[casual_games] Price as Signal

[Lennard Feddersen]

I think that article and a list of other reasons besides, illustrate why 
price dropping & price wars are not a great business idea.

What I'm looking for is a great reason for the end consumer or reviewer 
who legitimately wants to know why we - not Rusty Axe Games (geez, my 
acronym is RAG, crap) but all of us, cause I know nobody is, yet, 
spending millions on these titles - are charging the prices we do.

Ultimately the answer is, "it's good software and that's what it costs 
if you want to have it", but I'm looking for a more eloquent phrasing.

Lennard Feddersen
CEO, Rusty Axe Games, Inc.
www.RustyAxe.com

Lennard at RustyAxe.com
P. 250-635-7623 F. 1-309-422-2466
3521 Dogwood, Terrace, BC, Canada, V8G-4Y7



Tom Park wrote:

> http://joelonsoftware.com/items/2005/11/18.html
>
>
> ----- Original Message ----- From: "Lennard Feddersen" 
> <lennard at RustyAxe.com>
> To: "IGDA Casual Games SIG Mailing List" <casual_games at igda.org>
> Sent: Tuesday, December 13, 2005 1:12 PM
> Subject: Re: [casual_games] pricing
>
>
>> /When I worked at Pogo, we would sell our download games for $19.99 
>> online but
>> $9.99 at retail because those were the most effective price points for
>> us in those channels.
>>
>> /That's really interesting to me - I had always assumed that you 
>> would cannibalize sales if you did that - or deal with a bunch of 
>> cranky consumers demanding money back.
>>
>>
>> Lennard Feddersen
>> CEO, Rusty Axe Games, Inc.
>> www.RustyAxe.com
>>
>> Lennard at RustyAxe.com
>> P. 250-635-7623 F. 1-309-422-2466
>> 3521 Dogwood, Terrace, BC, Canada, V8G-4Y7
>>
>>
>>
>> Dave Rohrl wrote:
>>
>>> The right price is one at which a willing buyer and a willing seller
>>> meet and it varies not only by product but also by channel.  When I
>>> worked at Pogo, we would sell our download games for $19.99 online but
>>> $9.99 at retail because those were the most effective price points for
>>> us in those channels.  If possible, I would encourage you to test
>>> multiple price points in a limited release - maybe through your own web
>>> site - to see where you will make the most money with your current 
>>> game.
>>>
>>> And as far as the Doom 3 argument goes, I don't think it's terribly
>>> valid.  Doom 3 isn't worth $50 to your target customer - it has no 
>>> value
>>> whatsoever to them.  I do think that argument is valid where people try
>>> to do hard-core games and genres in the download space, which is one of
>>> the reasons that people haven't seen much success with combat flight
>>> sims, core sports, etc. in the download space.
>>>
>>> As far as "just moving the mouse and clicking the button", that's 
>>> pretty
>>> much what I did in Diablo as far as I can recall ;)  Simplicity of
>>> interface is never a bad things for a game - think of Katamari - but it
>>> may be that the reviewer is trying to call out other issues for you.
>>>
>>> - DaveR
>>>
>>> -----Original Message-----
>>> From: casual_games-bounces at igda.org
>>> [mailto:casual_games-bounces at igda.org] On Behalf Of Lennard Feddersen
>>> Sent: Tuesday, December 13, 2005 10:37 AM
>>> To: casual_games at igda.org
>>> Subject: [casual_games] pricing
>>>
>>> My companies latest game, Battle Castles, has been venturing out of 
>>> the casual space sandbox where reviewers often ask the same question 
>>> I do about what we make.
>>>
>>> How come $20 for this game where I just move my mouse and click the
>>> button?
>>>
>>> I know that people either like what you make and buy it or they 
>>> don't and that often those who are complaining wouldn't pony up $10 
>>> either.  I
>>>
>>> know from personal experience that games priced at $24.99 can vastly 
>>> out
>>>
>>> perform titles at $14.99 - perceived value is a real thing.  That 
>>> said, my game didn't cost 1/3 of what Doom 3 cost to make and there 
>>> are lots of multi-million dollar titles down at the local video 
>>> store on sale, in
>>>
>>> shiny packages for $20.
>>>
>>> Anybody have a fresh new take on this one?
>>>
>>>
>
>
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