1C on Steam v. Retail

November 30, 2010 -

Darryl Still, international publishing director for PC publisher 1C, writes an editorial in response to an MCVUK report ("Retailers blow off Steam") where brick and mortar games retailers in the UK said that they might ban games that have support for Steam built into them.

In his editorial for MCV, Still talks about how his company had the foresight to see three years ago that owning the digital rights to the games it publishes was important. At that time 1C decided that it needed to secure the digital rights to all the games it publishes. That decision has been very lucrative for the company.

But the most important take-away from this editorial is that 1C makes more money via digital distribution than it does at traditional retail, and the experience, turn-around time and costs of doing business are much more reasonable.

Here's an interesting bit on how retail does not go the extra mile for some publishers:

 

What is more surprising is the reaction of retail now. I have read it described as the reaction of a small child who threw his toy away because he no longer wanted it, but started screaming as soon as another child picked it up to play with. The metaphor works perfectly, especially in the light of the excuse I heard on numerous occasions.

'There is no demand' went the mantra. But is this really true? Not in our experience.

I remember fondly the meeting in my office with a red-faced publisher who was explaining why their initial order from a major retailer for one of our new releases was just 30 units. At the time I had my browser open on the Steam product data page, which updates sales numbers every few minutes.

"They have taken one unit for each of their top 30 stores" he told me. "There is just no demand from their customers."

I glanced at my screen, hit refresh and advised him: "In the time it’s taken you to tell me that there is no demand, Steam has sold 45 units."

You can read the rest here. Honestly it’s obvious to everyone except traditional retailers that the future is in digital distribution, and banning Steam-powered games won't change that.


Comments

Re: 1C on Steam v. Retail

Please see: http://en.wikipedia.org/wiki/The_Fox_and_the_Grapes. I think this sums it up nice.

 
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MattsworknameAndrew: Im not sure Im the one to be explainging this really, Im not sure im articulating it right07/31/2015 - 9:20pm
Big PermI got to around 30 in tera before giving up. I liked my sorc, but I need better motivation to grind07/31/2015 - 9:14pm
Andrew EisenAh TERA. I made a video about TERA censorship. One of my more popular ones. https://www.youtube.com/watch?v=AO26h9etTbw07/31/2015 - 8:52pm
Goth_SkunkI've been playing TERA all day. Just took a break to barbecue some chicken. :3 And Andrew: I'm using Cabal to suggest a group of people secretly united in some private views or interests within a community.07/31/2015 - 8:50pm
Andrew EisenI'd love to but I'm at work. But once I get home... I'm going to work out for a while. But after THAT... I'm going to shower. Then eat. Then prep tomorrow's meals. And THEN play video games! YEAH!!!07/31/2015 - 8:38pm
Big Permlol, ya'll are still going back and forth? Take a break and play some video games07/31/2015 - 8:37pm
Andrew EisenGoth - Are you using "cabal" to describe a group of writers or to suggest they all worked together in secret to publish those articles?07/31/2015 - 8:30pm
Andrew EisenMatt - That doesn't disprove the general premise of the various articles as that's not what they're about. Unless, again, he's talking about a different batch of articles.07/31/2015 - 8:28pm
Goth_SkunkThe difference between one voice being offensive and a cabal being offensive.07/31/2015 - 8:22pm
MechaCrashFunny how "you're offended, so what" flips into "we're offended, retract everything and apologize."07/31/2015 - 8:18pm
MattsworknameIts not the only argument he points out ,its just one of them07/31/2015 - 8:06pm
Mattsworknameidea that Gamers as the articel puts it, the "White male sterotype are dead, essentially was compltely false07/31/2015 - 8:03pm
MattsworknameThe video actually shows that the shaw study actually disproves the Premise of the artices by showing that the "Gamer" dentity, has no actual meaning to thsoe who use it other then "I play games", its not connected to race, gender, or orientation. So the07/31/2015 - 8:01pm
Andrew EisenWith the exception of a brief mention in Golding's Tumbr post. Even so, he's talking about gamer identity, not desire for diversity in gaming.07/31/2015 - 7:50pm
Andrew EisenI'm not calling his examination of the Shaw study into question. I haven't read the study nor seen his video. All I'm saying is that it has nothing to do with the Gamers Are Dead articles I've been referencing for the last year.07/31/2015 - 7:49pm
MattsworknameSome times sargon just goes off on tangents but in this case he was pretty direct and went through teh research in detail, did the whole first video about the shaw study itself07/31/2015 - 7:45pm
Andrew EisenWell, unless it's disingenuous twaddle but I like to give people the benefit of the doubt.07/31/2015 - 7:42pm
Andrew EisenGotta be. The argument you describe makes no sense otherwise.07/31/2015 - 7:40pm
MattsworknameThat is a possibility, they looked like offical articles but its possible they are different from the articles you mentoin07/31/2015 - 7:28pm
Andrew EisenNot unless he's referring to a completely different set of Gamers Are Dead articles.07/31/2015 - 7:19pm
 

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