Gabe Newell gave a video conference at a Sports/Entertainment Class. In the video below he talks, among other (sales related) subjects, how the crazy Steam sales aren't that crazy at all.
I've always wondered how Valve could pull the sales off without losing revenue. I thought it was simply there to get people to install Steam and hope they'll purchase something in the future. The interesting thing is, not only do sales bump up the revenue, but future sales at a normal price will also see an increase. I'm guessing this has to do with making a product popular first, and thereby making future costumers confident in their purchases.
Gabe Newell on
- 01:40 - 06:30 the history of Valve and marketing
- 07:20 - 09:37 the difference between digital and traditional retail sales and finding out the right approach to the "digital" audience
- 09:37 - 15:55 the value of the costumer in relation to customizing the value of the product and the experimentation involved due to the lack of direct parallels
- 15:00 - 17:15 the power of hindsight
- 17:20 - 19:48 the amount of stress on Valve employees and independence
- 19:55 - 21:45 the correlation between age and the age of technology
- 21:50 - 23:10 whether the current state of the economy influences innovation and independent game development
- 23:30 - 24:30 his favorite game he has made, his personal favorite game he has played, on Mario Sunshine as well as Mario Galaxy
- 24:45 - 26:10 on how dropping out of school makes you a billionaire and male prostitution
- 26:20 - 32:30 Valve's job requirement and the importance of adaptation, knowing your audience and staying current with the changes in the industry
- 33:10 - 35:25 from inception to finished product (includes Tippecanoe Valley High School lunch announcement)
- 35:45 - 37:20 popularizing Steam, using costumers to create new costumers instead of outside business partners
- 37:28 - 40:10 gaining experience, the significance of failing and the people you work with
- 40:25 - 42:55 developing a game and knowing which tools to use on which project, final words, the weather
I hope this is not considered youtube spam or whether this has already been posted elsewhere. (Anyone knows how to make the embedded player fullscreen?).
Credits go to Destructoid for the heads up and VercittiGangBoy for uploading.