Links: Kickstarter Boots – Then Brings Back – Bulk Sales & More

Links: Kickstarter Boots – Then Brings Back – Bulk Sales & More
From gallery of W Eric Martin
• In a late July 2012 BGGN post about a Kickstarter project for Killer Bunnies and the Quest for the Magic Carrot – Deluxe Edition, I noted that "Kickstarter apparently no longer allows for project reward levels aimed at retailers" as project creator/publisher Playroom Entertainment added this note to its project on July 26, 2012:

Quote:
Playroom loves our retailers and we know that the success of Killer Bunnies wouldn't be possible without them. Unfortunately, we were forced to remove the Retailer Level by Kickstarter (at approx. 9am on 7/26) because it violates their newly implemented rule of not allowing "discounted bulk pricing" at a wholesale level for retailers. We are very upset about this, but we have to play by the rules. If you are upset too, please take it up directly with Kickstarter.
Milton Griepp at ICv2 posted a follow-up item with Playroom's Dan Rowen as to how the company became aware of the problem. On the retail side of things, someone at Imperial Outpost Games in Glendale, Arizona recounts how digital PDFs for role-playing games had previously shut out retailers and how he had discovered the pluses of Kickstarter, which took a different approach. Now, though:

Quote:
Now Kickstarter comes along and tells the publisher that it can no longer offer retailer levels or "bulk discounts". *insert sound of a car hitting a wall at 100 mph*. Wut? All of a sudden now, I'm being cut out of the loop AGAIN. Now, with the pdf thing, there were some huge logistical hurdles there keeping retailers out of the loop, it wasn't JUST a "money thing".

This TOTALLY is just a "money thing".
On August 2, 2012, Yancey Strickler at Kickstarter clarified that it didn't really mean no bulk discounts – just no large bulk discounts:

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As of today, we're defining "bulk quantity" as a reward that offers more than ten of a single item. We feel that a limit of ten will prevent bulk commercial transactions while still allowing independent stores (the most frequent backers of these rewards) to back projects and share them with their communities. Projects are welcome to offer rewards intended for stores so long as they are in quantities of ten or less.

Backing a project has always been about joining a community just as much as it is getting stuff. That's one of Kickstarter's defining traits, and we want that to always be true. We're incredibly proud of the ways that Kickstarter has helped creators bring their work to life and get it out into the world. Watching independent stores use Kickstarter to promote the work of independent creators has been amazing, and we hope it continues.
So, crisis averted? Well, not for this commenter from retail shop Black Diamond Games, who has found that retail backing levels haven't paid off:

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Although I like supporting the indie guys, it doesn't make sense for me. Despite some huge Kickstarter support numbers, the average game store customer really doesn't care about these projects. These things appear to appeal to the gamer elite, the alphas, the lapsed gamer, and those whose tastes have transcended the mainstream. I sell mainstream, because that's how the rent gets paid, despite yearning for the elite....

The problem with the established publishers is there is no lag time between supporters receiving their goods and distributors. So why buy in at 12 copies on Kickstarter when the distributors will have it three days later? That's exactly what happened with the last product I supported. I would have ordered 2-3 copies from the distributors, but ordered far more than that because I wanted in.

So Kickstarters are not designed for retailers. There is no implied value proposition aimed at us, no promises, only a bone thrown in the corner allowing us to sit at the table. We are appeased by receiving the opportunity to participate, and I do appreciate that, but that doesn't mean we should be involved. There are better uses of our resources than gnawing on that old bone.
From gallery of W Eric Martin
• And in other crowdfunding news, Indiegogo is opening a German division and looking to hire. Any gamers interested? (HT: kreikkaturkulainen)

• Patricia Vollmer at Wired highlights upcoming crossover games from Hasbro that use a thematic whitewash from Zynga's online games Farmville, Cityville and Words With Friends.

• Brian Maggio at Global Toy News asks whether we're witnessing the death of the "price point", that being a series of specific price tiers such as $15, $20, $25, etc. From the article:

Quote:
Regardless of the cost/value relationship or the build that had gone into a product, all sales presentations had to align with predetermined price points. "Is that a $14.99 or a $19.99 product?" was a common question that a buyer would pose to the salesperson. (To which I was occasionally tempted to reply, "Well, this one is actually a $17.64 product because of the extra little doo-dad here...") Manufacturers then had to dumb down the product to hit a key wholesale, or build it up somehow to justify the next higher price point.

Then, about a year ago, I heard several manufacturers take the bold stance: We are going to set the wholesale at a level that actually allows for a profit, and let the retailer figure out how to price it.
More of a mainstream issue than something that affects hobby gamers, I suppose, but I think this move could be viewed as akin to how the New York Stock Exchange switched from fractional to decimal stock prices in 2000/2001. The goal of both is to present the potential buyer with a more accurate price while allowing the seller to account for an item's true cost.

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