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Getting the Best Publishing Deal
for your Game
Getting the Best Publishing Deal
for your Game
Louis René Auclair, 18 years experience in video
games. Recently acted as Vice President and
Chief Marketing Officer at Hibernum where I was
responsible for marketing and business
development. Also oversees all developers and
publishers relations and plays a major role in the
creative design for all of the studio’s projects.
Louis René Auclair, 18 years experience in video
games. Recently acted as Vice President and
Chief Marketing Officer at Hibernum where I was
responsible for marketing and business
development. Also oversees all developers and
publishers relations and plays a major role in the
creative design for all of the studio’s projects.
Evaluate Your ProjectEvaluate Your Project
What Are you Making?Let’s Take a Closer Look at Our IndustryLet’s Take a Closer Look at Our Industry
Projected Revenues for 2021 in $B with Growth vs 2016
0
23
45
68
90
-10 % 13 % 35 % 58 % 80 %0
Mobile Games
MMO/MOBA Games
Console Games
PC-Hardware
Console
Hardware
Web Games
PC (non MMO/
MOBA Games)
Games Advertising
eSports
VR Hardware
AR Games VR Games
INVESTMENTS
CONSOLIDATION
Let’s Focus on the Mobile MarketLet’s Focus on the Mobile Market
Top Grossing Charts Have Become Entrenched By AAA Publishers With AAA Budgets.
What	It	Takes	To	Compete	
● $5MM+	development	budgets.	
● Branded	content.	
● multi-year	development	cycles.	
● 3	years	live	operation	plans.	
● Multi-million	marketing	and	user	
acquisition	budgets. Source:	AppAnnie
Top 100 Grossing
[USA] [iOS] [2016]
Grossing
IndependentPublisher
Top Grossing - Impossible To Penetrate
90
10
Much Easier To Break Into The Top 100 Downloads Than The Top 100 Grossing
What	It	Takes	To	Compete	
● Virality	and	social	hooks.	
● Branded	content.	
● Adaptation	to	market	changes.	
● Simple	gameplay	loops.	
● Platform	featuring.	
● Simplistic	game	design.
Source:	AppAnnie
Top 100 Download
[USA] [iOS] [2016]
Downloads
IndependentPublisher
58
42
Hope Resides in a Different Metric
Source:	EEDAR
Easy To Get There, Remaining There Is The Problem
New Games Per Month in Top Download Charts
[USA] [iOS] [Data Starts 4/2015] [New Game = First month in monthly top 100 downloads]
19%
MONTHLY
CHURN RATE
IN TOP 100
However, Churn Rates are AN ISSUE
Not a Lot of Options in Mobile
Build a Big Boat or a Small, Agile One!
Not a Lot of Options in Mobile
Build a Big Boat or a Small, Agile One!
Or Innovate… But Innovation has a Cost.Or Innovate… But Innovation has a Cost.
One Last Thing: Know your Strengths
Analytics
Gatcha
Multiplayer
Social / Virality
QA/Localization
Game Services
Marketing
Customer Support
Notifications
Back-End
Ad Mediation
User Acquisition
Platform Relations
Crash Monitoring
A/B Testing / Insights
ASO
Submissions
KPI Optimization
Legal
Studio Financing
Circle Back: Know your Strengths
Your game needs to be good!!!
Now you are Ready to go and Find your
Publishing Partner!
Where do you Start?
Now you are Ready to go and Find your
Publishing Partner!
Where do you Start?
Welcome to Publisher Shopping!Welcome to Publisher Shopping!
Competing
Accommodating
Avoiding
Compromising
Collaborating
Negotiation TechniquesNegotiation Techniques
• Competing
• Accommodating
• Avoiding
• Compromising
• Collaborating
• On paper from the very beginning
• Set in stone once signed
• Initial terms mirror final terms
• Evolves with negotiations and
production needs
• Can be amended throughout the
relationship
• Final terms are subject to change
FlexibleUnchanging
Philosophy of the Deal
• On paper from the very beginning
• Set in stone once signed
• Initial terms mirror final terms
• Evolves with negotiations and
production needs
• Can be amended throughout the
relationship
• Final terms are subject to change
FlexibleUnchanging
Philosophy of the Deal
Upside: benefits or income
as a result of the deal
Parties want to maximize
upside
Risk: exposure to the
chance of loss
Parties want to avoid risk
Sharing Risk and UpsideSharing Risk and Upside
• Risk: exposure to the chance of
loss
• Parties want to avoid risk
• Upside: benefits or income as a
result of the deal
• Parties want to maximize upside
• What	do	you	bring	to	the	table?	
• What	does	the	other	party	provide?	
• What	would	make	you	end	negotiations?
Using Your Leverage
• What do you bring to the table?
• What does the other party provide?
• What would make you end negotiations?
Using Your Leverage
Ownership of Assets
Marketing
Termination
Revenue Split
Specific Common IssuesSpecific Common Issues
• Approvals
• Ownership of Assets
• Marketing
• Termination
• Revenue Split
• Budget as a recoupable advance against royalties
• Publishers handled all development related expenses
• No royalties until development budget fully recouped
• Could result in development budget being kept artificially low to increase
royalties and decrease payout timeline
“Traditional” Model“Traditional” Model
• Budget as a recoupable advance against royalties
• Publisher handles all development related expenses
• No royalties until development budget fully recouped
• Could result in development budget being kept artificially low to increase
royalties and decrease payout timeline
“Break-Even” Models
Disadvantages
Advantages
Disadvantages
Advantages
“Break-Even” Models
• Feels more like a true partnership
• Quicker potential to royalties
• Feels more like a true partnership
• Quicker potential to royalties
• Feels more like a true partnership
• Quicker potential to royalties
• Potentially lower royalty rate
• Lower dev rate to get to break even
point faster
“Burn Rate” Deals
DisadvantagesAdvantages
“Burn Rate” Deals
DisadvantagesAdvantages
• Feels more like a true
partnership
• Quicker potential to
royalties
• Lower risk of studio
running out of cash
• Ability to focus on the
game and not cut
corners
• Feels more like a true
partnership
• Quicker potential to
royalties
• Potentially lower
royalty rate
• Gives a lot of visibility
to the publisher over
the developer
DisadvantagesAdvantages
Dev Fee/Financing HybridsDev Fee/Financing Hybrids
DisadvantagesAdvantages
• Potentially lower
royalty rate
• Lower dev rate to get
to break even point
faster
• Potentially lower
royalty rate
• Lower dev rate to get
to break even point
faster
• Studio brings more
leverage to the table
• Quicker
reimbursements of
dev fees for royalties
• Revenue are split
with more partners
• Decrease of focus
from publisher if
royalties are too low
Disadvantages
Advantages
Pure Financing (with No
Publishing Obligation)
Disadvantages
Advantages
Pure Financing (with No
Publishing Obligation)
• Potentially lower
royalty rate
• Lower dev rate to get
to break even point
faster • Potentially lower
royalty rate
• Lower dev rate to get
to break even point
faster
• More liberty to run
your studio and game
• Allows team and
studio to grow on
multiple fronts • Lack support and
help
• Removes focus from
game
Or Innovate… But Innovation has a Cost.
Whatever you Decide, Keep your FocusWhatever you Decide, Keep your Focus
Louis René Auclair, 18 years experience in video games.
Recently acted as Vice President and Chief Marketing Officer
at Hibernum where I was responsible for marketing and
business development. Also oversees all developers and
publishers relations and plays a major role in the creative
design for all of the studio’s projects.
Using Your LeverageLet’s Talk!
Louis René Auclair
President & Founder
louis@rocketjumpgames.co
+1 (514) 679-1440

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How To Find The Best Publishing Deal For Your Video Game | Louis Rene Auclair

  • 1. Getting the Best Publishing Deal for your Game Getting the Best Publishing Deal for your Game
  • 2. Louis René Auclair, 18 years experience in video games. Recently acted as Vice President and Chief Marketing Officer at Hibernum where I was responsible for marketing and business development. Also oversees all developers and publishers relations and plays a major role in the creative design for all of the studio’s projects. Louis René Auclair, 18 years experience in video games. Recently acted as Vice President and Chief Marketing Officer at Hibernum where I was responsible for marketing and business development. Also oversees all developers and publishers relations and plays a major role in the creative design for all of the studio’s projects.
  • 4. What Are you Making?Let’s Take a Closer Look at Our IndustryLet’s Take a Closer Look at Our Industry
  • 5. Projected Revenues for 2021 in $B with Growth vs 2016 0 23 45 68 90 -10 % 13 % 35 % 58 % 80 %0 Mobile Games MMO/MOBA Games Console Games PC-Hardware Console Hardware Web Games PC (non MMO/ MOBA Games) Games Advertising eSports VR Hardware AR Games VR Games INVESTMENTS CONSOLIDATION
  • 6. Let’s Focus on the Mobile MarketLet’s Focus on the Mobile Market
  • 7. Top Grossing Charts Have Become Entrenched By AAA Publishers With AAA Budgets. What It Takes To Compete ● $5MM+ development budgets. ● Branded content. ● multi-year development cycles. ● 3 years live operation plans. ● Multi-million marketing and user acquisition budgets. Source: AppAnnie Top 100 Grossing [USA] [iOS] [2016] Grossing IndependentPublisher Top Grossing - Impossible To Penetrate 90 10
  • 8. Much Easier To Break Into The Top 100 Downloads Than The Top 100 Grossing What It Takes To Compete ● Virality and social hooks. ● Branded content. ● Adaptation to market changes. ● Simple gameplay loops. ● Platform featuring. ● Simplistic game design. Source: AppAnnie Top 100 Download [USA] [iOS] [2016] Downloads IndependentPublisher 58 42 Hope Resides in a Different Metric
  • 9. Source: EEDAR Easy To Get There, Remaining There Is The Problem New Games Per Month in Top Download Charts [USA] [iOS] [Data Starts 4/2015] [New Game = First month in monthly top 100 downloads] 19% MONTHLY CHURN RATE IN TOP 100 However, Churn Rates are AN ISSUE
  • 10. Not a Lot of Options in Mobile Build a Big Boat or a Small, Agile One! Not a Lot of Options in Mobile Build a Big Boat or a Small, Agile One!
  • 11. Or Innovate… But Innovation has a Cost.Or Innovate… But Innovation has a Cost.
  • 12. One Last Thing: Know your Strengths Analytics Gatcha Multiplayer Social / Virality QA/Localization Game Services Marketing Customer Support Notifications Back-End Ad Mediation User Acquisition Platform Relations Crash Monitoring A/B Testing / Insights ASO Submissions KPI Optimization Legal Studio Financing Circle Back: Know your Strengths
  • 13. Your game needs to be good!!! Now you are Ready to go and Find your Publishing Partner! Where do you Start? Now you are Ready to go and Find your Publishing Partner! Where do you Start?
  • 14. Welcome to Publisher Shopping!Welcome to Publisher Shopping!
  • 15. Competing Accommodating Avoiding Compromising Collaborating Negotiation TechniquesNegotiation Techniques • Competing • Accommodating • Avoiding • Compromising • Collaborating
  • 16. • On paper from the very beginning • Set in stone once signed • Initial terms mirror final terms • Evolves with negotiations and production needs • Can be amended throughout the relationship • Final terms are subject to change FlexibleUnchanging Philosophy of the Deal • On paper from the very beginning • Set in stone once signed • Initial terms mirror final terms • Evolves with negotiations and production needs • Can be amended throughout the relationship • Final terms are subject to change FlexibleUnchanging Philosophy of the Deal
  • 17. Upside: benefits or income as a result of the deal Parties want to maximize upside Risk: exposure to the chance of loss Parties want to avoid risk Sharing Risk and UpsideSharing Risk and Upside • Risk: exposure to the chance of loss • Parties want to avoid risk • Upside: benefits or income as a result of the deal • Parties want to maximize upside
  • 18. • What do you bring to the table? • What does the other party provide? • What would make you end negotiations? Using Your Leverage • What do you bring to the table? • What does the other party provide? • What would make you end negotiations? Using Your Leverage
  • 19. Ownership of Assets Marketing Termination Revenue Split Specific Common IssuesSpecific Common Issues • Approvals • Ownership of Assets • Marketing • Termination • Revenue Split
  • 20. • Budget as a recoupable advance against royalties • Publishers handled all development related expenses • No royalties until development budget fully recouped • Could result in development budget being kept artificially low to increase royalties and decrease payout timeline “Traditional” Model“Traditional” Model • Budget as a recoupable advance against royalties • Publisher handles all development related expenses • No royalties until development budget fully recouped • Could result in development budget being kept artificially low to increase royalties and decrease payout timeline
  • 21. “Break-Even” Models Disadvantages Advantages Disadvantages Advantages “Break-Even” Models • Feels more like a true partnership • Quicker potential to royalties • Feels more like a true partnership • Quicker potential to royalties • Feels more like a true partnership • Quicker potential to royalties • Potentially lower royalty rate • Lower dev rate to get to break even point faster
  • 22. “Burn Rate” Deals DisadvantagesAdvantages “Burn Rate” Deals DisadvantagesAdvantages • Feels more like a true partnership • Quicker potential to royalties • Lower risk of studio running out of cash • Ability to focus on the game and not cut corners • Feels more like a true partnership • Quicker potential to royalties • Potentially lower royalty rate • Gives a lot of visibility to the publisher over the developer
  • 23. DisadvantagesAdvantages Dev Fee/Financing HybridsDev Fee/Financing Hybrids DisadvantagesAdvantages • Potentially lower royalty rate • Lower dev rate to get to break even point faster • Potentially lower royalty rate • Lower dev rate to get to break even point faster • Studio brings more leverage to the table • Quicker reimbursements of dev fees for royalties • Revenue are split with more partners • Decrease of focus from publisher if royalties are too low
  • 24. Disadvantages Advantages Pure Financing (with No Publishing Obligation) Disadvantages Advantages Pure Financing (with No Publishing Obligation) • Potentially lower royalty rate • Lower dev rate to get to break even point faster • Potentially lower royalty rate • Lower dev rate to get to break even point faster • More liberty to run your studio and game • Allows team and studio to grow on multiple fronts • Lack support and help • Removes focus from game
  • 25. Or Innovate… But Innovation has a Cost. Whatever you Decide, Keep your FocusWhatever you Decide, Keep your Focus
  • 26. Louis René Auclair, 18 years experience in video games. Recently acted as Vice President and Chief Marketing Officer at Hibernum where I was responsible for marketing and business development. Also oversees all developers and publishers relations and plays a major role in the creative design for all of the studio’s projects. Using Your LeverageLet’s Talk! Louis René Auclair President & Founder louis@rocketjumpgames.co +1 (514) 679-1440