A Winner is You!: GW Fineco$t

Sometimes, pictures are worth a thousand words.  So, to save myself all that typing, please see exhibit A:

Finecast plastic material + sunlight = lulz to the max

I'm really, really, REALLY reconsidering playing GW games. Factoring in concerns about a game going too long and my models literally melting due to a high room temperature (time to donate an extra AC to the LGS) with all the other new costs tossed on to the playerbase by GW, this just sucks.

I really wish I could say "Well, its janky the customer got stuck with the R&D cost of Finecast, but they do hold detail better than metal and the new material's easier to work with", but I can't.  This is a problematic material, covered in flash, a higher percentage of miscasts than metal (from samples I've seen), at a 20% cost reduction using a price-stable material (source: GW investor relations page) to GW, all with a 5-25% price increase.

On a game you just increased the size of 33%.

Oh, and no more previews of upcoming material.  Ever.

Continuing coverage Monday of non-GW/PP game systems (Love PP, but there's ample Warmahordes starter info out there).  Normally I end this with a cheeky reference my blog's name, but um... Kirby/Wells might, in fact, want to consider quitting their day jobs.  For realz.

GW: Globalization and Wargaming (hey, that could an acroynym...)

First off: I'm back, sort-of.  Work's been insanely crunched and I've been dealing with some health issues (tore something in my arm playing bass at a show; nothing says "Rock'n'roll" like your arm going numb in the middle of a song).

That said: There's been some interesting developments in the wargaming world since my last post, the juicest of which have come from Games Workshop.  Here's a quick summary:

- Games Workshop asks online retailers in the EU to stop shipping to non-EU customers.

- Games Workshop announces their transition from metal to resin (and a subsequent price increase).

- Games Workshop announces annual price increase.

- Games Workshop allegedly is only going to announcements of new models one weel in advance (not clear if this is one-week in advance of pre-orders or product release).

(all rumors from Dakkadakka.com)

It'd be really easy to go a rant about how terrible GW is etc etc etc.  As someone who's only marginally invested in their games, its hard to get emotional to the point of irrationality.   For me, looking at these new prices and the price trends, the "fun-to-dollar" ratio is such that I'm going to stop buying new models.  That said, this isn't an article about that.

The first bit of information is what really interests me, because I think its quickly going to become a "teachable moment" to other waragaming companies with regard to globalization/non-local markets.

Like a lot of companie, GW is still learning how to do business in a "globalized" world.  They've certainly taken advantage of many of globalization's perks: easy access to low wage labor (they print products in China), low tariffs, and access to a wide number of markets.   Suffice to say: the above have all been "pluses" to GW.

Woo Hoo!

However, much like many other companies, GW is getting stung by globalization as well.  GW-the-manufacturer has to contend with other companies copying their designs and recasting using lower cost (i.e. - lower Asian) labor sans R&D overhead.  Largely, this hasn't been a big issue.  GW-the-retailer has to contend competition via the internet, where consumers have access to markets where prices are lower than they are locally (due to taxes, quicker access to exchange-rate differences, lack of store front overhead, or a combination of the above).  This, clearly, is hurting GWs retail operations in some locales (Australia/New Zealand notably).

D'oh

Which brings us to Monday's announcement.  Unsurprisingly, the reaction from many AU GW consumers has been negative (they're being asked to absorb a ~60% increase in price due to GWs price structure).  To me, this was a poor PR decision for a myriad of reasons:

- Consumers don't generally like price increases on the magnitude of >50%.  Add to this the state of the global economy and GWs good being luxury items; not a great place to be.

- GW feels very comfortable adjusting prices every 6 months to offset their own costs.  They've been very resistent to readjusting exchange rates, particularly when it doesn't favor them (e.g. - in this instance).  That's a morally bankrupt position to take and consumers are going to have a strong negative reaction to their brand.

- Compounding the above is intellectually bankrupt position that GW should be allowed to reap all the benefits of globalization but its consumers shouldn't.

I don't the above is going to cause the downfall of GW (it most certainly won't).  However, I do think its going to be a boon to GW's competitors in the Australian market and cause GW to reevaluate their price structure in the region (I can imagine the resulting sales drop coupled with their data on consumption pre-"embargo" will let them know where to place prices).

I also think its going to signal more frequent price "reallignments" in non-US/non-EU countries by a number of manufacturers.  Its clear consumers are savvy enough to naviagate large exchange-rate discrepencies; why give them a reason to take the extra effort to?

It'll be interesting to see where this issue is at (and where the AU community is at) in 6 months to a 1 year.

TOP 5 - Top Five things GW could do to make WHFB sell better

Let's face it: WHFB 8th edition ain't perfect.  Nowhere close.  But, its a fun game, its the only game of its scale (28mm, large fantasy army battles) with its market penetration, and its got a great IP.  That said, its been losing market share for some time, playing 2nd fiddle to its cousin with 39,999 more warhammers and now to Warmachine.  How to stop this?  Here's five realistic things GW could do to get Fantasy back on track.

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5.) Fix 8th edition's magic phase.  Given GWs recent willingness to release FAQs, fix the big spells (Dwellers Below, Purple Sun) that have inadvertainly become problems.  Make miscasts deadlier. Fix Teclis and the Book of Hoeth.  Fix Slaan (i.e. - tweak the "Now you get my miscast" item).  These are massive game breakers at a competitive level and even someone who wants to have "fun" with lots of magic quickly realizes a single level 4 mage with the right wargear can break the game.

4.) Set realistic price goals.  The world economy isn't doing so hot right now.  Releasing a game with a $75 core rule book (or cheaper rulebook that comes in a $100 boxset), $37.25 army rulebooks, and $29 core troops that customers ought to want to purchase in blocks of 30+ isn't a smart idea.  Its losing you money, both anecdotally and statistically. 

If you want players to play at 3000+ points, give them a bone.  How about $200 army deals for all armies that include troops, a hero choice, a plastic elite option, and a big rare (Steamtank, Dragon, etc etc)?  Sell at a reasonably discount (e.g. - 25% off what you'd pay if you bought each box) and market it as an army entry point (which the Battalions are doing a poor job pretend to be).

Why Don't You Love Me, GW?

3.) Put some play support into the Specialist Games that compliment your IP.  Bloodbowl's got a reasonably popular video game that uses the same IP as Warhammer Fantasty.  Why aren't you releasing "Hobby Articles" highlighting how to play?  Don't put money into new sculpts; but pay a design for 2+ hours of work to make BB's Living Rulebook look modern.   Pimp some of this to the fan community.  On that note...

2.) Stop Sueing the Fan Community.  Go after recasters.  Go after companies that are stepping on your IP (Chapterhouse, etc).  Don't sue forums for using the name "Blood Bowl" in their title.  You want to protect your IP?  Then license them a fan kit with a list of what they can and can't do.

1.) Learn how to Market using the Web.  A dev blog that exercises almost no brand discipline is not having a web presence.  Letting us know whats in the pipe two months before you release it, followed by actual previews the day of pre-order isn't working.

Get a forum and control it appropriately (see Privateer Press' forum of an example of how to do this).  Interact with fans via the Web.  Control your brand message actively, rather than passively releasing it and letting warseer/dakka dakka run with it.


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SPAYZE MUHREENs will keep GW's doors open for a long time.  That said, Privateer and Mantic are really doing a number on their North American sales.  Moreover, GWs revamped all but 1 Space Marine line in the past 5 years...they're running out of easy wins.

What's it going to take to get GW to right their ship?  This, mayhaps?

I am Title Nineicus, Lord of The End Times!!!