going alone: to self-publish or to partner? | publishing advice for independent developers
TRANSCRIPT
Til$ng Point Confiden$al
PUBLISHING ADVICE FOR INDEPENDENT DEVELOPERS
GOING ALONE: TO SELF-PUBLISH OR TO PARTNER?
APRIL 2015
Til$ng Point Confiden$al
SAM DALSIMER
Previously seen at TriplePoint PR launching games like Candy Crush Saga, Temple Run 2, Kingdom Rush and dozens more.
In Quebec, worked on PR for local studios like Frima, Behaviour (re-branded from A2M), Minority, Spearhead.
Twittering away @samdalsimer
SENIOR PR MANAGER, TILTING POINT WHO AM I?
Til$ng Point Confiden$al
New generation mobile partner for top independent game developers
WHO ARE WE?
Focus on mobile and tablet platforms
Publishing as a service: • Funding • Product management • Design assistance & UX optimization • Market research & insights • Close relationships with key platforms • App Store optimization & discoverability • Brand marketing & PR • User acquisition & advertising • Scale • Community and customer service • Production support
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Sounds interesting? [email protected]
Til$ng Point Confiden$al
An innovative platformer from 1337+Senri with cutting-edge graphics, starring a
lovable, unique main character
4 Tim Cook’s Keynote at WWDC 2014
Unveiling of Android TV at Google I/O
On stage at the ADA Ceremony
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IN THE OLD DAYS… Publishers were needed because of:
Very high cost of development
Retail distribution very important, and very expensive
Large marketing budgets required
Console platforms mostly closed to smaller companies
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AS A RESULT Publishers held sway, and terms weren’t favorable to developers
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HIGH COST STRUCTURES AND LOW ROYALTIES Resulting in low chance of receiving any over lifetime of product
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No physical distribution infrastructure needed Platform barrier of entry effectively eliminated Performance-driven marketing lowering overall costs Indie developers can reach mass audiences directly
WHAT CHANGED? DIGITAL DISTRIBUTION PLATFORMS HAVE REVOLUTIONIZED THE MARKET
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Til$ng Point Confiden$al
Cheaper and more accessible engines Smaller teams Shorter development cycles Unlimited upside
WHAT CHANGED? MAKING GAMES FOR DIGITAL
PLATFORM CAN BE MUCH MORE AFFORDABLE
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WHAT CHANGED? AUDIENCE HAS BECOME
SIGNIFICANTLY LARGER AND BROADER
100M FROM “GAMERS”
2B TO “PEOPLE THAT PLAY GAMES”
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The work doesn’t end with a big launch
In fact, that’s just the beginning
WHAT CHANGED? GAMES ARE NOW SERVICES
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PRODUCTION VALUES AND COSTS ARE RISING
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Growth in development budgets for competitive free-to-play games
2008 2009 2010 2011 2012 2013 2014
$100K $200K
$300K
$700K $900K
$1,100K $1,200K
Tilting Point Confidential
Til$ng Point Confiden$al
USER ACQUISITION COSTS ARE RISING
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$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
$3.50
$4.00
Jan-
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Mar
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2 Ju
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Aug
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Nov
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Dec
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Jan-
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Feb
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Average cost per install. Source:
iOS
Android Facebook
Til$ng Point Confiden$al
IT IS INCREASINGLY DIFFICULT TO GET NOTICED AND STAND OUT
Number of game submissions by
month on the iOS App Store
0
1000
2000
3000
4000
5000
6000
7000
8000
200
8-0
6 20
08-
08
200
8-10
20
08-
12
200
9-0
2 20
09-
04
20
09-
06
200
9-0
8 20
09-
10
200
9-12
20
10-0
2 20
10-0
4
2010
-06
2010
-08
2010
-10
20
10-1
2 20
11-0
2 20
11-0
4
2011
-06
2011
-08
2011
-10
20
11-1
2 20
12-0
2 20
12-0
4
2012
-06
2012
-08
2012
-10
20
12-1
2 20
13-0
2 20
13-0
4
2013
-06
2013
-08
2013
-10
20
13-1
2 20
14-0
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1.2 MILLION GAMES IN THE iOS APP STORE
Source: Tilting Point / 148Apps
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Til$ng Point Confiden$al
MAKING GAMES IS NOT JUST ABOUT MAKING GAMES
GOING ALONE IS DAUNTING
Domain knowledge is required in:
CONSUMER INSIGHTS | MARKETING | USER ACQUISITION ANALYTICS | MONETIZATION | QA | ETC.
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WHAT TO LOOK FOR IN A PUBLISHING DEAL?
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Now that the playing field is tilted in the developer’s favor, what should you be asking for?
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WHAT TO ASK FOR Depending on factors such as level of completion of the game and investment from the partner:
Creative control
Control of the IP
Product management and production support
Platform relationship management
Marketing and user acquisition budget & execution
Ongoing live operations funding
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WHAT ARE YOUR OPTIONS?
BOOTSTRAPPING
VCs AND ANGELS
CROWDFUNDING
PLATFORMS
INCUBATORS & ACCELERATORS
PARTNERS (EVOLVED FROM PUBLISHERS)
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PROS No external pressure Complete creative control
No dilution Availability of affordable tech
CONS Limits scope of project Lack of access to external know-how Hard to be noticed with low / no marketing budget
MOST SUITABLE FOR Wealthy people or very frugal people
Small teams with a distinctive game that can be developed on a low budget and find its own audience
BOOTSTRAPPING
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PROS No dilution Creative control (but careful about upsetting your backers!)
Crowdfunding campaigns are also marketing opportunities Niche projects can get funded
CONS Difficult to be noticed: most crowd funding campaigns don’t gain traction Obligation to deliver on backers’ rewards No support from “investors” beyond funding (and often a lot of nagging)
MOST SUITABLE FOR Anyone that has made a cult game in the ’80s or ’90s
Experienced teams that know how to budget for and how to deliver a game
Niche games that can find a very enthusiastic audience
CROWDFUNDING
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PROS Office space Some funding
Mentorship Introductions to investors, platforms and publishers
CONS Equity dilution Limited timeframe: teams have to find their way after a certain amount of time
Not all programs are equally useful & reputable
MOST SUITABLE FOR Teams with little experience in the industry needing a lot of guidance and support Studios in jurisdictions that offer government incentives
INCUBATORS & ACCELERATORS
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PROS Access to sizeable funds
Access to other investors, talent and resources
CONS Strong dilution Loss of control
Most VCs don’t have domain expertise and don’t understand games
MOST SUITABLE FOR Very experienced teams with an understanding of the business side of games Companies with significant traction that want to get to the next level
VCs & ANGELS
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PROS Strong production and marketing support through the whole development cycle
Guaranteed promotion on the platform without cost to the developer
CONS Limitations on where the game can be published, (either temporarily or permanently)
Giving up control of IP is often a requirement, although this is changing Strong involvement of the platform partner in creative decisions & production cycle
Exposure in change of strategy or staffing in the platform partner
MOST SUITABLE FOR AAA games Uber-cool indie games that make the platforms look good at E3 while they peddle their shooters Teams that have the experience, processes and patience needed to deal with a closely involved partner
PLATFORMS
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PROS Full-service support (development, marketing, operations, business) Funding without losing ownership and creative control
Allows developers to focus on making great games while their partner handles everything else
CONS Attractive deal terms only accessible to experienced teams with very high-quality games
Size & Relevance of Network
MOST SUITABLE FOR Successful teams looking to tackle more ambitious projects Commercially-minded teams looking to build franchises and brands
PARTNERS EVOLVED FROM PUBLISHERS
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Best partner depends on genre, platform, scope, team and goals
ONE SIZE FITS ALL DOESN’T APPLY
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In today’s market, developers have more options and more negotiating power
POWER SHIFT
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Creative control and not relinquishing IP ownership are key to building a long-term business
CREATIVE CONTROL
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You will be working with your partner at least through the game’s lifecycle - better enjoy their company
A GOOD FIT IS EVERYTHING
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Managing all aspects of a business is harder Most developers need partners
MAKING A GAME IS HARD
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Put your best foot forward and showcase your work:
Gameplay video, playable build, build notes, game document, metrics, etc.
KNOW YOUR GAME 35
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Where does your game fit in the market? Where does it fit in a publisher’s portfolio? How far from release?
KNOW WHERE YOU FIT 36
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What are you looking for in terms of services and deal terms?
KNOW YOUR NEEDS
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Negotiation: ask for what you want, but be prepared to take what you can get
GET READY TO TALK $$$
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Important to introduce yourself: experience, pedigree, staff
Two-way street: you both need something from each other, and both need to prove the value they offer
BUILD A RELATIONSHIP
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QUESTIONS? www.tiltingpoint.com
twitter - @tiltingpoint
twitter - @samdalsimer SAM DALSIMER
Slide 1 - GasX, Slide 5 - Platinum, Slide 6 - KFC, Slide 7 - 6BEstudio for Top Destinos, Slide 8 - Dulux, Slide 9 - Platinum, Slide 10 - Huzheng, Slide 11 - Canal +, Slide 12 - Curli, Slide 13 - LSD, Slide 14 - Hino, Slide 15 - Vichy Catalan, Slide 16 - Gregor Collienne, Slide 21 - Platinum, Slide 22 - Naolito, Slide 23 - Ramy on Deviant Art, Slide 30 - Carioca Studios for TNT, Slide 31 - Philips, Slide 32 - Mopic for Shutterstock, Slide 33 - Kevin Richardson, Slide 34 - Koen Demunyck, Slide 35 - Harvey Nichols, Slide 36 - Softbox, Slide 37 - Exsens, Slide 38 - Cafe Opera, Slide 39 - Forteo. Sources unknown for all uncredited images.