Profitability of Online Distribution?

[Nightfall]

Frosty,

I wish but some how I doubt it.

 

[Bacris]

So since we're making New Coke / Crystal Pepsi references, should we refer to this new offering as Crystal Dragon? Hey, I'd probably be sucked in at least for trial-basis based on that name

 

[Nightfall]

Jeremy,

You just like crystals that's all. I bet if I offered you a Crystal Big Mac, you'd eat that too.

 

[Bacris]

I probably wouldn't eat it, but I'd at least take a look!

 

[Nightfall]

Well that's fine but I still think if I gave you a crystal food like thing, you might...

 

[Cthulhudrew]

Pyramid seems to do well enough with its business model. No doubt WotC could do even better - they have a larger target audience, after all...

Not the first time I've heard reference to Pyramid in threads like this- I'll have to give it a look see.

I did find some references to posts by Monte Cook on this whole thing that makes me even more curious. Specifically:

This also provides us the answer for why WotC would do this. If the magazines were doing poorly, WotC wouldn't care if Paizo put out others. No, it's just the opposite. They're doing well, and likely WotC products--probably specifically adventures--aren't doing as well as WotC wants. There's been some loud voices at WotC crying that Dragon and Dungeon (particularly Dungeon) are too good a value. They're too good for the customer, and smart customers buy them rather than regular products. This was true when WotC put out the magazines, and it's been true under the Paizo banner as well. I'm guessing declining sales gave these voices the evidence they needed to axe the magazines.

From his perspective as a former insider, he says that the magazines were always viewed as competing with the other product WotC was putting out (adventures, game books etc.). This pretty much conforms with Loren Greenwood's statement (quoted above) about why WotC dropped Dragon/Dungeon in the first place.

Putting out online content would still seem to conflict with that notion of non-competing products, but maybe there would be more direct product tie-ins? (Guessing- any thoughts?)

Is it the fact that there were two competing print lines (magazines and design/development projects) that was the problem? Does switching to an online model for the one alleviate this? Anyone have any speculation or knowledge if that's the case?

 

[Dannyalcatraz]

What's interesting is how angry consumers get at the notion of paying for on-line material. They feel cheated; they instinctively feel that content should be free.

Not me- I have no problem with paying for content- I'm an entertainment attorney, after all, and think that IP creators always need to be compensated.

So, I'm not angry that they want me to pay for online material...I just don't like e-publishing in general (for a variety of reasons), so I'm angry that my preferred option is being taken away.

 

[Jefe Bergenstein]

Yeah. That's a really serious cultural problem we, as a civilization, need to get over. I think we're on the way, too, what with people paying for music, movies, and television delivered over the Internet. (Note: I've got to admit that I'm seriously guilty of the same thing. I don't even buy music through iTunes.)

Part of it is due to the inevitable DRM restrictions that will tie into anything you download from the monthly fee. You dont own that material. You rent it.

No one comes to my home and tears up my magazines and books if I dont pay my monthly rental fee.

Thats why I'm against paying for an online e-zine. If there isnt a license, if I can use the stuff I've downloaded after my subscription expires, and its cheaper than what I was getting before (75 bucks a year for both mags), I'd consider it.

 

[Dannyalcatraz]

Jürgen Hubert
Pyramid seems to do well enough with its business model. No doubt WotC could do even better - they have a larger target audience, after all...

I'm not a GURPS fan, as you well know, JH, but I used to buy & read Pyramid. (I didn't subscribe, either- I paid full newstand price.)

That's right- "used to"- once it went digital, it was dead to me.

As someone elswhere stated it, one of the fundamental problems with e-publishing is that once you stop paying your fees, you lose access to everything you weren't able to download.

Personally, e-publishing is just a way to shift printing costs from the publisher to the consumer, and I won't support it in any way unless absolutely forced to. Seeing as how we're talking about a hobby magazine and not something I need for work...

 

[Cthulhudrew]

Part of it is due to the inevitable DRM restrictions that will tie into anything you download from the monthly fee. You dont own that material. You rent it.

See this is what worries me. Are all digital subscription models like this? Do any of them allow for the purchase of individual issues at all? Are there any models that allow "previews" so that you can judge the content you are getting ahead of time? These are all things that make print so much more palatable to me.