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Hasbro Bets Big on D&D
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<blockquote data-quote="Clint_L" data-source="post: 8852683" data-attributes="member: 7035894"><p>Not a lot of huge revelations that I can see. Obviously Hasbro is going to emphasize the profit potential of D&D; it's one of their biggest assets and, they are arguing, the one with the most upside potential. And they are trying to keep shareholders on board after some disappointing quarters.</p><p></p><p>From Hasbro's perspective, D&D has the most profit potential because it has an absolutely massive cultural footprint at this point - "10/10" as they describe it. Contrast with Magic the Gathering, which is extremely profitable (or was) but with much narrower cultural awareness. Just about everyone who matters from a marketing perspective is broadly familiar with D&D. That's why they are comparing it to Marvel, etc. But in comparison to those brands, it is really poorly leveraged, still deriving most of its profits for them from sales of the game itself. That's like if Marvel was still making most of its money off comics.</p><p></p><p>Someone commented earlier that Hasbro probably looks at products like Warhammer and World of Warcraft and sees money that should be theirs (that is entirely correct for those two products, BTW: Warhammer was created in response to TSR pulling its D&D license from its UK distributors, and Warcraft was created when its creators couldn't finalize a licensing agreement for Warhammer). So they are arguing that they are in a prime position to take D&D beyond being just a game and make it into a brand.</p><p></p><p>What does that mean for us? Well, things like micro-transactions on DnDBeyond are already a thing...and are sometimes a <em>good</em> thing for consumers, because they let you buy only the parts of material that you actually want (for example, if a new adventure comes out that you aren't interested in, but includes a playable race that you want, you can pay a few bucks to just purchase that). So we have to be careful not to paint with too broad strokes. There are potential upsides and downsides.</p></blockquote><p></p>
[QUOTE="Clint_L, post: 8852683, member: 7035894"] Not a lot of huge revelations that I can see. Obviously Hasbro is going to emphasize the profit potential of D&D; it's one of their biggest assets and, they are arguing, the one with the most upside potential. And they are trying to keep shareholders on board after some disappointing quarters. From Hasbro's perspective, D&D has the most profit potential because it has an absolutely massive cultural footprint at this point - "10/10" as they describe it. Contrast with Magic the Gathering, which is extremely profitable (or was) but with much narrower cultural awareness. Just about everyone who matters from a marketing perspective is broadly familiar with D&D. That's why they are comparing it to Marvel, etc. But in comparison to those brands, it is really poorly leveraged, still deriving most of its profits for them from sales of the game itself. That's like if Marvel was still making most of its money off comics. Someone commented earlier that Hasbro probably looks at products like Warhammer and World of Warcraft and sees money that should be theirs (that is entirely correct for those two products, BTW: Warhammer was created in response to TSR pulling its D&D license from its UK distributors, and Warcraft was created when its creators couldn't finalize a licensing agreement for Warhammer). So they are arguing that they are in a prime position to take D&D beyond being just a game and make it into a brand. What does that mean for us? Well, things like micro-transactions on DnDBeyond are already a thing...and are sometimes a [I]good[/I] thing for consumers, because they let you buy only the parts of material that you actually want (for example, if a new adventure comes out that you aren't interested in, but includes a playable race that you want, you can pay a few bucks to just purchase that). So we have to be careful not to paint with too broad strokes. There are potential upsides and downsides. [/QUOTE]
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