While Take-Two is riding high on their announcement that a GTA 6 trailer is coming, its CEO has some…interesting ideas on how much video games could cost, part of a contingent of executives that believe games are underpriced, given their cost, length or some combination of the two.
While Take-Two is riding high on their announcement that a GTA 6 trailer is coming, its CEO has some…interesting ideas on how much video games could cost, part of a contingent of executives that believe games are underpriced, given their cost, length or some combination of the two.
The problem is an hour of what. Me wandering around trying to find something described vaguely and being frustrated, is not the same as an hour of well written and interesting dialogue.
Because everyone here is just reacting to the terrible Forbes headline because that's all people do. Here's the actual content that you can pick apart, instead of picking apart the headline that some Forbes editor wrote.
he thinks GTA is one of the best values on the market. Here’s what he said:
"In terms of our pricing for any entertainment property, basically the algorithm is the value of the expected entertainment usage, which is to say the per hour value times the number of expected hours plus the terminal value that's perceived by the customer in ownership, if the title is owned rather than rented or subscribed to."
So he was just saying that gta is good value for money given their metrics
Can't wait for them to try this, it flops, half the staff gets laid off, the CEO steps down with a golden parachute, the CEO trades places with the CEO of another tech company, that new CEO makes an even worse decision, another half of the staff gets laid off, the new CEO gets a raise, Microsoft buys both companies, Google makes a competing game studio that gets killed before their first game release, and Apple releases their first video game for $3000 that only runs on M2 and above.
I've often come across this sentiment in Steam reviews and it's very reductive to judge games based mainly on this metric. Getting older I have less time for videogames and I value shorter games more. There are games that are extremely valuable because of their high quality even if very short, like the first Portal.
This is why we have companies like Ubisoft trying to game the system constantly with low quality content to pad the game to 100 hours or whatever is fashionable in open world these days. I will take 6 hours of quality single player anytime over 100 hours of AssCreed grinding and ridiculous 'story'
If video games were priced by hours of dev time, I could kind of agree (with the theory, in practice it doesn't really make sense). But let's be honest here - that's not what he means at all.
So practically he wants to create a SaaS model to eternally milk their user base. As much as I like the game devs working for rockstar, their management is an utterly horrendous bunch of scums and in a way I wish that GTA6 is one giant flop.
Awesome proposal. Some indie games would suck me dry and I'd be paying 1/4 of the price for AAA releases! Is this the redistribution of wealth Marx has been talking about?
If that cost goes above $1/hr I’ll probably just not buy. That’s my base cost I’ll accept for paying for a game. If I’ve gotten $1/hr I find that I’ve gotten my moneys worth
That's a terrible idea. You'd pay more than an entire paycheck just to play a typical JRPG which typically have 40+ hours of gameplay. I'm not paying $600 to play one game.
This is developers incrementally conditioning you to accept an even worse state of things for games. And if they follow through, I'll pirate their shit and never give them a dime of my money again.
I've put in 2000+ hours on Civilization IV, Stellaris, and Skyrim, and 1000+ on several other titles. So, since I could quite happily never purchase another game again, and simply play those games until I die, let's use them as our baseline for what the cost should be, shall we? Assuming they cost $120 each (maybe a little low on Stellaris when you count all the DLC, and definitely high on Civ IV) I've played each of them for about 2,000 hours...that means I should expect to pay $0.06 per hour. Heck, let's be generous! Let's count Stellaris, with ALL of its DLC, at the price it currently is, without being on sale (except for one that's at 10% off. I've bought most of the DLC on various sales of at least 30% off, but let's try pricing all games as though they cost this much. That's about $335. Which still comes out to $0.16 an hour. Not bad, I'll take it!
Granted, since most games don't hold me for 2,000 hours, most games aren't going to get that much out of me. I sometimes buy new games at a $60 to $70 price point. So, the average game would have to hold me for 375 hours in order to make the same amount I pay for it now. Which means in my entire Steam library, there are a mere 12 games that would reach that threshold of getting equal or greater than the $60 I'm willing to occasionally pay these days.
I'm all for it! Most of my games would drop considerably in price, even at $0.16 an hour!
This only works if you spin this with a product leadership strategy:
Shovelware games that don't offer a solid chunk of hours or any kind of replayability should be priced lower, and proper games should be priced normally.
The thing is, this is not at all how pricing works if you're building a business model. Prices are always heavily influenced by what the consumer is willing to pay, or in this case what they've been used to for years. For as long as I can remember "full price" has always been $50 or $60.
Special editions with marginal bonus content, $10 price increases on the base game and shitty DLC (horse armor comes to mind) are all examples of corporate shit tests, designed to see how far they can take it.
History has proven though, that changing consumer expectations is among the more difficult things to do in a market where alternatives are rampant. Though the whole franchise loyalty thing kinda ruins that, but I'll be damned if I have to pay $200 for a game. That will promt me to just play something else instead.
There's a concept that should be familiar to a business owner called value based pricing where you charge based upon a (usually service) product's perceived value rather than the cost of producing it. Make a game worth giving time and money to then you'll have success. Fill it with pointless content to pad out the hours and it is neither worth the time nor the money
"Zelnick is admitting that even though maybe this should be the case, that because of the nature of the market, there simply cannot be a pricing model like that, and the move to $70 recently is sort of the maximum they can hope for."
Take 2 is playing a dangerous game betting the farm on a single property and then trying to come up with new ways to milk it. When it falls out of favor it is going to sink them.
Coming from a franchise who rakes in mountains of cash from GTA Online… The problem with pricing per hour is that there’s no measure of quality. You can create a junk game that took 200 million to develop and has hundreds of hours of gameplay. I also thought the point about movies was a good one. An excellent movie with big actors and a gigantic budget is usually priced the same
You want us to subsidize all of the microtransactions and equivalent online bullshit to turn on your money machine. Strip all that horseshit away, give us good single player ONLY and you'll be doing just fine.
"CROSSING GUARD, WEARING SOLID GOLD HEAD-TO-TOE ARMOR, SAYS CROSSING GUARDS AGENT BEING PAID ENOUGH TO DO THEIR CRITICAL WORK!"
Interesting. I wonder how they’d feel if the hardware and software they all used to make these games were charged the same way? Or how about the cars/public transit and roads they take to get to work?
I hate dollars per hour to determine how something is good value. I could sit and watch a 3-4 hour movie but if it's a genre I dislike then I'll probably not feel I got value out of it. Likewise if I buy a 70 quid game but it's 15-20 hours and it's got a great story, impressive visuals and solid mechanics then I'll have got my money's worth but if something is 70 quid and it's filled with things that feel like a checklist to do then I'll end up regretting the price that I paid.
If it was a dollar an hour, then GTAV would be $1208...
But of course, TV AFKing took up a solid chunk of this time... because of forced waiting periods. Sooooo combine a pay-to-play per hour model and forced waiting periods then you've got MTX "Shark cards" with extra annoying steps.
That's what I do. I take some entertainment - not just video games - and rate it by how much fun it gave me over how many hours and at what price. 8 hours for €40 in an amusement park? Cheap thrill. A €70 AAA game that I throw in the corner after an hour? Not good. A €200 LEGO set that takes a lot of fun hours to build and inspires me to something else? Perfect entertainment!
I don't actually disagree with moving from the 60/70 USD standard, but instead I think big budget blockbuster studios should die off, and focus on making optimized, shorter, and more creative games.
I enjoy low priced games as much as the next person but I'm inclined to agree. At least a little.
In terms of currency per hour some games are outright bargains when you compare to a cinema trip and yet the triple A's cost more to produce than your average film.