Shocking Revenue Statistics (Full Version)

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ThePitbull -> Shocking Revenue Statistics (5/1/2011 20:29:56)

Out of curiosity I decided to estimate how much revenue this game produces. I am unsure whether these calculations are correct, but here I go:

When a new update comes out with limited-stock items, these items are sold within a day. For example, there were 1000 Bunny armors, physical and energy. Each of these armors cost $10, since 1000K varium is about $10. It costs $10 more dollars to enhance each armor fully, so double the price. The total revenue for selling a set of limited-time armors is $20,000.

Such an armor update is made within one week. Since other weapons are similar in price, with certain weapons costing more and some less, multiply the $20,000 by four (armor, gun, primary, aux). This makes $80,000 per week, assuming 500 of each type of weapon is sold per week.

There are 52 weeks in a year, thus Epic Duel in one year makes:

$4,160,000.

Although limited-timed weapons are sold faster, other weapons are not enhanced for such a high price, and $50 packs give better deals, I did not calculate class changes, purchasing of assault bots, inventory increases, houses, experience and battle boosts, bikes, and other amenities that cost a tremendous amount of varium, i.e. cash. This $4 million dollar estimate is very conservative. It is likely that more money is made.

I do not know how many programmers work on the game, but if Titan and Nightwraith are the only ones, then each are profiting millions of dollars per year. The average, educated programmer makes around $50,000-$100,000 per year.

Just some interesting facts. It seems Titan and Nightwraith are millionaires 0.o. Amazing.


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So that means Artix is insanely rich. To think, he started with a game that supposedly costs $20 for a lifetime to games that cost hundreds per few month for each user 0.o. Since tens of thousands play, the guy is getting millions per month. Wow.
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Let me remind people that I conducted a CONSERVATIVE estimate by not including class changes and other varium amenities to account for facets such as larger packages and operating costs. READ the entire post to see my calculation and reasoning.




Bunshichi -> RE: Shocking Revenue Statistics (5/1/2011 20:34:09)

Titan and Nightwraith are with AE, all the money they make does not go to them they get paid on a regular basis like all workers. Forgot where it was posted but it said something like that.




xxmirxx -> RE: Shocking Revenue Statistics (5/1/2011 20:38:39)

well thats stupit they created the game. DOWN WITH AE




T.600 -> RE: Shocking Revenue Statistics (5/1/2011 20:48:19)

You have to consider taxes, money to run servers and I'm guessing AE gets the money while the devs have a fixed salary.




ThePitbull -> RE: Shocking Revenue Statistics (5/1/2011 20:53:21)

As I have said, I am offsetting operating costs and other facets such as lower varium exchange, by not calculating the costs incurred by class changes, purchasing assault bots, additional inventory slots, houses, experience and battle boosts, bikes, and other amenities that cost varium.

Also, I am sure you have noticed that the cost to play the game has been gradually increasing. Back then all you need was an armor, primary, gun, and aux. With each costing 1K and and an armor costing 500, only 3500 varium was necessary to have optimum stats. Now each person needs higher price armors, primaries, guns, and auxes along with enhancements for each to have optimum stats. This can cost above 8,000 varium. Since the game is relative, strengthening certain weapons really does not make an individual stronger. This further offsets possible reasons against my reasoning since the game will probably continue to increase in price.

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Below post, refer to the above reasons. I conducted a CONSERVATIVE estimate in order to account for the reasons you cite and others.




PD -> RE: Shocking Revenue Statistics (5/1/2011 21:00:38)

There's a couple things wrong with your statistics mathematically...

First off, since people buy different varium pages, the varium to dollar exchange ratios are different. Let me demonstrate what I mean. Here are the current exchange rates of Artix Points:

  • 2000 Points for 9.95 USD, or 201 (Rounded) Points Per USD
  • 4000 Points for 19.95 USD, or 200.5 (Rounded) Points per USD
  • 5000 Points for 24.95 USD, or 200.4 (Rounded) Points per USD
  • 6000 Points for 29.95 USD, or 200.3 (Rounded) Points per USD
  • 7000 Points for 34.95 USD, or 200.28 (Rounded) Points per USD
  • 8000 Points for 39.95 USD, or 200.25 (Rounded) Points per USD
  • 10000 Points for 49.95 USD, or 200.2 (Rounded) Points per USD
  • 11000 Points for 54.95 USD, or 200.18 (Rounded) Points per USD
  • 13000 Points for 64.95 USD, or 200.15 (Rounded) Points per USD

    It might sound weird, but you get LESS points, the higher package you buy. This means that your points do not have a consistant value, so Someone who bought 5000 Varium compared to someone else, might not have spent the same amount of points due to the different exchange ratios. Now let me describe how this is further complicated. Below is the exchange rates of the current Varium Packages:

  • 1000 Points for 500 Varium (Starter Kit), or 2 Points per 1 Varium
  • 2000 Points for 1250 Varium, or 1.6 Points per 1 Varium
  • 4000 Points for 2500 Varium, or 1.6 Points per 1 Varium
  • 7000 Points for 5000 Varium, or .71 Points per 1 Varium
  • 10000 Points for 10000 Varium, or 1 Point Per 1 Varium

    As you can see, it's extremely hard to find exact revenue as The Dollar -> Point -> Varium Exchange Rates are differing. Unless you were at the Underground lab RIGHT NOW, you (and everyone else here including me) could never see how much Money ED is actually taking.




  • SpeedNfs -> RE: Shocking Revenue Statistics (5/1/2011 21:08:43)

    That's shocking... Why did they ever decide to merge with AE?!

    Edit: @above

    He is only making a rough estimate.. Exact figures don't matter, but the fact is there that they make millions per year, while only having 1 or 2 developers.. Isn't that upsetting enough?




    Novaburst -> RE: Shocking Revenue Statistics (5/1/2011 21:10:48)

    You also have to factor in the fact that unless you buy by credit card or mail in cash etc. they don't get the full amount for Artix Points bought, they don't get the full 20$ revenue if you buy a card made buy a 3rd party company or I assume advertisements and surveys.

    Along with Server costs and other upkeep, along with things already mentioned.




    TankMage -> RE: Shocking Revenue Statistics (5/1/2011 21:12:46)

    Ok not to offend but your calculations are way off ....

    quote:

    Each of these armors cost $10, since 1000K varium is about $10. It costs $10 more dollars to enhance each armor fully, so double the price. The total revenue for selling a set of limited-time armors is $20,000.


    Each armour is $10 yes.... But 10 x 500 = $5,000 x2 = $10,000 For selling both physical and resistance armours.

    quote:

    Since other weapons are similar in price, with certain weapons costing more and some less, multiply the $20,000 by four (armor, gun, primary, aux). This makes $80,000 per week, assuming 500 of each type of weapon is sold per week.


    Well those prices are halved ^. So multiply $10,000 by four. Already reducing your estimated value to $2,080,000 p year

    quote:

    There are 52 weeks in a year, thus Epic Duel in one year makes:


    But what you didn't factor in ... Limited quantity items aren't made every week. And I highly doubt 500 Varium guns / Auxs / Weapons are bought every week.


    Really, we've had 4 varium limited time armours - Space warrior, Warbot, Banana Suit & Bunny Borg...

    Space warrior was the first limited time armour and was released January 14th, 2011 its now about 5 months since that.

    5/4 = Limited time armour every 1.25 months, Not every week.
    ______________________________________________________

    So with limited quantity armours been made every 1.25 months = 9 Armours a year (Approximately)

    9 x 1000 (Phys/Resistance) = 9,000 Armour sets.
    Then the restocks which would be hard to estimate... We'll just say 200 Of each armour is restocked (100 phys / resistance)
    9 x 200 = 1,800 Armour sets.
    = 10,800 Armour sets...


    So, 10,800 x $10 = $108,000 P/Year

    + Will throw in the ridiculously overestimated amount of 500 Sidearms/Aux's/Primarys been sold every week. -These figures are by the thread creator not me

    (1,500 x 10) x 52 = $780,000 P/Year

    = $888,000 P/Year, Not Millions


    I'd Actually put the amount of Varium Guns/Aux's/Primarys been Maybe 100 Each week in a non-release week (If they're lucky)

    (300 x10) x52 = $156,000 P/Year
    ______________________________________________________________________________________________________________

    Factors you didn't count in

    - These amounts are only bought when there is a Major release such as a Seasonal event. (Not even once a month)
    - I am willing to put my gold fishes life on it, That nowhere near 500 varium Guns, Auxiliary, Primarys are bought during a week without a major update.
    -Wages
    -Costs of running the servers
    -Time it takes for updates
    -Updates that don't include any new items







    One Winged Angel1357 -> RE: Shocking Revenue Statistics (5/1/2011 21:13:10)

    im sure some of the Bunny Armors were bought with Offers and the required points for Upgrades used to be lower and more people got more Varium off of there offers so im gonna go with calculating the amount of Cash ED brings is has got to be near impossible




    PD -> RE: Shocking Revenue Statistics (5/1/2011 21:20:37)

    quote:

    He is only making a rough estimate.. Exact figures don't matter, but the fact is there that they make millions per year, while only having 1 or 2 developers.. Isn't that upsetting enough?


    No, exact figures DO matter because 5000 Varium might not always be obtained the same way. Because the exchange rates are different, you can't say 5000 Varium is 49.95 USD. I could buy 2 19.95 Packages for 8000 Points (Via 2 upgrade cards), which would roughly be 1000 More Points for the same varium, which means, different amounts of money being spent on the same item.




    ThePitbull -> RE: Shocking Revenue Statistics (5/1/2011 21:28:39)

    LOL guys read the bottom of the post. It talks about how I used conservative, which means lower than should be, estimates. Yes the conservative estimate accounts for the costs running servers, which I labeled as operating costs.

    @tankmage There are 500 armors each. 500+500 = 1000. Also, look at people's inventories and the amount of people rising up to high levels each week. Tons of weapons are being bought, not just armors. Even if the item is not limited, each new update per week usually comes with new weapons or refills to the limited quantity items, which people buy at insane rates.




    edwardvulture -> RE: Shocking Revenue Statistics (5/1/2011 21:30:14)

    remenber that limited items arn't released everyweek and the 1000 free variums founders got




    TankMage -> RE: Shocking Revenue Statistics (5/1/2011 21:31:27)

    @Pit updated my post....




    ThePitbull -> RE: Shocking Revenue Statistics (5/1/2011 21:55:26)

    @tankmage Consider the idea that way more than 500 weapons each are being sold during events. This offsets the decreased amount sold during non-events. Also, the game is growing. Now Epic and Exile are consistently full and the excess spill over onto the other two servers. Before, the game used to only have around 600 in Epic. I am sure that by now or at least soon, 500 weapons will be sold per week.

    Even if I halve the revenue calculation to around 2 million since not as much are supposedly sold, this is still a huge amount of money for two developers. Remember developers average 50-100K per year.

    Also, let's not forget I am not including class changes, assault bots, additional inventory slots, houses, styles, experience and battle boosts, bikes, etc.




    helloguy -> RE: Shocking Revenue Statistics (5/1/2011 22:45:06)

    Not Surprised, Not Surprised At All.




    Wandering Guardian -> RE: Shocking Revenue Statistics (5/1/2011 22:57:22)

    This doesn't take into consideration the amount of points gained freely from offers either.

    ~WG




    voidance -> RE: Shocking Revenue Statistics (5/1/2011 23:22:35)

    Its impossible to tell how much they make because of what several people have said such as Taxes, Business cost's, free offers, people that buy the 50$ pack instead of the 10$ pack, not to mention they get paid a set paycheck, etc. Well I take that back, its easy to tell how much they make a year since they have a set paycheck, but its hard to tell how much EpicDuel profits a year from a players point of view because we dont have access to such records and what not.




    Cinderella -> RE: Shocking Revenue Statistics (5/1/2011 23:42:57)

    The devs get a paycheck. Titan and Nightwraith are not millionaires.

    I'm locking this up, not because of the fact that it leaves a bad taste in my mouth (which it does), but because without seeing AE's finances, or Titan and Nightwraith's personal finances, you can't really make more than an educated guess- it's not out of the question for a business to make millions. One of my relatives has his own business- he takes in about 4 million a year, but his take-home pay puts him at $20,000/year- some years more, some years less. You can't calculate profit without accounting for expenses.

    Locking this up.

    Cinderella




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