It’s been long time since SEGA got positive financial results

Sega never really recovered after Nintendo beat them with Super Nintendo. No matter how much we want to discuss how good 2D machine the Saturn was or how accurate ports the Dreamcast got, the truth is both consoles were mismanaged to hell and back. Sega’s consoles weren’t the only thing they mismanaged, but their Western front as a whole saw a dump. Franchises that went strong and could’ve continued strongly were dropped dead as Sega of Japan wanted to concentrate their side of the business. As with Xbox, the hardcore Japanese media doesn’t really find all that great success here in the West outside the niche audience. Streets of Rage, for example, is inherently Western in its styling as was Eternal Champions. Neither survived the paradigm shift Sega went through in the mid-1990’s.

However, with the Mega Drive Sega pushed the idea of them being the more mature console over its contemporaries. It worked for a time, and things like allowing blood in Mortal Kombat showed that they’ll be willing to give more exploitative products room to breathe. It really worked, giving the Mega Drive (or Genesis in Ameriland) that games-for-adults fame. Sports games helped by the boatloads, never underestimate sports games even if you don’t like them. PlayStation would inherit Mega Drive’s status. Not Sony themselves, but the brand itself. Sony’s fame has gone poof in the last few decades, and nobody really knows what the hell they’re up to now. Their movies suck and don’t make money, their electronics aren’t top-notch any more and the only thing that they seem to make a buck on is games.

The Sega we used to know is long gone. Not just because I should be talking about Sega Sammy all this time, but because of the changes the company went through. They went from one of the top arcade game manufacturers to top-notch console and game corporation, and then just failed miserably only to step down and become a rather lousy third-party publisher. I’m willing to argue that Japan didn’t really get why they were popular in the West. After they went third-party, it’s like they don’t care any more.

This is reflected in their Flash report.  This consolidated financial statement from the last nine months of 2016 show a rather nice result for Sega, putting them squarely in the black and getting some extra while they were at it.

The games that special mentions come in set of three; Football Manager 2017, Ryu Ga Gotoku 6 and Phantasy Star Online 2. Outside Football Manager 2017, the two other titles are inherently related to how Sega sees their model; Japan first, the rest of the world later. Neither Ryu ga Gotoku 6 or PSO2 are available in the west, and while the western release of Ryu ga Gotoku 6 will be out under its Western title Yakuza 6 next year, PSO2 is still officially Japanese-only despite being released originally in 2012. Whether or not PSO2 would be a success in the West is an open question, but it would be a venture worth considering for Sega. Phantasy Star name is one of the few franchises that Sega kept alive ever since the Master System days, and still calls up some positive reactions from the high-end gaming consumers.

Yakuza has always had a limited audience in the West, and probably will continue to have. However, it’s perhaps a core example of Sega willing to go all out to put the money down into a game development they truly believe in. Another is that Yakuza series is outright maybe the most mature franchise in under their belt, and it’s easy to see why they would like tone down some of the elements in these. Luckily, they’ve manned up and begun listening to their core consumers on the matter. However, it is highly understandable why they never localised the two samurai spin-offs. Not because of themes like child prostitution, but because samurai games don’t sell in the West.

Soccer manager games will keep selling, there’s a good market place for them that seems to be relatively healthy and not too saturated with low-end releases to jumble the market up.

But as said, Sega doesn’t really care how things go in the West. Their Kantai Collection arcade game seems to rake in the dough just fine, something a similar product wouldn’t make its localisation money back. Yes, I’m talking shit about your waifu battle ship. Similarly, their smart device sales indicate a thing that most consumers don’t seem to realize; in order for a smart phone game to keep you with it, it requires constant content updates and events, at least in Japan. Once you miss something or start game later than others, you’ve already missed a chunk of its contents. This works Japan rather well, as their keitai culture grew to this in many ways (there’s a post up about Japan’s keitai somewhere on this blog, look it up) but for a Westerner who wants more wholesome package in one go it doesn’t really do the trick. A niche audience would keep it up for sure.

Their non-game related products seem to have done rather well and their plans for future releases seem to be solid and revolve around Japan mainly. Valkyrie: Azure Revolution most likely will hit Western shores at some point, whereas Initial D Arcade Stage most likely won’t due to the series being pretty much forgotten outside its meme status.

Talking about Sega is really dry and boring, because the company is like that. There’s no sazz or sparkle with them any more. It’s business as usual and that’s all there really is to them nowadays, but that’s not exactly a bad thing either. Them making some dough does warm up my shattered heart a big, because it also means once-loved company could possibly try to up itself at some point. (No they won’t.) The difference between Nintendo and Sega was always very pronounced, but how they work nowadays is like night and day. Still, I’m happy I managed to shove in a positive entry about Sega for once.

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