Tough Truths About the Game Industry

If you're new to the game industry, you've probably heard a lot of myths about publishing. The truth is more complicated -- and, if you're planning to publish your new game, perhaps more encouraging.

If you're new to the game industry, you've probably heard a lot of myths about publishing. The truth is more complicated -- and, if you're planning to publish your new game, perhaps more encouraging.

View attachment 104349
Picture sourced from Pixabay.
[h=3]“PDFs should be free!”[/h]It costs nothing to copy a PDF, everyone knows that. Digital books are no more complicated to produce than it is to move a mouse. So, games companies must be just trying to gouge their customers.

While many games companies do give out free PDFs, it isn’t because they cost nothing. A PDF book costs the same as a printed one in terms of commissioned art and writing, layout and graphic design etc. Now, it does have a much smaller unit cost, which is zero. However, the unit cost of any book is a tiny fraction of what the customer is paying. The unit cost is the base charge the publisher will add a little to when they sell to a distributor. The distributors add their own mark up and sell to retailers who add another. This makes the unit cost much less than a quarter (or even a fifth) of the final retail sale price, if that. So discounting a PDF by half that price (as is the standard on DriveThruRPG) is actually a pretty good deal.

Some companies offer PDFs for free, but this is not because they cost nothing. In general, a customer with the PDF might come back to buy the hard copy, but if they have the hard copy they rarely come back to buy the PDF. So given those statistics, offering a free PDF with the hard copy is a good sales incentive. It is a pain for retailers to compete with this, but that’s another article! All I’ll say for now is check out Bits and Mortar (.com).
[h=3]“Amazon knows the real release date!”[/h]You see this a lot. A customer announces on a forum that they know when a product is coming out as Amazon (or similar) has it listed with a date, despite the publish having said nothing. This then picks up traction across the forum until people are demanding it for the ‘correct date’.

So, first off, if a company hasn’t put out a release date, any other date you hear is probably wrong. But how do these spurious dates appear? After all, Amazon didn’t get it from nowhere. The reason is due to what publishing companies have to tell retailers and distributors to get their products into shops at the right time. The lead time on this is three months at least (and longer for a Christmas release). So when a company thinks it can deliver a product in three months it offers it to distribution so they can place orders at the right time. But it doesn’t always work (in fact it often doesn’t work). There are legions of things that can delay a release, and all the while some distributors the order date to their customers as a release date, even though it was only ever a hopeful guess from the publisher. When it’s a big company like Amazon who don’t update all their products, these dates stay on their website, further convincing people that it is on the way. These confusions are why most companies stay vague about release dates for their customers until they know they can hit them.
[h=3]“The gatekeepers won’t let me in!”[/h]With the advent of digital publishing, the gates to becoming an RPG game producer have never been further open. Yet still you see a few people complaining that the industry is hard to get into and no one will ‘let them in’.

There are a lot of reasons for why you might think that, and these are mostly because you may be approaching the industry the wrong way. Most games companies have their own lines and anything that doesn’t fit into one of them isn’t going to be considered, no matter how good it is. Even for a writer with a good track record, getting someone to publish your new games idea is a huge investment for any company, and one that can seriously stretch their resources. So, if you want to get into the industry, talk to the people who produce a game you know well about what they might be looking for in terms of supplements and adventures.

However, if you have a game idea and you want to get it out there, you don’t have to wait for someone else to produce it for you. Print on demand companies like Lulu and DriveThruRPG (One Book Shelf) are a cheap and easy way to get your game on the market, and Kickstarter can get you the funds to take it further. But that’s a whole other article!
[h=3]“It’s OK to base something on a book/TV show/film/video game if I don’t make a profit.”[/h]This one comes up a lot, and there are many sad stories of people falling foul of it. I can’t give you all the legal details (and British and American law are also a little different) but this is generally an abuse or misuse of someone else’s ‘Intellectual Property’ (IP). It is never OK to use anyone else’s intellectual property for any reason, and some will sue you for a lot of money if you do, whether you made money or not.

There are a number of legal reasons for this. For one, if you own an intellectual property, you need to preserve its standards and integrity. Letting anyone do any old thing can bring down the perceived quality, sometimes even more so if they are doing it for free. It comes down to the fact that an IP belongs to someone, and you need to ask before you play with someone else’s property. Additionally, there are some forms of law that work on precedent, and if you allow someone to do something with your IP without your permission, you have effectively allowed anyone to do the same, profit or no profit.

In short, IP law is a very complicated subject. You can often make something similar if you are careful, but the names (and especially anything trademarked) and specifics of a world are not available without license. So, before you write your version of ‘Game of Thrones’ ask yourself if you could defend it as solely your own work in court.
[h=3]“No one will be interested in my game!”[/h]To finish on a more optimistic note, you may be thinking the idea you had for a game just isn’t any good. But you may be wrong. Gaming is a small industry with a huge product base. There are plenty of games that are very similar to each other all doing well in the market. You do need to find something that makes your game stand out. But the variety of the community means that even if you have nothing but a clone of D&D with a few tweaks, it might be just what someone out there is waiting for. Self-publishing and the array of community content options have made it easier than ever before to get your work out there. But to do that you have to get it written. So get back to it and finish it right now, because just maybe, you have inside you a game that everyone will want to play.

This article was contributed by Andrew Peregrine (Corone) as part of EN World's Columnist (ENWC) program. We are always on the lookout for freelance columnists! If you have a pitch, please contact us!
 

log in or register to remove this ad

Andrew Peregrine

Andrew Peregrine

"PDFs should be free!" ...LOL. They're free to REproduce, not free to PRODUCE. Creators are allowed to get paid.

“Amazon knows the real release date!” ....Not for RPGs. Most of Amazon is either robots guessing prices (which is why board games can cost so much on there) or resellers.

“The gatekeepers won’t let me in!” ...Maybe, or those gatekeepers can barely keep their own doors open so they're not trying to hire anyone else on. The good news, as the article says, is that you can start your own shop cheaply and make your own book.

“It’s OK to base something on a book/TV show/film/video game if I don’t make a profit.” ...I'm sure someone has thought this and said this, but it's dumb as hell. Personal use and commercial use are pretty well defined.

“No one will be interested in my game!” This one is a little tougher. On the one hand, you never know who'll be interested in what until you bring it out. I never would have guessed Sagas would make almost 1000% of its funding goal and keep selling afterward. On the other hand, this sort of inferiority complex is why so people spend 1000s of hours making something to release it either free or PWYW-- and it drags the market down with it.
 

log in or register to remove this ad

Mistwell

Crusty Old Meatwad (he/him)
This is complete tangent, but do you have any information showing that the price of gaming books is going up much greater than inflation?

I remember getting into the Star Wars WEG RPG in the mid 90's, and most books cost about $20. When 3e came out an I got serious about D&D, I think the core books were still $20 each. I recently bought the 5e books and paid about $35 for them. Going by a quick online inflation calculator, that seems pretty on par with inflation. And the new RPG books I'm buying are much higher quality (color, glossy, more pages) than the books I was buying in the 90s.

I don't. The data I saw was the price of novel paperbacks going up massively. Publishers said at the time print cost had increased and print cost were the bulk fo the costs. Then when they started putting out electronic copies of those same novesl at the same (or similar) price just a few years later, they said it was because the costs were nearly identical. Which was absurd given what they had said earlier about a sizable portion being in the print cost. The real reason appears to have been, as [MENTION=813]jmucchiello[/MENTION] mentioned, not annoying the distributors of print books, and because they could.
 

ParanoydStyle

Peace Among Worlds
“It’s OK to base something on a book/TV show/film/video game if I don’t make a profit.”

You know, the confusion about this one seems to extend pretty far up the ladder in this industry, including the ENnie award committee and the management of OneBookShelf, the parent company of DriveThruRPG.

Take Phantasm(2010), a fan game of the Phantasm films (and other good bad horror films of the 70s/80s/90s/00s) as an example. It was never presented as anything but what it was: an entirely derivative fan work made for free as a labor of love. When we uploaded the PDF to DriveThru as free, they practically begged us to charge SOMETHING for it based on its production values. They actually told us it was worth money and to charge money. I think we changed it to PWYW. Later on when actual rapist Matt McFarland complained about it to troll us, DriveThru took it down and cited their "no derivative works ever policy". It had been on their website making them money for years. It's not like it's something that "slipped through the cracks" either, since we had that little conversation with them on upload, about how they thought we should charge for it because the production values were so amazing and we were like "can't do that, derivative fan-work".

So it would seem DriveThru does not actually care about derivative works as long as they're quietly making money and not being complained about by rapists. I do wish I could see an interpretation of these events that was more charitable to DriveThruRPG's consistency or integrity, but I can't. I asked if since this was their policy, they would be giving back the money they had made off of Phantasm(2010) to the owners of the IPs. They didn't respond.

Oh, and the cherry on top is that Phantasm(2010) was nominated for the best free RPG ENnie in 2013 (oh hey, those are the awards from this site, right?). Again, this is a product that has stated outright that it's a derivative fan-work for its entire existence. And if it was nominated for an ENnie, it obviously wasn't low profile. So again, I'm not sure how much DriveThru cares as long as no one's complaining. Once anyone's complaining--whether it's say, someone with legitimate rights to the IP (I never heard from Don Coscarelli once, and I'm almost positive he still does not know the game exists) or a random rapist with a grudge--DriveThru's tune changes very quickly.

“It’s OK to base something on a book/TV show/film/video game if I don’t make a profit.” ...I'm sure someone has thought this and said this, but it's dumb as hell. Personal use and commercial use are pretty well defined.


To be clear, someone has thought this, said this, developed the game, published a few hundred copies, released the game, was encouraged by DriveThru to charge money for the game instead of giving it away for free on the basis of its quality, and then attended the ENnie awards ceremony where the game was nominated for Best Free RPG.

I am that 'dumb' someone.

Hello!

Personal use and commercial use are pretty well defined? Well, my understanding is still that commercial use involves making a profit.

I am still developing content for free based on IP I don't own with the rationale that it is okay because I am not making a profit and the understanding that it won't be an issue because the makers of XYZ do not know I or my game exist AND/OR the makers of XYZ do know I exist, but are invested enough in the TTRPG community to not want to look like evil ogres coming down on me with a C&D for something that is obviously just a fan-work being made out of love.

Ideological Context: I'm an anti-authoritarian generally anti-capitalist socio-anarchist and my feelings on this topic can best be summarized by the following:

"Information wants to be free
Charged particles expand through space
Then bleed through greedy fingers
And explode in your face
I can't wait"

(I got that entire quote into my section on Storm Front for Shadowrun 4E.)

"...'cause sound wants to be free
It wants to sing over everything
I know you've tried so hard to package joy
You try so hard to sell us things that are already ours
Like the bones in my ears
Like the air in my lungs
That delivers songs so carefree
...So Happy Birthday, sue away!
You feel you're being cheated
It's more that you're not needed
...Your cut is nothing cause I gave it away"

The fiction and media I respect the most has always been the fiction released "open source", H.P. Lovecraft being the Ur-Example. If his attitude had been anything other than "hey I made this stuff up you guys take it and run with it", roughly 20% of this industry would not even exist.
 
Last edited by a moderator:


Dire Bare

Legend
Take Phantasm(2010), a fan game of the Phantasm films (and other good bad horror films of the 70s/80s/90s/00s) as an example. It was never presented as anything but what it was: an entirely derivative fan work made for free as a labor of love. When we uploaded the PDF to DriveThru as free, they practically begged us to charge SOMETHING for it based on its production values. They actually told us it was worth money and to charge money. I think we changed it to PWYW. Later on when actual rapist Matt McFarland complained about it to troll us, DriveThru took it down and cited their "no derivative works ever policy". It had been on their website making them money for years. It's not like it's something that "slipped through the cracks" either, since we had that little conversation with them on upload, about how they thought we should charge for it because the production values were so amazing and we were like "can't do that, derivative fan-work".

Maybe One Bookshelf fears complaints by rapists, or maybe they are a company run by humans who, 1) can make mistakes and later correct them, and 2) change their minds on various issues. Publishing a work blatantly derivative of someone else's IP is a bad idea for a company, even if it's being offered for "free". One Bookshelf never should have uploaded your book in the first place, they were right to later take it down. I doubt they are pals with McFarland (not really sure who that is), but when someone, anyone, pointed out the foolishness of carrying your product, they decided the smart move would be to take it down.

Note, I don't think there is anything wrong with you creating and distributing your work at no cost through whatever avenues are available. It was just foolish for One Bookshelf to allow themselves to be one of those avenues. Fan-fiction is a thing (or, I suppose, fan-gaming), it just shouldn't be distributed by a for-profit company, even for free.

If the owners of the IP you've used without permission haven't come calling, that doesn't mean they won't at some point or that you are legally in the clear. Not a good strategy for a business or an author trying to make a profit, if even a small one. Even fan-fiction has been squashed flat in the past, not so much because it's illegal, but because media companies often have bigger lawyers than fan-authors do.
 

Von Ether

Legend
I'm waiting for someone to put together the infrastructure of selling a scratch off card that gives the buyer access to a PDF.

Instead of selling books, a small shop can sell the cards instead.
 

Vanveen

Explorer
Justification given then by publishers for print books to go up dramatically higher than the rate of inflation?
The cost of printing books has gone up.

Justification given now by publishers for electronic versions of those books to be priced at or near the same price as print books?
The cost of print is only a small fraction of the cost of books.

Not that this applies as well to RPGs, which have a lot more artwork and layout than a typical novel. Still, it bothers me that we pretend the baseline price didn't go up well beyond the rate of inflation with prior explanations that don't hold up well to scrutiny.

Here's another little tidbit.

Thanks to the Thor Power Tools decision in the mid-70s (not making this up), unsold inventory, including books, is subject to inventory tax. That means that if you print a book in 2017, any unsold copies at the end of 2017 will pay an inventory tax in addition to the cost of warehousing them, etc. This has had two profound effects on the book industry: first, most books go out of print more or less immediately. Second, a thriving remainder industry (all those "bargain books" at Barnes and Noble) has sprung up: the publisher sells off old stock, typically about 30 cents a pound, and resellers attempt to resell it.
But wait it gets worse. Since the 19th century, booksellers have enjoyed a "returns" policy. Any book they don't sell can be returned to the publisher, typically within three months, for full credit. This is usually quite a lot of books, since something like 5% of titles account for 60-80% of sales (or more). It is also famously difficult to predict what's going to sell in the first place, the reason the policy was created.

Ebooks are not subject to any of this. You don't pay warehousing costs or inventory tax. Sellers can't return them. I am having a very difficult time understanding where the "expense" is coming from. Yes, of course you have design costs. On the other hand, *producing* those designs is also an order of magnitude cheaper than print. Pricing here is an attempt to create the illusion of value for an intangible product. That's a well-understood principle in pricing theory, a somewhat arcane specialty of business thinking. Just don't get confused about what's really going on.
 

Inchoroi

Adventurer
I feel the same. :)
My usual advice is 'write what they asked you to write and turn it in on time' then you'll find plenty of people looking to hire you :)

My most annoying thing is when they ask you to write something while you're already writing something for them, and then writing another campaign on top of that and running it. Seriously. I've got three big projects I'm working on! One I have to turn in on Monday but its done but I'm afraid that there's errors that I missed panicked breathing.
 

billd91

Not your screen monkey (he/him)
Personal use and commercial use are pretty well defined? Well, my understanding is still that commercial use involves making a profit.

I am still developing content for free based on IP I don't own with the rationale that it is okay because I am not making a profit and the understanding that it won't be an issue because the makers of XYZ do not know I or my game exist AND/OR the makers of XYZ do know I exist, but are invested enough in the TTRPG community to not want to look like evil ogres coming down on me with a C&D for something that is obviously just a fan-work being made out of love.

My take on this - lack of profit is bad rationale for something being distributed beyond your gaming table. Distribution is the salient difference between being for personal use and commercial. And that’s actually a pretty clear line.

And I also think the ENnies should not be nominating free RPG materials that rest on unlicensed IP.
 

I'm waiting for someone to put together the infrastructure of selling a scratch off card that gives the buyer access to a PDF.
They are called Visa Gift Cards. You go to one of probably a million different stores, pay in advance for them, then you go to your favorite PDF seller and buy the PDF you want and use the Visa card to pay for it.

Novel huh?
 

Related Articles

Remove ads

Remove ads

Top