why PMDG doesn't sell their products on STEAM store?

[d0ubl3sh0t 1]

Point being?

 

 

already mentioned

in other words people cannot obtain boxed version here.

 

and how do i suppose to buy the box version on the aerosoft store? send all of my money with pigeons to aerosoft office?

[vc10man 732]

in other words people cannot obtain boxed version here.

 

i was referring to tom wrights comment suggesting to buy a boxed version

Not having any idea which country you're from, I thought the way you phrased it, was that boxed versions were available.

[Poppet 703]

in other words people cannot obtain boxed version here.

 

and how do i suppose to buy the box version on the aerosoft store? send all of my money with pigeons to aerosoft office?

Make sure there not pigeons made by FSX, they'll run out of memory:)

[kevinh 409]

Boxed versions don't overcome the credit card problem. They aren't available in shops these days, which is a shame. I used to prefer having an installation disc and a printed manual (remember those?). Happy days...

 

I don't think availability on Steam is the answer either. No doubt Steam extract a fair sized fee from vendors. That's not attractive for companies that don't need the mass market distribution system Steam provides.

 

When my children wanted to buy something that needed online payment I would make the purchase for them and they would transfer the money to me. It's not ideal but it gets round the obstacle.

[Tabs 2,790]

I will not go into the specifics, but we evaluated this option very closely and decided it was not in our best interest to do at this time.

[Hammerheadmike 6]

I will not go into the specifics, but we evaluated this option very closely and decided it was not in our best interest to do at this time.

 

I don't know anything about the proposal on offer for PMDG - but I'm not surprised at this.

 

Who needs percentage-sucking middlemen when you're a strong brand in the community.

 

If anything - steam/dovetail should pay PMDG for taking their toy to a much more serious and lucrative audience.

 

There's a thought.

Just to add one further thought (which I'm sure have been discussed already) - however consider a "PMDG cloud" (forgive the pun) model, similar to Microsoft Office 365.

 

Take a PMDG product price, divide by (average lifespan in months / 3) = ongoing monthly subscription (or just pick an attractive monthly price point).

 

Lowers barriers for those on a budget without discounting the overall product.

 

Gives PMDG a recurring revenue which might otherwise not exist; in the form of an outright purchase.

 

Also known to help reduce piracy.

[kevinh 409]

No thanks. I wouldn't want to subscribe to addons rather than buy them. Imagine how much people would have paid for the 747 over more than 10 years. I want to be able to pay for the licence and own it. Not rent it.

[vc10man 732]

No thanks. I wouldn't want to subscribe to addons rather than buy them. Imagine how much people would have paid for the 747 over more than 10 years. I want to be able to pay for the licence and own it. Not rent it.

With you there, Kevin.

[masneoquil 66]

No thanks. I wouldn't want to subscribe to addons rather than buy them. Imagine how much people would have paid for the 747 over more than 10 years. I want to be able to pay for the licence and own it. Not rent it.

Technically, you never own it.

You pay for the right to use it as it is.

 

But I know what you mean.

[rsrandazzo 6,353]

Gents-

 

A few points on this topic:

 

We routinely evaluate our distribution model, and upon each review of the Steam distribution method, we determine that the process simply isn't a cost effective method.  In fact, contrary to the earlier post in which someone wonders why we would "leave money on the table" the problem with Steam is quite the opposite...  The costs of that channel do not outweigh the potential market expansion that accompanies the channel.

 

Most folks don't realize that in order to distribute products through steam, you have to license distribution to the party that owns the channel.  (In this case Dovetail Games.)  In doing so, you are allowing the owner of the channel complete control of pricing and free reign on special pricing such as Steam sales, etc.  In exchange, you pay the owner of the channel a per/transaction fee that exceeds the cost of our entire distribution network, insurance, security, storage and support process.

 

Then, on top of that, you get to pay Steam an even **larger** fee per transaction.

 

The end result being that the owner of the intellectual property (That would be us in this case!) winds up with about 25-30% of the revenue from the sale- except that there is some significant down-side risk due to the potential for channel-owner controlled steam sales to put you into competition with yourself, since you cannot possibly maintain a price point on your products when the channel owner can, at their whim, push your products out via the steam channel for 50% off or more without your input.  When you find yourself in this position, yield per unit can drop as low as 8% when compared to the normal revenue yield from a customer purchase.

 

So when you ask "Why isn't PMDG selling to us on Steam" you are effectively asking "Why won't PMDG take a 70-92% paycut in order to reach new customers?!"

 

The answer?:  We don't feel it is necessary.

 

Now all of that being said:  One of the things we really like about the folks at Dovetail- is that we can talk about such things with them candidly, and we are treated with respect and candor.  We recognize that Dovetail doesn't make the rules on the Steam channel, but they still have to compete and they still have to thrive for the benefit of all of us- but that creates risk for PMDG to join them along their channel.  PMDG knows this.  Dovetail understands this.  We talk with one another honestly, and Dovetail in return treats us very well, converses with us regularly, and values us as a member of the development community.

 

So- at the end of the day, we have to make a decision how we conduct our business- and we do...

 

Oh- and Bob:  You are correct.  We couldn't possibly have a regular tee time- I gave up the sport about ten years ago when I finally came to admit that am a horrible player and I never looked back. :wink:

[MarkW 1,491]

Gents-

 

A few points on this topic:

 

We routinely evaluate our distribution model, and upon each review of the Steam distribution method, we determine that the process simply isn't a cost effective method.  In fact, contrary to the earlier post in which someone wonders why we would "leave money on the table" the problem with Steam is quite the opposite...  The costs of that channel do not outweigh the potential market expansion that accompanies the channel.

 

Most folks don't realize that in order to distribute products through steam, you have to license distribution to the party that owns the channel.  (In this case Dovetail Games.)  In doing so, you are allowing the owner of the channel complete control of pricing and free reign on special pricing such as Steam sales, etc.  In exchange, you pay the owner of the channel a per/transaction fee that exceeds the cost of our entire distribution network, insurance, security, storage and support process.

 

Then, on top of that, you get to pay Steam an even **larger** fee per transaction.

 

The end result being that the owner of the intellectual property (That would be us in this case!) winds up with about 25-30% of the revenue from the sale- except that there is some significant down-side risk due to the potential for channel-owner controlled steam sales to put you into competition with yourself, since you cannot possibly maintain a price point on your products when the channel owner can, at their whim, push your products out via the steam channel for 50% off or more without your input.  When you find yourself in this position, yield per unit can drop as low as 8% when compared to the normal revenue yield from a customer purchase.

 

So when you ask "Why isn't PMDG selling to us on Steam" you are effectively asking "Why won't PMDG take a 70-92% paycut in order to reach new customers?!"

 

The answer?:  We don't feel it is necessary.

 

Now all of that being said:  One of the things we really like about the folks at Dovetail- is that we can talk about such things with them candidly, and we are treated with respect and candor.  We recognize that Dovetail doesn't make the rules on the Steam channel, but they still have to compete and they still have to thrive for the benefit of all of us- but that creates risk for PMDG to join them along their channel.  PMDG knows this.  Dovetail understands this.  We talk with one another honestly, and Dovetail in return treats us very well, converses with us regularly, and values us as a member of the development community.

 

So- at the end of the day, we have to make a decision how we conduct our business- and we do...

 

Oh- and Bob:  You are correct.  We couldn't possibly have a regular tee time- I gave up the sport about ten years ago when I finally came to admit that am a horrible player and I never looked back. :wink:

 

Based on what you have said above the only way it makes sense for PMDG is to add older products to Steam where the sales have all but wound down through the regular channels.  The only problem is you then have to support these "new" customers on an older product which creates yet another problem.

[downscc 1,327]

Based on what you have said above the only way it makes sense for PMDG is to add older products to Steam where the sales have all but wound down through the regular channels.  The only problem is you then have to support these "new" customers on an older product which creates yet another problem.

You misunderstood. PMDG products are compatible with Steam but do not use Steam as a distribution channel, big difference.

[rsrandazzo 6,353]

Gents-

 

Yeah- Dan makes a good point.

 

We put a significant amount of effort into making sure you can use the NGX and the 777 in either FSX-Retail or FSX-SE.  The 747 will be the same.

 

We have not moved the J41 into SE yet...  we may, we may not. 

 

Everything earlier would just be too much work to be bothered.

[d0ubl3sh0t 1]

what about the MD-11?  you dont want to sell them anymore, so why dont you give it to dovetail ?

 

you could use this product as an experiment and see how it goes 

[Tom Wright 438]

what about the MD-11?  you dont want to sell them anymore, so why dont you give it to dovetail ?

 

you could use this product as an experiment and see how it goes 

 

Because they would have to continue to provide technical support for the product, which was in a previous topic stated to be 'end of line'.