GGG 2020 Financial statements have been released - 40% increase in sales!

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SPYDER680 wrote:
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DiabloImmoral wrote:
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Shagsbeard wrote:
I don't know where they're getting $113 mil in revenue... but getting $1000 from 100,000 people isn't happening.


Just shows how absolutely massive the playerbase is worldwide. Steam numbers ain't everything.

What's the per player revenue of "free" games like Genshin Impact/FGO? I bet it's a lot more than people would think.




^^ I don't play on steam, i run it from the site / standalone.

I'm sure there are many people this way.
Yaa Standalone since beta aswell dont see a point to run through steam or other similar apps.
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Lol this thread.

1. Revenue, while an indicator of potential profit, is totally unrealized, based on the operating model. Profit margin and totals is what really matters. For example if a MTX set generated $100,000 in sales, but cost you $140,000 in development costs, well... I hope that's easy math for some folks.

2. The playerbase isnt "massive". Its modest, with a decent number of whales. There are handfuls spending tens of thousands of dollars. This isnt totally unexpected in a F2P game, but I wouldnt go extrapolating average players spending dollars. I hope GGG doesnt do this either, otherwise their data projections suck. (Unless they choose to focus on this, which may explain their game balance. Perhaps the whales carry more than I think, and thus the catering to them)

3. I'm guessing there is a direct spending to retention number that GGG uses. Basically after "x" hours a player can be expected to spend "x" dollars. If so I would consider their concurrent player numbers over the course of league starts to finish, to be extremely troubling. Probably why they are as neverous as cats in a room full of rocking chairs each league launch. (Cyberpunk delay as an example)

4. Given the above, and how much GGG is relying on successful league monetization, I assume they are shitting their pants over D4 and D2R. Based on those Rev/Profits, a couple of sub-par league performances could be catastrophic.

Imo the business picture, under even remote scrutiny, seems very shaky. Granted Tencent probably gives zero fucks overall given the China PoE realm, it's still not a great outlook for the games sustainability.

I guess we will just see how this plays out. GGG was afforded a number of years without serious competition in the arpg market. GGG hasnt been able to capitalize on this very large available market (if you look at the Diablo player counts for example). They should be in the millions playerbase wise, but they are a fraction of that. Unfortunate for them, as it would have provided some flexibility in their league performances quarter over quarter.
"Better to remain silent and be thought a fool than to speak out and remove all doubt."
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Last edited by DarthSki44#6905 on Mar 22, 2021, 12:20:35 PM
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Orbaal wrote:
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Noble_Seiken wrote:
So is that like 40% INCREASE in sales, or 40% MORE in sales?

So confused.


Might as well be 40% increased money taken. Who knows?

So taxes = reduced money taken? And tax deductions are a less modifier? (As in less reduced money taken...)

Where are the accountants when you need 'em?
Last edited by GreyLensman#5323 on Mar 22, 2021, 12:30:01 PM
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Aim_Deep wrote:
But Harvest numbers aint in man.... If I had a dollar for every time GGG was dying I'd be rich as Chris.


Nice double corrupted post.+2 to unbiased opinion, +2 to facts while posting.
DOOOOOM
Harvest

DOOOOOOOOOOOOOOOOOOOOOM


shut up
What is the value of my own life when it is taken from others so easily?
TLDR,

GGG employees were spending their time grinding for cash. I wonder how many would be left grinding if their reward was MTX pixels. If GGG fails to understand how to offer better the same thing they're after they won't be as successful in obtaining it, it's that simple.

Most of their revenue was generated from the product being recently available in China as well as to consoles. Exilecon happened that also hyped PoE2 followed with a better "expansion" in terms of content (4 conquerors + end game boss) while Echoes brought some new maps with one end game boss. Covid-19 gave them far more active player base.

Based on where things are today it doesn't take one to be working for NASA to see that they'll never experience that same revenue. For starters, look at those Orion supporters on these forums, most of them don't have the Echoes of the Atlas support pack, I wonder why...

Come back September 2021 to see an annual revenue of 15-20 mil at best, and only because they still won't have good competition until December 2021 as well as everything else that will arrive in 2022. PoE 2 will have to be an absolute hit if this company continues to struggle understanding how to make their product valuable for one to grind in.
This happened in every video game my man, not just poe, actually most games saw increases way above 40% in sales.

Its due to the pandemic, lockdowns and government money.. nothing to do with poe the game itself.

People staying home playing video games with money to spend.

The same way why crypto currencies and NFTs booming during pandemic, lots and lots of government money and people with too much time.

It has absolute zero to do with poe game itself. Most top games made a lot more than 40%..

Some people cut their hair on stream and raise 370k dollars for charity nowadays.
Last edited by iaapvp#2422 on Mar 22, 2021, 3:52:34 PM
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iaapvp wrote:
This happened in every video game, not just poe, actually most games saw increases way aboe 40% in sales.

Its due to the pandemic, lockdowns and government money.. nothing to do with poe the game itself.


Great point.
What is the value of my own life when it is taken from others so easily?
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iaapvp wrote:
This happened in every video game my man, not just poe, actually most games saw increases way above 40% in sales.

Its due to the pandemic, lockdowns and government money.. nothing to do with poe the game itself.

People staying home playing video games with money to spend.

The same way why crypto currencies and NFTs booming during pandemic, lots and lots of government money and people with too much time.

It has absolute zero to do with poe game itself. Most top games made a lot more than 40%..

Some people cut their hair on stream and raise 370k dollars for charity nowadays.


While true, you have to accept that the reverse is true as well. I expect when vaccines hit 80% of people, you are going to see this large movement away from video games and more into public things. No lifers who were playing 50+ hours a week before covid aren't going anywhere, but for a lot of people who might have played longer than usual, there needs to be a reason to continue. Not because I think POE is going to die, but because that pocketbook is going to take a hit.

I absolutely believe retention for next league is going to suffer with harvest. but outside of that, you are going to lose players if not next league, the league after. With competition starting to rear its head, all it's going to take is another Talisman league to make this game start bleeding players like MTG did to hearthstone several years ago.
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Last edited by killingmasheen#3579 on Mar 22, 2021, 4:55:38 PM

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