The Plan Europe? Definition(s) Territory Profile Market Business in Europe Licensing Self Publishing QA & Special Thanks

Europe?

Definition(s)

Territory Profile

Market

Business in Europe

Licensing

Self Publishing

QA & Special Thanks

The Speaker Thomas Bidaux GOA.com NCsoft Europe ICO Partners As well as… University: Foreign Language, Literature and Civilisation - English Shakespeare, Marianne Moore and the British and American Civilisations

Thomas Bidaux

GOA.com

NCsoft Europe

ICO Partners

As well as…

University: Foreign Language, Literature and Civilisation - English

Shakespeare, Marianne Moore and the British and American Civilisations

Europe?

Europe?

Europe? Herman Moll - 1708

Europe?

Europe?

Europe?

Political Europe Many definitions Euro-zone (16 countries) EU (27 countries) Schengen (31 countries) Council of Europe (47 countries)

Many definitions

Euro-zone (16 countries)

EU (27 countries)

Schengen (31 countries)

Council of Europe (47 countries)

Euro-zone ██ Eurozone (16) ██ EU states obliged to join the Eurozone (9) ██ EU state with an opt-out on Eurozone participation (2)

European Union

Schengen

Council of Europe

Europe in Numbers (1) Superficy 4 300 000 km² (that’s 1 600 000 sq miles) USA - 3 800 000 sq miles Population 500M in Europe USA - 300M Density 114/km² USA - 31/km²

Superficy

4 300 000 km² (that’s 1 600 000 sq miles)

USA - 3 800 000 sq miles

Population

500M in Europe

USA - 300M

Density

114/km²

USA - 31/km²

Europe in Numbers (2) Currencies 12 Internet Users (%tage of Worldwide users) 28% Europe 18.4% North America Comscore January 2009 Consoles 8.4M PS3 8.9M Xbox 360 16M Wii

Currencies

12

Internet Users (%tage of Worldwide users)

28% Europe

18.4% North America

Comscore January 2009

Consoles

8.4M PS3

8.9M Xbox 360

16M Wii

Europe beyond Numbers Cultural particularities History Metric system Sports No Baseball Football is played using your feet Rugby Cricket (actually…) Comics books :

Cultural particularities

History

Metric system

Sports

No Baseball

Football is played using your feet

Rugby

Cricket (actually…)

Comics books :

Europe beyond Numbers Cultural particularities

Cultural particularities

Europe beyond Numbers Cultural particularities Humour France and Germany Arte TV channel Personal Relationship North vs South Marriage and dating Moving « abroad » Food

Cultural particularities

Humour

France and Germany Arte TV channel

Personal Relationship

North vs South

Marriage and dating

Moving « abroad »

Food

Europe beyond Numbers Religions

Religions

Europe beyond Numbers Faith 94% in the US

Faith

Europe Legal framework Civil law system (except in the UK) European Union regulations Data Protection Extremely regulated Shared trust between EU states Consumer Protection laws Shared Across EU states (not 100% though) Tougher than the US regulations

Civil law system (except in the UK)

European Union regulations

Data Protection

Extremely regulated

Shared trust between EU states

Consumer Protection laws

Shared Across EU states (not 100% though)

Tougher than the US regulations

Europe Game ratings PEGI (32 countries) Voluntary system – legally enforced in a few countries BBFC in the UK for game rated 16+ or more Mainly for retail Nothing on Alcohol, Tobacco or Blood Very quick approval process for 12+ games

PEGI (32 countries)

Voluntary system – legally enforced in a few countries

BBFC in the UK for game rated 16+ or more

Mainly for retail

Nothing on Alcohol, Tobacco or Blood

Very quick approval process for 12+ games

Europe Game ratings

Europe Game ratings USK (Germany) Legally enforced Retail Only A lot of urban legends but… No Swatiska and be careful on WW2 with references Quick approval process (except in the summer) Some examples on the cultural difference:

USK (Germany)

Legally enforced

Retail Only

A lot of urban legends but…

No Swatiska and be careful on WW2 with references

Quick approval process (except in the summer)

Some examples on the cultural difference:

Leipzig Game Convention

Some ratings examples

Europe and Languages 40+ different languages in Europe: Important languages : English (British), French, German, Spanish, Italian, Dutch, Swedish, Danish, Norvegian, Russian, Finnish, Polish, Greek, Russian. Many minor languages: Basque, Breton, Welsh, Gaelic, Corsican, Catalan, Slavic and Baltic languages… And even Latin 3 different alphabets (with variations): Roman Greek Cyrillic

40+ different languages in Europe:

Important languages : English (British), French, German, Spanish, Italian, Dutch, Swedish, Danish, Norvegian, Russian, Finnish, Polish, Greek, Russian.

Many minor languages: Basque, Breton, Welsh, Gaelic, Corsican, Catalan, Slavic and Baltic languages…

And even Latin

3 different alphabets (with variations):

Roman

Greek

Cyrillic

The AZERTY (french) Keyboard

Europe and Languages British VS American: Different spelling Different vocabularies Different sensibilities: Spaztic – Mario Party 8 was removed from shelves Short Shag – Fusion Fall (kid game) haircut description

British VS American:

Different spelling

Different vocabularies

Different sensibilities:

Spaztic – Mario Party 8 was removed from shelves

Short Shag – Fusion Fall (kid game) haircut description

Europe and English

Means of payment (1) SMS high rate popular with kids and teens Higher mobile phone penetration than the US (107 vs 77 per 100 inhabitants in 2006) Credit/Debit Cards Popular with adults (different rates of equipment between countries, generally less than US) Local version very common (Carte Bleue) ELV very common in Germany Bank transfer (high rate of charge back)

SMS

high rate

popular with kids and teens

Higher mobile phone penetration than the US

(107 vs 77 per 100 inhabitants in 2006)

Credit/Debit Cards

Popular with adults (different rates of equipment between countries, generally less than US)

Local version very common (Carte Bleue)

ELV

very common in Germany

Bank transfer (high rate of charge back)

Means of payment (2) Pre-paid cards Paysafe – 210k outlets in 16 countries, 2.7k web shops, 15M transactions in 2008 Wallie – focused on young gamers 9-18, 300k outlets, 1500+ games, 7 countries Premium landline call Popular with kids and for small amounts Direct ISP billing VAT in Europe Based on the country of operation Average is 20% Listed prices are inclusive

Pre-paid cards

Paysafe – 210k outlets in 16 countries, 2.7k web shops, 15M transactions in 2008

Wallie – focused on young gamers 9-18, 300k outlets, 1500+ games, 7 countries

Premium landline call

Popular with kids and for small amounts

Direct ISP billing

VAT in Europe

Based on the country of operation

Average is 20%

Listed prices are inclusive

Means of payment (3) Source – ACNielsen Oct 2005

Means of payment (4)

Means of payment (5) US : 59% (US census bureau) Cash and cheques used a lot in several countries

European Market Popular Online Games

Popular Online Games

European Market PC market In 2008 laptops = 70% of European PC market Netbooks = 10% of the total European PC market 70% of netbooks sales were in Europe in 2008 Netbooks EU market expected to grow from 8M units in 2008 to 50M units in 2012

PC market

European Market Size of the Internet market Broadband lines per 100 inhabitants. 2008

Size of the Internet market

European Market Size of the Market Source: idate September 2008

Size of the Market

European Market Size of the Market WOW Servers

Size of the Market

European Market – MMO Size of the Market (estimates) LOTRO – 50/50 split US/EU Age of Conan – 35/65 split US/EU Runescape – 66/33 split US/EU Guildwars – 45/55 split US/EU EU Estimates

Size of the Market (estimates)

LOTRO – 50/50 split US/EU

Age of Conan – 35/65 split US/EU

Runescape – 66/33 split US/EU

Guildwars – 45/55 split US/EU

EU Estimates

European Market Free to Play Market Driven by browser-based Some succesful client-based Free to Play EU Estimates

Free to Play Market

Driven by browser-based

Some succesful client-based Free to Play

EU Estimates

European Market F2P vs P2P (from 400+ games currently operated in Europe or under development)

F2P vs P2P

European Market F2P vs P2P

F2P vs P2P

European Devs Online Games Studios 173 studios 300+ projects Compared to US : Less VC-backed Less video games background Successful bootstrapped web studios/hobby projects

Online Games Studios

173 studios

300+ projects

Compared to US :

Less VC-backed

Less video games background

Successful bootstrapped web studios/hobby projects

European Devs Prominent Studios

Prominent Studios

European Operators Local actors Codemasters – Lotro, DDO, Jumpgate, Archlord GOA.com – DAoC, WAR, Goa.com Frogster – Runes of Magic, Bounty Bay Online Gameforge – Metin 2, Ogame Bigpoint – Seafight, Dark Orbit Gamigo – Level R, Last Chaos, Shot Online Burda IC – Florensia, Ragnarok, Alaplaya Games Masters – Cabal Online, Perfect World Local subsiduaries Blizzard – WOW NCWest– GW, Lineage 2, City of Heroes Club Penguin – Club Penguin Gala Net – Flyff, Rappelz Aeria Games – Last Chaos, Shaiya, Megaten Nexon – MapleStory, Combat Arms SquareEnix - FFXI

Local actors

Codemasters – Lotro, DDO, Jumpgate, Archlord

GOA.com – DAoC, WAR, Goa.com

Frogster – Runes of Magic, Bounty Bay Online

Gameforge – Metin 2, Ogame

Bigpoint – Seafight, Dark Orbit

Gamigo – Level R, Last Chaos, Shot Online

Burda IC – Florensia, Ragnarok, Alaplaya

Games Masters – Cabal Online, Perfect World

Local subsiduaries

Blizzard – WOW

NCWest– GW, Lineage 2, City of Heroes

Club Penguin – Club Penguin

Gala Net – Flyff, Rappelz

Aeria Games – Last Chaos, Shaiya, Megaten

Nexon – MapleStory, Combat Arms

SquareEnix - FFXI

European gameplay style Service expectations Language Call center Communication/Community

Service expectations

Language

Call center

Communication/Community

European gameplay style Different play style

Different play style

European gameplay style

European gameplay style

European gameplay style

Business in Europe

Business in Europe First consideration Splitting the services Shards? IP Blocking? Legal consideration? Community Management? Marketing opportunities?

First consideration

Splitting the services

Shards?

IP Blocking?

Legal consideration?

Community Management?

Marketing opportunities?

Licensing in Europe Key points to consider Service splitting - required Business model Royalty mechanism IP management Localisation strategy Bug reporting Customer Support policies User feedback processes Global communication/marketing

Key points to consider

Service splitting - required

Business model

Royalty mechanism

IP management

Localisation strategy

Bug reporting

Customer Support policies

User feedback processes

Global communication/marketing

Licensing in Europe Existing actors Codemasters GOA.com Frogster K2 Gala Net Gamigo Gameforge Bigpoint Funcom

Existing actors

Codemasters

GOA.com

Frogster

K2

Gala Net

Gamigo

Gameforge

Bigpoint

Funcom

Self publishing in Europe Expect to spend time on: Legal Community management Localisation Customer Support Billing solutions Server operations Marketing Distribution (for boxes) Recruitment

Expect to spend time on:

Legal

Community management

Localisation

Customer Support

Billing solutions

Server operations

Marketing

Distribution (for boxes)

Recruitment

Self publishing in Europe Where to set up European operations France UK The Netherlands Germany Switzerland Ireland Other? From a US office?

Where to set up European operations

France

UK

The Netherlands

Germany

Switzerland

Ireland

Other?

From a US office?

QA

QA Special thanks to Diane Paysafe & Wallie Kai Bodensiek Idate (Laurent Michaud) Global Collect (Rogier de Boer)

Special thanks to

Diane

Paysafe & Wallie

Kai Bodensiek

Idate (Laurent Michaud)

Global Collect (Rogier de Boer)

Thank you! You can find the presentation from: GDC09 website www.icopartners.com/blog

You can find the presentation from:

GDC09 website

www.icopartners.com/blog