Japanese Game Publishers Show Mixed Results

Thanks to GameScience for its round-up of financial results for Japanese videogame publishers for fiscal Q1 2004. The piece muses on "disappointing figures for Konami and Sega with a lack of big titles for the period, and with two cancelled titles, Namco also suffered heavy losses. Sony's game division also suffered, while Capcom and Square-Enix had a comparatively good period." The article also notes Nintendo's "large-scale gains", pointing out: "the Gameboy Advance SP continues to enjoy good sales while software such as 'Mario vs Donkey Kong', 'Kirby' and 'Famicom Mini Series 2' was a great success [both series together have sold over 2.7 million copies]", whereas "the bulk of the losses" in Sony's game division can "be attributed to lower hardware sales than usual", as the PlayStation 2 nears the end of its lifecycle.

Dissapointing sales for Sega?

[xenocide2]

Just looking at the tables for sega, they seem to be doing okay, especially in what's widely held as a downturn. They doubled earnings from a year ago, and their predictions call for 8 billion, somewhere between 4 and 8 times more than they're making now. Of course, predictions tend to be optimistic, but even if its only 4 billion, they've more than doubled earnings.

I'd be more worried about Sammy, who if I'm reading this chart correctly, earned 3 billion yen on 27 billion billion yen!

Re:Dissapointing sales for Sega?

[foidulus]

The quarter you are referring to was 1st quarter 2003, their revenue and profit both soared if you look at it year over year.
And honestly, 3 billion yen on 27 billion revenue, while not great, isn't exactly bad.

Re:Possibly.

[Acidic_Diarrhea]

Well, for the end user - original games are an exciting premise but for anyone advising game developers, sequels sell. Looking at a list of the 10 best selling console games from 2003 [ here [pcvsconsole.com]]:

1. PS2 - Madden NFL 2004 (Electronics Arts)
2. GBA - Pokemon Ruby (Nintendo)
3. GBA - Pokemon Sapphire (Nintendo)
4. PS2 - Need for Speed Underground (Electronics Arts)
5. NGC - The Legend of Zelda: The Wind Waker (Nintendo)
6. PS2 - Grand Theft Auto: Vice City (Rockstar)
7. NGC - Mario Kart: Double Dash!! (Nintendo)
8

Re:Possibly.

[PainKilleR-CE]

These are sales figures from North America. Looking at that list, the only game there that was not an established game franchise is the Matrix game - and that was already an established movie franchise. Simply put, companies that want to make money need to exploit their established characters. The video game industry is still relatively young and perhaps after more maturing, originality will sell games. For now, companies should bet on sequels selling.

Going through the list, only 3 of the titles (Need for

Re:Possibly.

[bigman2003]

When you say that Madden's competition is getting worse...are you referring to games like NFL 2K5?

Gamerankings.com scores NFL 2K5 at 91.7 (got an 89 last year) and Madden at 93.4. Take out Gamespy's skewing of the scores, and they would be dead even.

On the other hand, there are FEWER games competing- but they are not getting worse. This year there is no FEVER, and some other game I can't remember. But, there is NFL Street, also from EA, but a different game.

Re:Possibly.

[PainKilleR-CE]

When you say that Madden's competition is getting worse...are you referring to games like NFL 2K5?

No, I would be referring to the 2004 editions of all of the games, since Madden 2005 was just released. Incidentally, in 2003 Madden, Sega's title, and Microsoft's title were given equal scores by a large number of reviewers. In 2004, though, Madden scored significantly better than either. This year, Sega's title has apparently gotten significantly better, but Sony and Microsoft have dropped out completely to

Re:Possibly.

[prockcore]

What I find interesting about this list is that there is only one ps2 exclusive game on there. People would be better off buying a gamecube. That way they can play 7 out of the top 10, and many of those games would have better graphics.

Re:Possibly.

[KAMiKAZOW]

You mean GTA? That's not even exclusive any more.

Re:Possibly.

[Taulin]

Yes, I agree that sequels will make money, but only for a limited time. This is the point I am trying to make as to why these companies are seeing dwindling sales.

All those you listed are sequels, and people wonder why sales in video games are 'lacking' or becoming less.

japanese games

[mono_indy]

i know this is going to sound a bit odd, but do you think sega would be doing better if they created another console? i love my dreamcast and know that there are so many people out there doing multiple things with it that sega would be sure to profit. also, even if they just release a few, couldn't they make money? kind of like a special edition console that can kill the big three limited to some small number that will cover costs and turn a profit. in a fantasy world, that would be the ultimate.

Re:japanese games

[foidulus]

It would be a tough sell to investors, and Sega probably doesn't have the cash on hand to risk it on another console deal. Manufacturing those things isn't exactly cheap, and if it would flop, investors are going to flee from Sega like crazy.
I can't say they will never make another console, but there would have to be a stron financial incentive for them to do so, and with Nintendo, Sony, and Microsoft already prepping their next gen consoles for release, there is no way that Sega could get in on time, and

Re:japanese games

[mono_indy]

you make some very good points. but, if sega decided to release a limited release console that would be guaranteed to sell every one with limited release games (and also backward comliant with dreamcast games) that could be a little different.

then again, i have been pining for sega to get back into the console business.

Re:japanese games

[PainKilleR-CE]

there is no way that Sega could get in on time, and judging from the dreamcast, if you don't get in early, you already have the deck stacked against you.

Ummm... the Dreamcast was a current generation console, it was just about a year earlier than the PS2.

The only ways in which the deck was stacked against them were the failures of their consoles between the Genesis and Dreamcast, the ad blitz from Sony pushing a console no one would be able to buy for over a year, and the fact that the PS2 had backwards

Games Are Deep

[superpulpsicle]

I know if an RPG takes up 200hrs. The last thing I am going to do is squeeze in 2 RPGs and cram in 400hrs. Games nowadays, while not the most innovative, are deep as hell. You spend all your time unlocking this and that.

Which also brings up another point.... why do I want to buy all these games just to unlock stuff day after day. Where's that FUN FACTOR.

Re:Games Are Deep

[bigman2003]

I'm not sure if you are a FAN of me-sucky-long-time RPGs, or if you are against them...but that's not the point. (The point is that this gives me an opportunity to spout my own opinion...)

I hear a lot of the "oh, RPGs don't sell as well, because they are so good, and so deep, that you only need to buy one or two a year."

And of course, usually this is said while giving a negative reference to sports/FPS games. Because we all know that RPGs are like the be-all and end-all of the gaming world.

Well I beg t

Could PC sales have analogy to this?

[Neo's Nemesis]

PC gamers are waiting with hands on all their moolah to purchase all the gold that comes out when HL2, Halo2, Stalker, etc are released. This might actually put the buyers of other consoles at confusion, since they might find they should also stay back for some time. Also, as handhelds are putting in more of gaming, people are choosing mainly between a mobile, a PS2, or PC.

Nintendo don't cut the Advance titles!!!!

[FriedTurkey]

If Nintendo is smart they will continue the line of games like the excellent "Mario vs Donkey Kong". The original game boy had a lifespan of 8-10 years. The Advance series is getting cut off in 4-5 good years for the DS. The DS is gimmicky and the graphics upgrade isn't work purchasing for the use of a stylus.

Nintendo feels it needs to go after an adult market like the PSP. What they need to do is develop more adult oriented games like Advance Wars and people will still buy a SP. As an adult I like

Re:Nintendo don't cut the Advance titles!!!!

[Benedick]

If you'll read the articles from Nintendo, the Nintendo DS is not a replacement for the GBA. Heck, it doesn't even have "Gameboy" in the title, just "DS." Nintendo knows the GBA is the goose that laid the golden egg and they have no intention of killing it off.

The DS and the GBA are targeted at different markets with the GBA staying with the traditional younger player and the DS aimed more at an older player. While they don't say so right out, I think Nintendo views the DS as a bit of a gamble. Yeah, t