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Between retailer cut, distributor cut, NFL royalties, Sony/MS royalties, Take Two cut, and costs associated with running the online servers.....I don't see how they can possibly make any money on each copy of ESPN NFL. So is this $20 price just a one-off promotion where they take monetary losses to try and help increase the visibility of the series? Are they going to jack up the price again next year, or try and firmly entrench themselves as a "budget" brand?

Given that Madden is still turning in record sales, I wouldn't say that they have really put much of a chink in EA's armor, and a return to $40-50 games would probably relegate them back into the bargain bin. But with the next generation quickly approaching, they are going to need a significant price tag to offset the costs associated with developing the new round of sports titles.

 

[akascream]

I'd guess that development costs are lower for these recurring franchises. Tony Hawk, Madden.. aside from major engine changes, which do happen, they are really just tweaking an existing game. Adding art assets, tweaking mechanics, ect. I doubt it costs as much as developing a game from scratch.

 

[Brofist]

It's obvious their plan was to undercut Madden in price, and regain market share for football games. They did well in sales, but didn't stop Madden at all. They just have to hope word of mouth is good, and try next year again at $20...they'll have no chance at regular price.

 

[PhatSaqs]

They've aprobably already lost a ton of cheese creating & marketing the previous versions. At this point, if the series is to continue, creating and expanding mindshare as a viable alternative/competitor to the mighty Madden seems to be more important than getting a significant return on the investment.

 

[DaCocoBrova]

I'm just thankful the game exists as I really just don't like Madden's gameplay.

Hey PhatSaqs... Where does NFL Fever fit into all this? lol!

 

[evilromero]

And all the fanboys cried for Sega to go 3rd party. They should've taken the pain and stood their ground. I fear things only getting worse for them now. Where's my "Dreamcast 2: FUCK YOU!"?

 

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If MS launches their new system next year, then they are less than 14 months away from "major engine change," and if they're still intending to sell at $20 then they would take pretty severe losses.

Selling yearly "upgrades" is easier than making a full game, but selling them at twenty bucks is a bit rough when there are so many fingers in the pie. Sony and MS probably take 7 or 8 bucks right off the top. Then the NFL has a licensing fee that's probably a few bucks. Then there has to be a margin for retailer and distributor. After that, TakeTwo gets the lion's share because they are the publisher. They've been able to generate more revenue than last year, but once everything is factored in it is probably still a losing proposition.

 

[Ghost]

are the cuts definitely coming solely from Segas piece of the pie?

 

[akascream]

I'm not saying you are wrong. They are definately trying to compete against a big name brand. I just think this genre cushions the blow some.

 

[PhatSaqs]

Hey PhatSaqs... Where does NFL Fever fit into all this? lol!

I assume they're waiting to re-release &/or rename it with Xbox 2 launch?
(If this is a joke question, it went over my head)

 

[DaCocoBrova]

I was just fucking w/ you, although I am curious as to why there are no Basketball or Football offerings from M$.

This would've been the year I copped InsideDrive, but oh well.

 

[jarrod]

If MS launches their new system next year, then they are less than 14 months away from "major engine change," and if they're still intending to sell at $20 then they would take pretty severe losses.

Don't worry, by then VC/ESPN will be Take 2's problem, not Sammy's.