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We’ll get started 
shortly. 
www.igda.org 
9/03/2014
Welcome to IGDA’s Webinar 
Wednesday! 
 What is Webinar Wednesday? 
• www.igda.org/webinars 
 Reminders 
• This session ...
Publishers: Who Needs Em? 
Panelists – Short Presenter Intro 
Global Games Market Projections 
Down and Dirty Business ...
Publishers: Who Needs Em? 
David Edery 
Twitter: 
@djedery 
Tom Buscaglia 
Twitter: 
@thombusc 
Justin 
Berenbaum 
Twitter...
Newzoo 
9/03/2014 
www.igda.org
Traditional Retail Model 
Wholesale 
(Gross Revenue to Publisher) 
$48.00 
Cost of Goods (Includes 1st Party 
Royalty) 
-$...
Digital Distribution Revenue Model 
Retail Price 
(Gross Revenue to 
Publisher/Developer after platform 
Fee - ~30%) 
$10....
How Publishers See Developers? 
From The Far Side by Gary Larson 
9/03/2014 
www.igda.org
How Much Do You Need? 
9/03/2014 
www.igda.org
Come Get Your Cheese? 
www.igda.org 
Risk vs. Reward 
9/03/2014
What is the Holy Grail? 
•Money and Get Out of the Way 
•Marketing and Get Out of the Way 
•What is the perfect deal? 
9/0...
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IGDA Publishers Webinar - Video Games - Panel Discussion sept 3-2014

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Business & Legal
Publishers: Who Needs Em
There was a time when having a publisher was essential to being a successful game studio. They had access to the retail distribution channels essential to getting your game into the hands of end users. But those days are gone...long gone. Digital distribution changed all that. According to a recent news story, 92% of PC game sales were done via digital distribution. Next-gen console distribution is not far behind either. So, who needs publishers? Our panel will look into the scope of benefits that a publisher can bring to bear on a games launch and look into what, if any, value publishers bring to the table in this brave new world.

Published in: Business
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IGDA Publishers Webinar - Video Games - Panel Discussion sept 3-2014

  1. 1. We’ll get started shortly. www.igda.org 9/03/2014
  2. 2. Welcome to IGDA’s Webinar Wednesday!  What is Webinar Wednesday? • www.igda.org/webinars  Reminders • This session is being recorded. • You will be able to hear me but I will not be able to hear you. • But I have a question!  Recording of the presentation can be found at http://youtu.be/pLGxMbDqEX 4 www.igda.org 9/03/2014
  3. 3. Publishers: Who Needs Em? Panelists – Short Presenter Intro Global Games Market Projections Down and Dirty Business Models Publishers View of the World Selling Your Soul (IP Ownership) Come Get Your Cheese The Holy Grail Comments/Questions www.igda.org 9/03/2014
  4. 4. Publishers: Who Needs Em? David Edery Twitter: @djedery Tom Buscaglia Twitter: @thombusc Justin Berenbaum Twitter: @scslug www.igda.org 9/03/2014
  5. 5. Newzoo 9/03/2014 www.igda.org
  6. 6. Traditional Retail Model Wholesale (Gross Revenue to Publisher) $48.00 Cost of Goods (Includes 1st Party Royalty) -$10.00 Variable Sales & Marketing (Commissions, MDF’s, Trade, etc.) -$9.00 Gross Profit Per Unit (before Dev. Costs) $29.00 Licensor Royalties - (if any) Developer Royalties 5% to 20% of Profit Model seems OK, assuming you can move most of your units at full MSRP…and no returns/price protection Retail Price = $60.00 + Tax 9/03/2014 www.igda.org
  7. 7. Digital Distribution Revenue Model Retail Price (Gross Revenue to Publisher/Developer after platform Fee - ~30%) $10.50 Cost of Goods (Includes 1st Party Royalty) -$0.00 Marketing (Commissions, MDF’s, Trade, etc.) -$0.00 Gross Profit Per Unit before Dev. Costs, Q/A, LOC, Ratings, etc. $10.50 Licensor Royalties - (if any) Developer Profit $10.50 Model seems OK, assuming you can move most of your units at full price but… Retail Price = $15.00 9/03/2014 www.igda.org
  8. 8. How Publishers See Developers? From The Far Side by Gary Larson 9/03/2014 www.igda.org
  9. 9. How Much Do You Need? 9/03/2014 www.igda.org
  10. 10. Come Get Your Cheese? www.igda.org Risk vs. Reward 9/03/2014
  11. 11. What is the Holy Grail? •Money and Get Out of the Way •Marketing and Get Out of the Way •What is the perfect deal? 9/03/2014 www.igda.org

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