My micropricing experient

Discussion in 'Indie Related Chat' started by Raptisoft, Oct 24, 2005.

  1. Mike Boeh

    Administrator Original Member

    Joined:
    Jul 26, 2004
    Messages:
    949
    Likes Received:
    0
    Done, go for it :)
     
  2. DrWilloughby

    Indie Author

    Joined:
    May 20, 2005
    Messages:
    654
    Likes Received:
    0
    This is the cool thing about these forums. *group hug*. Oh crap, no more group hugs. Sweaty men (and one woman, no idea if she's sweaty) group hugging is not a good thing.

    Very cool that you guys are experimenting with this. Out of curiosity, when did Hamsterball come out? What's the "20 dollar window" (to use movie terminology).
     
  3. delsydsoftware

    Original Member

    Joined:
    Oct 11, 2005
    Messages:
    82
    Likes Received:
    0
    We're going to give this a shot with Brickout. It was our original intention to sell the game at $5 a shot. We wanted to build up a stable of small games that were relatively cheap. We went for the $10 price point when we considered bandwidth costs and paypal fees---then, we dropped paypal in favor of Plimus.
    The $10 pricetag stuck, and I really regret that now.

    Anyway, it might help to generate at least A,one, single sale, as it really hasn't done anything to speak of. Disappointing, but a nice learning experience for sure. :)
     
  4. Ricardo C

    Original Member

    Joined:
    Sep 11, 2004
    Messages:
    1,349
    Likes Received:
    3
    Mike, the Best Friends info page reads "Only Now Only $5.49". Is it meant to be read as "Only Now, Only $5.49", or is it a typo?
     
  5. Abscissa

    Original Member

    Joined:
    Nov 27, 2004
    Messages:
    677
    Likes Received:
    0
    I'm really curious to see a comparison of how well a game does at sub-$10 compared against system compatibility (ie, Does it use OpenGL-only? Does it support D3D7 instead of just D3D8+? What's the minimum CPU speed / minimum OS?). I wonder if there could be any sort of correlation.

    One of my games that I'm polishing up for a re-release, I've been thinking about a $10-or-less price just becasue it's so incredibly short (It only takes about 15 minutes to beat and has no alternate modes of play). My only concern is that if that's my first game, maybe people would expect all of my following games to be priced similarly. But maybe I'll start it higher ($15-20) and then drop it when my second or third game comes out?
     
  6. Greg Squire

    Original Member

    Joined:
    Aug 5, 2004
    Messages:
    848
    Likes Received:
    0
    The movie industry does micro-price. After a short (or long) run in the main theaters, it usually goes to the "dollar theaters" where they charge 1-2 bucks instead of 7-10 bucks. Although I've noticed lately the movies usually hit the "dollar theaters" about the same time they come out on DVD, so maybe Hollywood doesn't give as much credence to this outlet as they used to. Not sure there. I know that DVD sales are where they make most of their money now (at least usually). The theatrical release is more just to "break even" (hopefully).

    They wait a number of months before putting into the "dollar theaters", so that they can "milk" both segments (the ones willing to pay a higher price now, and those willing to wait until it's cheaper). Not sure what the "premium price" window would be on an indie game (1, 2, 3 years?), but it probably depends largely on the game.
     
  7. Mike Boeh

    Administrator Original Member

    Joined:
    Jul 26, 2004
    Messages:
    949
    Likes Received:
    0
    Good spot, fixed :)
     
  8. delsydsoftware

    Original Member

    Joined:
    Oct 11, 2005
    Messages:
    82
    Likes Received:
    0
    OT: Sort of, but not really. I used to work for a theater, so I have the inside scoop, so to speak. The first week of a release, a movie theater really doesn't make any money from a movie. Something like 85-90% of the profits go to the studios. Every week after that, theaters are allowed to make a slightly higher percentage of profit. Eventually, the theater has to decide if they'll keep a film that's lagging in sales but making a higher profit margin, or make room for the next big release.

    $1 theaters either buy or lease films from other theaters after they have petered out. So, once they cover the expense of the physical film stock, they get all of the profits and none of the hassles. I knew a guy that ran a $2.50 cinema, and he ran The Sixth Sense for a year and a half, and he made a killing off of it. He prefers to buy movies rather than lease them, so he has a store room full of classic films. At special occasions, he plays some movies from his collection, including some of the banned Bugs Bunny cartoons (Nip the Nips,etc.). So as a general rule, those single-screen theaters end up making more money on one movie than a 14 screen cineplex could make on the same film.
     
  9. digriz

    Original Member

    Joined:
    Mar 24, 2005
    Messages:
    532
    Likes Received:
    0
    I'm an affiliate for Hamsterball and i've been noticing that the downloads from my site have increased ten fold in the last month.

    I didn't even know there was a price-drop until i saw a post in these forums.

    I'm going to have to change the prices on my website. :)

    I'll keep an eye on the Best Friends download too, it'll be interesting to see if the downloads for that one goes up too.
     
  10. wazoo

    Original Member

    Joined:
    Jul 27, 2004
    Messages:
    519
    Likes Received:
    0
    not to hijack this thread (as it's damn interesting) but waiting for DVD rental is not at all far-fetched.

    For me and my wife to see a movie: (all cost in CDN funds)
    -tickets $13.00 x 2
    -snacks $5.00 x 2
    -sitter $20.00
    grand total = roughly $50-$60

    DVD rental:
    -$5.00

    The only thing we've seen in the theatre has been the LOTR trilogy. Even the SW movies have been "wait-for-Rental" with us.

    Anyways, back on topic. :)
     
  11. Sharpfish

    Original Member

    Joined:
    Feb 25, 2005
    Messages:
    1,309
    Likes Received:
    0
    Not sure If I misread your intent, but that is what I was saying - that it is NOT far fetched to wait for DVDs (either rental if you are desperate or to BUY as I mostly do).

    so not far fetched at all and probably becomming the "norm" - correct :)

    Or were you confused by my "A bit extreme" part? that was not actually a reference to the following sentence but to the quote above it (that the example I quote was "a bit extreme"). Hope this clears it up :)
     
  12. TamLin

    Original Member

    Joined:
    Aug 20, 2004
    Messages:
    31
    Likes Received:
    0
    Actually, you'll find that the cost of movie tickets has decreased to $10 (I'm not sure where you live in Canada, but I doubt that movies are more expensive in your area than in Toronto). Apparently, too many people were avoiding the cineplexes with their exhorbitant prices; DVDs probably had a lot to do with that.
     
  13. arcadetown

    Moderator Original Member

    Joined:
    Jul 31, 2004
    Messages:
    1,476
    Likes Received:
    0
    Done here, will be interesting to see if any effects.
     
  14. Mike Boeh

    Administrator Original Member

    Joined:
    Jul 26, 2004
    Messages:
    949
    Likes Received:
    0
    So far, in 1st 24 hours, no effect at all....

    EDIT: by no effect, I mean same # of units sold.
     
    #54 Mike Boeh, Oct 26, 2005
    Last edited: Oct 26, 2005
  15. DrWilloughby

    Indie Author

    Joined:
    May 20, 2005
    Messages:
    654
    Likes Received:
    0
    My point, in making the Movie->TV analogy was that HamsterBall didn't come out 5 months ago, which is about the DVD wait period, I believe. Hamsterball came out over a year ago. Sure, perhaps there are people who simply will not buy your game for 20 dollars, but they WILL buy is for 5 dollars. But I think that there's few people out there who might have bought it for 20 dollars that decide instead to wait a YEAR AND A HALF on the off chance that it might go to 5 dollars.

    Micropricing like this is the same thing as having a bargain bin at the Walmart. You are simply trying to access a different type of consumer once the main consumers of your product start to run dry.
     
  16. Abscissa

    Original Member

    Joined:
    Nov 27, 2004
    Messages:
    677
    Likes Received:
    0
    Ahh I see. Good point.
     
  17. Bmc

    Bmc New Member

    Joined:
    Dec 12, 2004
    Messages:
    1,088
    Likes Received:
    2
    When you buy something, and it goes on sale a month later do you go back to the store and ask for the difference?
     
  18. Anatoly

    Original Member

    Joined:
    Aug 25, 2005
    Messages:
    79
    Likes Received:
    0
    If you have a receipt and its within a return period (30 days usually) than the answer is yes: A lot of people do it, or they do it after the return period is over and still get their money back!!! It depends on persistance! - I used to work at customer service at Best Buy. ;)
     
  19. terin

    Original Member

    Joined:
    Jul 28, 2004
    Messages:
    1,048
    Likes Received:
    0
    Best Price Promise

    Yep, that is considered a best price promise: When I worked at Sears we saw the same thing a LOT. Sometimes people would come in with an item that was 99 cents less than it was when they got it two weeks ago and ask for the refund. Store policy was give them the refund but it boggled my mind sometimes the trouble people would go through for it.

    Anyway: DVD and Movies topic-

    Interesting thing about the whole DVD / Dollar Theater thing is this:

    The industry has found that DVDs sell to FANS and not to people looking to watch a movie. Dollar theaters appeal to people who want a more social outing than a rental (or are going alone).

    So you can release them at the same time with no overlap of market... the die hard fans who buy the DVD will have seen the big screen release, but in my GUESTIMATION either will ALSO go see the dollar show or not care. Those that miss the big screen won't care enough to buy the DVD and will either rent of go to the dollar cinema.

    *shrug* Keep up the research on the low price issue... I agree with the good Dr. It is an interesting experiment.

    -Joe
     
  20. GhostRik

    Original Member

    Joined:
    Jul 27, 2004
    Messages:
    39
    Likes Received:
    0
    Yes, this is very interesting. The games I've come up with (a 3D puzzle, a specialized racing game, and a musical tutorial/game) looked kind of wimpy for a $20 price point but for $5.49, and not expecting to live off it, I would seriously reconsider them as actual products, as opposed to bits and bytes sitting on a hard drive with no future.
     

Share This Page

  • About Indie Gamer

    When the original Dexterity Forums closed in 2004, Indie Gamer was born and a diverse community has grown out of a passion for creating great games. Here you will find over 10 years of in-depth discussion on game design, the business of game development, and marketing/sales. Indie Gamer also provides a friendly place to meet up with other Developers, Artists, Composers and Writers.
  • Buy us a beer!

    Indie Gamer is delicately held together by a single poor bastard who thankfully gets help from various community volunteers. If you frequent this site or have found value in something you've learned here, help keep the site running by donating a few dollars (for beer of course)!

    Sure, I'll Buy You a Beer