tom Sloper -- sloperama.com
Quote: 1.) How do you determine the amount of demand for the type of game you plan on making?Same answer as Tom. It should be noted that sales projections can sometimes be quite flexible. I have seen numerous occasions where the sales dept give their projections but when theses are put into the Return on investment spreadsheet the project doesn't make enough money - so the sales dept simply increase their sales projections until it works. - in other words there is a large degree of personal opinion/preference involved. If the team like the game and believe it will sell they will make the projects fit.
Quote: 2.) If this is under your control, how do you decide on how many units to produce at launch?Guesswork combined with pre-sales.
Quote: 3.) How do you attempt to set yourself apart from your competition?Through the product range you sell and the brand marketing/PR that you do.
Quote: 4.) Why did you choose to enter in the game industry?I was busy playing games and my father asked me why I didn't "do something useful" instead, so I went and got a job... playing games. Rapidly moved from testing to production to management.
Quote: 5.) When starting a company/large project what are some major obstacles that you would face in the game industry?Lack of experience and lack funding.
Quote: 6.) What is the most challenging thing about being a manager/lead?The people you have to manage.
Quote: 7.) If I wanted to start a new company in the game industry, what resources would you say are most important to my success?Experience, funding, understanding of how the industry works as a business, understanding of who the customer is, understanding of the importance of marketing.
Quote: 8.) Finally, do you have any interesting anecdotes regarding your experience in the business of game development?Yes but my Doctor says I shouldn't upset myself so I can't tell you them.
Dan Marchant - Business Development Consultant
www.obscure.co.uk
www.obscure.co.uk
I'm currently in an industry that is closely related to games, but work with game developers and publishers.
Sales data from previous games are often used to predict performances of sequels or similar games. But as Tom and Dan stated, it's mostly guesswork. And it's more so on very innovative games. Some companies will make pre-sales and make some predictions from the results (remember DOOM3?). One other method is to do regional launches and gather data from that to extrapolate to other regions based on sales data from other games.
See above. I'll add that timing is also important. Some titles tend to sell well at XMas while others have a less seasonal sales pattern. It depends mostly on genre and target market. There is also other product launches you need be aware of. Big titles tend to be announced way ahead of time; it's both used to ramp up demand and send a signal to industry not to launch a new product in the same time window.
Same as any other product: product features, PR, distribution, price. The game industry tends to have more emphasis on product features.
For me personally, it's keeping my humanity intact. Big corporations tend to make robots out of you; budgets, resources, and deadlines control your everyday actions. If you don't pay attention to the human side then the people you lead suffer and the thing you are fighting for collapses.
Management saavy, a large and receptive market for your product, and money. In that order. Management comes first and far ahead of the other two.
A quote from a collegue a long time ago. "This is a content-driven industry. Whatever you do, the last guy you want to piss off is the content developper".
-cb
[Edited by - cbenoi1 on April 13, 2006 9:38:22 AM]
Quote: 1.) How do you determine the amount of demand for the type of game you plan on making?
Sales data from previous games are often used to predict performances of sequels or similar games. But as Tom and Dan stated, it's mostly guesswork. And it's more so on very innovative games. Some companies will make pre-sales and make some predictions from the results (remember DOOM3?). One other method is to do regional launches and gather data from that to extrapolate to other regions based on sales data from other games.
Quote: 2.) If this is under your control, how do you decide on how many units to produce at launch?
See above. I'll add that timing is also important. Some titles tend to sell well at XMas while others have a less seasonal sales pattern. It depends mostly on genre and target market. There is also other product launches you need be aware of. Big titles tend to be announced way ahead of time; it's both used to ramp up demand and send a signal to industry not to launch a new product in the same time window.
Quote: 3.) How do you attempt to set yourself apart from your competition?
Same as any other product: product features, PR, distribution, price. The game industry tends to have more emphasis on product features.
Quote: 6.) What is the most challenging thing about being a manager/lead?
For me personally, it's keeping my humanity intact. Big corporations tend to make robots out of you; budgets, resources, and deadlines control your everyday actions. If you don't pay attention to the human side then the people you lead suffer and the thing you are fighting for collapses.
Quote: 5.) When starting a company/large project what are some major obstacles that you would face in the game industry?
7.) If I wanted to start a new company in the game industry, what resources would you say are most important to my success?
Management saavy, a large and receptive market for your product, and money. In that order. Management comes first and far ahead of the other two.
Quote: 8.) Finally, do you have any interesting anecdotes regarding your experience in the business of game development?
A quote from a collegue a long time ago. "This is a content-driven industry. Whatever you do, the last guy you want to piss off is the content developper".
-cb
[Edited by - cbenoi1 on April 13, 2006 9:38:22 AM]
Quote: Original post by CorporateAmerica
1.) How do you determine the amount of demand for the type of game you plan on making?
Executives do it. They work with the publishers. I imagine that they have contracted out some market research, and performed their own.
Quote: Original post by CorporateAmerica
2.) If this is under your control, how do you decide on how many units to produce at launch?
Not under my control.
Quote: Original post by CorporateAmerica
3.) How do you attempt to set yourself apart from your competition?
That's really not my job. I suggest features that I like, features that I think might be innovative, and discover features during development -- but ultimately those decisions rest with those higher up in the pecking order.
Quote: Original post by CorporateAmerica
4.) Why did you choose to enter in the game industry?
I was addicted at age 5. I learned just enough basic on our home computer that I managed to set the screen all 16 colors. It took me (I remember this) 160 lines of code. 9 lines per color, plus another 16 lines for odds and ends. My older brother came home from Jr. High, and showed me how to do it in about 15 lines using a loop. I was amazed.
In second grade, two of my friends and I decided we wanted to make games because they were fun. In fifth grade, the three of us shocked our teacher by showing an Apple IIe game that we wrote which the other kids in the class loved. The rest is history.
Quote: Original post by CorporateAmerica
5.) When starting a company/large project what are some major obstacles that you would face in the game industry?
Management and experience. Bad management can kill a good project in its infancy, and a single project getting killed for any reason, internal or external, causes smaller studios to close up shop.
Quote: Original post by CorporateAmerica
6.) What is the most challenging thing about being a manager/lead?
Keeping up on everything, and maintaining my health. It is surprisingly hard to keep current (every day) on what others in the team are doing, making sure that the tasks help reach the final goal, ensuring that everything gets done, and so on. It is also easy for me to become so involved that I neglect my health. I have had more illness in the past two years than I have had in a long time. Part of that is that I come in to work when I am slightly ill, and it turns into bigger problems.
One problem I don't have is spending time with my family. I decided long ago that I *will* be home by 6:30 regardless of the deadlines, and I will leave at 5:02 if the tasks are not critical. It doesn't matter if we are in a meeting, my watch beeps at 5:02 and I tell people it is time for me to go home. If I am in the middle of programming, I will type in some notes to get me going the next day, and let the work wait. I can come in early in the morning, but I won't miss the family time.
Quote: Original post by CorporateAmerica
7.) If I wanted to start a new company in the game industry, what resources would you say are most important to my success?
Experience and understanding. Programming skills come in near the bottom of the list because (hopefully) you are already skilled at programming. Effective management, marketing, and research are all critical.
Quote: Original post by CorporateAmerica
8.) Finally, do you have any interesting anecdotes regarding your experience in the business of game development?
Polish it. Polish it until it is beautiful. Then market it effectively. People have successfully bottled their own waste and sold it for a small fortune. Artists have smeared crap on paintings and sold them because it was polished and marketed effectively. Some games are worse than that, but if you polish them enough and market them well, they will sell.
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