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Category: Business

The future of games

Published by Paolo on 13/11/2023

This weekend I was scrolling the infinite feed of LinkedIn and reading updates from many experts. I have to say that lately from one side there are lots of challenges. Many layoffs across the whole IT sector and people looking desperate. From the other, lots of experts are sharing their knowledge online. This is absolutely a good thing.

One of the main topic is about the future of games. Right now, it seems that everyone can make and publish a PC game very easily. But the cost of AAA games production is rising and the value perceived by the players is going down.

There is a demand/offer problem, too many games and it’s hard that the people notices you. To me, the solution should come by adopting a different perspective. Unless you have a strong IP, like Call of Duty, you cannot just make a game and sell it. You cannot afford to assume that people will come buy it. Nowadays, you should first get in touch with people, make them notice you. Then the people will eventually buy your things.

There is a trend among content creators, especially tech ones. They use Patreon to arrive to their audience. They build little by little. Play-to-earn crypto games were scam, but they were making something good: making contact with people super early. Of course, the focus there was money which is never something good to relate with entertainment. Still, I liked this very fact.

The key to me is in being able to create a strategy to go towards the people, the Players. Not the other way around. If you are making a game and then you will invest your money in marketing to spread the word, it’s very possible you join the rest of noise. It’s better to start build your player base right now, instead.

Prepare the soil

Published by Paolo on 09/10/2023

You can buy a plot of land and start planting crops. You may want to build some structure and make changes on the land. You start a new business. Then you may hire farmers to take care of your land and make it grow.

The same is valid for the game as a service business. Often the people who start a game are not the people who make it grow. Often you need a certain type of people to find something new, a new land. But then you may want expert farmers to make it grow.

It’s not that people cannot do both, it’s a matter of will. Creating a brand-new experience requires the ability to spot opportunities and connect the dots. Maintaining and making a game grow requires analytical skills, instead.

Someone says that one thing is to go 0-to-1, and another 1-to-1000.

If I would start a new games company

Published by Paolo on 05/10/2023

You have probably seen something like this:

I cannot say that is an universal rule, but it makes a lot of sense to me. So, if I would start a new games company without investors, I will definitely go for GOOD and CHEAP games.

  • FAST and GOOD are not cheap. So you need high investments for those. And I would prefer not having investors.
  • FAST and CHEAP are not good. And Players are looking for quality, for motivations to play, for the right gameplay case.
  • CHEAP and GOOD games are slow to make. But if you keep the scope controlled (cheap, remember) there is a lot of space for smaller games.

Fight for more value to creativity

Published by Paolo on 03/10/2023

Do you know why companies spend so much on marketing, especially advertising? Because once the game is done, all the effort has been made they HAVE to sell it.

Probably if they would spend more on keeping and growing talents they will have better games and should spend less on marketing. And I am ironic when I say “probably” because that’s for sure.

The more I work with my creativity the more I feel the urge to learn how to negotiate better my conditions. Because a simple design can become gold for someone in the future.

Growing business and talent

Published by Paolo on 28/09/2023

If you want to create a sustainable games business you need to serve an audience.

But game ideas for new intellectual properties almost never come from that logic. A new idea comes while playing a good game, or connecting things belonging to our personal life. Often we need to leave that idea for a while to make it grow. This process can last months, and this time is unpredictable.

Every time I speak with the founders of some indie games company, they say the same. They are constantly working on new ideas while developing the current game. They need to pitch new concepts all the time to publishers. In this way, they can find the funding for the next project, hopefully before completing the current.

When you find your audience with a title, then, is better to focus your firepower. If you understand how to serve a concrete audience you have more chances of being successful again.

In the long term, though, this can become stressful for the creative people of your team. At the last fair, I met a designer of one of the most successful indie sagas of the last few years. And I felt his frustration, he felt like “it’s always the same”. Sometimes those people end up building their own company. Other times, they just leave for new ventures.

Striking a balance between serving an audience and allowing creative freedom is crucial in the games industry. Both are essential for long-term sustainability.

From one side, you have to grow your business, and serving the audience you found is the smartest move. On the other side, you don’t want to lose the members of your team who bring more value on the table. Let express themselves, maybe in smaller projects.

Meaning learning from ambition and vice versa

Published by Paolo on 30/06/2023

For the second day of the Gamelab I have carefully chosen two types of conferences. On one hand exponents of the indie world, and on the other people who work in the f2p mobile sector.

I did it with a very specific purpose. I have long been convinced that the two tribes, however distant, have much to learn from each other. This conviction probably made me observe specific elements. In turn, these elements have strengthened it.

The mountain

[This metaphor came to mind thanks to a story a Capoeira master told me years ago about martial arts in general.]

Let’s imagine that we want to reach a mountain’s top. In the case of video games, imagine that at this peak are the most spectacular games in history. Super Mario, but also Candy Crush Saga. There is Clash of Clans and there is Minecraft. Stardew Valley and The Legend of Zelda.

We want to get there.

There are many ways to do this. First, why do we want to do this? What drives us?

Meaning and ambition

In most indie realities there is something internal that moves people. Some experience that you want to explore, some specific fantasy they have from childhood. Emotions, memories. We can talk about meaning, in their case.

When I listen to people in the free-to-play world, there is something external. The possibility of reaching millions of people. To create a business that can grow significantly. Structuring a growth and upgrade plan that you can track using technologies and data. We can talk about ambition, in their case.

Indie companies create their games and find that there is a real market. What they are looking for is financial stability, to continue developing their games. They start with meaning, but when the results arrive, they also discover ambition.

Free-to-play companies most often start with a business opportunity. They discover that the trend is to make puzzle-casual games and look for ways to develop them. When they have years working, they understand that their ambition must be backed up with real meaning. There are millions of players out there looking for

  1. relaxation
  2. stress-relief
  3. connection with other people

In this exact order.

Why are they looking for it? What are the fantasies that lead these people to choose to be loyal to a specific game? What does move you to serve those people, really? The main challenge of all free-to-play actors is to make new games. New ideas. From the initial ambition, one begins to search for meaning.

Indies and F2P can learn from each other

Indies can learn from free-to-play that a noble cause has a lot of risks that can be tackled with a data-informed approach. And I’m not talking about retention, monetization, and all these things that you hear.

I’m talking about concrete UX strategies. For me, it’s not enough to give your game to people, observe them and get feedback as I hear yesterday over and over. It is good, but not enough. You need to create concrete heuristics and turn your assumptions into numbers. Create gyms for your game. Prepare Wizard of Oz tests, and measure the behaviors of your players. Test the symbology and game icons, to understand how people interpret them.

[If you look at the paths of the mountain ahead of you, higher up you will see realities that have made it because they have overcome certain risks. Do you want to reach them? Don’t focus on your desire to walk, look at the obstacles.]

Free-to-play companies must understand that all successful products come from a strong foundation. Games offer a set of fantasies that connect with people. People keep playing these games because they find concrete meaning. This meaning translates into value, and value is what ultimately makes the business grow. If you start by exploring your competitors and seeing their numbers to choose who to follow, you go the other way. Look for the meaning first, for the fantasies that connect with people. Indie gaming has a lot to teach in that sense.

[At the base of the mountain I mentioned earlier, there are people starting paths. If other people are higher now it is because someone has already created a path. But if you want to start directly from higher up, well you have to jump. And jumping you risk rolling down.]

Gamelab day 1

Published by Paolo on 29/06/2023

Yesterday I went to Gamelab Barcelona, an event dedicated to the video game industry. This year is a more intimate version and better focused, in my opinion.

Regardless of the type of business, the size of the company, its mission, or its artistic style, one thing is clear to me: the vision remains the most important part.

If you have to present your next indie game, or if you are thinking of being acquired by a big corporation. Whether you work as a consultant or want to land your first job in the industry, it’s all the same. You have to be “like a sniper” (quoting one of the speakers).

The video games industry doesn’t stop growing, more and more products are marketed and more and more different realities enter the scene. The only way to stand out is by getting straight to the point. Your vision must be absolutely clear for everyone.

It applies to the motivation of your team. It applies to the peace of mind of your bosses or your customers. It is to convince investors and publishers. It is used to show your value to a possible employer.

It can be done! The possibilities are many! But you have to clarify yourself and you have to focus all efforts to target exactly the weak point of the Death Star. The keyword is vision.

Second day today!

Genre, target and quality

Published by Paolo on 27/06/2023

Genre

style or category of art, music, or literature.

target

a person, object, or place selected as the aim of an attack.

quality

the general excellence of standard or level.

(oxford language)

Often times I have a discussion around the concept of game genre and game target audience. Usually, the people involved with the business side change the cards on the table. But game design has its literature and history. This post is to clarify two simple concepts.

The game genre

The easiest way of thinking in the game genre is to look at yourself when you are looking for a game to play.

  • Do you want to relax? run a puzzle game on your mobile phone
  • Do you want a great story? You have the new JRPG available for your console
  • Do you need some challenge? A racing game can do the job.

The genre of a game defines its style or category, not its business model or the time to complete a session.

The game target

Everyone knows that we make games for an audience. The world of marketing and advertisers classifies that audience demographics. As game developers, instead, we focus more on behaviors and needs. One point of touch is the time we expect our Players will have to play the game.

  • If the players will have very little time, to relax: casual games
  • If the players want to release some stress for 40-60 minutes, also engage with other people: mid-core games
  • If the players want to escape reality for a while and focus on a set of challenges: hardcore games

The target of a game defines the motivations and time that the Players should spend in it, not its genre.

The game quality

According to the scope and the context, we can afford to make games of a certain quality standard. The quality of a game is often the point of touch between the industry and its players:

  • mobile game: they need to be lightweight and very accessible, so they often present pizzazz UI and simple visuals
  • Indie games: they are an achievement to show to the World. They don’t need super high production, also if visuals are very important for their success
  • AA games: they come from independent studios that have been backed by a bigger publisher.
    • AAA games: produced and distributed by major-sized publishers, Players expect very high quality.

The game quality defines from one side the context capability of the development team. On the other side, the standard of excellence that Players have come to expect. Players have concrete expectations of quality and quality is not comparable. You cannot compare indie with AAA, there is nothing to compare. You can compare AAA with AAA and have meaningful conversations. Every quality has its own set of standards.

Conclusion

The top companies I see out there specialize in a single genre and a single target. When they grow, they may want to expand to other qualities.

  • Your Players will never look for a “hyper casual game”. They will look for “something to play while I am on the bus”.
  • Players may want to know about the next AAA games coming out. The new Zelda game came out. Oh, but I have no time for such a big game right now.
  • Players don’t care if the menus of that mobile puzzle game have basic colors. But they can quit if the loading times among levels are too high.
  • If your AA game has not the right standard, some Player can complain that looks like a mobile game!

Vision notes on FFXVI

Published by Paolo on 26/06/2023

This weekend I downloaded and played the new Final Fantasy XVI demo on PS5.

I’m not going to give spoilers or give my opinion, because it’s not interesting. I am a gamer like many others, and working as a game designer I am certainly full of prejudices that limit my vision.

What I have noticed, however, is that the vision for the future of the saga includes:

  • Combat systems that focus on spectacle over strategy
  • Less depth in the characters’ stats and more depth in their profiles
  • Make life much easier for those who want to know more about the game world

Ultimately Final Fantasy has always been this: a rich world in which to immerse yourself. An epic adventure with very distinctive characters. And a lot of not-always-exciting fights.

With the arrival of Genshin Impact and Asian RPGs with massive audiences, in my opinion the creative directors of the saga are wondering how to make the series more modern. I must say that I like these types of experiments, beyond the final result.

It is a path that can lead to new masterpieces in the future, even if it is a difficult and so unpredictable path.

The art of vanity

Published by Paolo on 13/06/2023

Vanity metrics are metrics that are not used to make strategic decisions. They are used internally and externally by a team to make a good impression.

During the development of a video game, some useful metrics can become vanity metrics. The measure of MAUs, Monthly Active Users for example is often used as a vanity metric. An MAU is a player who has logged into the game at least once during the month. It is a measure that says little, with which few decisions can be made. Yet, if we have many MAUs, our partners and investors will be happy to know about it.

Another vanity metric I see in the world of premium development is the number of wishlists on Steam. Steam algorithm recommends your game based on the speed of getting wishlists. Wishlists are useful, but the metric representing the overall number is not. I have never seen a single company making strategic decisions based on that number. A premium games company decides to make a game and goes until the end. Having many wishlists motivates the team and piques the publisher’s interest. A textbook vanity metric.

Are vanity metrics useless?

Absolutely not! They help move things along, they help with certain discussions. I compare them to the placebo in medicine. Placebo is proven to work on so many occasions. Monitoring, presenting, and discussing vanity metrics allows us to unlock many situations.

If a game has tens of thousands of people returning every month at least once, this opens doors to investors. The fact of having many wishlists allows a publisher to focus their campaigns more on our game. The team benefits from it because it’s easier to prove that artistic decisions are the right ones. Proving artistic choices is hard, art has a strong aesthetic component. That’s where vanity comes in!