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  Social Killer: How DeNA Leads Japan's Market
by Christian Nutt [Business/Marketing, Interview, Social/Online]
2 comments Share on Twitter Share on Facebook RSS
 
 
October 28, 2011 Article Start Previous Page 2 of 3 Next
 

And it's not just levels for the users -- each one has their own play style in how much or how often they play. So catering to a wide audience must be a challenge.

KK: It definitely is. I don't want to portray the social game audience in terms of those who engage in monetary transactions and those who don't, but for example, if you tune a game's balance for the paying the users, the non-paying ones will never stand a chance. I think we have the expertise you need to make a game that appeals to both paid and non-paid users, but if you don't have any experience with that, I don't think you could do it.



For example, with PVP games like Ninja Royale, a paying user will have an advantage over a non-paying user. How do you make it fair?

KK: That lies at the root of the whole game. Which random users which carry treasure show up on the listing that you receive really does lie at the core of it, so I can't give you real details about it.

It's a matchmaking problem.

KK: It is, and it's one we have to treat very carefully.

In free-to-play games, there are a lot of different philosophies about whether items should give direct advantages or indirect advantages, from developers in the West.

KK: We're certainly different from Zynga in that respect. Both Kaito and Ninja Royale are games where you're gathering treasure, but if users could get this treasure via paid items, then the game balance would fall apart. There wouldn't be any meaning to it; you'd be ruining the core of the game.

What we sell instead is the opportunity to make treasure gathering easier. For example, have you played mahjong? This may work with poker, too. If you're one card away from a royal flush, you only get one chance to draw that card. Well, what if you paid 100 yen [$1.31] and get three chances instead? (laughs) Which do you think is more interesting to the user: very difficult odds, or a chance at easier odds?


Ninja Royale

The chance is what makes it interesting.

KK: It is. That in itself is interesting. Paying out has to be interesting in itself, I think. We're selling chances, and it results in some interesting reactions from the users. For example, if you go out to buy toilet paper, there's nothing really fun about that. You pay money, and you get toilet paper. There's no volatility, so there's no feeling of excitement.

But let's say -- this isn't quite volatility -- when you go to the Apple Store and buy a MacBook, that's more exciting. Giving users the opportunity to spend money and get something really exciting as a result is really neat, I think. The act of spending money, in itself, becomes appealing and fun -- like "Okay, here goes!" So it's a similar sentiment when you're near that royal flush; you're excited. That's the important thing.

It's fun deciding what kind of MacBook you want.

KK: There is that, yes. There are several ways for it to be fun for people to spend money. There's volatility; the chance of something really fun or something not so fun, as well as that "Here goes!" feeling we talked about earlier. There's also the fun of buying a present for someone and imagining how he'll respond, if he'll wonder who it's from. You have to include those sorts of features.

Some of the examples are a bit close to gambling, though.

KK: Well, I don't think gambling is a bad thing, but the difference from gambling is that with gambling, you potentially have money coming back at you. Pachinko wouldn't be such a huge thing if money wasn't coming back to players.

It's not a bad thing, but don't you think it's a little dangerous?

KK: What do you mean?

You could lose a lot of money, or get too involved in it.

KK: The thing that I worry about the most is whether or not the user is getting excitement, or entertainment, that's commensurate with the money he's using. For example, having three chances at a royal flush for 100 yen; that's not a terrible way of balancing it. You approach it from the same philosophy as if you're buying a can of juice, except it has the potential to bring even more excitement.

If you tried to find a way to get a similar feeling of excitement for 100 yen with some other form of entertainment, that's going to be tough. Social games offer just a certain amount of stress and release to users.

Beating the final boss of Final Fantasy XIII would certainly produce a lot more excitement, but you have 60 hours of gameplay to get through for that, which also contributes to that big release. I think that users were looking for a lighter, more accessible form of entertainment, and providing that sort of entertainment, or sense of achievement, for the price of a can of juice is something I think is very neat.

 
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Comments

E McNeill
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"What we sell instead is the opportunity to make treasure gathering easier. For example, have you played mahjong? This may work with poker, too. If you're one card away from a royal flush, you only get one chance to draw that card. Well, what if you paid 100 yen [$1.31] and get three chances instead? (laughs) Which do you think is more interesting to the user: very difficult odds, or a chance at easier odds?

...

That in itself is interesting. Paying out has to be interesting in itself, I think. We're selling chances, and it results in some interesting reactions from the users."



This reminds me of a blog post from David Sirlin some time ago:



"Some company makes literally hundreds of millions of dollars off this: the treasure box. The Chinese government was upset at the effect this was having on people, which also blew my mind. So a country with flagrant human rights violations found this GAME MECHANIC so objectionable that they stepped in? Anyway, here's what it is. You pay money (or virtual money? what's the difference) to open your 'treasure box.' When you do, a slot machine thing spins, showing all the very rare and valuable virtual items you might get. Then it settles on a not so valuable virtual item, and you get that one (well you know, most of the time. I'm not implying it's cheating you, other than entire concept itself being a cheat). The Evil Genius part is that they also give an award to the top X people who open the most treasure chests that day(!!!). Those people automatically win the most valuable prizes.



This egregious, unethical practice is the kind of thing he should have prevented as extremely dangerous. If you are 'playing to win' in business, yeah you'd do that. But doing so is damaging to the lives of our own customers."

Robert Carter
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How do you figure this is unethical? The odds of winning items is known. The fact that you might not get what you want is know. How much the random prize is is known. The player can make an informed decision, and that decision may very well be not to buy the box or not to play the game at all. But I see nothing unethical with selling a mystery box.



Do you think Wizards of the Coast is unethical for selling booster packs of Magic cards? They are all random, same as your mystery item. Wizards does not sell singles. Period. All singles are second market sales, much like you can do with these games (TF2 hats, for example, are bought and sold on eBay). So it is exactly the same thing.



If the company lies about odds, or lies about what you can get in the box, or misleads in some other way, then that is unethical. But offering the player the full information of what they are buying, including the odds of what the treasure box may have, is not unethical at all. Neither are incentives to reward players who spend the most and encouraging them to continue. It is not damaging to the lives of the customers AT ALL. They have the choice not to buy, the choice not to play, or the choice to play a competitors game. Thats how the free market works.



Players decide what games are successful. Look at Eve. Look at netflix. When customers feel betrayed, they let the company know. Nothing this company is doing is unethical.


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