Digital takeover?

With nations going to lockdown modes, travelling being restricted and products unable to move from place A to place B, the world faces changes. Some of the changes will be long lasting, while others will be temporary at best. In a way, we’re faced with a moment in time, where only the essentials should matter. If you’re not directly in relation of producing foods or essential services, or are able to work from home, chances are you’re going to miss some work. Entertainment is, to be brutally honest, is probably the least important part of life. While the modern society is mostly used to have content provided via whatever screen we choose, numerous places that offer entertainment outside your home environment. For example, the movie theatres are effectively closed for the time being, hurting their income and their workers’ pay. With the theatres closed, some of the studios have opted to stream their movies in much faster order than usual.

The discussion of digital superseding over physical is often only about the media, how games, music and movies are going to vanish from the store shelves in the future and be replaced with digital-only counterparts. While this is extremely rosy view of the future, this discussion should also include automatisation as an essential part of it. Some types of work will be replaced with their digital and automated, and on the long run, most work from medical care to translation can be automated. It’ll just take long time to get there, improvements in special kind of AI and automatisation, but nothing’s really out of question. At some point we are going to have discussions whether or not we are going to allow digitalisation of work to replace human workers in some particular fields. Futurism.com has an article about Artificial Intelligence that is able to make more accurate diagnoses as a doctor than a human one. In time, digitalisation will take things to the point that consumers will be taking goods and be served by automatons. Digitalisation promises offers of superior experience every which way. It is already spilling out from factories and whatnot to digital environment, where 3D models are already used to entice viewers to enjoy video contents more.

Though who needs mp3 players or whatnot when you can have a non-digital automaton playing tunes for you

The whole Virtual Youtuber thing is digitalisation at its best. Sure, you have someone acting behind the character, but the 3D model removes all the needs for the actors to change their body structures or put make up. Chaturbate users experienced what it means to compete with automated content, when Projekt Melody shot to the top and displaced most of the top models and was raking in money like no other. Projekt Melody is effectively a VTuber for porn and offers the exact same benefits that other automation offers; Better results in less time, and end result that will entice more customers. It’s more efficient and with the provider being able to deliver whatever visual designs and flavours the customers want, Projekt Melody is able deliver harder and faster the same experience live model have to work hard for. This lead many of the models on the site rioting, of course, resorting to name calling Projekt Melody’s viewers and fans (despite these exact same people are their potential customers) as well as claiming this was unfair competition. In reality, they are now facing the first steps in having digitalisation and automatisation entering their field of profession.

Digitalisation doesn’t straight up mean that robots and automatisation replaces someone’s work. Well, in practice it does, as rarely the same person is trained to maintain the automation. At least one human has to be behind automated work to keep it in check, to ensure that it runs well. A welder would do good by aiming to move from manual welding to become a robot operator, if possible, as in time welding in factory conditions will slowly but surely replace the human worker. The companies themselves might be against this, be it trusting human worker more or due to sociopolitical issues, but robots will always end up being more efficient than the humans, be it in the factory, in the doctor’s office or something you want to jerk off to. We are already happily using platforms that are supplanting physical environs. Netflix may be new television, but it has been said to be the reason why movie theatres are dying, online shopping has been replacing physical stores (which is a terrific example of its implementation as the customer feels like their doing something significant and non-automated), especially now that you can order your foodstuff to be delivered to your door. I wouldn’t put it past the post offices around the world to aim replacing their postmen with drones, like how Amazon is testing their drones. It all might have a high up-front cost, yet on the long run it’ll be that much cheaper. This is one of those things where companies may not want to prioritise short-term gains over permanent long-term gains and begin automation. Current structures may not support automated environments straight up, but all that is easy to change.

While digital media has not phased physical media out, there is a possibility that the infrastructure for that is being implemented at this moment in time. After that, there really isn’t a need to go back. Digitalisation and automatisation go hand in hand, and while customers are now inconvenienced by the epidemic, the most inconvenient and easier way to consume and explore entertainment is digitally. The discussions about consumer rights and ownership is not even thought about, something this blog has been discussing to a major extent in the past. Consumer behaviour has been drastically altered now and it is possible we are seeing a strong paradigm shift. Not only customers are going for the digital option, either because of fears or convenience, the companies have to make due with whatever production methods they have at hand. China’s factories being closed means everything has to be postponed or other forms of delivery (i.e. digital) have to take priority. Local production may be emphasised and thoughts about becoming more independent from foreign produce. Of course, some nations can’t really match up the sheer volume in production others can achieve, which will lead into local produce being costlier than imported. Whether or not this would be a chance to increase local production, or if people will simply change their habits of consumption, is open in the air. It’ll be interesting to look back few years from now to see how both customers and industries have changed.

Unmade money with old games and consoles

Masayuki Uemura was interviewed by Nintendolife recently. He was the main engineer of the Nintendo Family Computer, as well as the guy who lead Super Famicom development. Naturally, he also was behind the workings of their American and Western equivalents. The interview covers decent ground and has some interesting factoids spread around. For example, all the innards of the FC was to cost give thousand yen and then sold for fifteen. Taking inflation into count, that five thousand is about six and half thousand yen, or about fifty five euro. The FC wasn’t exactly cutting edge for its time either, and the initial FC games are a whole another world from what the Western world came to know with the NES. You could even say that the split between the games, sort of, is pre and post Super Mario Bros., as that game was build to be the ultimate cartridge game before the disk system hit the corner. After SMB‘s success, the quality of the games on the system skyrocketed in number and begun yielding classic titles after another. I still maintain that the NES’ US launch line-up was one of the best a console has seen, as Nintendo of America had the chance to hand pick all the most fitting titles from the Japanese releases to fit the American taste. The Wii also had a relatively low-cost innards, which didn’t hamper its success. Nintendo’s lack of support after few years though, and Wii’s sales were still top notch.The Wii’s Virtual Console on the other hand, that sold the system to so many people.

Uemura mentions costs to be one of the driving elements in the design, and this is something the common consumer doesn’t tend to think. Certainly you know that better materials cost more money, but that’s only part of the equation. Shapes and colour add to the cost as well. For example, pink plastic has a higher melting point than blue plastic, requiring more time and energy to melt the plastic into the moulds. The colours themselves are also a factor, as mixing and making different colours cost different sums. Of course, you also have consider what that colour can do to plastic on the long run and if it’s worth it. For example, Beast Wars era Transformers toys have Gold Plastic Syndrome, where the colour and flakes added to the plastic have chemically interacted with each other and brittled the plastic, making it prone to break very easily. Some examples were found on the store shelves during the 1990’s already, and the issues has only become more pressing with time. Let’s not forget the shape. The more complex the shape, the more time and money it takes to develop needed production methods and finding the proper material to work with those shapes. Machining and maintenance are the key factors, and sometimes shapes need to be simplified due to either needing excess amount of parts or corners and loops that simply wouldn’t fill. Uemura mentioning that they went through numerous different variations for the controller is nothing surprising, but something that hasn’t been recorded and archived anywhere. If NES would’ve had the same kind of joystick as the Atari 2600, it would not have been the same success. The choice to try out Game & Watch Directional Pad appears to have been a somewhat desperate attempt to cull costs and prevent breakage if a child steps on the controller, and it worked.

The most interesting, and perhaps even most important section in the interview, is Uemura talking about the Famicom Mini;

Why make it mini? I think they could still develop a regular Famicom and people would still buy it.

Uemura’s hitting the nail with this, and it’s not just Nintendo that this applies to. Unlike what the industry wants to tell you, a console has no true life cycle or end of it. A system lives as long as the parent company decides to support it. However, the practice currently is to support one home console and one handheld at a time, thought the Switch really does both. All these reproduction consoles that are going about are an example how there is a market that’s untapped by the original companies. If Nintendo decided to develop and official GameBoy with a backlit screen, it would sell not only to the collectors, but to all interested parties. Reproducing cartridges nowadays is much simpler and cost effective. I’ve discussed this topic previously in a review. While it would increase the cost of the mini-consoles to add a port where consumers could use their own old cartridges, it is something these companies should have strongly considered. The games and their players have not gone anywhere. These same games are being published time and time again either as individual games or as parts of compilations. The game industry is almost schizophrenic in this. Something is supposed to have a limited lifetime, and yet people pirate ROMs to play these games and purchase compilations. Developers try to push for the new titles and games with high budgets and production values, and it’s the small side-game that’s more true to the older games that sells like hotcakes. We are still playing the same board and card games from hundreds if not thousands of years ago, and the could apply to electronic gaming if the industry wouldn’t treat them as one-time consumables. Yes, old cartridges and consoles will yield to time, to wear and tear, but the question really is why isn’t any of these companies willing to address this? There is a market that Sega, Konami, Sony, Nintendo etc. could go and tap.

Of course, developing a new console that would be planned to run old games would be time off from the more modern and current projects. Where’s the prestige in that? It would take some time and effort to see what made the original systems tick, if we’re to avoid emulation, and then expand what they can do. Using HDMI would be the first step, though if fans have created modifications to add HDMI output to old systems, so can the parent companies themselves. That is, if there is know-how and skill to do yet. Just like in the film industry, where colour and digitalisation effectively killed old skills (nobody knows how to make a true black and white movie anymore or how to properly run a reel, everything’s just a guess) the video game industry is in the process of forgetting how to develop for analogue platforms. Only the enthusiasts and retro-game programmers are keeping these skills alive. Hell, most big developers don’t even develop their engines any more, opting to use pre-existing engines. Capcom is one of the few developers that do their own in-house R&D, and it shows. Perhaps the kind of sameness games nowadays exhibit is partially because of this, and partially because games don’t develop as fast any more. In the 1980’s and early-to-mid 1990’s the industry kept developing fast and weren’t defined to the point of being set to stone. You had separation what kind of game was on what kind of system (PC, console or arcade) yet now more games are more the same. I’m ranting again about this, aren’t I?

There is money to be made with games and consoles, even if the industry perception is that they wouldn’t be much worth. The NES Mini outsold itself twice, the SNES Mini sold itself out about as fast, the Mega Drive Mini has been hailed from left to right as the best Mini system to date with excellent choice in games and the PlayStation Mini is still sitting on the shelves for being shit. There needs to be quality of course, as not even the hardest of the core customers will stand for lack of proper effort and lacklustre products. This market isn’t just for the small percentage of people stuck in the past. Old games, as long as they are available, will sell. A game is an ever-green product you can press again and again and sell it over and over again. They don’t grow old, playing games is an ageless pastime. They are mass consumer entertainment, and if you were to present them in their proper, original form with somewhat updated hardware for the new times, you’d have a new pillar to support your business with. Then again, we’ll always be an impasse, as that’d be looking back into the past and not trying to push the latest newfangled stuff.

What drives hardware if the same software is available everywhere?

Business Insider recently published an article in which they interviewed a number of game developers for the Google Stadia. They went without their names attached to their words, and perhaps better for that. Without a criticism they’re offering about Stadia and its misgivings, the very same I went on about, wouldn’t reflect too well in their business relations. The main contest is incentives from Google, the benefits that the developer and publisher would gain for putting their title on Stadia. Or rather, the lack of them. Usually the audience would be an incentive on itself, the ones the Big Three currently hold, and Switch as the one with relatively unique and mixed amounts of users, while Stadia effectively has none to contest with. Google can’t compete with the amount of users they have compared to any other gaming platform out there, and they probably know just as well.

There is no reason for any outsider to put their meat on Google’s platter. They’ve done the exact same error so many other companies have before them when it comes to running a gaming platform, console or otherwise; you need to do the initial legwork yourself. To use Nintendo as an example, consumers purchase Nintendo’s consoles not because of gimmicks or whatnot, but because of the software Nintendo themselves are providing. That already offers a default installed consumers base, which can be easily expanded if new and proper software is presented on their platform. Without saying this also means the consoles with the most sales always had the most software on the system. Shovelware is rather important for the ecosystem to balance things out, but it can only balance if there are enough games on a platform. Otherwise it’ll just gather handful of games and they’re all junk. Not even shovelware, but just collection of ports and few exclusive titles worth jack shit. Atari Jaguar or CDi should be an example in of themselves enough.

If Google can’t offer that initial batch of games that would incentivise the customers to pick up their handy dandy controller, what are they using? Software sells hardware, and Google doesn’t have anything that would wake a customer interest. It’s as if they were expecting to come into the play on the backs of other developers and publishers without putting much of their own in there themselves. The few exclusive titles Stadia has seen have been less than stellar, and the whole of idea not having the baggage of prior culture of video games was absurd to begin with. Whether or not Google wants it to, Stadia is relying on pre-existing software that’s heavily ported from other platforms, and that brings the culture of those games and platforms with it. Not that there is a huge dividing lines between different consoles, though PC mindset is very much a different thing. Stadia, however, is very far from PC as a platform. Then again, so is Steam in its nature as a digital console, so maybe modern PC user’s mindset is far too eager to appease closed environments rather than open to controlling their system by themselves.

While other platforms can offer stability, especially the Big Three, Google can’t. You’d think that if Google is putting all this show, razzle and dazzle up to grab customers’ attention, surely they have a long-term plan for Stadia and see it through at least for the next six years. That probably isn’t the case. Google has a tendency to nix products and services that don’t succeed as well as expected, and Stadia is no different to them in terms of business. If it doesn’t rake in the expected revenue, it’ll be written off and they’ll move on. They don’t have the history of putting their best efforts to make a product or a service like Stadia succeed. Stadia, as it stands now, would need a soft-relaunch in terms of service and what products it has. This is similar how Nintendo had to relaunch the Nintendo DS through software and how to market the device. Rather than sell it as a portable N64, a pocket version of a system that was never a success to begin with and has a lousy software library, Nintendo turned the boat around and started to deliver its library closer as a portable Super Nintendo. From there the NDS went to success. Inversely, the Wii was marketed and sold very much like the NES was, but the moment they abandoned that mindset, which was directly reflected in the software library and how Nintendo moved to develop both the 3DS and the Wii U, its sales dropped. Still outsold the other Big Three consoles, but what also failed to carry over the new install base they had from both NDS and Wii.

Google is against all this and they haven’t really done anything to deal with it. Whatever fame Google has at the moment, it isn’t helping them with their gaming department. If all the reports of their customer service practically failing on the first day, some being completely in the dark Stadia was even a thing to begin with, and Day One delivers were multiple weeks late, it could almost be assumed Google was self-aware how things would end up going and had already given up internally. This wouldn’t be a surprise in itself, as at times corporations do put out big projects that might not go anywhere. Often it’s a project that’s been languishing in development hell for years on end and time has already passed it, like with CED, and other times a project is perceived as groundbreaking or making disturbing ways in the industry, but the technology turns out to be half-baked and barely functional. As much as VR has made its strives, in recent years, it has a thirty years history of numerous failed attempts and products. Well, VR will be a true hit when the headset becomes cordless and light enough to shove into basic goggles without the massive plastic housing.

Whether or not Google was unprepared or didn’t have their realities in check with Stadia is academic at best now. Stadia has been around few months now and the wakes it was supposed to make have been rather anemic. Still, let’s wait the first two quarters until we can say whether or not the direction Google has chosen is worth it, but if developers and publishers are willing to coin in and effectively show their distrust not only towards the system itself, but also towards the parent company, something very much askew. Google, as it stands now, really has nothing to compete with in Stadia, and whatever promises and statements they made about fast play anywhere you want without any baggage has turned out to be less fulfilling. If this really was Google trying to offer a way to play games to those who didn’t want to play games because of they hobby has its smears, they bet on the wrong horse.

The power of the Customer

The customer chooses whether or not you succeed or if you fail. This can’t be overstated, but what has been understated that not all customers are one group. Take a sample of any consumer group, be it fans of a franchise, soda drinkers, candy eaters or whisky juggers, you’ll always find that they have something in common and something very much uncommon with each other. Within your target audience, you can’t appease everyone. You can hit different parts of your target audience with multiple products that appease different varieties of tastes, even if those tastes might clash harshly against each other. There’s a reason one of my random banners at the top is quote from Sam Walton, the founder of Wal-Mart, stating the there’s only one boss, the customer. Money moves almost everything in our daily lives, from the power you’re getting from your wall outlet to the clothes you’re probably wearing. Simple change in spending habits, like going to another chain’s store than your usual one, can affect things rather strongly. While the Internet has made campaigning against and for something so much easier, compared to letter campaigning or phone calling, the best form of stance taking is still hitting where it hurts the most; the wallet. However, wallet voting has taken hit on how effectively it is. The Internet has allowed movements to become louder and more obtuse, especially with the advent of social media. This has obfuscated the real amount of consumers doing anything, as majority of consumers are still silent. That is to say, most companies hear the voice of the minority of their customers, which leads only small sects sometimes impacting production, sales and whatnot of products that would otherwise have normal sales. Reasons vary, from mother’s campaigning to pull out GTA V from Target’s store shelves in Australia or some animal awareness group pointing out how Pokémon is animal abuse, you can take your pick from whatever ideological and political spectrum and you’ll find a group that’s making noise.

The creative industries have a hard time dealing with consumer wants and demands from time to time. Individual entrepreneurs have probably the hardest time finding and keeping a customer base. Individuals have to do everything on their own, and very few realise early on that having sensible finances and being able to keep your own book is highly important. Nowadays it is easier to find your own niche, though competition is even fiercer. Despite the rosy image of an artist giving his heart and soul to the piece and sees the world celebrating it, the reality is that artists still work in a service industry and their work needs to reflect the consumers. While art is culture, it is also a consumable. Only a fraction of a fraction of works that get cited as art will enter the cultural lexicon, something that’s becoming ever increasingly difficult as out 24/7 cycle of everything sees everything getting old within a matter of days. Fifteen minutes of fame has been reduced to closer to five.

The net’s full of comparisons like this

This has lead some to question if fans, a.k.a. consumers, have too much power over the products they consume. Or to put it like BBC Culture did, are fans too entitled? To touch the opinion piece a little bit, it mostly covers history of fans able to change and influence creators, citing examples like Sir Conan Doyle resurrecting Sherlock Holmes ten years after killing him off due to an intense reaction from the readers. For 1893, maybe ten years was long enough time for the books to spread. That, or in reality the considerable large sums of money ultimately changed his mind. After all, that made him one of the most well paid writers of his time. Stephen Kelly, the aforementioned piece’s writer, considers the change of Sonic’s model change in Sonic the Hedgehog unprecedented in modern relationship between artist and fan, something that is false. Video game characters have seen redesigns from time to time for numerous reasons after fans backlash, or have the perceived atmosphere has directly impacted the designs. This most notably has affected female characters, while the male characters have been left mostly alone. From Final Fantasy VII Remake‘s Tifa being more toned down compared to her original design (despite still getting riled by some) to something minor like a win pose being changed in Overwatch. While changing how Sonic looks in his movie resulted in tons of good PR, and the staff have been saying the fan feedback was invaluable. Whether or not this is a positive example is really up to you. Whether or not you prefer the original movie Sonic design compared to the current one.

The point of the piece is whether or not fans have entitlement over the things they buy. One example she cites where a minority of fans hammered down a movie despite critics and other fans liking it is The Last Jedi, though now that we’re two years after the fact looking at the results of the film, and how it affected the franchise as a whole, it wasn’t exactly a minority that rejected the movie. Sure it has its core fans, but the culture and general consumers at large simply for numerous reasons, which all can ultimately be bogged down as They didn’t like it. The franchise is feeling and reeling from the after shakes still, and will be for the foreseeable future. Kelly tying identity politics with Star Wars and the 2016 Ghostbusters is false, as the 2016 Ghostbusters is simply a terrible movie that failed to launch a new franchise for Sony to bank on. Then again, #GG is used as a boogyman in the piece and represented highly inaccurately, and really has nothing to do with anything aforementioned. There is no true conclusion to Kelly’s writing outside Fans are the problem, but fans are also the solution, which really means jack shit.

Let’s take a recent case about fans being split about a character redesign. A Japanese illustrator and character designer named Ban was employed by Flame Toys to redesign a Transformers character named Windblade for their Furai Model line of model kits. Flame Toys is known to redesign characters while working under Hasbro’s license, and these redesigns can be drastically different from the original works. If you check Ban’s Pixiv, you will notice at least two things; clean and smooth style, and that a lot of his works are Adult Only. His works are hard to represent in plastic due to him employing some shading and linework that works only in 2D. After Flame Toys revealed Windblade’s physical prototype in New York Toys Fare, there was a backlash against the design, forcing them to take down their posts on social media. The designer, Ban, still retained the prototype images on his Twitter.

Arguments about this design were conflicted. While a portion disliked it, a larger portion seems to like it. Difference is, most of the detractors on social media were English speaking customers, while the customers with positive feedback shared both English and Japanese. Unsurprisingly, few different posts explaining the backlash to the Japanese fans popped up, to which some Japanese laughed at and some thought the situation was unfortunate. Criticism ranged from it not being aligned with the original design of the character, which should have been a given seeing this is a Flame Toys product and that The Transformers toyline is full of redesigns of all sorts, to all the way how Ban’s design gave the character bikini, despite Wingblade’s bust and crotch always had red accents, as seen on the right. The wings where a sticking point to some, as they seem to be clipped in Ban’s redesign. This is of course natural, as Ban emphasized their nature as the bow in obi, the sash Japanese use with kimonos. I didn’t hear anything about the head crest’s size, but some issues with the second proto photo’s pose, and some were asking why the other, masculine models weren’t put in the same position. This is an example of false equivalency though, as what attracts men and women, and what shows their best sides, is different between the two sexes. The two sexes also value each other in different ways, emphasizing regions of body in altogether different manner, which is very much apparent in most more designed Transformers toys, where masculine emphasizes can be seen on broad shoulders, well defined chest and flat, sixpack stomach regions. Let’s not forget strong chins.

If I’m honest, I never liked Windblade’s design. The head crest is silly, the wings looked dull and generic, turbines everywhere, they manage to make the face look terrible, not much unique body definition after seeing what sort of design Animated series had. Personally, I don’t think Transformers as a whole needed sex, the species is mechanical in nature and could’ve been treated as one-sex or sexless

The fans were split, and not evenly even. This is an example where smaller sections of the target consumer group was split on a character design. You had a section that disliked it, you had a section that was as vocal about liking it, and then you have those who don’t really care. This is a gross simplification, as the reality is that there are thousands of small fractured groups working under similar umbrellas. Some have echo chambers, some don’t even interact with the rest of the fandom, and some simply had no interest on the topic as it was about a model and not about a transforming toy. Considering Furai Model kits are targeted at adult collectors, the niche audience this model was targeting most likely already excluded a lot of voices on both sides. A French Youtuber put many peoples’ thoughts rather well; There is a store package version for children, and this model kit is clearly not for them, but one of the many adult collector’s figurines. It’s pretty funny to use the term “objective” about a machine… Last bit of course refers to the complaint that Ban’s design is sexist and makes women sex objects. It considering this is a robot toy, objectification of a fictional robot is expected, as that’s what making a toy is. The design is sexy without a doubt, with expected curves, but as a friend so elegantly put it, You’re telling me Ban draws something else than boys with dicks? the design is rather held back from what it could have been.

If we are to consider the creative industries, or just arts, as something untouchable by external forces, why shouldn’t Flame Toys celebrate Ban’s redesign of Windblade and sell it to the customers? Or should they listen to the part of their broader possible customers and cancel it, losing whatever money they’ve had thus far in the production? If we were to stick with the idea that art should be independent and ignore both positive and negative feedback, Sonic’s designs wouldn’t have changed and Flame Toys would still have their New York Toys Fare posts up just fine. Some might see this as false equivalency due to supposed ideologies and whatnot, but stripping all the excess fat off and getting to the point, it’s all about customers voicing their opinion on a revealed character design.

Every kind of design and form of media has its customers. One thing has more than other, I doubt anyone really contests that in a serious discussion. However, not all products require to sell high numbers. Prestige and deluxe products are intended to be produced in relatively low quantities but in high quality. Their price tag represents this, often tacking more than few zeros at the end. The main difference between the two main examples in this post, Sonic the Hedgehog is intended for all audiences at an open marketplace. Furai Model Windblade on the other hand is (maybe was at this point) targeted at a niche of a niche market, an adult collector who builds robot models. The two markets are at rather opposite ends in popular culture media landspace, but not quite.

There’s no real stance here regarding the blog. While one of the stances this blog has is pro-consumer, it also supports the idea of companies looking at the cold data over customer response. The reason for this is that the customer doesn’t know what they want. We as customer think what we want, but when we’re given options to choose from, we often find ourselves picking something completely new, something we didn’t expect we’d want further down the line. Despite customers voicing their disagreement at times, offering variety of products is as important to hit all the niches in your targeted customers. This of course leads into juggling with the PR, both positive and negative such move creates, but that’s business as usual, as this is a chance to use both positive and negative attention for net positive gain.

One review needs two plus points of views

The opinion on sites like Rotten Tomatoes and Metacritic have been rather divided ever since they became a staple how consumers could voice their opinion. In principle, aggregate cites like them are best way to convey and give a median on hundreds, if not thousands, of consumers’ view on a given product. By having the experiences and musings of all these people, you should get an overall accurate image on the product, of its strengths and flaws. At the same time we all are aware how easily such things are swayed to a direction or to another. This is something these aggregate sites have had to struggle with since day one, and there really isn’t a good way to get around it. Every major “faction” tries to sway the ratings of the more visible titles, be it the industry, marketing powers, the consumers themselves or whatever sect’s having shit and giggles for that day, on the long run the aggregate sites will end up giving a decent idea on two different kind of score; the reviewer score and the audience score. The problem is, neither of them are reliable.

If we don’t beat around the bush, most modern professional reviewers are mostly paid and have an agenda. What that agenda ultimately doesn’t matter, as the end goal is to keep their job and not get the power that be mad at them. Shoot down a game or a movie that’s cost big bucks to make and piss off the right people, and you’re cut off from the circles. Ubisoft won’t invite you to press-only events to give you iPads and merch after you gave a 7 to their latest Rabbids game. I noticed during the last few Star Wars movies how the review narrative on the movies always started at the height of the hype. but after two years it petered out and to something that tried to cater to both overall consumer reception and view, and the what the marketing was pushing for. The Last Jedi probably being the best example with how it was sold as subversive and how the consumers simply didn’t get it, and with the arrival of Rise of Skywalker the same bits and bops the same people praised at first, were now called problematic and having quality issues in the storytelling. These distort the aggregate results rather strongly, especially when these industry reviewers have a small pool where to draw from.

At the same time, consumer reviews can range anywhere from thousand-page long essays to one sentence and maybe even word. While the reviewers who get paid to review have to meet some kind of deadline and word count, the general audience doesn’t. It’s easy to give short five cents and click how many stars you give something and be off. While consumers generally don’t get catered in special events like reviewers do, consumers are far more eager to drop extreme citing. It’s not rare to see someone dropping 0 or 1 due to whatever single stupid reason or because something else surrounding the product is not to their liking. At the same time you often get people who are, to quote a friend, ‘hype as fuck 10/10 bought three pieces and one extra for their dog.’ You know the type, people who will give a good review for the exact same reasons someone would give a bad review, yet have nothing to do with the product itself. Hell, positive or negative, there are Youtubers going through Steam reviews and making fun of how bad some of the reviews are.

Both are capable of using bots and campaigns to drive the aggregate numbers to whatever direction, so the point is rather moot. With high-profile movies and games it’s more an issue which one will be doing it more visibly and who will get caught first. Tweaking review numbers is silently accepted as part of the whole deal, and in the end nobody really trusts any number a reviewer givers. Which is why I don’t use a rating scale.

The Internet has made the profession of a reviewer rather moot. Everybody has something to say. Some people come across and are more educated on subjects they discuss, perhaps even have worked on projects or are still working in the industry itself. Some have jackshit knowledge where the chicken pisses but naturally can pin point positives and negatives like no other all the while bringing something new to the table. It’s rather common to become blind to your own industry the more you’re with it, how the eyes of a professional may make things sheen in pig grease and swoop down like a striking lightning, but have lost the touch to the grass root level end-consumer who just wanted a anime tiddies and a not a shitty metaphor. Nothing’s fool proof, and often it takes a fool to point out all the flaws the highest levels of professionals missed. The same applies to any industry and it can be seen on these aggregate sites, where individual consumers have far better points, plus and con, just by intuition over people who are used to analyse everything in Shakespearean terms.

There are numerous Internet reviewer sites and individuals who do both entertainment reviews and serious reviews. James Rolfe would count as both depending on what show he is doing. If his views or tastes aren’t to your liking, there are a whole lot more people that probably do. That’s one beauty the Internet has brought is; we are able to find like-minded people who may know more media we might enjoy. You might find fellow fans to share your fun with. However, at the same time we should consider outside views and what others are valuing in their media. After all, the only way to mock someone properly is to first understand what they’re saying.

Very few works of art and entertainment can claim to have objective categories in which to review and evaluate a work under. Because most of the entertainment, art and media overall is an expression of one or many, we often get something that intentionally breaks the set rules. We’re forced to evaluate outside the given parameters. Even with objective rules in which we are to evaluate something, every person will get slightly different result either due to personal experience with past productions of similar kind, or simply understanding the basic set of rules every so slightly. It is rather uncommon to see two people agreeing that, for example, some movie is absolutely fantastic, but for completely different reason. In discussions like this

Aggregate sites have acknowledged the divide between professionals and consumers, and how their world views differ. In some cases this has come to a point where the reviewers end up doing reviews that are more aimed at the industry, this being part of the whole losing-touch-with-consumers thing you always want to avoid. At the same time fellow consumers mostly likely know what at least part of the rest of people who need to pay for these products want and value. There’s a divide between the two roughly-made factions and it will not go away as long as anything like the Internet exists. In many ways, the professional reviewer is an obsolete beast, relegated to exist in certain circles in some manner, but eclipsed by a Joe Everybody with his own Youtube channel. Take the Australian electronic channel EEVblog as an example. Not only you can find reviews, but reviews that will tear down into the electronics and how they work. EEVblog is bit of a cheat, as the Aussieguy who runs it has a history with electronics industry, and it shows. However, at the same time is also a consumer. When the two worlds collide like this, magic happens. The fact that the Internet is full of people like this, and in ever increasing numbers, the traditional outlets are in a losing battle. Hell, if we manage to get into a situation where most reviewers are independent of the industry and its systems, the companies’ leverage could be almost ignored.

With some of the latest movies and TV shows Rotten Tomatoes has taken their stance to change how the calculate the scores as well as have been resetting the scores. While it’d be easy to credit malice and intentional skullfuckery with the score, like with the recent case where a ResetEra user went and review bombed a game, there are more cases where the user score simply tanks because the general consumer really does not like something and deems a movie or game to be low quality. Recently Dr. Who‘s latest season hit a record 0% audience score, but the score got reset and now sits somewhere in the thirties. Often a low score or a tanking score gets people suspicious, but nobody seems to talk about how a quickly rising score is just as weird. While aggregators do have a requirement to test methods to seek out bomber bots and the like, when aggregates begin to curate any submitted results, the whole point of aggregation becomes moot and the end-score won’t reflect the actual score.

Rarely a site or a news source providers you with more than view in a review. Some gaming magazines used to do this, and Japanese Famitsu still has multiple people reviewing the same game. The amount of text they cram into the page may be short, but the fact five different people can give some kind of points of comparisons at the same time is commendable. It’s like in Interspecies Reviewers, same thing really. Perhaps it’s cultural, perhaps it’s that most outlets don’t exactly have the time and money to have five people watching or playing something at the same time and separately submitting a review.

You know what I personally expect from reviews? Different approaches. The best reviews I’ve ever read and watched approach same point from three different angles, often utilising knowledge gained from surrounding matters, first-hand experience and what I call wildcard vectors. This way of examining something from multiple points of views should give more insight on hows and whys, as well as compound all the positives and negatives in proper manner. A negative point may still be negative, but at least one of the three approaches can understand and even appreciate that negative element.

The Virtual Console still lingers in Nintendo’s memory

Let’s not beat around the bush, the Virtual Console was one of the best decisions Nintendo made with the Wii and its subsequent iterations. The amount of sales they made across all the three platforms the VC was on was pretty impressive, and the Wii itself even sold with the VC itself. I’ve said it before and I will say it in the future; if I were a game developer and/or publisher that had to put their game on a console where Super Mario Bros 3. was available, I’d be scared of the quality of the competition. We can’t deny its quality and impact. It would appear that VC made Nintendo, especially Shigeru Miyamoto, realise that people were still interested in thirty years old games. This isn’t exactly rare with game industry, but a well made game does not age. Well technically it does, but it ages like a fine whisky. Wine be damned.

In a recent Investors’ Q&A, Shigsy mentions how their old software are active even after thirty years, and that they have no choice but to port these titles to new platforms. Funnily enough, there are tons of games that never got ported to modern platforms nor did Nintendo see fit to port these games to some other platforms. Nevertheless, he began to think if Nintendo could combine their evergreen library with video and use that in a similar, years-on fashion. Hence why the new Super Mario Bros. movie is being produced. What’s interesting, and perhaps even comedic about this, is Shigsy claiming that he didn’t exactly want to make a Mario movie, but that it would be a great vehicle to have more people exposed to the brand.

Effectively, what Shigsy is talking about is repeating already tested method of Nintendo IPs spreading across the media.

This has been an age old topic for the blog. During the Third and Fourth Generation of consoles, Nintendo’s intellectual property and branding was everywhere. Television, breakfast cereals, waffles, comics, clothing, music, they were everywhere. Especially in the US, European markets weren’t assaulted as much due to completely different market dynamics. Japan experienced its own multimedia of Nintendo products, and it never really stopped. However, maybe they didn’t have the cartoons, those were very much an American product to the American audience. The Super Mario Super Show was spread rather wide elsewhere, but quick lookup gives up little sources in Japanese, videos or otherwise.

Italians always outdid others with their songs, for better or worse

It has been the standard for Nintendo spread their IPs across the media table as an advertisement for their game and console line-up. While it is possible that Nintendo of Japan has forgotten about all the media that got branded with Nintendo’s labels, I doubt that is the case. Even if it were, the success of Virtual Console’s success clearly left a serious impact on Shigsy. It must be hard to realise the big budget games you love to make were beaten by thirty years old titles. Is he thinking that they don’t have a large customer base to go by, that their titles are not selling to new, younger audiences because the lack of multimedia exposure? This should be business as usual for everyone involved, but for whatever reason Shigsy treats it as some kind judgment on him, that he just realised how a movie can market their main merchandise and that he has to see it done. That doesn’t sounds like the Shigsy we’ve seen throughout the years. We’re talking about the man who would rather have his game development seem like a fun school project and doesn’t want to work on 2D Mario games because directing and designing them takes so much effort. As disingenuous as it may sound, this sounds load of bullshit and a way to bed a path to save face if needed. Despite it being an investors’ Q&A, the corporate way of putting things is still the standard.

Nintendo, especially Shigsy and his team, has a habit of not doing what seems sensible to most, like developing a new F-Zero game for motion controls. That was saved for Mario Kart. Things are only done if they find a new way to doing things, innovating on some significant aspects or otherwise “surprise” the player somehow. That’s why you have 3D Marios trying to reinvent the wheel with FLUDD, planets and throwing hats around. Nintendo doesn’t exactly push forwards their IPs as much as they want to give it tricks and polish. If we’re being uncharitably here, it could be said that Shigsy wants to do a new Mario movie now, because there’s something he wants to do with it. Though it probably is more that Nintendo is coming around about spreading their IP again, through they’ve been relatively slow with the progress. There’s a clear and tight control when it comes to games on mobile platforms and series, though toys seem to be no issue for them. Japan still has running Mario comics and all that, but nothing that would appear on Western markets to the same extent.

Super Mario-kun is 25 years old by this point and only few countries have translated any of it.

The 1993 Super Mario Bros. movie probably soured Nintendo’s wishes to make movies based on their IPs, especially based on Mario (though they already had animated OVAs at that point.) It’s not that the upcoming movie is treading any new ground in any fashion, but that for whatever reason VC made Nintendo realise that almost all of their old games still hold value. Especially the big names ones. Hell, even with The Legend of Zelda we saw how much success Nintendo had by bringing Breath of the Wild closer to the original Zelda model and play. Did it really take the VC for Shigsy to realise how much the history of their media matters? It would appear so, but at the same time, what a way to screw of the VC with the subscription service. I guess that was part of renewing the way these games were brought to the customers, or maybe the whole issue of licenses was too much a bother. Whether or not keeping the VC as it were around would have been more beneficial than whatever the current form Nintendo has for its subscription service, but the memory of VC and all those thirty plus years of products still loom over them. Nintendo shares a lot with Sega in this, with both of them having to chase past glory all the while needing to push the envelope. Obsoleting evergreen classics is incredibly hard.

 

Capcom’ next year’s plans is to continue on the same path

Capcom’s yearly integrated report was out at the end of the quarterly year, so nab yourself a .pdf copy if you’d rather read it yourself. Otherwise, let’s see what this year’s report says and how the year has come to pass. Grab some snacks and a drink, this’ll be a doozy.

Right off the bat, the report states two thing; Monster Hunter World has been Capcom’s most successful game to date, though the state the number of shipped units rather than sold units. Shipped units just sounds better, as it always is a larger number. The claim for the game’s success is twofold; Globalisation and Digitalisation. The aim for Iceborne, the Ultimate or G expansion to the game, to push further sales. It should be noted that the two games are treated as two separate entities, as this sort of updated version of the base game has been the standard for Monster Hunter since the first game.

MHW made the series a global success. Despite 4U selling well on the 3DS, the truly wall-breaking moment was MHW. The game’s overseas sales ratio increased to 60% of total sales compared to previous 25%. Bulk of Iceborne’s sales are expected to be digital, and whatever data they gather from that will determine Capcom’s future plans. Considering how well the game has been doing on Steam alone, it’s probable that Capcom will push more of their games on digital frontier and cut down production of physical goods. This has been a trend for a while now, but this most likely will only matter for the Overseas markets, as Japanese markets still prefer physical goods over digital. If MHW was offered as a physical product for PCs without any ties to Steam, it’d sell just as well there.

The report starts properly after this, listing Capcom’s Capcom’s method of business and ideology. Capcom shows itself as Creator of entertainment culture that stimulate your senses. Bits like this should remind you that company indeed is Japanese. Their net sales for the end of the year, that is March 31st, was 82.9 billion yen. This is their main bread and butter, counting home video games, PC online, mobile titles and DLC. Their multimedia net sales, that is all the merch in books, toys etc, movies, their arcade games and Capcom’s own arcade centres, events and eSports, netted then 17.0 billion.

Here’s the kicker though; Capcom lists four of their major franchises next, the ones you should consider to be the essence of Capcom at this moment; Street Fighter, Resident Evil, Monster Hunter and Mega Man’s sales are listed, tho after the report Mega Man reached another million units sold. The sales numbers in respective order is, 42 million, 91 million, 54 million and 35 million, now 36. Fiscal year 2019’s biggest hits were, unsurprisingly, Devil May Cry 5 at 2.1 million units sold, REmake2 at 4.2 million and MHW at 4.5 .MHW is noted to be a catalog title, meaning it is a game that was published earlier and not during the fiscal year, showcasing that a game can continue to sell for a long damn time as long as it is available.

The core idea of Capcom’s Single Content, Multiple Usage is effectively effective franchising. It all starts with digital content and with a popular video game. The core of this digital content can be expanded to PC online gaming, via multiplayer modes or similar as well as create spinoff titles or additional tools, wallpapers or whatever other applications for mobile devices. The base concept of something like Resident Evil can be put into use in arcades by using the same world and characters in different pachislot games or similar arcade games. Other business section is major, as that mostly includes third and second parties using that core game to expand the amount of uses. Books, comics, character toys, events, tournaments, eSports, television shows and movies are all part of this extremely expansive Other Business section Capcom is not directly involved with in most cases. All this leads into creation of a new game, that will be used multiple times over. The importance is in having strong IPs that can be used multiple times, that the titles have global popularity to ensure that these franchised elements will sell (though if we’re completely honest, most of the franchised stuff Capcom puts out stays in Japan) and then you have the movies. It is probable that Capcom has the most games made movies out of. We can question their quality in many ways, but they still make money. Every time Street Fighter the Movie is shown on telly, Capcom gets about a million yen.

This method of using single content is nothing special in of itself, yet the whole movie business makes it a bit special. Konami, for example, has a very similar multimedia approach to their business, though they are rather separate in most cases. Konami can have a successful toy franchise going on, but no real game or other media of it. Capcom recognises their main point is the games, and they aim to make a mass-appealing game they can franchise further. This ideology probably permeates the game design at its core level, where designers at Capcom have to ask themselves How can this be used multiple times down the line? This also explains why certain IPs, despite being strong previously, have not appeared in any modern form outside ports, as they can’t be used multiple times nearly as easily.

This method of franchising is dependent on the core quality of the game, however. Capcom’s quality in games was all over the map during 00’s and early 10’s, but after some financial problems they’ve managed to level out with increasing sales. Their Operating Incopme is up 13.1% from last year, Margin is 1.1 point up, a slow but steady rise from 2016. Their net sales are 5.8% up, continuing the trend from 2015, where their sales dipped. It should be possible for Capcom to reach their 2014 level of sales during this next fiscal year. After the slump of net income from 2013, Capcom has been doing much better with 14.8% rise from last year, about triple the amount since 2014. Research and Development costs have gone down a bit, mostly thanks to establishing their new engines and streamlining development, but it is expected to rise next year. The balance of work in progress for games went down major 34%. This was gained by closing down overseas studios and release of games that requires lots of works, i.e. REmake2 and DMC5. This is interesting though; Capcom split its stocks 1:2 last fiscal year, meaning the payout was decreased, but dividends increased. They’ve been managing to pay out dividends 29 times in a row. More people may have access to stocks, but payout per stock is smaller. Might’ve been a good chance to jump into the bandwagon at that point. Return of Equity, a.k.a. the  measure of how effectively management is using a company’s assets to create profits, is up one point. Should be noted that it barely beat 2009, meaning ever since 2010 Capcom was in a rut and had to fight hard to get back up.

With WHO recognising gaming disorder, something I’ve covered few times already (it has no basis), Capcom has Sustainable Development Goals, effectively meaning Capcom wants to showcase themselves as a company that balances their own economic growth with the sustainability of the society. In short, Capcom is supposedly trying to showcase themselves as a company that would not take advantage of people with gaming disorder. EGS, Environmental, Social and Governance form EGS material issues that come in four sections; Securing and Training human resources, Promoting diversity, Development of Solid Relationship with Society, and Enhancement of Corporate Governance. This needs a bit breaking down, as EGD and the four spots mingle slightly. All this is according to UN’s goals, which Capcom wants to go by. Furthermore, Capcom is to continue their 2011 program of supporting educational themes whenever a classroom requests such, meaning that Capcom has a program that would educate students about video games and career opportunities. However, this is largely Japan-only, though with Capcom wanting to globalise themselves further, they might want to tackle most major schools around the world in some manner, and maybe even send e-mails to smaller schools around the globe, offering some assistance in game studies.

Capcom is tackling Environmental issues with the usual fashion, like changing old light bulbs to LEDs to reduce carbon dioxide emissions and reducing paper resources by digitalisation. This has reduced costs, but also means that Capcom can showcase their push for further digital sales as part of ESG. Energy conservation will be their future goal.

For Social, Capcom is aiming to hire more non-Japanese employees and increase the number of women in management position, but an approach like this won’t serve well in of itself. All these people need to be competent in their work, as companies that will hire or kick up people into the higher up’s board for the sake of diversity does no good for the company itself. Whether or not this goal will be healthy on the long run will be seen. Forced diversity is not a solution, but that is the wind of the era. Capcom has been increasing the amount of women workers in their ranks, though in reality it shouldn’t matter what junk the employee has between their legs, just the quality of their work. It should be noted though that Capcom’s Relationship with Customers has a spot mentioning how they’ve monetised DLC without high-pressure microtransactions, something that a company like EA can’t say with all the lootboxes and whatnot. According to Capcom, games should be enjoyed for the entertainment value they provide with gameplay, not fir the thrills associated winning a lottery. Capcom intends to deliver core content for free for their games, with DLC being its own thing at a low cost. With their mobile games, they supposedly intent to continue have small as possible gacha elements. Localisation and culturalisation gets mentioned as well, and rather than talk about translation or localisation, Capcom wants to culturalise games so they’d be enjoyed in whatever locale. This sounds highly suspicious, but it also explain why mention of dragons got removed from Monster Hunter World in China.

Capcom is surprisingly effective when it comes to Relationship with the Regional Community, as they Capcom is involved with number of events in Japan, offering possibilities for cities and municipalities to make profit off of their own from these events and whatnot. This also doubles as an effect of Capcom getting their name out there to people who wouldn’t recognise it otherwise.

For Governance, Capcom has been increasing ratio of external directors and increased dialogue with the shareholders. Basically, Capcom wants to have more openness with their shareholders as well as be more transparent all around. Capcom even lists reasons why external directors have been selected, e.g. Masao Sato is expected to be able to contribute to the auditing and supervision of the Board of Directors via his experience and knowledge from serving the police administration. This is part of the whole “visible” governance, and we’re even given a third-party assessment of Capcom’s corporate governance. Capcom’s strength lies in capital efficiency and information disclosure, with Effectiveness being the lowest. This is pretty much as expected, as per the business culture Capcom resides in.

Rather surprisingly, Capcom has an increasing number of annual discussions regarding the market opinion. Whether or not these discussions with take true market opinion into count, or just what the gaming press wants the opinion to be, is wholly another question.

Regarding Capcom’s achievements for the year, there’s nothing much to cover. Their catalog titles i.e. older titles continued to sell decently, with MHW being still a top seller. Their two new releases, DMC5 and REmake2 sold extremely well, and apparently Capcom is satisfied with the sales of ports and such. As for arcades, Capcom apparently started an online crane game, and have been aiming to expand their target market towards middle-aged and the elderly. Plaza Capcom was opened in Hiroshima, which probably explain why they closed down one arcade and opened two new ones at different locations. Despite their five different Pachinko and Pachislot models sold reasonably, the changes they made in testing their equipment meant lower overall sales; 3,422 billion compared to last year’s 7,803 billion. Numerous events were held to maximise sales of games, as well as further use of eSports like Capcom Street FIghter League powered by Rage. Net sales increased and operating margin was 31.5%.

Capcom’s intention to build a strong business portfolio hasn’t changed any. Their aim, after all, is to make games they can make multiple uses out of. For the next year, Capcom seems to intent promoting their mobile games more and explore possibilities more, which is why we’re getting Rockman X DiVE rather than a home game release. Standard consumer releases are abound from major IPs. We already know REmake3 has been in the works for some time and will be out somewhat soon. Whether or not something else like DMC5 will be out is another question, tho Capcom would count MHW Iceborne on Steam a new title, and the base game a catalog title. Capcom also has to restructure their development to handle the new regulations Japan has made regarding gambling, as it impacts their pachinko and pachislot business. Business as usual, and in hindsight, REmake2 and DMC5 last year was Capcom reviving old IPs for new generation. Much less than what was expected, but the reception and sales of both titles speak for themselves.

Kenzo Tsujimoto’s section is up next, which is more or less a view on Capcom’s CEO’s commitment and look at the company’s history. Without much going in too deep, Capcom has six points in their philosophy, something we’ve already seen; Aim to become the best in the world, Compete with strong IPs, Stable long-term growth, Managing their IPs and companies properly to ensure the two aforementioned, enforce and encourage relationship with societies locally and globally as well as with stakeholders; and avoiding management risks with transparency. We’ve effectively covered most of these spots, but I’d like to give some spotlight on the third bit about stable long-term growth.

Capcom struggled most of the new Millennium to find their spot in the gaming market after the crash of the arcades, but their long-term growth has been better than most of their competitors. Their Operating Margins have been overall better than their main competitors’ with +66% operating income and margin being +7.9 points. While Konami may have +90% income, their margin is just below Capcom’s at +7.5 points. Contrast this to Square-Enix, who has -8% income and -3.3 points in margin. This of course could change during next fiscal year, when Final Fantasy VII Remake hits the store shelves. Neither Sega Sammy or Bandai-Namco can really compete with Capcom or Namco, as their respective numbers are -53% and +41% in Operating Income, with +1.8 and +1.1 points in margins. Effectively, Capcom has been making most of their last financial year’s success with just three titles, one of which was a catalog title. If they manage to keep both REmake2 and DMC5 selling well as catalog titles all the while rolling new titles as part of their main growth driver as per their management strategy, they should see further increases in profits and margins during 2020. Nevertheless, it seems that their most stable source of profit is still in arcade and amusement equipment with no real changes how well they’re selling.

Capcom will aim to increase profits with three-angled long-term plan. This plan consists of increasing digital sales on the global marketplace, preparing for the next generation of standards that will be rolling around during the next few years as well as focusing on eSports and aiming to popularise a new culture for content. First part is easy, overall speaking. All Capcom needs to do is release their new games via Steam alongside the usual home console market. That’s effectively what it amounts to. Capcom’s overseas games sales have increased drastically since 2015, while homeland sales have not really changed any. You could say that Capcom’s secret of being successful is to have IPs that are globally attractive. After all, Japan in itself is a very small market compared to the Americas, Europe and Australia, and the rest. China is of course a place they’d like to gain a strong foothold, but that’s going to be difficult still. Make digital the first option, and you’ll save in manufacturing costs. Capcom is also taking note of both Cloud gaming and Subscription services and are exploring ways to enter both of these. Cloud gaming, however, is still a pipe dream, while subscription services should be nothing new to them, technically speaking.

With new standards like 5G wireless, Capcom can’t help but make use of third-party outsider know-how. This is mostly for mobile market and most likely relevant only in Japan, but the underlying message does touch upon upcoming Microsoft and Sony consoles as well.

eSports was a major thing for Capcom last year, and apparently it netted some 1,096 million USD for them during 2019. That’s nothing to be scoffed at, and it is estimated 2020 eSport scene would net some 1,790 million USD. This is through the usual establishing of new leagues, analysis of trends and then promoting regional developments. As long as Capcom manages to establish a profitable and sustainable ecosystem, they should be able to maintain their practices. I’m sure this is part of the reason why Street Fighter V is the way it is, where the game is stable and easily accessible in various regions. The Marvel VS series, while superbly popular in the US, didn’t exactly have the same position in Europe, for example. Street Fighter V aimed to be very safe game and something they can build further revisions on easily, and it has been that. Certainly a success in financial terms, but not really a loved game in the series. However, in the next five years Capcom will assess if there is any more growth in eSports and whether or not it is profitable to continue promoting sales through it.

All this really amounts to Capcom’s plans to effectively follow 2019’s lead in terms of business. MHW has made them recognise that games can, and in future will have, longer sales periods than before. This is partially because digital marketplaces don’t run out of copies and are constantly available. On the long-term, if Capcom is to keep their current standards in visuals and sounds, the Hollywood look in their games, it will cost them more to research and develop. Something they are well aware. This probably means Capcom will put out only few new games per year, which most likely will be sequels or remakes, that they will bet on as their heavy hitters all the while ports and catalog sales are supporting them and making the risk of these big titles slightly smaller. Digital, however, is the thing that is being pushed further.

Interestingly enough, Capcom seems to aim to have their younger employees work on their popular IPs, meaning legacy IP in Capcom is a living thing. If there are more people like Yoshinori Ono, who want to revive a sleeping but still popular IP, in principle we could see some level of resurgence of some IPs down the line. This might be wishful thinking, but history has shown how legacy IP under younger employees can bloom like no other. Take Mega Man and Street Fighter as examples.

Rather than establishing new IPs, Capcom intents to expand new markets and find new customers. You can expect to see more remakes in the future, as games are considered to be obsolete after some time have passed. This seems to be their long-term plan; remakes and ports. At the same time, they aim to curb sales of used-games somehow as well as address piracy, especially in the Asian markets. Capcom loves to talk about their IPs, but at the same time the they’re not having new blood in their library. In the end, their aim is to expand into new territories they’ve yet to make an impact and raise global earnings. This applies to their arcade business as well, where they aim to attract new customers and enhance their lineup of titles.

Their analysis of game industry and market hasn’t changed, with general consumer and PC market overlapping somewhat and offering the most balanced place to be successful in. Mobile market may have large sums of money moving about, but the competition is extremely intense. Consumer market is 77% of all of Capcom’s net sales, followed up by mobile with 2%. PC online, like the crane catcher, makes double that at 4%. While they are in a good position to expand, Capcom currently has mostly high-risk options in their Value, Rarity, Inimitability and Organisational evaluation. Capcom doesn’t have as high competitive edge as they want to believe, as other companies possess all the same external edges as they do. Capcom being slow at making quick decisions probably have already bitten them in the ass couple of times, but the lack of direct competitors to their main selling IPs should be a concern. In Mobile market, however, Capcom is still at a complete loss. Then you have their directors competitors still rolling their IPs in the media and can easily overcome Capcom.

What is Capcom’s plan for the future then? To use their existing Intellectual Properties to make games and leverage them into further franchising. They are no intending to make new IPs at the moment, but deliver further remakes. REmake3 is the direct result of this. Long-term and steady growth seems to be their aim. Expanding their target market and find some new regions in Asia to make some more money. While all this probably will continue to continue kicking just fine, Capcom is not offering anything that could add to their existing strategies or IPs. Perhaps it could be said that Capcom intents to keep their current core customers happy while offering new generation of players the possibility to play classics in a remade fashion and in modern terms. Their plant to “make use of sleeping IPs” ultimately ended up being a remake and DMC5 with some ports. Maybe they could follow suit with some other of their sleeping IPs, like Commando and turn it into a generic Call of Duty clone or something similar. I don’t expect Capcom to expand IP library anytime soon. Now if they’d begin to remake games that would need them, like the original Street Fighter, rather than games that were already well made.

I mentioned Capcom Hollywood games, because it sounds what Hollywood blockbusters are doing; one or two big budget titles per year by using well established IPs carrying the whole studio. Smaller games are not even a thing really with Capcom anymore. Mega Man 11 seems to have been a sort of fluke, as the franchise was moved to mobile once again. All the small titles Capcom has been pushing out as of late have been ports and re-releases. Currently, it seems Capcom is not intending to launch a new IP anytime soon, but in long-term, that should be one of their priorities as well. After all, all of the IPs they like to talk about has to be established at some point, and it is necessary to have something that’s designed from the ground up to the current generation. However, the global popular culture has been marred with rehashes, remakes, adaptations and reboots for good two decades more than previously. Sadly, it must be admitted that relying on existing franchises and IPs with a built-in fanbase to revitalise business has been successful. However, as of late we’ve seen big franchises like Star Wars and Star Trek faulting during the run with lessening revenues and falling consumer interest. Capcom’s management has to work hard to avoid the same pits Hollywood studios have stumbled upon. Capcom has a history of falling on their face and success with this kind of approach, but there’s only so much they can use as existing material for remakes, unless there’s going to be complete and utter reboots.

A Stadiaster

That title isn’t even punny. Yeah I know I’m bad at making jokes and people tend to take me all seriously whenever I make one on the blog, which is why I stopped doing them long time ago (or did I?) I didn’t follow Stadia’s launch per se, but news and people going on about the whole shebang just crept through the grapevines. I couldn’t help but feel slightly sorry for people who got Stadia, but this should also teach people that corporate speech is never to be trusted. While Stadia hasn’t been a complete disaster, it’s damn close to it.

From what I’ve been told, the lag is present in almost every game to a stupidly extreme degree. Button presses are recognised whole seconds after the fact, and some games simply stutter and play slow like you’re in Nino Island Ruins in Mega Man Legends 2, just without the watery ripple effect. The instructions for Stadia recommends cutting everything off in your Internet usage while playing Stadia, including streaming music. It’s also recommended to connect it directly to the router rather than through computer or any other device’s WiFi. There are some additional helps people have found out, but it’s all really to make sure the Stadia has all the bandwidth. Not just some, but all it can have. When I called out Google’s bullshit that it’d do 60FPS 4K in a perfect manner and said nobody really has the speeds or connections to get games running in that quality, I knew people would be bewildered when their games would run terribly. Never trust corporate word, it’s meant to promote and sell, not to be truthful.

That should be few nails in the coffin for Stadia, but that’s just the game side of things. People haven’t got their codes, some have been missing their devices and Google’s own support isn’t even in the know about Stadia. Sure, Google’s a big million dollar company and not everything part of it can be made aware what sort of things the other is doing, but support should really be informed that this kind of product is coming and these are your instructions. This should show that Stadia’s launch very much a rushed thing, that Google barely had any time to put together proper documentations internally and did not prepare what was to come. I bet your ass they know well enough how badly everything would go, but hype will carry anything through. Now that they’re getting real-world test data from existing users, they can start tweaking stuff properly. While not standard, it isn’t unusual for a company to use early adopters as testbeds and beta testers. The “real” launch of Stadia will probably be sometime next year after they’ve further tweaked and fixed stuff, and when that supposed Freemium model of some sort gets launched.

Of course, when you fail at what you intended to do, you can always throw in identity politics and claim some brownie points through that. In an interview with CNN Business, Google VP and head of Stadia Phil Harrison claimed that Stadia is targeting women with Stadia controller. Here’s the archive link for it. If I’m being honest, this is load of bullshit. Stadia controller looks like a generic Chinese knock-off controller you can sometimes see being sold on eBay or other places, it looks like a blander version of the Xbox 360 controller. Controllers in multiple colours has been a thing since at least Commode 64 days, where you could find joysticks and other devices in different colours. Most often something neutral or targeting the pre-existing user group was offered, because those sell. The design director Isabelle Olsson claims that the wasabi colour they went with has universal appeal. There are vast amounts of colours that have universal appeal. Anything pale that’s close to white of course would have universal appeal, as it doesn’t make a strong statement for a direction or another. It’s like vanilla; it goes well with everything and nobody really fights against the taste. CNN Business claiming that it’s slightly easier for small hands to grip than similar products put out by rivals is nothing short of bullshit. All modern controllers that use the handle-grip design have to be designed to fit standard hand dimensions. The overall shape has to be different due to the patents and copyrights, but in recent memory there is only one controller that was intentionally designed to fit larger dimensions than the global standard, Xbox’s The Duke. Claiming that they’re targeting women with these design choices is laughable. It’s nice to say this, when in reality your product is aiming to become a success with general audiences and not just part of it.

Of course, Harrison also mentioned how they don’t have the baggage of pre-existing gamer culture, a thing that’s absolutely false. Whatever they actually mean by gamer culture is well up to debate (long-time readers know that “gamer culture” and its history stems well back to 1800’s and back at least), but you can’t escape the market pressure and demands if you intend to enter a market and succeed there. Stadia may not have history attached to it, but that’s just normal. No new product has a history attached to it, but at the same time, all the pre-existing games that were attached to Stadia bring their history and culture to the platform. Of course, this means Stadia can be the best of the best for a time being, before its core consumer base sets in, but at right now Stadia has more infamy to it than any other platform. Harrison and the rest of the staff that decided on the whole women-centric and sex-neutral marketing have undermined their supposed attempt by bringing in old games that are very well marred in this culture they don’t want to carry. It is extremely haughty to claim you’re targeting an audience that isn’t being catered to, when the world is full of options and readily-catering products. That’s PR for you, throwing out ideas of what you’re doing for the sake of making that sliver more sales. I guess that’s the angle Google has to take with Stadia on the outside to make them stand out from the competition, when their model of service isn’t meeting up with the wants and demands of the audience, targeted or not.

A toad left in the sun dries and dies

You can bet your ass that Microsoft is not all that happy with the reception the upcoming reboot of Battletoads has gotten. Not only Microsoft’s official trailer on Youtube has gained 17 392 Dislikes against 7 888 likes, but also turns out people are actively avoiding the game whenever it is available for testing. From the word I’ve got, Microsoft did a special showcase in their new store in London for the game and about everyone who visited the store during that period actively avoided the game. That shouldn’t be surprising anyone who has looked how Battletoads has fared during developer and press events, where the game has been a flop, bombing in raising any notable interest.

This disinterest in Battletoads continued during the X02019 event in London earlier this week, where you could go and test the game itself. What better way to showcase how well the game plays and disinfect it from its visual disease by putting the best effort and light upon it. Well, history tends to rhyme, and the game ended up being the most avoided title on the show floor.

 

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Even Rare’s own Twitter feed regarding the game is rather sad.

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That is very, very disinterested ratio and amount of replies, likes and retweets. It should be very apparent to everyone that the consumers don’t want this game. The game has been delayed three times already and after the initial reveal, Rare’s name has been attached to it in a very visible way. Remember Rare, that one company you used to love because of Banjo Kazooie and Battletoads back in the day? Dlala Studios, the main developer of the game (Rare’s name is just tagged on because they originate the IP) is going to take a lot of heat when the game releases early 2020. The word on the street is that Microsoft wants to dump the game on Gamepass during some other larger release, which makes sense. A “small” digital release overshadowed by some major title often gets pity reviews. You can wholly expect the reviews of the game mention the backlash, call it unfair for the game to gain such negative reception just based on the visuals when it has (supposedly) pretty decent game play. Some will praise it to heavens high, some will push a political agenda, you know the drill how the game press already works. There are already slew of people saying that the game must have a fair shake and people must and should play it before judging the game.

Of course, that’s not how it works with consumers. The customer is your god.

Most of the backlash is very much based on failed consumer expectations. As I mentioned in my previous post about Battletoads, the franchise already had its visual tone established with Killer Instinct. Sure, different developers, different styles, different intentions. You could never expect this game to have 1:1 visual look with the KI iteration, but that was largely what people expected it to be. I don’t want to do a joke about the developers subverting expectations, because that’s not what they did. The design team simply misunderstood what was the core of Battletoad’s visual flavour, and rather than making it a mimicry of Teenage Mutant Ninja Turtles with British flavour, they went with Ren & Stimpy instead. The consumers have made their voice already heard, this visual style is not wanted. You can argue about artistic integrity and intention as much as you want, but at the end of the day, making and selling games is a service job, and it their job to cater to wants of the customer. If you do something unwanted, you can expect diminished returns. It’s like a Pyrrhic victory; congratulations, you did what you wanted at the cost of everything else.

There could have been a chance for Battletoads to be Microsoft’s Devil May Cry, if they had wanted it to be. Three characters with three different kinds of approach to melee combat would’ve easily transitioned the gameplay into the third dimension, but relegating the game to be a 2D-beltscroller should give a hint what they wanted; a nostalgia cashgrab rather than a modern revival. The developer’s may have intended this game to be something special on its own rights, but at the end of the day, Battletoads could be a lot more than whatever we ended up with. Battletoads had a silver bullet how to make it a success among the consumers, but also how to take an oldy time classic and realise it in 3D.

Why 3D? Because there is s stigma of 2D games like this being something lesser than their big, full 3D environment games. Most 2D games are relegated as digital-only downloads. Maybe it’s because they tend to be shorter and smaller titles overall, or that the indie scene absolutely loves to do terrible pixel graphics games. It’s not just pixel graphics either, but also with titles like Mega Man 11, which was structured like a traditional Mega Man game. Completely perfect in every aspect, but somehow the overall feeling from the consumers, and even from some developers, was that this is archaic, somehow left behind and not up to date. Games overall sure have grown in size, but at the same time, most people don’t have the time to spend several tens or hundreds of hours playing one game that takes forever to get in and out. Games like Devil May Cry, however, have been a perfect blend of quick burst of action you can do per stage you can have and leave, then return to it a bit later for another burst session. Something like Yakuza or Red Dead Redemption are not like this, they require you sit on your ass properly and give them time.

Battletoads will see a bit more positive reception on its release. The press will see to it. The reviews will claim them to be more objective, which should be almost an antithesis for them. They will say the game doesn’t look all that bad, instead it looks pretty good, if not great, with terrific animation and solid game play. There will be amends to its faults, of course. However, considering game reviewers that live in the bogs of video and computer game media and press write for the developers and publishers rather than to their intended consumer audience, that’s just part of the game. You can’t get developers and publishers of this caliber mad at you, you’d lose all the perks.

Battletoads is the probably the most prominent of example of customers rejecting a title based on its visual style. This wouldn’t happen to a new IP. With Battletoads, consumers know what what it should look like, they feel its energy and enjoy the visual flavour the series and its appearances have offered to the audiences. It should’ve been easy to hit the sweet spot between a modern style and classical look. If nothing else comes from this game, at least there’s a lesson to be learned how not to ignore consumer expectations.

Xbox One is struggling in Japan

…and nobody is surprised. For what is often dubbed as one of the Big Three, Microsoft struggles in Japan. That is their lot in life as a company that doesn’t seem to be able to make any proper products for the market, and the developers don’t seem to be all that interested to develop for the platform. The occasional Xbox exclusive game Japanese have made often also stay in Japan or are so generic that nobody really even recognises them. The 360 may have been a shooting game heaven with all the Cave shooters, but do you really want to be recognised for the same thing that the PC-Engine is? Perhaps you do, but being one-trick pony only really works in arcades, and arcades are dead.

Much like how extremely anime games don’t sell in Japan, games with extremely Western aesthetics and mechanics don’t sell in Japan. The example of GTA being called Western kusoge always tickles my funnybone. Halo wasn’t exactly a killer title either. There are multiple reasons in play, and while the unappealing games are a major element, cultural differences are the second major factor. The two directly ties with each other. Just like the stereotype of Americans preferring the Xbox, so do the Japanese prefer their nation’s two machines.

While Microsoft will say they don’t really care about the loss of sales, that they are concentrating more on services than console products, the fact that Xbox One sold about 102 931 units by the end of 2018 has to sting. The same chart shows that 3DS had sold 24 304 964 units, PlayStation 4 hitting a healthy 7 552 090 units, followed by Switch at 6 889 546 units. Hell, the PS Vita sold 5 824 354 units, which really subs the salt in even further. If you calculate what percentage Microsoft has from the market using those figures, you’d end up with something around than 0.27%. Then consider that Japanese sales are 0.3% out of all global Xbox one sales from the second quarter of 2019, the picture painted is very, very grim.

Microsoft certainly is making a buck with its subscription models, but out of all major regions, Japan still eludes them. They can’t really make a buck on services that people don’t have a platform for. Perhaps Windows and app sales for it evens it out, but can’t really seem to find any proper data on that.

Outside not being able to bring in domestic developers to cater to Japanese tastes, it has also been suggested that the sheer size of the machine and its visuals has been a factor. Japanese homes are smaller than either in the US or Europe, and seemingly prefer handheld gaming over bulky home consoles. The Family Computer AKA Famicom was designed to be a small device that wouldn’t take much room, something that most if not all Nintendo’s home consoles tried to go for. The original Xbox is about as big as two stacked N64’s. I should know, I have them next to my original Xbox due to lack of space. Nintendo making Switch a hybrid was probably designed around Japanese home culture rather than for the overseas audience, but that hasn’t really deterred its success. The constant ports and no original content is hurting it, it’s becoming more and more a Vita 2.0 in a bad way.

Anyway, Microsoft did try to alleviate the size problem with the original Xbox a bit by designing and releasing the S Controller, smaller version of the standard Duke controller, because not everyone has huge hands like most American seem to have. The difference in body structure and ergonomics is an important part when designing for a market, and while you can find a golden middle way when designing e.g. a controller for all ages, Microsoft largely ignored people with naturally smaller hands with the Duke. Too often designers try out things themselves or in a small group rather than seeking larger pool of people to test their designs with, often due to lack of time and resources. Nevertheless, Microsoft already had two decades worth of design info, and kinda ignored it. Good for the people with large hands, not so much for the rest. All the successive controller from Microsoft have been much better in this regard, if not more generic in design. That said, Microsoft’s design for Xbox brand is not the most attractive thing in Japanese eyes, and often comes out garish. It’s not just about the bulk, but something how the shapes aren’t all that attractive and seem… maybe even a bit amateurish? Xbox just don’t fit well into the design of Japanese homes and appliances. The same can’t be said of American and European homes in general.

Supposedly, Microsoft never released their consoles are the right time, especially missing their release window with the first one, but outside some claims I’ve never seen proper arguments for this, just claims. What I do know is that Microsoft tried to push the 360 at full force for the Japanese. They had Japanese section put up, organising all sorts of events with race queens showcasing the console and as Japanese games as they could muster at the time, having deals with local marketing firms to work their brand and games in the local culture and economy and of course none of this worked as intended. Microsoft always came at the third place in a three horse race.

Project Scarlet, whatever it will end up being, will not success in Japan. Not unless it is small, sleek and will have similar games to Sony’s and Nintendo’s machines. Even then, it has to offer something special, something specific and something unique for that particular market. Microsoft’s brand isn’t at a strong point in Japanese market, and probably will never be despite the good (marketing) intentions Phil Spencer has. At this point I shouldn’t call it a struggle, it’s more like Xbox is kept languishing, wasting away in the Japanese market, drooping as Microsoft tries to keep hanging on their small hold in the market. At these sales, most other companies would probably have already left.