Jonric: How will your newly announced business model for 9Dragons work? What are the main components, and what key benefits does it offer potential players?
Howard Marks: It is quite simple; a player register and then downloads the game. Once installed, the player creates a character and starts playing. During play, we will display some advertisements. This supports the cost of running the game and of development. The player has the option at any time to purchase the premium package, which features a list of benefits including no advertisements. Prior to completing beta testing, we will announce the complete details for this package.
Our conclusion is that depending on your playing style and goals, you will decide to buy items or not. The cost in itself is not high, so it is really a playing style decision rather than an economic one.
Jonric: Why did you decide not to use the monthly subscription model that is pretty prevalent in North America?
Howard Marks: We have observed that the existing subscription model is limiting the growth of the market. It creates a barrier to entry for many players. It also limits the number of games someone can play at the same time.
We thought that by offering an advertisement supported game we would be able to have more players play our games, and with those for which they decide to purchase the premium package, they will get the same experience as they get with any pay subscription MMORPG.
Jonric: How do you intend to implement in-game advertisements in light of their being something players don't naturally want? Will it be possible to turn them off?
Howard Marks: Our first rule is that we will not delay the player to show ads. If the game is loading a new map and there is a natural delay, we will use this time to show ads. Player experience is key to us.
Our second rule is that we want the advertisement to add value to the game experience. For example, an advertiser can offer gold or special items to players during an NPC dialogue or at a special location. In this case, the advertisement is interactive, and the player has to click on it to collect what is offered. Another example could be a sweepstake offering a chance to win a very rare item. We recognize that the player must feel that the balance of advertisement versus game experience is fair.
Jonric: How will purchasing items work? Will they be better than those obtained through normal play? Will they impact the in-game economy?
Howard Marks: We will sell virtual items for cash. These items are either character customizations or the ability to get bonus experience, for example. Players do not need to buy them in order to fully experience 9Dragons. The cash items do not alter the in-game economy, and are really there for those players who want differentiation.
Jonric: Since this reminds us of the micro-payment schemes used mainly in the Far East, in what ways have you learned and drawn from them?
Howard Marks: What we have learned is that players actually fall into two categories, those who play for free and do not buy items or rarely buy something, and those who regularly buy them. The demographics are the same for both groups. Our conclusion is that depending on your playing style and goals, you will decide to buy items or not. The cost in itself is not high, so it is really a playing style decision rather than an economic one.
Jonric: What will the premium package include, and what kinds of options are you considering in this regard?
Howard Marks: I cannot comment on the premium package until we announce the details. We hope to obtain feedback hear from our closed beta testers as to what some of their preferences are likely to be.
Jonric: Compared to monthly subscriptions, what leads you to believe this business model will be better for Acclaim?
Howard Marks: We do not know if this is a better business model. We do know that it is unavoidable that the industry will go in this direction. We see this in Asia, and we think that our market will find playing games for free is going to drive bigger audiences, and thus create a bigger market for our industry.
We are good listeners... and we value the feedback that our players are giving us. In the end, we feel that our success is entirely based on satisfying their needs. If we do that, we will be successful.
Jonric: Why have major western online world publishers stuck with subscriptions, and do you expect them to change? And do you think they regard companies like Acclaim as threats?
Howard Marks: My opinion is that the current western MMO publishers are following a proven model that actually worked in Asia since 1998. However, starting in 2001, the market shifted over a couple of years to the free model. Until a publisher challenges the subscription-only approach and offers a free play one, it is unlikely that they would change their business models.
I expect the market to change in the next 12 months, and you will see free play MMORPGs offered by the leading publishers. This does not mean you will get World of Warcraft for free. It means the new games and some of the older ones will be offered for free, with advertising and virtual items.
I do not see Acclaim being a threat because our goal is to expand the market, and therefore, everyone wins.
Jonric: What more are you willing to say about the part of the press release that says you're aiming for a new game every few months?
Howard Marks: As you know, we recently announced 2Moons. We have three more games to announce in the next 60 days. Our new games will continue to innovate as we did with BOTS, 9Dragons and 2Moons.
Jonric: Are there other important aspects, features et al that you'd like to note for our readers, anything you'd like to tell them, something you want to ask, or any additional comments?
Howard Marks: We would like to tell your readers that our company's philosophy is to bet on the gamer. We want to hear what they have to say, and update our games to meet their needs. We are good listeners. Every game has a message board, and we value the feedback that our players are giving us. In the end, we feel that our success is entirely based on satisfying their needs. If we do that, we will be successful.
Interview by IGN, Posted: 6 Sep 2006 11:29 pm.