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How you charge a promo game for a corp???

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Tue, 10/26/2010 - 23:30
Pastor_Mora
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I've been contacted by an advertising agency to design a promotional game for a laaarge corporation. I had to assemble a working prototype in 2 weeks! The result was a light euro management game themed around the corporation's bussiness.

I've read a ton of post about royalties standards and upfront payments for game publishers but I cannot recall anything about this. The game will not be sold, but only distributed among employees, bussiness partners and some clients. I sense we could be talking about 1000 deluxe copies plus 4000 regular ones. Plus, I'm not doing the whole part, just the game theme and mechanics. The agency will deal with the art and packaging desing.

So, THE QUESTION, how do you charge that?

I need a good idea in no time. Deadline could be anytime now!

Thanks. Keep thinking!

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Wed, 10/27/2010 - 01:35
#1
Relexx
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Time = money, so how much is

Time = money, so how much is your time worth, and how much time are you expecting to spend on it.

And congrats on the approach.

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Wed, 10/27/2010 - 09:42
#2
Dralius
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I'm surprised you didn't

I'm surprised you didn't agree to anything upfront.

Since there will be no royalty, charge them an hourly rate with a contingency that you will receive a % for any games sold. Also ask for a case of games for your own portfolio. The % will cover you in case someone gets the idea to make a product out of it and having a published game to showoff is just good for business.

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Wed, 10/27/2010 - 15:12
#3
bluepantherllc
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What to ask for

If you're dealing with a large company, then you should ask for at 50% of the money up-front. This is because most of those large purchasing departments think 90-120 days is a good amount of time before they actually pay you.

Value your design time appropriately - as well.

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Thu, 10/28/2010 - 00:03
#4
Pastor_Mora
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I see where you are going, thanks

I see how this can sound odd, but here, many times we do bussiness without money until the Fat Lady comes in and settles all accounts (we call that the "chain of happiness").

The thing is, the "idea" of an advertising campaign may not take too long for a creative person. It could even spawn as a second of "enlightenment" (is this english?). So people in advertising here tell me that the price of an idea is proportional with how good the idea is, not how much thinking it took you. Still, I see a boardgame could be a different case regarding that.

Anyways, I'll do my math and add a x3, x5 or x10 for what it takes...

Good pointers on % in further print runs and personal copies. Thanks guys for your quick insight,

Keep thinking!

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Thu, 10/28/2010 - 07:46
#5
Dralius
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Pastor_Mora wrote:I see how

Pastor_Mora wrote:
I see how this can sound odd, but here, many times we do bussiness without money until the Fat Lady comes in and settles all accounts (we call that the "chain of happiness").

I do find it odd because more often than not without a written agreement you end up doing the work and then not getting paid because someone changes their mind. Is this not the case where you are from?

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Wed, 11/24/2010 - 17:25
#6
tridagam
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Perceived value of an intellectual concept to another

I was a General Contractor for 20 years before I was able to realize my lifelong dream to try to become a board game publisher. And I tend to relate all business activities with that past. So this is what I think. My thoughts are based on my passed business practices, leaving out the hammer and nail analogies.

1. Never do anything without a paper trail. most people are honest but the few that are not will ride you hard and put you away wet. Soiling your reputation and desire to continue on, with what you love to do. This also erodes at yourself confidence making you an easy target for the next jerk.
You can go too far with this. I lost out on several houses at first because my attorney made the contracts to long...simple is better.

2. If you were asked to do this- They want you. So you are worth something. If you flipped burgers before, you may have been worth $10.00 per hour. Time = money means your time is a commodity. You traded your time for money. They are saying (The advertisers)that your idea is a commodity. So time is out the door(still to be considered as to whether the endeavor is worth pursuing) And your idea is worth a % of the overall project cost (what is their overall budget for this project? / how do you fit into this puzzle). this means P=Pr+Inp (P=project value, Pr=production cost & Inp =intellectual property cost)

3. It's all about control- Try to keep hold of much of the game as you can. Copyright / Trademarks. Keep the right to market the game in the future. Let's say 5 years down the road. If you take hour $ for the work you do they will own it in total. Unless they pay you as a vendor and not an employee. If they pay as a vendor it may be up in the air as to ownership unless you go into it with a contract that trumps their exclusive rights.

4. Don't be afraid to walk away-I once designed and built this house. Knowing it was going to make it in some major publications. And it did...I lost money. Nobody remembers seeing it in the industry magazines. They remember I lost big time. I never got one job off the project. I was dazzled by sparkles. I was fearful to walk away from a vision of grandeur. And in the end, the bottom line is what people respected.

I by games from people I respect.

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