RPG Evolution: RPGs Have a Health Problem

Increasingly, the families of older gamers in the U.S. are turning to crowdfunding campaigns to fund their medical costs. Although gaming hasn't always been a lucrative field for designers, it's clear that even our most experienced designers aren't making enough to manage a medical crisis. Can we do anything about it?

As the game industry ages, our iconic game designers are aging with it. Increasingly, they are turning to crowdfunding campaigns to fund their medical costs. Although gaming hasn't always been a lucrative field for designers, it's clear that even our most experienced designers aren't making enough to manage a medical crisis. Can we do anything about it?

gofundme.jpg

The Scope of the Problem

For some designers, yearly deductibles have crept up to the $10,000 range; with game designers often working as freelancers without insurance, costs are even higher. Incidental expenses, like wound care supplies, specialized diets, and transportation all add to these costs. To address these expenses, GoFundMe (and it is usually GoFundMe, which accounts for 1 in 3 crowdfunding campaigns for medical costs) has become the crowdfunding platform of choice, with over 250,000 medical campaigns raising over $650 million each year.

Is it possible to make a living working on games? We have some notable data points.

It's Not for Everyone

Fred Hicks shares his perspective:
Through a combination of: Running Evil Hat (I made $0/month for several years; then we got a little success, enough to justify $450/month for a while; I’ve gotten to increase that since, but I am pretty sure I’m still not quite rating McDonald’s wages, and unless Evil Hat can improve its product output over the next few years, I’m not sure the increase can be sustained; behold part of my motive to grow the company! I should note I don’t charge the company anything else for any writing, development, or layout work I do beyond this monthly draw.) Running Jim Butcher’s online presence (the site has amazon referrals, other referral programs, the occasional ad revenue, cafe press gear, all of which funnels to me to pay the website costs and then pay myself the remainder for doing the work of creating & running all that over the past ten-plus years) Freelance layout work (which is bursty, unpredictable, and can sometimes wind up with late or very late or never-happened payment if you’re not careful)… I am just in the last year or two finally at the point where I’m making about what I made when I started in the internet industry back in 1996. Only without any benefits (save those that I get as a spouse), which is a lot like saying that I am making 30+% less than what I was making in 1996.
Louis Porter Jr. responded to Fred's post:
But there is another side to this. The side of what is "making a living"? I live is South Florida where I own a house, two cars, have a wife, one year old son and mother-in-law all living in the same house. My wife and I do well financially (She's a therapist and I am a graphic design / web designer) and LPJ Design gives me extra money to do a few fun things. But can I live off of it? No. But do I work it like a 40 hours a week job where I get full medical, weekly paycheck, 401k retirement planning, free use of internet, copier fax machine and roughly four and a half weeks off and 2 weeks of sick time? No. But I do know if I worked the LPJ Design business as well and hard as I work my "real" job the out come would be different.
Louis mentions the 1,000 fans theory, and given the success of crowdfunding in role-playing games it seems there's some merit.

The 1,000 Fans Theory

The 1,000 Fans Theory espouses the belief that creators don't need to have a large number of fans, they just need a highly-engaged base that will support them:
Here’s how the math works. You need to meet two criteria. First, you have to create enough each year that you can earn, on average, $100 profit from each true fan. That is easier to do in some arts and businesses than others, but it is a good creative challenge in every area because it is always easier and better to give your existing customers more, than it is to find new fans. Second, you must have a direct relationship with your fans. That is, they must pay you directly. You get to keep all of their support, unlike the small percent of their fees you might get from a music label, publisher, studio, retailer, or other intermediate.
If each fan provided $100 per year, that would amount to a $100,000 year income. It's worth noting that a percentage of this number also covers things like insurance and medical bills. The total number of fans can be adjusted up or down according to the individual's needs and goals -- those creatives who live in areas where they can get by on $50,000 need only 500 fans, while those who have fans with less disposable income may need double that amount. Where do RPG fans fit in this model?

There are two constraints that working against game developers hoping to make a living using this model. For one, tabletop RPG fans are not nearly as large a market as video games or other creative outlets. For another, gamers are accustomed to lower price points than other entertainment, including the aforementioned video games.

As the market continues to expand, we're seeing movement on both of these factors that may give future designers hope. The market is growing -- Hasbro CEO Brian Goldner told Mad Money that "people are more into Dungeons & Dragons today than ever before. In fact it's enjoying its best year ever, it's been the last couple of years where it's grown. People are reengaged with that brand because it's a face-to-face game, it's immersive, and it's a game that people really enjoy playing with one another. We have more new users coming on board -- double digit, new user growth."

Along with that growth is a fan base willing to spend more, as Andrew addressed in his article, "How Expensive is Too Expensive?" This in turn means creatives can get paid more. Russ has written an excellent reference piece on EN World that every writer should read. It's worth noting that when it comes to paying fairly, Russ is a leader in the industry -- and I speak from personal experience working for him.

A third factor to consider is that the barrier to entry into role-playing games has dropped considerably. Thanks to digital platforms like DriveThruRPG and the DMs Guild, creators can make and sell games at very little cost. By keeping their expenses as low as possible, game designers can net more profit from their games. There are also more platforms to allow fans to directly contribute to creators, like Patreon.

Adding this all up, the 1,000 fan theory seems more achievable for game designers than ever before. But until the market expands enough to support more creatives in the field, economic conditions will continue to push everyone in the tabletop RPG field to test the 1,000 fan theory in the worst way...when they have a medical crisis.
 

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Michael Tresca

Michael Tresca


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MGibster

Legend
A lot of gamers get their start as adolescents who typically have a limited discretionary spending budgets but I don't believe we're all that cheap. Tons of people who play D&D own all three core books and there aren't many Warhammer 40k players who I'd classify as cheap.
 

generic

On that metempsychosis tweak
All praise the American dream.
As far as I can tell, many other countries do not offer adequate healthcare systems. In almost all countries that have healthcare systems, the rich receive higher-quality care. Is the U.S. system broken? Seemingly.
 

generic

On that metempsychosis tweak
A lot of gamers get their start as adolescents who typically have a limited discretionary spending budgets but I don't believe we're all that cheap. Tons of people who play D&D own all three core books and there aren't many Warhammer 40k players who I'd classify as cheap.
Warhammer 40k? Expensive? Never.

proceeds to hide five 60 dollar boxes of minis.
 
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3catcircus

Adventurer
Greed and wealth should not be qualifiers for the access of health care.
It isn't. I can walk into any ER in the US and get very good care. If I have insurance, I'll likely pay a co-payment of $100 or so. The hospital will bill my insurance company for every doctor that sees me, every procedure performed, etc. The bill will be for 3-4x the actual cost of care because insurance companies are in business to make money. Those costs also are inflated because of every person without insurance or other means to pay a hospital bill who decide they need an ambulance ride to the ER for a common cold. The insurance company will accept whatever contracted costs they've negotiated with the insurance company. The insurance company will bill me for whatever deductible is left up to my maximum out of pocket costs for the year. The hospital will bill me for the remainder of what they claim is still owed on the bill. I am under no obligation to pay that because they've already accepted a contracted rate from the insurance company co.

Eliminate health insurers as the gatekeepers and you solve the issue you are referring to.
 

As far as I can tell, many other countries do not offer adequate healthcare systems. In almost all countries that have healthcare systems, the rich receive higher-quality care. Is the U.S. system broken? Seemingly.
My country Australia offers adequate healthcare. The Scandinavian countries offer adequate healthcare. The UK offers adequate healthcare. These countries all offer universal medical care. It is extremely dishonest to say in these countries the rich are given higher quality care.

In the face of this the American system is undeniably and fundamentally broken.
 

MGibster

Legend
Not all health insurance companies are for profit entities. The Blue Cross Clue Shield Association and Mutual of Omaha are both mutual companies. There are no investors and by law roughly 80-85% of every dollar they bring in has to be paid out to their members.
 

As far as I can tell, many other countries do not offer adequate healthcare systems. In almost all countries that have healthcare systems, the rich receive higher-quality care. Is the U.S. system broken? Seemingly.
And how many can afford insurance or who are offered insurance? How many employers hold this insurance over employees to treat them like shite?
The health insurance systems in America are a scam really.
 

generic

On that metempsychosis tweak
My country Australia offers adequate healthcare. The Scandinavian countries offer adequate healthcare. The UK offers adequate healthcare. These countries all offer universal medical care. It is extremely dishonest to say in these countries the rich are given higher quality care.

In the face of this the American system is undeniably and fundamentally broken.
The wealthy are always given higher-quality care. Do countries such as Australia have good healthcare systems? Somewhat. The U.S. system is different in that you actually have to pay for things, and citizens don't have to pay taxes to support other patients. Many of the healthcare costs are not actually very high, although the system could surely be improved upon.
 

MGibster

Legend
And how many can afford insurance or who are offered insurance? How many employers hold this insurance over employees to treat them like shite?
The health insurance systems in America are a scam really.

Let me put on my HR hat. The answer is very few. While a benefits plan is pretty important, most employees are attracted to base pay and other incentives. Emphasizing your health plan isn't considered a good strategy for attracting or keeping talent.
 

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