WotC Hasbro slapped by bank of america for destroying customer goodwill

[Paul Farquhar]

I mean I was making a joke but now I'm curious. You have a citation for that?

No, I'm speculating, but my business intuition tells me that is where Hasbro got the idea for monetarising the OGL in the first place.

I reckon Alata Fox's thought processes went like this: "look at all those people using our IP for free! If we charged them we would make a fortune!!" That's how these business sharks think. It's why he thought WotC could be making a whole lot more money.

 

[Whizbang Dustyboots]

Bank of America saying another company has destroyed customer goodwill is like Jeffrey Dahmer saying you're a little violent.

 

[Haplo781]

No, I'm speculating, but my business intuition tells me that is where Hasbro got the idea for monetarising the OGL in the first place.

I reckon Alata Fox's thought processes went like this: "look at all those people using our IP for free! If we charged them we would make a fortune!!" That's how these business sharks think. It's why he thought WotC could be making a whole lot more money.

I mean we actually know what they said because the investor call was open to all shareholders and it basically boils down to "look at the numbers - WotC is generating 70% of the profits but only 20% of the revenue. Why are we allowing them to subsidize Hasbro's much lower profit margins? We should spin them off and put people in charge who actually understand gaming."

 

[Paul Farquhar]

I mean we actually know what they said because the investor call was open to all shareholders and it basically boils down to "look at the numbers - WotC is generating 70% of the profits but only 20% of the revenue. Why are we allowing them to subsidize Hasbro's much lower profit margins? We should spin them off and put people in charge who actually understand gaming."

Indeed. It's easy to say you understand gaming. It's easy to think you understand gaming. But if you haven't actually been a 3PP you have no idea that they can't afford to turf over 25% of their profits.

Of course, if Alata Fox had had his way, it would have been only WotC that crashed and burned, Hasbro would have been in the clear.

 

[Henadic Theologian]

No, I'm speculating, but my business intuition tells me that is where Hasbro got the idea for monetarising the OGL in the first place.

I reckon Alata Fox's thought processes went like this: "look at all those people using our IP for free! If we charged them we would make a fortune!!" That's how these business sharks think. It's why he thought WotC could be making a whole lot more money.

Pure speculation, no evidence of that.

 

[Henadic Theologian]

Anyways given how bad their stock is doing, not even the layoffs bumped up the stock price (like it did for a lot of other tech/entertainment companies,which says a lot of disgusting things about Wallstreet), I think WotC really needs the D&D movie to be a home run and make a lot of movie or they are in huge trouble (yes I know Paramount is the primary investor, but Hasbro co-produced it and has a huge stake in it, not even including the merchandise and general D&D profits to be made). It could save their stock price.

 

[Scribe]

Anyways given how bad their stock is doing, not even the layoffs bumped up the stock price (like it did for a lot of other tech/entertainment companies,which says a lot of disgusting things about Wallstreet), I think WotC really needs the D&D movie to be a home run and make a lot of movie or they are in huge trouble (yes I know Paramount is the primary investor, but Hasbro co-produced it and has a huge stake in it, not even including the merchandise and general D&D profits to be made). It could save their stock price.

Honestly, the fact the 'brand' of Hasbro, has been propped up by MtG (which Wizards has ruined, it really has as far as an actual GAME) and D&D, which 'billion dollar brand' it is not...

I mean I dont know what they were smoking.

 

[Blue]

Funny how much difference a little distance will improve your perspective. BoA seems to understand Wizards sales and customers better than Hasbro does. They are on the money for M:tG, and for the recent OGL issue.

 

[Bill Zebub]

Still about double what anyone should actually be paying for it IMO.

~20 P/E. What are you using for comps?

 

[Haplo781]

Funny how much difference a little distance will improve your perspective. BoA seems to understand Wizards sales and customers better than Hasbro does. They are on the money for M:tG, and for the recent OGL issue.

Maybe they should buy WotC then.