Risk Assesment: Don’t Put All Your Games In One Market

Owen Goss, the owner of Streaming Colour Studios released a great article about his iPhone App Store experience that has been sweeping the Indie blogosphere. If you have not read the post, you really need to do it right now, but the gist is that Owen invested $32,000 in Dapple, a color matching game, that has returned only a couple hundred dollars in the first few weeks of release. Owen’s post was awesome. He was not whining. He was just putting out a data point for the community to digest, and I, for one, appreciate his honesty.

A day after the release, the article was picked up by Slashdot, and Owen wrote a follow up article describing the responses he has gotten. Here is an excerpt:

Perception of whining or quitting

Many people perceived my post as whining about my sales, or that I was giving up on the game. This couldn’t be further from the truth. The post was meant purely as informational. I thought it would help people to see that selling an app on the App Store is just like selling any other product: it takes a lot of work and you shouldn’t expect to be an overnight success. I am also not giving up on Dapple; far from it. I’m only just getting started with it. That post was only a single data point on what I hope is a long upward trend for the game. Every game, every company starts somewhere, and I wanted to document where that was for me.

Don't put all of your eggs in one basket, or your games in one market either.

Don't put all of your eggs in one basket, or your games in one market either.


The observation that I would like to make is that it would be great if Owen’s work could be leveraged across multiple platforms. I think Dapple looks like a game that would work in the casual portals, on Facebook, and in the Flash market. Adding all of those revenue streams together may not have made the game profitable, but it could lessen the blow, and who knows, maybe activity in one market will lead to recognition in another market.

This is the strategy we are taking with our Push Button Labs game, Grunts: Skirmish, and a strategy that I am seeing a lot of developers talk about. We will be counting on a lot of activity in the Flash market to drive sales in the other markets. If hundreds of thousands or even millions of people play our game on the Flash version, it will drive traffic to our site so we can potentially upsell them on our High Definition or heavy client versions, or eventually on microtransactions or even subscriptions. Imagine what you would have to pay in advertising dollars to get that kind of exposure, but the cool thing is, we will get PAID to release the Flash version.

Some developers only want to focus on a single platform. As an example, Jeremy Alessi, a frequent commenter on MBG, is just about to release his third game on the iPhone. He is happy with this strategy, and does not want to take the time to develop tools or processes to put the game anywhere else. As always, the best thing about being an Indie is that you have the freedom to do what you want. However, it is my firm belief, as an Indie, that spreading risk around is the best path to success.

I don’t want to turn this blog into a big advertisement, but I do need to mention that our open source Flash based Push Button Engine is the basis of how we are going to be bringing our games to multiple markets. It is currently in closed Beta, but we hope to announce the Open Beta before GDC.

-Jeff Tunnell, Game Maker
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Photo by woodleywonderworks

Hey Whiners, the iPhone Market Owes You Nothing

The success of the iPhone App Store is bringing out a lot of pontification about what is wrong with the market and how to fix it, but I think many of the ideas are dead wrong. Develop Magazine’s interview with developer Nnooo finally pushed me to write this article to debunk some of these ideas before they become dogma.

If you think there are too many games in the iPhone App store now, just wait. There will be many more.

If you think there are too many games in the iPhone App store now, just wait. There will be many more.


On 3/3/2009, 148Apps announced that the App Store had over 25,000 apps and games in the marketplace, prompting Develop Magazine to interview Nnooo, WiiWare developer of the product Pop. Pop is a nice looking game, and there is some great information in the interview about the juxtaposition of development on the Wii vs. the iPhone, so it is definitely worth reading the article. However, a good portion of the interview was spent with the founder of Nnooo explaining that the ease of development on the iPhone is causing crowding in the market, and that a lot of bad product is making it onto the system thus lowering the sales of the good games. Wow! Yesterday I had a fairly polite response written, but thinking about it last night really pissed me off, so I changed it.

All of this elitist non-informed bullshit needs to be debunked. Crap like this, along with developers complaining that they cannot make $80,000 per year just by making iPhone games is so far from the truth that it is laughable. The bottom line is that markets owe you nothing. If you can’t survive in the market, there will be a hundred other guys that want it more and will take your place.

First of all, get used to the crowding. If there are over 25,000 apps today, there will someday be 100,000, then 200,000, etc. It won’t end. If you can’t take the heat, get out of the kitchen. This is a marketplace, and you either break through or you don’t, but don’t blame other people that want to make games on your problems. Another marketplace, the Internet, has millions of products and games available. It is an open marketplace, and you should be glad for this.

I can tell you with conviction that you don’t want a closed market. If Apple were to close off the market by putting up slotting fees, a big sign off process, etc., only the largest of companies would be able to afford to put games in, effectively cutting off the small guy, probably even the company that gave the interview. This kind of closed distribution system is very similar to the box market, and was what caused the big publishers to evolve to what they are today, i.e. he with the most money wins.

Huge publishers used to kiss Nintendo’s ass to be allowed the honor of paying for development, marketing, cost of goods, plus a big royalty to the NIntendo just to bring their products to market. Today, if you want your game to go on XBLA, you first need to spend the money to make most of the game, then beg Microsoft for a slot, which is worth a lot less than last year due to MS arbitrarily dropping the royalties. Do you want to take your game to the box channel? Then get ready to play the extortion game of paying slotting fees, co-op marketing and selling fees (essentially kick backs), etc. if you can even get an audience with the channel. Again, he with the most money wins.

Making a great game is only part of the process. Marketing is the other part, and developers never really want to acknowledge this fact. We are in a unique period of time right now where new markets are opening up, and some lucky developers have hit the jackpot without giving any thought to how to sell their games. This will not continue. If you only know how to make games, it might be in your best interests to hook up with somebody that understands marketing and sales. That can be in the form of finding a partner that can work on those aspects or even considering finding a publisher that will handle those efforts for you.

I say that open markets are best. Sure a lot of bad games will be made, but they will quickly fall off the new release charts, and they will never be heard from again. If you are counting on the featured lists or the best sellers lists to market your game for you, you might as well pack it up now. That is a naive business model and, while lightning may strike a lucky developer once in a while, you need to have a better plan than relying on pure luck.

-Jeff Tunnell, Game Maker

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Odds and Ends

Before getting down to business here in 2009, I have a few small items to catch up on.

Congratulations to GarageGames’ Torque Game Engine Advanced for winning the 2008 Game Developer Magazine Frontline Award for Best Engine. Matt, JoshE, Ken, Deborah, et.al. in the TnT group have been working their butts off bringing Torque to a new level of professionalism, and it is great to see their efforts recognized.

Ryan Wiancko over at Industry Broadcast has been taking blog post from developers like myself, Dan Cook, and Troy Gilbert and turning them into podcasts. So, load up your iPod for your next road trip and catch up on your neglected reading. Maybe now that I have mentioned Ryan, he will spell my name right on my articles. :D

Jeremy Alessi, of Alessi Games, just put up a nice article on Gamasutra about his experiences creating a game for the iPhone. I have worked with Jeremy since the early days of GarageGames where I encouraged him to finish Aerial Antics so we could publish it. Nobody works harder at game development, and it is nice to see him getting some recognition and success.

-Jeff Tunnell, Game Maker
Make It Big In Games