It's nice that it's almost a free bonus game that they're giving because of the delay. I fully expect DQXI to be full price and have nothing new. lol
Yeah, I feel like SMTIV sold a lot because of that. Would be smart to have other collabs like this.
It wouldn't be a bad move. Both as FEA/SMT4 style discount program but also maybe some in-game character/content crossover. I bet IntSys would be into it.
They’ll probably do those crappy mobile ports of DQI-III.
-------------------------------------------------------- | Model | This Week | Week(%) | FY 2018 | FY(%) | -------------------------------------------------------- | Switch| 125,567 | 39.8% | 125,567 | 39.8% | | PS4 | 114,033 | 36.1% | 114,033 | 36.1% | | 3DS | 53,506 | 16.9% | 53,506 | 16.9% | | Vita | 19,992 | 6.3% | 19,992 | 6.3% | | ETC | 2,691 | 0.9% | 2,691 | 0.9% | -------------------------------------------------------- | Total | 315,789 | 100.0% | 315,789 | 100.0% | --------------------------------------------------------
-------------------------------------------------------- | Model | This Week | Week(%) | FY 2018 | FY(%) | -------------------------------------------------------- | Switch| 36,426 | 57.3% | 36,426 | 57.3% | | PS4 | 12,963 | 20.4% | 12,963 | 20.4% | | 3DS | 10,909 | 17.2% | 10,909 | 17.2% | | Vita | 3,088 | 4.9% | 3,088 | 4.9% | | ETC | 134 | 0.2% | 134 | 0.2% | -------------------------------------------------------- | Total | 63,520 | 100.0% | 63,520 | 100.0% | --------------------------------------------------------
What did I change? If you want to hurl associations you better point out where.
Super interesting. Can you clarify the units on the Y axis? I assume Yen but just to be sure.So basically, before the April madness of all the revenue reports for Japanese game companies erupts on MC, I think it is a good time to review how the companies have already performed thus far. ACE Yasuda is a analyst for the Japanese market for ACE Institute and he has made a 10 year chart of the performance of each company, along with his takes for the outlook of these companies. The original Japanese version can be found here.
I fully expect these information to be ignored for the standard console warring, but I think I want to finish what I started.
For March 2018, Q3 (Cumulative), compared to the same period last year, we have lowered revenues yet increased operating profits, revenue of 188.0 billion yen is down 1%, Operating Profit of 33.7 billion yen is up 57%.
With regards to the reduction in revenue, the primary reasons are the difference in revenue for simultaneous world-wide launched HD titles like FFXV and the largely domestic launch of Dragon Quest 11, and the underperformance of anticipated amusement machine “Densha de GO”. As for this quarter (3 months duration), compared to the 2nd quarter this year, revenues and profits are much reduced. In addition to “Dragon Quest” 11 having already made its sales cycle, there is signs of slow down on the smartphone game app segment where it generated revenues of 23.7 billion yen in the 1st quarter, 22.7 billion yen in the 2nd quarter, and 21.3 billion in the third.
As for increased operating profits, one reason was the release of the expansion to Dragon Quest X, as SE lost profit last year when no expansion was released for this game, and continued strong download sales of legacy software like Nier Automata.
The mobile game market as a whole seems to be in a slump in the 3rd quarter of this year, many companies experienced reduced revenues compared to previous quarters, including companies like the later-mentioned Bandai Namco Holdings. The reasons for this varies by company, but for non-specific reasons, there is a possibility that the market is influenced by the process of saturation. While smartphones are rapidly achieving high performance in the market, it is impossible to deny that design-wise (I assume he means game design) it has become stratified, and the playstyles of mobile game players have become increasingly fixed.
For HD Games, the company have added the Nintendo Switch as a target for multiplatform development. AAA titles will seemingly arrive in the following quarters, the assessment is that there are many chances of increasing profitability for Square Enix.
- Mobile Market shows signs of saturation in Japan, based on previous 3 quarters contraction by multiple companies, Square Enix is affected as well.
- Service games (like DQX) and digital legacy sales are key profit drivers for SE. Expect SE to go in harder on them. This is why DQX and FF14 will never die, and why SE is investigating PUBG's model company-wide.
- Growth will likely come from new AAA games and possible Switch software, due to stalled mobile market.
Next is Bandai Namco Holdings. For the March 2018, Q3 (Cumulative), compared to the same period last year, we have increased revenue yet reduced profits: revenue is up 5% to 483.1 billion yen, while operating profit is down to 53.4 billion
The reasons for this is due to the Music and Visual Production department, which is responsible for animation and the likes, have been struggling up till this quarter due to its second-half centred plans, the difference in console games titles released (from the previous year), and the adjustment in accounting due to setting up of the new Gundam Base Tokyo (replacing Gundam Front Tokyo).
The mobile game segment had reduced revenues compared to the previous quarters. There is some problems with the timing of various events (for their mobile games). However, ACE Economic Research Institute expects “Dragon Ball Dokkan Battle” to return to its base line revenue performance in the 4th quarter, around the time of the 3rd anniversary for the game.
Due to the possession of a rich array of IPs, the basic strategy for Bandai Namco is to wait for hardware (which, I think he means platforms in general and not strictly a physical machine) to be widely diffused, then enter the market to take up a high share later. However, this time their strategy seems to be to debut early on HTML5. This is likely stemming from a desire to reduce royalty payments towards Apple and Google.
Nevertheless, since there is a trend towards more traffic towards HMTL 5 (I assume he means games), it is necessary for Bandai Namco to cautiously monitor whether there is player acceptance (for their own HTML 5 games).
For the company going forward, it is taking up the challenge of creating the framework for a company structure that can continuously create new IP 30 year ahead. It will be difficult to see the apparent effects of an investment strategy that is built on a very long strategic outlook. In terms of what ACE Research Institute can capture in terms of the companies’ allocation of “People, Hardware, Cash”, in the long term the management is expected to continue to expand its sales, and implement measure meant for ultra-long term strategic view during the periods of financial plenty.
- Bamco has a hyper long-term strategic outlook for itself, and invests for the long term, this can be seen from its European development Initiative (not mentioned here) and the new focus on IP (as stated in its investor briefing slides).
- Bamco is almost never in the rush to be a new platform, their strategy is to wait for certain amount of penetration before they make their move. Due to their IP strength, they can afford to do this.
- Exception to above is HTML 5 where they are uncharacteristically aggressive (Basically, HTML 5> NSW in priority). Speculated to be due to wanting to avoid platform fees of Google/Apple.
- Bamco also faced contraction in the mobile space for 3 quaters.
- Bamco is more than twice the size of SE in terms of revenue and profits.
It’s time to shift the focus and talk about Capcom. For the March 2018, Q3 (Cumulative), compared to the same period last year, we have reduced revenue yet increased profits: revenue is down 11% to 47.7 billion yen, while operating profit is up 37% to 7 billion
While the reduction in unit sales from the amusement machine division cause a dip in revenue, increase in the number of consumer software sold, and income contributed by in the mobile game department from licensing, have greatly increased profits.
With regards to the company, there is honestly not much point to say more (since he had already posted an article on MH:World last month). To pick up from what was said last month, Monster Hunter World that was released the 1st of January has become a massive hit with 6 million sold. As discussed before, Capcom has a fervent and desperate wish to make “Monster Hunter” into a brand that can sell massively overseas. While it is difficult to say it has achieved this completely, given the high domestic ratio of sales for MHW, it can be considered to have somewhat reached its goal since it has raised overseas sales significantly.
Compared to the original forecast of sales around 2.5 million units by the ACE Economic Research Institute, the forecast is now much greatly revised upwards, at this time, dare we say that by the end of the quarter the target forecast would be higher than 7 million unit sales. The chief reason for the erroneous forecast is that ACE Research Institute has missed the point that portable local co-op have collapsed far more then we expected.
In this 10 years, the commercialization of tethering functions in devices, the proliferation of Smartphones and the widening adoption of social networking services and the likes, along with the widespread consumer adoption of online services by consumers, the culture of portable co-op gaming represented by the DS, PSP era is has became terribly outdated. We will reflect upon our lateness in spotting such a trend.
As for Capcom, since they have a strong obsession at providing content for cutting edge platforms, coupled with the success of MHW, it probably will continue AAA games going forward on PS4/XBOX/PC.
- MHW is smash hit. Yasuda misread its performamce due to him underestimating to how much portable local multiplayer has collapsed world wide, and has been replaced by online functionalities
- Capcom has always been obsessed with competing in the high end space, and wants majority of its sales to be overseas, so he expects development to be primarily XBOX/PS/PC focused (basically forget about serious support for NSW).
- Capcom is about half of SE's size in terms of profit and revenue.
Next, we have Tecmo Koei Holdings. Compared to the same period last year, we have reduced revenue yet greatly increased profits: revenue is down 0.7% to 24 billion yen, while operating profit is up 62% to 5.6 billion
In the third quarter, since the company released “Nobunaga’s Ambition: Taishi” and “Atelier Lydie and Suelle” domestically, and released “Fire Emblem Warriors” overseas, it has achieved a vast increase in profits. While there this company has a habit of concentrating its profit generation towards the 4th quarter, we believe that the company already managed to have good year given the performance up to the third quarter.
Given that from an early stage the company has been enthusiastic supporter of the Nintendo Switch, it has not yet able to show satisfactory results. While the reasons for this are unclear at this current moment, we suspect it could be the influence of not going all out to bring all titles to the Nintendo Switch. We look forward to what support will become going forward.
This is from me
- The key point here is that despite the enthusiasm and statements of good performance on the NSW for KT, financially the results seems to have not yet materialized in Yasuda's view.
- KT is about 1/3 SE size in terms of profit and revenue.
- Also, when analysts say KT is "well run", the refer to its unusually high revenue to gross profit ratio. Look at the relative size of the red bars to the blue bars for the past 5 years, and compare it to the other companies
- However, KT can't relying on being well run forever given the waning strength of its IP
While not a big player, we will like to touch upon Nippon-Ichi Software. Up until the third quarter, the progress of the company has been strong, operating profit has been 552 million yen, which is a major over performance compared to the projected 490 million yen.
This is the result of the success of Disgaea 5 in the western markets, where the company have changed its strategy of aiming only at a particular segment of the Playstation base, and started to aim at a wider user base.
Going forward, the company has the intention to apply the same strategy of aiming at a wider user base beyond the title “Y’s 8”, which they are handling both the porting and publishing work, for Nihon Falcom titles. Due to the high loyalty to PlayStation platform, there has been expression of disgust and concern from PlayStation fans. However, the view of ACE Economic Research Institute, a highly negative reaction indicates a high amount of interest in the title, and the greater the negative interest the more likely we will see strong performance. This, along with the raised awareness of the company’s profile worldwide, makes us believe that this title will show results.
ACE Economic Research Institute used to evaluate that the company will have a difficult time to expand sales due to its reliance on a very specific segment of the market. Now we consider the company to have a chance for tremendous leaps due to the targeting of new platforms such as the Nintendo Switch and Steam and would like to watch it closely.
- Despite rabid PlayStation fans bashing the move, Yasuda believes the Falcom collaboration on the NSW will be a success.
- Nippon Ichi targeting the NSW is a good move as it freed itself from targeting just a segment of PS-only gamers and aim for a wider market (which means both systems). Disgaea 5 is the first indicator of that, but we shall see how the others do.
Show me where in the article are the words "desperate" and "obsessed".
You just proved you can't read Japanese
I don't have to do anything for you,someone who hurls accusations without being able to read Japanese. You should be able to find the two words easily if you can read the original and "discover" that I am twisting words to fit a narrative,
You could elaborate on your use of certain terms. I think that’s where the disconnect is here.
You should probably ease up a bit. You’re being a bit too forceful here.
Nice stuff. Thanks. I was right about mobile btw. :p
I never understand why people here act like Koei is dying. Their games are super cheap and do well enough. They should make their IPs grow more tho.
lol. ok. wikitionary user,
Nioh was a moderate success. But license games seem to be where it's at. Hopefully they can have a come to Jesus moment and tighten up the polish on their own IPs. That would translate to good press which would hopefully boost sales slightly.
The only thing we can take from those company condition right now is they are in rough water especially vs Bamco or SE and they are going to need to reinvent faster to make sure they wont keep digging the same hole.
Since when is Capcom fully committed to PC. I remember a recent report about how they were going to cut part of the PC development budget. Of course they still will release their games, but I wouldn't say it's a top priority."continued strong download sales of legacy software like Nier Automata" pretty much confirmed SE will put everything they get on PC, which is what they've been doing lately. Now we have three companies that are fully committed to PC: Capcom, SE and BNEI. KT is on its way. Now everyone's eyes are on Sega, and specifically, Atlus. When will they see the light?
There is always Discord... oh wait.
Probably never lol. Okay, maybe not never but something tells me they will be the last of the last..."continued strong download sales of legacy software like Nier Automata" pretty much confirmed SE will put everything they get on PC, which is what they've been doing lately. Now we have three companies that are fully committed to PC: Capcom, SE and BNEI. KT is on its way. Now everyone's eyes are on Sega, and specifically, Atlus. When will they see the light?
The same definition is everywhere I looked.
Sometimes it means desperation, right? But in this context, it has a negative connotation. Why would you choose that word?
I'd personally call it effectively non-existent and slow as dirt but that's just me. Compared to AAA (and even some less-AAA offerings) MHW is woefully inadequate in keep you engaged post its non-existent end game. If this is how they want to develop for the west, then they're going to get eaten alive because their games will depend entirely on initial sales with next to no long term tail of actual engagement and GaaS.
This post is amazing. Don’t let anyone get get you down, it’s a super valuable and insightful contribution. One of the best tbh.
It is OFTEN used to mean desperation.
I don't think an analyst would choose such negatively connotated terms in their articles, unless it fits the context. Higan would be better translated by "they are determined to", kodawari with "they're invested in". Your bias shows in your choice of words, the Japanese doesn't have any of the specificity expressed in your translation.
Any Capcom game, unless it's a handheld game, always have PC port. They started porting their REs and DMCs to PC much earlier than any other Japanese companies. And their PC ports are usually of the highest quality.Since when is Capcom fully committed to PC. I remember a recent report about how they were going to cut part of the PC development budget. Of course they still will release their games, but I wouldn't say it's a top priority.
About Sega: they let the other branches do that. About Atlus: considering their stance on cross company multiplats, not anytime soon.
There is also gamefaqs and gematsu too lol.^_^
When a jrpg like Xeno 2 seems to do more vs MHW, i think we see how underprepared Cac is there.I'd personally call it effectively non-existent and slow as dirt but that's just me. Compared to AAA (and even some less-AAA offerings) MHW is woefully inadequate in keep you engaged post its non-existent end game. If this is how they want to develop for the west, then they're going to get eaten alive because their games will depend entirely on initial sales with next to no long term tail of actual engagement and GaaS.
When the only major addition has been... Jho... in 2+ months (and even ERA, a gathering pot of core gamers, starts talking about stopping), you've screwed up. They've also done zero to actually fix any of their major online issues, which is never a good look going into a sequel or expansion.
Thank you :)I don't think an analyst would choose such negatively connotated terms in their articles, unless it fits the context. Higan would be better translated by "they are determined to", kodawari with "they're invested in". Your bias shows in your choice of words, the Japanese doesn't have any of the specificity expressed in your translation.
what the hell is this.I don't think an analyst would choose such negatively connotated terms in their articles, unless it fits the context. Higan would be better translated by "they are determined to", kodawari with "they're invested in". Your bias shows in your choice of words, the Japanese doesn't have any of the specificity expressed in your translation.