Community Expands: Team Fortress 2 Has a Blog

The Internet has given us a communication mechanism which allows developers to better understand their audience. You can use community sites to market your content and your brand but you can also use them to better understand your market and bring your strageties and progress to your fans.

Valve Software has taken their latest successful franchise title Team Fortress 2 and followed it up with a website or “blog” which can keep their fans “in the loop.” Teamfortress.com will, no doubt, be the launch pad for much hype, community offerings and up-to-date news about the TF2 game and any updates.

“Now that we’ve settled into regular releases of content, we’ve found ourselves wanting a better way to talk directly to the TF2 community about the state of the game and some of the reasoning behind the choices we’re making. Our hope is that this blog will accomplish that, and give everyone some better insight into our development process as well.” (teamfortress.com)

Now, there is a great chance Valve will use their new launch pad to talk about upcoming games and lead you to demo’s and downloads to the TF2 title; they already link to the valve store to purchase the game. But, blogs bring in users searching for fresh content about the game and give official word to kill any bad rumors.

Call it marketing, call it journalism or developers notes, there is nothing wrong with having one more resource which represents the voice of Valves TF2 development team. Congradulations guys!

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Episode 261: Where in the World is Gaming Podcast?Episode 261: Where in the World is Gaming Podcast?

This week is another bountiful podcast as the crew has a surprisingly long discussion about this week’s Gaming Flashback, Make Trax. The guys also discuss 1990’s kids shows like Reading Rainbow and Where in the World is Carmen Sandiego? The contest winner for a copy of Magicka is also revealed, as some magical books are discussed.

In the news:

  • Rumor: Wii U will cost Nintendo $180 and retail for $300
  • Online petition calls for end to Tera ‘censorship’ in EU
  • Videogame-only Kickstarter alternative debuting at E3 2012
  • NPD: 40% of freemium players pay for in-game upgrades

Interestingly enough, the day after the podcast was recorded, the gore slider issue was resolved.

We also have some great Reader Feedback, but no contest or question this week. Sorry, folks!

Activision: Cleaning House, Losing StudiosActivision: Cleaning House, Losing Studios

Now that Activision has merged up with Blizzard all under Vivendi it’s time to consider what to do with all the additional overhead, management, internal studios and sheer amount of people working on projects within their organization. In other words, it’s time to trim the fat and get leaned out for the long haul.

This isn’t unexpected news, the only way to grow more effective as a large company is to remove some of the access baggage that can slow you down and let your competitors take control. This is a sad job which nobody takes pride in (most normal people anyway) but it could mean the difference between rising to the top and sinking like a brick.

“We are focused on improving efficiency across the combined organization and are concentrating on businesses where we have leadership positions that are aligned with Activision Publishing’s long-term corporate objectives,” Activision Publishing CEO Mike Griffith said in a statement. (gamespot)

It’s important to be aggressive as a large company, just like you would be as a startup company. There is a reason startup companies grow into powerful competitors that win, grow and eventually become (or be purcahsed by) larger companies.

As part of this move some staff will be migrated to new projects, persumably reporposed into other divisions or allowed to find new jobs somewhere else. This is called “realignment” by those in the management organization, and currently those up for realignment are:

  • Radical Entertainment (Prototype, Crash of the Titans)
  • High Moon Studios (The Bourne Conspiracy, Darkwatch).
  • Massive Entertainment (World in Conflict, Ground Control)
  • Swordfish Studios (50 Cent: Blood on the Sand, Cold Winter)

These realignments along with other organizational changes will effect a few working game titles:

  • Brutal Legend
  • Ghostbusters
  • Wet
  • Chronicles of Riddick: Assault on Dark Athena
  • World at Conflict: Soviet Assault
  • 50 Cent Blood on the Sand
  • Zombie Wranglers
  • Leisure Suit Larry: Box Office Bust
  • Several Xbox Live Arcade titles

At this point we’re not sure which, if any, will continue to be developed under Activision and which will be sold off to other companies or retired. Surely, those money making titles will be sold off if Activision has no plans to finish them.

Again, it’s hard to consider this a bad decision. This is a decision of growth over having too many “Cooks in the kitchen” making soup. It’s better to have rock solid titles of epic proportions than a large pool of mediocre titles with minimal sales and bad reputations, and that’s why they spend a lot of time in the office working on this and having a type of  office chair for long hours on a computer is really helpful in this area.

It’s not that the titles they’re questioning are necessarily bad, but are not the leading titles in their space and are should be either given a stronger team to work on them or retire them entirely. To build a stronger team with passion and direction it might be best to sell the franchise(s) to other organizations so they can do it right with time and attention to detail.

(Thanks, gamespot)

Wallets Shrink, Used Game Market GrowsWallets Shrink, Used Game Market Grows

Over the last year we’ve seen developers scrambling to find “value add” features to new game purchases. Their goal is to convince the customer to buy new instead of used because developers don’t see a penny from a used game sale. While GameStop sees 48% profit margins from the used game market developers struggle to stay floating in the industry.

for-saleThis is not the fault of GameStop and their 48% profit margins because they’re only getting 7% to 20% profit margins (say analysts) on new game sales. As someone that’s run a game store online, if you’re getting 15%+ on a new game you’ve got some great hookups in the distribution channel or are buying in huge quantities.

Buying games in huge quantities to build profit margins can be a huge mistake in this industry. Gamers are fickle little creatures and they’re going to buy their top tier games for a few weeks and then sales will drop significantly. No retail chain wants to purchase a thousand copies of GTA IV (only as an example) and sell seven hundred over the first few week to be stuck holding onto a few hundred copies when the dust settles. Now you’ll have to put them on sale to get them out of the store because the hardcore gamer have already done their shopping and you’re not going to get any price protection if you’re not a major player in the industry.

Why take 7% profit margins when you can get 48% on a used game? The gamers don’t seem to mind because they’ll trade in a used copy of a sports title like Madden to save $5.00 on the latest franchise release. Gamers will buy Fable 2, beat it in a week and rush to the store to get the “most for their dollar” before the game gets stale and buy-back prices drop like a stone. Why not rent Fable 2 and save yourself $50.00? Of course, renting pisses off developers as well because they see no additional revenue.

While the economy struggles and consumers fight for their jobs, the entertainment side of life continues to grow. People would rather “cocoon” in their homes playing video games and watching movies on their brand new HD television because it takes them away from the low points of the economy if only for a few hours. History has shown us trends in entertainment during the down points of economies, it’s natural to want to get away for a bit.

But, consumers want to play these games on the cheap because their job may not be there tomorrow. Saving $5.00 knowing the store just took the title in for half the price doesn’t bother you; $5.00 in your pocket is better than in their pocket right? The fact that they just pocketed upward of 40% on the game doesn’t matter to you — it’s all about your bottom line!

While we’re bargain hunting during the recession developers are going to try and up sell you to a new copy of the game. If that means giving you special game items and features with a “one time code” upon purchase, it will be up to you to decide if it’s valuable. All the while GameStop will lock out the game industry from selling used games because 42% of their overall gross profit is from used game sales.

You, the consumer, benefits from a slightly cheaper game, bargain bin fire sales and additional game features if you do choose to buy new. The economic down turn is a great time to be a gamer, as long as you remain employed.