WotC Hasbro Bets Big on D&D

During today's 'Hasbro Fireside Chat', Hasbro's Chris Cocks, chief executive officer, and Cynthia Williams, president of Wizards of the Coast and Digital Gaming mentioned D&D, and about betting big on its name. This was in addition to the Magic: The Gathering discussion they held on the same call.

The following are rough notes on what they said.

D&D Beyond

• Leaning heavily on D&D Beyond
• 13 million registered users
• Give them more ways to express their fandom
• Hired 350 people last year
• Low attrition

What’s next for D&D

• Never been more popular
• Brand under-monetized
• Excited about D&D Beyond possibilities
• Empower accessibility and development of the user base.
• Data driven insight
• Window into how players are playing
• Companion app on their phone
• Start future monetization starting with D&D Beyond
• DMs are 20% of the audience but lions share of purchases
• Digital game recurrent spending for post sale revenue.
• Speed of digital can expand, yearly book model to include current digital style models.
• Reach highly engaged multigenerational fans.
• Dungeons and Dragons has recognition, 10 out of 10
• Cultural phenomenon right now.
• DND strategy is a broad four quadrant strategy
• Like Harry Potter or Lord of the Rings or Marvel
• New books and accessories, licensed game stuff, and D&D Beyond
• Huge hopes for D&D

What is success for the D&D Movie

• First big light up oppourtunity for 4th quadrant
• Significant marketing
• They think it’ll have significant box office
• It has second most viewed trailer at Paramount, only eclipsed by Transformers
• Will be licensed video games, some on movies
• Then follow up other media, TV, other movies, etc.
• Bullish on D&D.

 

[tenkar]

We know that brick-and-mortar stores are no longer a concern for WotC, at least as far as D&D is concerned. They are now hoping the customer base will transition to direct sales, with the D&D Beyond content bundled with physical books, and the digital content is released 2 weeks prior to the physical release. I expect VTT content to be part of those bundles in 2024.

If you buy into the WotC preorder system, you are buying into their digital marketplace. Since 20% of the 5e player base - specifically, DMs, spend more than the other 80% (players) and much of that 80% is not actively making purchases, subscriptions are going to be the likely route to better monetize the less monetized portion of players. The top officers at WotC come from Microsoft, and Microsoft had leaned heavily into subscriptions the past few years, for MS Office and XBox Games.

 

[darjr]

We know that brick-and-mortar stores are no longer a concern for WotC, at least as far as D&D is concerned. They are now hoping the customer base will transition to direct sales, with the D&D Beyond content bundled with physical books, and the digital content is released 2 weeks prior to the physical release. I expect VTT content to be part of those bundles in 2024.

If you buy into the WotC preorder system, you are buying into their digital marketplace. Since 20% of the 5e player base - specifically, DMs, spend more than the other 80% (players) and much of that 80% is not actively making purchases, subscriptions are going to be the likely route to better monetize the less monetized portion of players. The top officers at WotC come from Microsoft, and Microsoft had leaned heavily into subscriptions the past few years, for MS Office and XBox Games.

Just got that at my FLGS. "No longer a concern" is kinda a stretch don't you think?

 

[darjr]

Reports from the players in question.

Yes cause that's going to work so well. Implementing that would burn through any value those trinkets make. Do you really think they'll implement a reporting system solely to report DM's who won't let players use cheater items?

 

[Nikosandros]

View attachment 269415

Just got that at my FLGS. "No longer a concern" is kinda a stretch don't you think?

I agree that this cover is gorgeous and it is only available only through stores. In fact, in a fit of impatience, I went to my FLGS and got myself a copy. I have a suspicion that the deluxe bundle will arrive in the EU quite late. I'll figure out what to do with the duplicate book when I get it.

 

[Nikosandros]

It does, and it is the only way for spells, items, abilities, etc. not in the SRD to be imported into Foundry VTT, automatically. But it isn't Foundry which does this, it is the work of a particular patreon, run by "Mr. Primate" that permits it. Foundry on its own does not and cannot.

Anybody can of course go to the trouble and create the data and formula for that spell, item, ability, etc. on their own if they want to. Who wants to do that when DDB and Mr. Primate's module will do it for us?

The module only works for books you have bought; if you don't own it (or at least, had the book shared with you on DDB) then you can't import it into Foundry.

In terms of the underlying commercial requirements, i.e., MONEY paid to Wizards of the Coast, WotC is well served by this. I know this, for the good reason that DDB has several hundred dollars of my money that they would never have received had Mr. Primate's DDB importer not existed.

C&D? They should send him a cheque and a thank-you note.

Currently I agree that WotC is well served by this. Once their VTT is out, I think they won't see things in the same way.

 

[darjr]

It does, and it is the only way for spells, items, abilities, etc. not in the SRD to be imported into Foundry VTT, automatically. But it isn't Foundry which does this, it is the work of a particular patreon, run by "Mr. Primate" that permits it. Foundry on its own does not and cannot.

Anybody can of course go to the trouble and create the data and formula for that spell, item, ability, etc. on their own if they want to. Who wants to do that when DDB and Mr. Primate's module will do it for us?

The module only works for books you have bought; if you don't own it (or at least, had the book shared with you on DDB) then you can't import it into Foundry.

In terms of the underlying commercial requirements, i.e., MONEY paid to Wizards of the Coast, WotC is well served by this. I know this, for the good reason that DDB has several hundred dollars of my money that they would never have received had Mr. Primate's DDB importer not existed.

C&D? They should send him a cheque and a thank-you note.

Yea, they probably should send him a check.

I think I'll get a chance to use this tonight. A friend is trying this very thing. Which I didn't realize until recently. Wish me luck.

 

[darjr]

Currently I agree that WotC is well served by this. Once their VTT is out, I think they won't see things in the same way.

We'll see.

I doubt it. But I'll protest if they do.

 

[tenkar]

View attachment 269415

Just got that at my FLGS. "No longer a concern" is kinda a stretch don't you think?

When your future business model is to offer better deals directly to the consumer than the FLGS can, because such will maximize the buy-in to your digital market, then yes, FLGSs will suffer. When the digital/physical bundle doesn't only give you a digital copy 2 weeks before retail but also includes VTT assets, how do our FLGSs compete?

 

[Steel_Wind]

We'll see.

I doubt it. But I'll protest if they do.

It will depend on the quality of their tools. As I indicated earlier on this thread, what WotC really has is brand recognition and top-of-mind. There are lots of competitors out there, and some of them make products that are high in quality and are substitute goods.

If their tools aren't good enough to make a move to exclusivity stand on its own? People will bail, en masse.

Given that 3d VTT tech is already out there now (albeit, not in an easy to use/implement format), and the work of AI art generation is moving forward at a breathtaking pace, it is not at all obvious to me that WotC can deliver a software product which is leaps and bounds better than what others can and will do.

At this point. I'll let 2025/26 take care of itself. If WotC pisses me off? I'm out and back to Pathfinder. It won't take all THAT much for that to happen so WotC would be wise to not write cheques their technology advantage can't cash.

 

[darjr]

When your future business model is to offer better deals directly to the consumer than the FLGS can, because such will maximize the buy-in to your digital market, then yes, FLGSs will suffer. When the digital/physical bundle doesn't only give you a digital copy 2 weeks before retail but also includes VTT assets, how do our FLGSs compete?

I'm not sure it was a better deal. Was it?

Let see. 154.99 on WotC's site and 144.99 msrp elsewhere. Not discounted at Amazon yet I see.

So you get the digital for 9.99 vs 29.99. Yea OK.

Still many here think the digital should be free anyway.

How do FLGS compete against Amazon already? This is an old argument. Some were even saying wotc shouldn't even sell on Amazon.

I mean the PHB which still sells really well at my FLGS was $15 on Amazon during black friday (week?).