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True, I suppose that once they have recouped their fixed costs and development/production costs, this would be the case. So HB a good method for generating dem

by jljljl 13y ago

True, I suppose that once they have recouped their fixed costs and development/production costs, this would be the case. So HB a good method for generating demand/revenue once you've crossed that point, but not so before.

VLM 13y ago
Regardless of if you've passed your fixed cost point or not, once you've exhausted the market for people willing to pay $25 for, say, Little Inferno, then you have absolutely nothing to lose and everything to gain by clearing the market again, this time at a lower price, until you hit the humble bundle and people who wouldn't send you $10 are sending you $5. As an overall business or project you may or may not end up with a net profit when its all done, but your figures will only improve if the marginal cost of sale is zilch and you can clear the market yet again at a lower price. Someday someone will invent a working microtransaction system (LOL people have been saying that forever) and all this HB stuff will hit it again for ten cents each (Hey, ten cents times ten million sales isn't all that bad for a days work, and sales always increase as price drops, so I could see it...)
- jljljl 13y ago
  Sure, but this is true for any product, and has nothing to do with it being mathematically impossible to go bankrupt on Humble Bundle. If you haven't covered your fixed/dev costs, and if you misjudge the market quantity demanded at each price points, you could easily drive yourself to bankruptcy by running a Humble Bundle. The only way Humble Bundle makes it "mathematically impossible" to go bankrupt (which was the claim I was disputing) is if they present you with a perfect demand schedule and then somehow align the price each person pays to that demand schedule, without letting anyone pay above or below their reservation price. Whoever figures this out is probably not going to just use it for independent pay what you want gaming sales.

by jljljl 13y ago

VLM 13y ago

Regardless of if you've passed your fixed cost point or not, once you've exhausted the market for people willing to pay $25 for, say, Little Inferno, then you have absolutely nothing to lose and everything to gain by clearing the market again, this time at a lower price, until you hit the humble bundle and people who wouldn't send you $10 are sending you $5. As an overall business or project you may or may not end up with a net profit when its all done, but your figures will only improve if the marginal cost of sale is zilch and you can clear the market yet again at a lower price. Someday someone will invent a working microtransaction system (LOL people have been saying that forever) and all this HB stuff will hit it again for ten cents each (Hey, ten cents times ten million sales isn't all that bad for a days work, and sales always increase as price drops, so I could see it...)

jljljl 13y ago
Sure, but this is true for any product, and has nothing to do with it being mathematically impossible to go bankrupt on Humble Bundle. If you haven't covered your fixed/dev costs, and if you misjudge the market quantity demanded at each price points, you could easily drive yourself to bankruptcy by running a Humble Bundle. The only way Humble Bundle makes it "mathematically impossible" to go bankrupt (which was the claim I was disputing) is if they present you with a perfect demand schedule and then somehow align the price each person pays to that demand schedule, without letting anyone pay above or below their reservation price. Whoever figures this out is probably not going to just use it for independent pay what you want gaming sales.