Quote:
Originally Posted by Vevster
Sorry, you're saying Forbes is talking about developpers Gross Margin?
Exact quote from the Forbes article
http://www.forbes.com/forbes/2011/02...-mayhem_2.html
Second page
"Steam's appeal to publishers is in giving them the opportunity to sell directly, cutting out the profits extracted by distributors. Publishers earn a gross margin of around 70% on Steam, compared with 30% via retail stores"
Am I still the one interpreting what is written in Forbes' article?
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*facepalm*
You talkeds about EA and Ubisoft financial statements which are net profit and NOT gross profit or related to a specific title and therefore its apples and oranges.
Forbes talked about gross margin, you said there numbers are wrong yet have no provided evidence or made a coherent and cogent argument as to why they are wrong.
Use your head - the gross margin taken in by selling on steam for publishers vs retail IS THE SAME AS IF IT WAS A DEV. The difference is if you have a publisher, which sells the game on steam - the publisher gets a slice of the profits that the devs would otherwise get if they sold on steam without a publisher. Therefore it DOES NOT MATTER that is a publisher making more profit buy selling on steam in this example, as it is illustrating the potential profit through retail channels. In addition their gross margin is HIGHER because steam sales take a lower % of total sales price for themselves then a retail shop would, thats not even counting other factors that would further reduce net profit. Also the publishers gross margin in this case does not take into account the $ that will be given to the devs.
Also incase you dont know you use the $ sign before you state the number like this: $10. Its not 10$ - maybe you should of studied more in primary school (so dont tell me to study harder). Your equations are also writen wrong.
You just seem to be parroting the same stuff over and over again which in no way supports your argument.