Smosh Indiegogo campaign ???

[JB Clem]

Smosh is just being greedy here. A game for an Iphone/tablet does not cost $250,000 combined with paying the developers. Those games cost about $50,000 to make tops. They are getting massive backlash for this and deservedly so.

 

[ApexxWolf]

Smosh is just being greedy here. A game for an Iphone/tablet does not cost $250,000 combined with paying the developers. Those games cost about $50,000 to make tops. They are getting massive backlash for this and deservedly so.

I know man :S funny how they mentioned giving a percentage (probably like 10 bucks) to charity after the wave of hate

 

[FrankCos]

The math is quite simple:

He gets approx 205 million views a month. Going by the assumption that usually around 50% of a person's views are monetised, that's 103 million monetised views a month. He's with (I think) TGS, and let's say he earns $3 (this will go up and down depending on time of year/advertisers, of course) per every 1,000 views.

That's approximately $309,000 per month. Per year that works out at around $3.7 million. Again this will go up and down depending on views, CPM and any other paid product placement he takes part in.

This is interesting, and may be a good ballpark number, but you're also only looking at the gross profit of a channel.

In Smosh's case, you have to factor in their networks' take of the profit and the cost of doing business: production, post, upkeep, marketing, planning, investing in long-term business, paying back any investors they may have on the hook... Whatever they make, they're definitely splitting it more than 2 ways.

On the

I don't like this Kickerstarter type campaigns. More often than not it's very rich people asking their doting fans to spare their very hard earned cash so they don't have to dip into their masses of interest that are piling up. Like the Veronica Mars one. The cast alone could've funded that without a public penny being needed.

These people are professionals. You can't blame them for using the good business practice of finding investors, and you can't expect them to pay themselves to work! This is their livelihood. Besides, imagine the bickering on set when all the actors are tugging on the purse strings.

Smosh is just being greedy here. A game for an Iphone/tablet does not cost $250,000 combined with paying the developers. Those games cost about $50,000 to make tops. They are getting massive backlash for this and deservedly so.

The game is being developed for iPhone, Android, and PC, which boosts the cost. Costs of the campaign include 4% to Indiegogo and 3% off all credit card transactions. Include paying out all of the "rewards" and you're potentially looking at just $200k for the game, which is not that uncommon price tag for development.

Seeing as how we don't know the scope of the game, we can't rule out the idea that we'll be seeing a game worth $200k. Like buying a car, if you give the dealer $13k he'll set you up with a low end Kia. Give that dealer $200k and he'll set you up with a Bentley!

 

[ApexxWolf]

These people are professionals. You can't blame them for using the good business practice of finding investors, and you can't expect them to pay themselves to work!

fair point but I don't personally think extorting your fans of their own money is the best investor they can find (the integrity of it is a bit...iffy). Using sponsors and capital investors for the game would of been more "professional".

Also they are getting the funded amount even if it doesnt reach the goal within the given date which means they don't need that amount plus there are charities on the site that have to reach the goal before the time period to get the funding which is sickening :/

 

[Itskamren]

i couldnt see it not happening they have pretty deep fanbase lol

 

[Mauricio]

What type of game are they making that they need 250 k. Its nuts they are asking that much for an ios game. Also they make enough money to fund their own project. If ray William Johnson makes a million a year they are making def more.

 

[Lawlz]

There r seriously guys who donated 2000$ and 1000$ Die hard fans but i think thats just too extreme. And what if that iphone game is gonna be a major bummer? Then every1 donated money for nothing

 

[FrankCos]

fair point but I don't personally think extorting your fans of their own money is the best investor they can find (the integrity of it is a bit...iffy). Using sponsors and capital investors for the game would of been more "professional".

"Extortion" is not what is happening here, though I imagine they could have found professional investors. But one of the benefits of crowdfunding a project is that you the project succeeds or fails financially before you even start! You get to see the interest in your project, and take your buyers' money before you have a project. You might say it's putting the cart before the horse, and you're totally right, but its the backer's choice to do so.

Also they are getting the funded amount even if it doesn't reach the goal within the given date which means they don't need that amount plus there are charities on the site that have to reach the goal before the time period to get the funding which is sickening :/

Are you referring to Indiegogo's "flexible funding" option? This is available to all project makers, but not everyone takes it. If you do take it, and don't reach your goal, you still get whatever you did manage to raise. The downside is that you give Indiegogo a bigger cut (I think 9% vs the normal 4%).

The charities and other projects that don't take the flexible funding option do so because they *need* to hit the goal, otherwise their project doesn't work. Smosh can still make a game for less than $250k, even if they have to compromise on some elements. Not everyone can do that.