Small devs need to promote more – SNJVFrench trade group says promotion budget for smaller titles should equal production budgetBrendan SinclairManaging EditorTuesday 1st December 2015Share this article Recommend Tweet ShareThe Syndicat National du Jeu Vidéo has released the results of its annual developer survey, providing a snapshot of the 2015 French gaming industry. While the full report details a number of modest changes in the country’s gaming companies over the last year, one of the trade group’s key takeaways from the survey is that developers need to be devoting more resources to promoting the games they make.”Development studios are only allocating 11.8 percent of their production budget to promoting their titles,” the SNJV said in its report. “This varies according to the type of game, the platforms targeted and the marketing culture of the studio. Although the ratio of promotion budget to production budget can be 1:5 for AAA games, it should be at least 1:1 for games needing less investment.”Related JobsSenior Game Designer – UE4 – AAA United Kingdom Amiqus GamesProgrammer – REMOTE – work with industry veterans! North West Amiqus GamesJunior Video Editor – GLOBAL publisher United Kingdom Amiqus GamesDiscover more jobs in games The report acknowledged that many development studios don’t have much money to invest in promotion, and discussed the difficulties they have in finding financing. The problem is further complicated by the rising costs of development, as the survey found the average annual production budget for developers is expected to rise 14 percent year-over-year in 2015, from €1.26 million to an estimated €1.44 million this year. Every major platform saw production budgets expected to rise, with the only exceptions being connected objects and specialized consoles like Vtech learning toys.However, the trade group still believes the average spent on promotion needs to be higher given how many of the studios are self-publishing their games through digital distribution platforms. (Almost 94 percent of responding development studios considered themselves to be independent, and 100 percent worked on digitally distributed games; just under 30 percent worked on games to be sold on physical media as well.)The SNJV survey was conducted from May to July as an online questionnaire sent to directors of various French game companies from the trade group’s ranks and beyond. 146 such directors responded, believed to represent over one-third of the total French gaming industry.Celebrating employer excellence in the video games industry8th July 2021Submit your company Sign up for The Daily Update and get the best of GamesIndustry.biz in your inbox. Enter your email addressMore storiesEA leans on Apex Legends and live services in fourth quarterQ4 and full year revenues close to flat and profits take a tumble, but publisher’s bookings still up double-digitsBy Brendan Sinclair 7 hours agoEA Play Live set for July 22Formerly E3-adjacent event moves to take place a month and half after the ESA’s showBy Jeffrey Rousseau 9 hours agoLatest comments (2)Nick Parker Consultant Edited 1 times. Last edit by Nick Parker on 2nd December 2015 4:56pm 1Sign inorRegisterto rate and replyDarren Adams Managing Director, ChaosTrend5 years ago Hmmm this 1:1 is a big issue really, marketing nobs will tell you that they are essential to make your product valuable. When in reality it is just an arms race where the marketers are the arms dealers.Visibility is obviously a key component of selling your game, but it is not the be all and end all. You cannot win an arms race against people who have massive budgets and they know this. You have all heard about stories of $10m in advertising being spent every month to keep market domination, well think why that is for a moment.It is not to get new eyes on their product, but to lock everyone else out by essentially paying “protection money” to marketers. They outspend everyone so nobody else can gain traction in the chart/public eye (hence why things look stagnant in the industry sometimes).This is why I love it when games pop out of the blue, no marketing budget apart from time and effort that capture the public’s imagination. Good for them, they deserve everything they get. 5 years ago For some independent developers, there is no money left over for marketing; even if it’s in the budget, any slippage will divert those funds back into the studio costs. Marketing is now becoming crucial as the mobile market (and even consoles and Steam) becomes so crowded. As a rule of thumb, marketing costs in traditional packaged goods are 10% of revenues on media (as there is usually some above the line media), 5% on production so a total 15% of expected revenues on marketing. Digital product will require similar levels, not 11.8% of the production budget (as highlighted in the article) but approaching 11.8% of expected revenues even if, in a digital world, more imaginative, cheeper means of spreading word of mouth are available. Edited 2 times. Last edit by Darren Adams on 3rd December 2015 10:05am 3Sign inorRegisterto rate and replySign in to contributeEmail addressPasswordSign in Need an account? Register now.