Is it worth investing $20k into iphone game development?

sllik · 01-25-2009, 07:24 PM

Hello, I have a unique & fun (in my opinion) game idea for the iPhone. The game development would require a $20k investment on my part. Based on your experience, is this a sound investment.

I do have a few marketing strategies in mind but any thoughts on the marketing are also appreciated.

Thanks!

tkilmer · 01-25-2009, 07:30 PM

It all depends on the final product. Games can do real well, but many just die upon release. I have seen games that have had months put into them and only return a couple sales a day. Be sure that your idea is sound before making any investments.

Also, a lot depends on marketing.

tawpie · 01-25-2009, 10:29 PM

be very very very careful. I'd study the posts you'll find on this and other forums as well as some of the blogs written by developers relating their experiences. The TripChubby guy comes to mind, he came really clean about his business so far--burned through $65k in revenue and investments and was at the time of writing at break even. Check out his blog. With nearly 18,000 apps on the store today, the vast majority of which are games, you, like the rest of us will have to surmount two rather large mountains to succeed: visibility on the app store and competing against "free".

The right game and you're temporarily rich. And what might be the right game? Faux beers and electronic whoppie cushions have probably made as much money as Spore, so that tells you a bit about our customer demographic. Target the audience properly and you may have a hit!

I think that the general experience is that you'll wither and die unless you get featured on the store itself, and even then the run is likely to be short so get your money while you can and have ideas #2 and 3 and n ready to fire!

StatCoder · 01-26-2009, 08:15 AM

Good ideas are worth approximately $0.10 / 12. The execution is what counts.

sllik · 01-26-2009, 04:06 PM

Quote:

Originally Posted by tawpie

be very very very careful. I'd study the posts you'll find on this and other forums as well as some of the blogs written by developers relating their experiences. The TripChubby guy comes to mind, he came really clean about his business so far--burned through $65k in revenue and investments and was at the time of writing at break even. Check out his blog. With nearly 18,000 apps on the store today, the vast majority of which are games, you, like the rest of us will have to surmount two rather large mountains to succeed: visibility on the app store and competing against "free".

The right game and you're temporarily rich. And what might be the right game? Faux beers and electronic whoppie cushions have probably made as much money as Spore, so that tells you a bit about our customer demographic. Target the audience properly and you may have a hit!

I think that the general experience is that you'll wither and die unless you get featured on the store itself, and even then the run is likely to be short so get your money while you can and have ideas #2 and 3 and n ready to fire!

Thanks for your reply... where can i find TripChubby's blog?

MattjDrake · 01-31-2009, 10:04 AM

This is a tough question to answer, you really have to try and assess the risk that you are willing to take. I have released some modestly successful apps (more productivity than games) and after looking over the numbers I have concluded that $25,000 is the money I would expect to make on a given app.

I target apps that I think will apply to niche markets that seem to have a steady but lower income for what its worth.

All that being said, from my experience I believe that $20,000 is a fair budget as long as you can absorb the risk - you have to pay to play. You can hope to make a $5,000 profit but there is always that chance that your game will be huge and make $5,000+ per day.

tawpie · 01-31-2009, 04:15 PM

Quote:

Originally Posted by sllik

Thanks for your reply... where can i find TripChubby's blog?

My bad... it's Trip "Cubby" (sorry). Relevant blog post is here: Financial Realities of the App Store | None | AppCubby

**Chris Stewart** · 01-31-2009, 04:36 PM

From my experience in observing the iPhone developer community, I would say that marketing is key. Getting the word out there about your application is paramount, obviously.

icombat · 02-10-2009, 12:10 PM

I just went through the process of getting quotes from developers for a quick & fun game I am creating as well and I would say $20k sounds high but of course this depends on what you are trying to do.

I would get on oDesk or a similar site and definitely get at least 5-10 quotes before engaging anyone for that amount. Big question you have is can you develop abroad or do you absolutely want to stay local. This is going to affect your costs substantially. When I asked for quotes for my game I was given a ridiculously wide range. The reason for this is many developers if they smell blood in the water will quote you a high price either because they can get away with it. What also happens is that some developers don't know what they are doing so it will take them forever to learn how to create your game so they give you a high quote. Don't be afraid to ask for previous proof of work and ask them for an execution plan.

If you are looking for tips on how to find the right developer visit my blog here where I am documenting my experience.

johnqh · 02-10-2009, 12:24 PM

Quote:

Originally Posted by tawpie

My bad... it's Trip "Cubby" (sorry). Relevant blog post is here: Financial Realities of the App Store | None | AppCubby

The most informative blog about the reality of App Store.

However, he doesn't really understand accounting.

His income is $32000 (free advertising is not income, nor is investment)
His expense is about $42000 excluding his own salary and charity donation.

Basically, he's losing $10000 despite having a reasonable successful App Store business.