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Hasbro Gaming Down 17% But D&D Remains 'Bright Spot'
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<blockquote data-quote="Rygar" data-source="post: 7839497" data-attributes="member: 6756765"><p>I'm pretty certain that the second part is not accurate. Available evidence indicates that what's happening with Magic the Gathering is a hidden crash or a bubble and that it's never been more unhealthy than it is today.</p><p></p><p>We had widespread reports of attrition just a few years ago, with some correlation in their financials. Then WOTC did what many companies do when they're facing a major collapse...they hid it.</p><p></p><p>How you do that is fairly simple. If you can't increase market size, or if your market size is shrinking, then there's only one way to make the numbers work such that shareholders don't realize that you've been making major mistakes...you increase the per customer spend for the remaining customer base such that you show growth. Which is exactly what WOTC did, they've been increasing the amount of product and going the route of micro-transactions on Arena to hide the fact that they're effectively crashing. </p><p></p><p>It's also why WOTC signed a deal with Amazon that shafted shops, because they know they've hit the point where shops are going to increasingly fail due to Mtg's dropping numbers. It's why they're making a mockery out of their pro circuit, they know that no one's interested in it anymore based on a number of metrics.</p><p></p><p>That's also why WOTC is pushing Arena hard and turning their focus to Arena. Paper Magic has no future at this point, and they can at least try to maintain by increasing the per customer spend on Paper, and make their new goal to milk the whales without having to worry about Ebay getting in the way on Arena.</p><p></p><p>Magic's never been less healthy, WOTC will keep up the illusion long enough to let these digital products generate enough revenue streams to keep shareholders from firing all the executive staff, and then they'll drop the pretense of Mtg being healthy.</p></blockquote><p></p>
[QUOTE="Rygar, post: 7839497, member: 6756765"] I'm pretty certain that the second part is not accurate. Available evidence indicates that what's happening with Magic the Gathering is a hidden crash or a bubble and that it's never been more unhealthy than it is today. We had widespread reports of attrition just a few years ago, with some correlation in their financials. Then WOTC did what many companies do when they're facing a major collapse...they hid it. How you do that is fairly simple. If you can't increase market size, or if your market size is shrinking, then there's only one way to make the numbers work such that shareholders don't realize that you've been making major mistakes...you increase the per customer spend for the remaining customer base such that you show growth. Which is exactly what WOTC did, they've been increasing the amount of product and going the route of micro-transactions on Arena to hide the fact that they're effectively crashing. It's also why WOTC signed a deal with Amazon that shafted shops, because they know they've hit the point where shops are going to increasingly fail due to Mtg's dropping numbers. It's why they're making a mockery out of their pro circuit, they know that no one's interested in it anymore based on a number of metrics. That's also why WOTC is pushing Arena hard and turning their focus to Arena. Paper Magic has no future at this point, and they can at least try to maintain by increasing the per customer spend on Paper, and make their new goal to milk the whales without having to worry about Ebay getting in the way on Arena. Magic's never been less healthy, WOTC will keep up the illusion long enough to let these digital products generate enough revenue streams to keep shareholders from firing all the executive staff, and then they'll drop the pretense of Mtg being healthy. [/QUOTE]
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