I asked Michael Trup, CEO of indie distributor http://www.interactiveideas.com
these questions:
How many sales would you anticipate of a product such as this?
What percentage could we, the producers, expect to get from total sales revenue? In that, I mean that we would probably act as both publisher and developer for the demo and subsequent product.
His response:
The questions are much easier to answer in reverse order. At £9.99 retail, the ex-vat price is £8.50. Major retailers (Game, PC World) will want a minimum 50% discount but probably neareer 55% = £3.85 and we as a distributor would buy at approx. 65% discount = £2.97 These prices are for PC CD-ROM. For DVD films, retail etc. take somewhat smaller margins but as this is to be used pro-actively on a computer rather than played on a DVD player it will be treated as software.
Now, I am sure I am being thick (it wouldn't be the first time) but I don't really understand what it is you are proposing to make. Is it the equivalent to a music mixing game/software where you are actually mixing archive film footage in effect making a music video? That sounds like quite a good idea. However if it is something more complicated then I am not sure it will have large scale appeal. As you know the interactive field is littered with the bodies of companies who had new ideas which were a little too arthouse or niche.
Happy to meet a chew the fat if you think I can be of any more help.
Posted by .M. at February 27, 2004 03:30 PM