So you spend half a year plus hyping your game up as the next best thing to sex to get people interest and, on average, it works quite well. People are now itching to play your game so now you think, "I should put out a demo so the people on the fence might be swayed" which is where the problem starts.
First you got the people who were excited about the game so they are guaranteed to get the demo to sate them as they wait for release, in this group there will be people whose hype fueled expectations could not possibly be met. These people, as is the custom of this age, when you have an issue with something you voice it on your chosen portion of the web. These people's issues, regardless of what they are, form a counterpoint to the hype you had going and will likely sour more people's expectations of the game. All without anyone spending a dime.
Not only do you have that to worry about but there's also the issue of having the product demo laid bare with all potential problems competing with the current hype machine hot shot, refilling the heads of people with more unrealistic expectations of it's game for it's release. So players are comparing a probably less than flawless demo with all-your-dreams-will-come-true game of future release(demos usually don't fare well when against theoretical greatness).
If asked if demos bite into sales, the answer should be, "No shit Sherlock".
I should add that while there is definitely the potential for demo players to be convinced to buy the game based on it, in general I think it's easier to convince someone to not buy something than it is to convince them to buy something. So in the end, the bad would outweigh the good.
First you got the people who were excited about the game so they are guaranteed to get the demo to sate them as they wait for release, in this group there will be people whose hype fueled expectations could not possibly be met. These people, as is the custom of this age, when you have an issue with something you voice it on your chosen portion of the web. These people's issues, regardless of what they are, form a counterpoint to the hype you had going and will likely sour more people's expectations of the game. All without anyone spending a dime.
Not only do you have that to worry about but there's also the issue of having the product demo laid bare with all potential problems competing with the current hype machine hot shot, refilling the heads of people with more unrealistic expectations of it's game for it's release. So players are comparing a probably less than flawless demo with all-your-dreams-will-come-true game of future release(demos usually don't fare well when against theoretical greatness).
If asked if demos bite into sales, the answer should be, "No shit Sherlock".
I should add that while there is definitely the potential for demo players to be convinced to buy the game based on it, in general I think it's easier to convince someone to not buy something than it is to convince them to buy something. So in the end, the bad would outweigh the good.