The people that solely blame the parents simply aren't logical or really thinking about it at all.
3. Have some empathy for shits sake.
Not when corporations can lose a cash cow. That's when it becomes "shift the blame to anyone but the corporations". And it's fucking sad.
No, he literally (as in the proper use of literally) did not. In the same way you're not willingly giving me your payment details if you invite me to your house and just happen to have PayPal's One Click Payments enabled on your PC or leave your phone on the table while you go to the bathroom. I know you corporate apologist types are just tripping over each other to blame the victims, but I think we should at least draw the line at changing the meaning of words.
The majority of studios that went bankrupt were mid-tier development studios who either chased after AAA or made some very bad decisions (THQ with uDraw. Finding success on Wii and thinking it would transition to PS3 and 360 leaving millions of unsold stock forcing them into bankruptcy), or both. The arrival of the HD twins pushed out the mid-tier and left an imbalance between small titles and AAA in the console space. It's why in that era, Japan moved majority of their development to handhelds and kept many franchises alive.Yeah, a bunch of publishers went bankrupt and game prices didn't rise 29% with inflation, or 37% in the case of movie tickets (that's since 2006 when game prices were $60).
That's not the case. You mentioned THQ. They had great games such as Red Faction Guerrilla, Darksiders, Destroy All Humans, and if all it takes is one big mistake with uDraw to make them bankrupt it shows how difficult the industry was. At the same time, EA and Take Two were losing hundreds of millions annually, but they were better able to weather it. Other publishers had been going for multiple generations then went bankrupt around then too, like Acclaim, 3DO, Midway, Atari. Eidos was almost bankrupt when they were acquired. Disney closed their development studios and went back to licensing their brands. Sega and Konami mostly pulled out of AAA development. The fact remains inflation is up 29% since 2006 while game prices are up 0%, and the games are also bigger and more detailed than ever before.The majority of studios that went bankrupt were mid-tier development studios who either chased after AAA or made some very bad decisions (THQ with uDraw. Finding success on Wii and thinking it would transition to PS3 and 360 leaving millions of unsold stock forcing them into bankruptcy), or both. The arrival of the HD twins pushed out the mid-tier and left an imbalance between small titles and AAA in the console space. It's why in that era, Japan moved majority of their development to handhelds and kept many franchises alive.
Those games you mention are mid-tier developed titles and normally THQ could have weathered some storms if a game here or there bombed or under performed. But uDraw was very different. uDraw came out in 2010 with a tablet peripheral and pressure sensitive stylus, and was necessary to draw things. It was a success on the Wii. In 2011 they decided to bring the thing over to PS3 and 360, and 1.4 million copies went unsold and they lost $100m in this financial disaster. They ended production in 2012 and 2012 was the year of THQ's collapse.That's not the case. You mentioned THQ. They had great games such as Red Faction Guerrilla, Darksiders, Destroy All Humans, and if all it takes is one big mistake with uDraw to make them bankrupt it shows how difficult the industry was. At the same time, EA and Take Two were losing hundreds of millions annually, but they were better able to weather it. Other publishers had been going for multiple generations then went bankrupt around then too, like Acclaim, 3DO, Midway, Atari. Eidos was almost bankrupt when they were acquired. Disney closed their development studios and went back to licensing their brands. Sega and Konami mostly pulled out of AAA development. The fact remains inflation is up 29% since 2006 while game prices are up 0%, and the games are also bigger and more detailed than ever before.
Speaking during an investor Q&A earlier today, CFO Paul Pucino revealed that the publisher has around 1.4 million unsold units collecting dust in its inventory.
"Revenues were lower by about $100 million," admitted Pucino.
"Where that $100m comes from is we have about 1.4 million units still in inventory that we haven't sold that we planned on selling. If you think about an average price of about $56 or so, that accounted for a shortfall of about $80 million.
"Then the million or so units that we did sell-in we had to sell at a lower price. That, coupled with software sales that are associated with uDraw being lower as well, totals about $100 million.
"From a contribution margin perspective, we would have doubled the profitability in the quarter were it not for uDraw. So it was something in excess of $30 million in operating loss in the quarter as a result of uDraw."
I wasn't generalizing your arguments; I was stating my own point of view (that ""any aspect of ecommerce that gets you to spend more is exploitative to some extent").
I would categorize them as being a definite benefit in that people unconditionally want sales, regardless of whether they're tailored or not.
1. I brought up large purchases because they're often lumped into discussions of MTX, when they don't work by the same mechanisms of MTX. Yes, lower price points are often used as a price anchor, but buying into those larger purchases erodes any facade of not realizing how much they're spending.
2. The point you brought up is mostly null. In pay-for-power systems, spenders will tend to get cohorted naturally or by design with other spenders, limiting their interaction with non-spenders. In non-pay-for-power systems, there's greater intermixing but you're not going to get as strong of a conversion effect. Very few games actually use spenders to entice non-spenders effectively, and most of those games are Japanese/Chinese gacha type games or Western mobile strategy (e.g. Game of War, Clash of Clans).
3. It's possible to bifurcate, but it's not practical. Very large companies (e.g. King) may do things like this to absolutely maximize revenue--but smaller or medium-sized joints, or even large companies without the expertise will not. In the future, you can probably expect to see machine learning play a bigger part in tailoring design towards different player segments, but that's largely in its infancy right now, and restricted to smaller, more isolated variables. Generally in mobile, F2P players serve their own purpose through the ads economy, which can be a significant portion of your overall revenue, so developers are strongly encouraged to keep them happy. In the West at least, game designers are much more purist about giving payers and non-payers a good experience. Chinese and Japanese game design is very different, as they'll resort to very unethical practices (e.g. pitting fake whale AIs against real whales to entice spending).
is exactly the kind of bifurcation I was talking about. So it can occur naturally, but it isn't usually worth it to exploit it? There's a huge profit motive in figuring out how to best monetize your big spenders, so it seems like there's justification to use significant resources to do that. If those big spenders make up the bulk of your revenue it seems like the entire business model would be focused on this. I guess they don't generally make up the bulk of revenue then? That surprises me, but I could be seriously underestimating the strength of ad revenue, in which case it's just a misconception on my part.In pay-for-power systems, spenders will tend to get cohorted naturally or by design with other spenders, limiting their interaction with non-spenders.
God damn a lot of these parents really need to look into their parental controls.
The guy with a mental capacity of a 7 year old... how was he not appointed a guardian to handle his finances? Damn i feel bad for him.
God damn a lot of these parents really need to look into their parental controls.
The guy with a mental capacity of a 7 year old... how was he not appointed a guardian to handle his finances? Damn i feel bad for him.
Giving them a debit card and pin and dropping them off in a toy store unsupervised
Wait a minute
The thing that really gets me is that people are just like "oh well, I guess you're out $3000 then" when these are just digital purchases and could therefore easily be refunded with minimal impact.People are losing their minds about EA and microtransactions and lootboxes and yet when there are articles like this many are also quick to put the blame entirely on the parents.
Boggles the mind.
The responsibility rests with the parents. Don't give your kids access to your payment details period.
its worth remembering that most people out there and in particular parents are not tech savy enough to know these things even exist
Not everyone is lucky enough to know how all this stuff works.
This is actually an excellent idea.The ESRB could pretty much kill this is they made loot box mechanics an automatic AO rating lol
As a parent, this isn't an acceptable answer. Either get to know, or don't cry when the child hasn't been protected from being able to make mistakes like this.
As a parent, this isn't an acceptable answer. Either get to know, or don't cry when the child hasn't been protected from being able to make mistakes like this.
Jim makes a good point - why would a parent expect a game, that's rated for 3+, to need parental controls?
If the parent isn't parenting, how do they know the kid is only playing the 3+ game? It's a weak argument to say they shouldn't need to do anything because that specific game is 3+. The kid could be downloading M rated Warframe, T rated Apex Legends, borrowing GTAV from a friend or older sibling, etc. That's why the parental controls exist for the system, not the game.Absolute bullshit.
"As a parent, get to know every single platform offering digital purchases and how they specifically work. And if you aren't technologically literate, screw you. You deserve to pay 3000 $ for your negligence regarding this relatively new market. Don't cry about it, you ridiculous excuse of a lame trash parent."
As a parent, this isn't an acceptable answer. Either get to know, or don't cry when the child hasn't been protected from being able to make mistakes like this.
If the parent isn't parenting, how do they know the kid is only playing the 3+ game? It's a weak argument to say they shouldn't need to do anything because that specific game is 3+. The kid could be downloading M rated Warframe, T rated Apex Legends, borrowing GTAV from a friend or older sibling, etc. That's why the parental controls exist for the system, not the game.
apocat Don't most adults check their finances regularly? You don't need to know how this or that game works to see that money is leaving your account rapidly over a period of 15 months. You also continually dodge the point that the father with the adult son who has a cognitive age of 7 is most likely the financial power of attorney and yet apparently paid no attention to the sons finances for well over a year, while you seem to want to give the father a full pass.
I was wondering why you were talking to yourself but then I realised that's the ignore function working. Glad to see Sheepinator's still riding corporate dick as hard as humanly possible.
Because you know that would cause them to do work on their partHow about parents simply teach their kids that, I don't know, stealing is wrong?
Consumers are acutely aware that developers aren't being "generous" when it comes to anything they do. Whether or not a monetization tactic is beneficial to the consumer comes down to whether that tactic aligns with the consumer's intent. If you want to zoom out and look at it purely from an objective lens (if you consider a transaction zero sum) then at that point, yes, there is no such thing as a monetization tactic that's beneficial to the consumer.This seems like a strange way to define a benefit. A lower price is always more attractive, so one would always want that in a vacuum, but being unaware of the potential negatives doesn't mean it becomes something objectively positive.
There's an appropriate time to lump small and large MTX together, and many inappropriate times. If someone spends $1000 in Candy Crush over 3 years of $1 bonus moves purchases, that's the micro-effect at work. If someone spends $1000 in 6 months of playing Fortnite because they're buying $50 currency packs... well... that's a very different thing. At that price point, they're fully aware of the impact of their purchase. They may not realize that they've spent $1000, but that's not an issue with MTX. That's a general failure of human brains to track things over time. As I said, the same goes with things like food, clothes--even full games sales.I think the example I gave of microtransactions and larger transactions being connected goes at least some way toward explaining why they're often lumped together in discussions. Is that fair to say?
"buying into those larger purchases erodes any facade of not realizing how much they're spending" is an interesting statement. You're contrasting the purchasing style generally associated with microtransactions with the purchasing style associated with larger purchases to show that they are in fact different categories of purchase, but, well, isn't buyers not realizing how much they're spending in the microtransaction model an issue? That's not designing ethically, is it? I'd also take issue with the idea that larger purchases are made in a more objective way by buyers (you seem to argue that the scale of the purchase forces buyers to be more objective). It might not be the steady drip model of microtransactions, but there are certainly ways a larger purchase can be made to seem more fair than it really is.
To address the first part of this--population size is important but not all-important. Era tends to emphasize engagement metrics like CCU because they're the most exposed to consumers, but generally LTV (average lifetime value per customer) is the more important metric, and that can vary wildly between games (to the order of magnitudes). On mobile especially, improving your engagement metrics serve primarily as a way to extend your LTV, as games are not designed around CCU like AAA multiplayer games are. Mindshare is handled through ad buys, not being a part of the zeitgeist. It's a very money-in, money-out approach.I'm not sure I understand your argument. Are you saying that because the spender and non-spender populations are generally pretty separate that a large non-spender userbase doesn't attract spenders? I would think that separation would be more of a factor when spenders are already engaged, not so much in acquiring them. My understanding is that basically mindshare is the largest factor in player acquisition, and population size is the largest driver of mindshare. Does this not apply to players who are spenders somehow?
At the same time I am surprised by "very few games actually use spenders to entice non-spenders effectively." Just off the top of my head, in, say, a game driven by cosmetics, those cosmetics grant social status to spenders that non-spenders will desire, pushing them to become spenders. I'm sure there are many other methods of conversion that a layman like me wouldn't be able to think up, so I'm surprised that apparently very few games are successful in this.
This:
is exactly the kind of bifurcation I was talking about. So it can occur naturally, but it isn't usually worth it to exploit it? There's a huge profit motive in figuring out how to best monetize your big spenders, so it seems like there's justification to use significant resources to do that. If those big spenders make up the bulk of your revenue it seems like the entire business model would be focused on this. I guess they don't generally make up the bulk of revenue then? That surprises me, but I could be seriously underestimating the strength of ad revenue, in which case it's just a misconception on my part.
No, there's no public documentation of this sort of thing. It's all very proprietary and hush-hush. There's a thread about EA's patent here (https://www.resetera.com/threads/ea...g-works-in-their-games-fifa-madden-etc.120006) but I'd caution you to be critical in reading that thread because there's a lot of misinformation going about.Yeah, machine learning is going to accelerate pretty much every facet of these business models, and honestly I think it's pretty frightening. That's a whole other, very large subject.
That unethical practice you describe is... uh, interesting. Are there any articles documenting instances of it? That's absolutely wild, and again, frightening.
Thanks again.
Yeah, a bunch of publishers went bankrupt and game prices didn't rise 29% with inflation, or 37% in the case of movie tickets (that's since 2006 when game prices were $60).
Handing your phone to your kid: "You figuratively willingly gave your payment details to your kid".
Writing down your credit card and verification number on a paper and giving it to your kild: "You literally willingly gave your payment details to your kid".
That's still wrong. You don't figuratively hand your kid a phone so using the word literally is redundant.
Literally is used when a phrase that's used in a metaphorical sense actually happens. Ex. I literally got stabbed in the back
Consumers are acutely aware that developers aren't being "generous" when it comes to anything they do.
Whether or not a monetization tactic is beneficial to the consumer comes down to whether that tactic aligns with the consumer's intent.
If you want to zoom out and look at it purely from an objective lens (if you consider a transaction zero sum) then at that point, yes, there is no such thing as a monetization tactic that's beneficial to the consumer.
There's an appropriate time to lump small and large MTX together, and many inappropriate times. If someone spends $1000 in Candy Crush over 3 years of $1 bonus moves purchases, that's the micro-effect at work. If someone spends $1000 in 6 months of playing Fortnite because they're buying $50 currency packs... well... that's a very different thing.
At that price point, they're fully aware of the impact of their purchase. They may not realize that they've spent $1000, but that's not an issue with MTX. That's a general failure of human brains to track things over time.
To address the first part of this--population size is important but not all-important. Era tends to emphasize engagement metrics like CCU because they're the most exposed to consumers, but generally LTV (average lifetime value per customer) is the more important metric, and that can vary wildly between games (to the order of magnitudes). On mobile especially, improving your engagement metrics serve primarily as a way to extend your LTV, as games are not designed around CCU like AAA multiplayer games are. Mindshare is handled through ad buys, not being a part of the zeitgeist. It's a very money-in, money-out approach.
With regards to cosmetics, I've yet to see anyone actually validate this through data. There are some anecdotes here and there, but that wouldn't pass the muster to design around it. These sorts of effects are not as powerful as people like to think; but the business of F2P games is one of incremental optimizations. To become certain of such an effect, this would require some pretty complex analytics and/or cohorting capabilities. Entirely possible it's a thing, but for me at least, it's supposition until proven. In general, most of the stuff Era is dreaming that companies are doing is too complex to actually pull off scientifically.
No, there's no public documentation of this sort of thing. It's all very proprietary and hush-hush.
The truth is that these people would still be screaming about "parental responsibility" if we were seeing articles talking about a full blown underage MTX/gambling epidemic on a daily basis.
You'd be surprised, actually :PI'm surprised you'd say this. This implies that consumers in general are highly knowledgeable about the background workings of the games they play, which, let's admit, just isn't true. There's absolutely a highly informed, dedicated segment of players, but they're a complete minority. Knowledge of those background workings, the business side of games, is seeing some growth inside of that dedicated niche, but there's just no way that your average player is considering things on this level.
Yes, there's ample academic research (and live data) suggesting that microtransactions are driven by impulse purchases, and that impulse purchasing intent drops with price increases. You can probably find some papers if you search "impulse purchase intent price point" or some other combination of related keywords. I can probably scrounge up some examples of this in action, but I'll have to think about it because the clearest examples are probably proprietary info.I do see your argument about separating microtransactions and larger purchases conceptually, even if there's a lot that causes the lines to blur. However this:
I don't know what to call this except an abdication of responsibility on the part of developers, honestly. The "failure of human brains to track things over time" is a factor that is not just well known, it's actively designed for. It's literally how the microtransaction model is designed to work, by your own description. You also once again imply that the scale of larger purchases in some way forces buyers to look at those purchases in a more objective way, but is there any data that suggests this is actually the case? It would be great if it was, if every consumer was maximally aware of the nature of their purchases, but it's hard to believe that's actually true in reality. Heck, even your last sentence in that paragraph, "As I said, the same goes with things like food, clothes--even full games sales," points out that this lack of objectivity extends to larger purchases as well.
It just comes down to what the game is, is what I mean. Some games are designed to operate well in isolation (e.g. Candy Crush); others are dependent, at minimum, of a critical mass of CCU in order to have a good experience (any game with matchmaking). For the latter, CCU is a much more important figure. For the former, which makes up the bulk of F2P mobile, it take a backseat to LTV. For games like Apex Legends (or any AAA title), CCU is worn as a badge of pride, even if the LTV of those players isn't amazing. League of Legends makes a boatload of money based on very high engagement metrics but its LTV isn't amazing comparable to other titles in the RTS/strategy genre.Alright, I have to plead ignorance here. It still does seem logical to me that population size at least indirectly drives LTV, because a larger population size has a better chance of attracting high LTV players. I'm just not familiar with other, I suppose more direct means of extending LTV. "Mindshare is handled through ad buys, not being a part of the zeitgeist" seems logical, as ad buys have very clear metrics to draw conclusions from, but are there effective means of correlating population growth with the acquisition of high LTV players? If there aren't, why is that?
I talked a bit about this in another thread about loot boxes here: https://www.resetera.com/threads/th...nimation-for-each.129552/page-2#post-22837119Again I'm surprised. Recently there was a large thread on this forum about this article, which is about the exact social status pressure effect I described (or rather its negative aftereffects): https://www.polygon.com/2019/5/7/18...Amcuh-On1tp1HDV2knxBpdohs2HplB5boCg6lzwGUd_bE
This concept has existed in marketing forever, so I find it hard to believe that robust methods of analyzing and exploiting it haven't been developed for games. This is the root of the entire influencer phenomenon, which has gained huge investment from the industry and has supplanted traditional marketing in significant ways. I'm sure there's a great deal of optimization to be done with specific implementations, but the overall effect seems very well established, and there's active investment in it, showing that developers have real data to prove its efficacy.
Just hearsay :)If you're personally aware of instances of this happening, I'm sure that any journalistic games or tech publication would be very interested in covering it. If it's at all possible for you to speak with such a publication I'd encourage you to do so.