Realitycrash said:
Only problem that I see is..How many will buy the game? 35.000 backers, and most (gonna go with atleast 20.000 of them) already own the game (i.e have backed with more than 15 bucks), so those won't be buying the game. If 50.000 in addition to these 20k buy the game, then yes, they will make a million..But that's 2 million less than what they have right now. I.e they would have to sell 150k copies just to reach the funding they have for this project. And how often do that happen for indie-games (even hyped ones)?
I dunno, anyone have the average-sales data?
You are doing your math wrong.
Say the cost of producing the game, manuals, boxes, collectors edition stuff, and special parties is 3 million.
Costs = 3 Million
To make it profitable, normally a game has to sell enough copies to cover costs and then some. So say the market for this game is 100,000 copies sold, at $50. That is 5 million in revenue, netting 2 million in profit.
5 million revenue - 3 million costs = 2 million profit
Now in the kickstarter scenario, say you have 3 million costs, but this is paid for via kickstarter revenue. The downside, as you point out, is that the backers will not purchase a game, since they are entitled to a copy. There are appoximately 60,000 backers, and let's just assume they all get a copy. That leaves a market of 40,000 retail copies sold, at $50, that is 2 million in revenue. How does that work out then?
2 million revenue - 3 million costs + 3 million kickstarter = 2 million profit
In this fictional scenario there is no difference in overall profit.
I think the most important thing to point out is the eliminating of a lot of financial risk this method brings to game development. By pre-paying for development and only having to promise the completed game plus misc. rewards, you are spreading a tiny amount of risk amongst a very large number of people.
It may allow game developers a lot of freedom, or it may allow them to get access to larger and more conventional sources of funding to expand the game or develop sequels based on this low-risk foundational venture.