Friday, March 11, 2011

The battle with Ninetowns of Warcraft account


The game does not sell good, the bad games are not necessarily sold poorly, which in China's online game industry has been proven many times.
A big investment products, it is possible a business success, but also drag down a company. This year in January, the world famous game "EverQuest" (EQ) to the famous miscues Ubisoft Shanghai, while another was placed high hopes of "Maken" is dragging down the inside was made famous in the game industry The Heaven interactive software company. Secondary reasons are not fit for the game itself is also operational missteps.
To people, Ninetowns operation "World of Warcraft," have to face three major challenges.
The first is technical risk, such as PW and external operations. It is said that in China there have been "plug Shuaqian" and "accelerated Flying" and other plug-in, the game developer Blizzard can do nothing, which is also for the woe of Ninetowns as good as a bad news.
Second, although the quality WOW strong, but it is not flawless. Late last year, in Europe and the United States issued the first Christmas after the holiday, WOW there have been a large area on the server paralysis, unable to access the player a long time. As the problem can not be resolved in a short time, the last Blizzard only enabled backup servers, only temporary relief from the tension at the time. But the players anger remains high, even to lift their web site editor that will WOW the best game of 2004 as the decision.
Performance pressure. Late last year, Ninetowns successful listing, financing, about the amount of 100 million U.S. dollars. Ninetowns performance pressure, and it and the Blizzard agreement also makes the operating profits of becoming thin. For a normal game, the people will reach the breakeven line. But for the "World of Warcraft", the 8 million people in the same time line to achieve a balance. In fact, free play time and other expenses of the existence of break-even point will be higher, approximately between 150,000 to 20 million people.
Ninetowns operation must be the most successful "miracle" in 2004, 17 173 and the Hai Yirui market Consulting Co., Ltd. jointly organized the "Fourth China online game market research", the NINETOWNS to 12.04% among the Best customers Service second.
But then the process or the operation of the investors to NINETOWNS pinched to Khan, the financial statements in Ninetowns we can see the first quarter of 2004, revenue dropped 46.7%, from 75.6 million yuan fell to 40.3 million element. This is mainly due to the spread of PW and plug blow, resulting in the loss of a large number of users.
From operating experience, the "miracle" and "World of Warcraft" between the two years, Ninetowns only operate through a "outer" and to the size of Ninetowns, "outer" can only be said to be operating dismally, in the few short years, China's online games industry, whether the user level or sales channels, have undergone tremendous changes, and Ninetowns has not witnessed these changes come through combat. Some professionals think: Ninetowns operational and combat experience to lag the market in 2012, may remain in the current "miracle" level.
VUG in accordance with the agreements between Vivendi, Ninetowns in February this year three million U.S. dollars to pay licensing fees, the formal charges before the game, Ninetowns still spending 6.8 million U.S. dollars for certain specific activities. Game charges a 22% sales points, four editions of the total taxes of about 51.3 million U.S. dollars, 1.6 million U.S. dollars per quarter to 370 million. In addition, Ninetowns will have to spend not less than 13 million U.S. dollars in the market cost for the "World of Warcraft" and promotion.
Vivendi and Ninetowns both "World of Warcraft" in China the number of average concurrent online is expected to more than 200 000 ~ 250 000. Clearly this goal is very difficult to maintain for four years, raising prices may be a more feasible option. However, users and very sensitive to price, the price will shield the high number of students and remote areas of the player, which will undoubtedly bring the overall size of the user group is not a small effect.
Ninetowns need to win "the battle of Warcraft" to prove "Ninetowns of accounts" shrewdness.









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