110: But Does It Make Cents?

mischief-bmc-1One part of the term Game Industry often ignored by many trying to enter it, myself included, is the word Industry. The business of making games is a business just like any other, and a business isn’t successful if it doesn’t make money. How do we make money in the game industry? The same as all the rest, by selling something that people want to buy. But then who are we selling to? How are we selling it? What do we need to do in order to make it? In order to sell it? How much is that going to cost us and how do we expect to make that money back? How do we figure any of this out?

One smart way is to make a Business Model Canvas. In order to create a BMC, you need to think critically about 9 specific topics.

  1. Value Proposition: What it is we’re selling and why would anyone want it
  2. Customer Segments: Who it is that we’re selling to and their lifestyle
  3. Customer Relationships: How do we acquire these potential buyers, how do we keep them, how do we grow them. Essentially how are we interacting with them?
  4. Channels: Once we find out who we’re selling to, how do we sell to them?
  5. Revenue Streams: How does that make us money?
  6. Key Partners: What non-consumer relationships do we need to do what we need to do? These will change as we find success and transition from start -up to a fully realized entity.
  7. Key Activities: What do we need to be doing right now, to make sure we have a product to present to our consumer?
  8. Key Resources: What do we need in order to create our product?
  9. Cost Structure: What is it going to cost us to do everything we’re setting out to do?

Separately, these are all important and essential questions to ask of your own company, regardless of what it is you look to put out into the world. Together, they have the ability to road map and define what type of company you will create, the market you will enter, and the resource you will provide.

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