OnNet USA is the American subsidiary of OnNet Korea a developer of multiple free to play online games. The American branch of the company acts solely as a publisher through their portal site Games Campus.
Today, OnNet releases their newest game, a free to play third person shooter titled Manga Fighter. We spoke to YJ, Manga Fighter's Producer, about the project and the free to play model in general.
What is the relationship between OnNet Korea and OnNet USA?
OnNet Korea is an software developer creating search engines and other similar products. OnNet USA is an online publisher of free to play games. They're two different ideas with two distinct identities.
OnNet USA opened it's doors three years ago with the launch of our golf game Shot Online.
What did you learn from that experience and what has been carried over to Manga Fighter?
We weren't very well organized which was a big challenge so this time out we made sure to have the proper management in place. That's the real risk area with a project like this you need excellent management.
The other important lesson concerning constant content updating. With a free to play game and a virtual goods revenue model you have to make sure that there is always new content for the players. We found that to be the key to player retention.
It's hard to discuss MMOs without mentioning secondary markets for virtual goods and currency. What are your thoughts?
We're very aware of the secondary markets and the emerging issues associated with them. At this point we're taking a neutral stance and kind of waiting to see what the industry trend as a whole is.
Why have the global launch of a manga style game with the virtual goods model in America. Why not use the Korean market where both of those things are more mainstream?
Well in a lot of ways this is a new game for any market. It's a fast-paced third person shooter aimed at a younger audience and there's not much out there like that. We believe the US is a great testing ground for our new content.
Just three years ago, some declared the free to play model wouldn't work. Today it's beginning to get big. It's not quite mainstream yet but we're heading in that direction and America is a huge potential market. There are a lot of gamers in America.
What about the release cycle. OnNet ran two beta tests and a boot camp? What was that?
The Boot Camp was just a term for our third beta. In fact even now that we've opened the game up we still haven't implemented all the commerce aspects of the game. This is more like an open beta and then we'll see how the market responds before launching the money aspect.
What kind of marketing has gone into the launch of the game?
We haven't done any big budget marketing campaigns but viral marketing has worked well for us. We're also mailing collectible cards to players with a code on them. The code unlocks premium content in Manga Fighter and down the road we're looking at getting these cards into retail outlets.
The other thing we're excited about is the possibility of getting some famous faces from the rest of the manga universe in game. I can't release any details yet but we're in discussion with some major publishers.
Thanks for your time YJ and good luck with the launch of Manga Fighter.
NCSoft the MMO giant has credits that include the massively popular Lineage, Lineage II, Guild Wars, City of Villains/Heroes and the upcoming Tabula Rasa. But Dungeon Runners, one of only two free-to-play games from NCsoft, is unlike most of their other products. DR is based on a tiered subscription model, where users can play for free, or opt to pay a monthly subscription ($4.95) to access upper level content.
Free To Play spent an hour with Dallas Snell, NCsoft's Director of Business Development, discussing Dungeon Runners, the free to play model and the future of NCsoft. Dallas has been a prominent figure in the games industry since 1983 having to contributed to over 20 titles during his time at Origin and EA. After a short sabbatical from gaming, Dallas returned to the industry in his current role based in Austin, Texas.
The earliest version of Dungeon Runners began as a different project entirely back in 2001, before being put on the back burner, where it remained until 2002 when it was dusted off to be a game titled Exarch. That too was eventually put to rest until Dungeon Runners was resurrected in its current incarnation about 18 months ago. Today the team consists of over a dozen internal employees with a heavy contingent of art outsourcing.
The decision to resurrect Dungeon Runners and make it a free to play game (versus a full retail MMO) came from NCsoft CEO Robert Garriott and Chris Chung, the former ArenaNet General Manager, who operated out of Korea at the time and therefore had early exposure to the free to play model. Chris is back in Austin now and looking to push NCSoft further into casual MMO development, replicating the success of Korean companies like Nexon.
There's been speculation that NCsoft chose subscriptions as the primary revenue model in Dungeon Runners due to a belief that North American players preferred that model to microtransactions. However, that was not the rationale for the subscription decision. Instead, Dungeon Runners' optional subscription fee was chosen simply because a microtransactional model wasn’t yet set up in the Dungeon Runners code base. To remedy that, the team is currently working on getting microtransactions running within Dungeon Runners before the game is launched in Korea.
Dallas made frequent mention of NCSoft's embrace of "Web 2.0" development philosophies. In particular, NCsoft's use of the free to play model, Dungeon Runners as a testing ground for future products and the company's strong commitment to reducing barriers to entry for all NCsoft products were all offered as proof of the company's Web 2.0-ness.
Dallas often referred to Dungeon Runners as an experiment, saying that although Dungeon Runners currently utilizes subscriptions, within a couple of months in-game advertising will become a part of DR. In fact, the ads are already in the world, but visible only to testers, NCsoft and Double Fusion (the in-game ad provider). F2P.biz was asked not to reveal how the ads will be implemented, but expect an announcement from NCsoft soon. If all goes well with the ad experiment, Dallas says NCSoft will consider the possibility of scrapping Dungeon Runners' subscription fee all together.
On the other hand, by their own account NCSoft is seeing higher than normal conversion rates with their current subscription set up, so perhaps Dallas won't be so quick to abandon it.
What are those great numbers?
Among active users (online within the last month), Dungeon Runners has a high free:paid ratio - i.e. there's a larger proportion of paid to free users than among most f2p games. Dallas cites Runescape with a 5:1 ratio (free to paid, online at any given time), and says that DR is hitting 3:1, or after content updates, as high as 2:1.
Additionally, NCsoft expected a monetization rate of 1-3%, but their numbers are reportedly "significantly higher" [Dallas declined to give a specific number]. Dallas claimed not to know the cause of the higher monetization rate, but one contributing factor may be that the large majority of in-game activities or items are available only to paid users. Dallas acknowledged this and went on to say that the dev team is strongly considering raising the ceiling for free users as currently only 1-2 hours of free play will result in players hitting the ceiling with respect to what they can get for free.
Further to NCSoft's recently announced plans to release free to play content on the Sony network, Dallas talked about his company's goal of becoming "device agnostic" in order to break down the segregation of gamers between platforms. NCsoft plans to build their own cross-platform community service, with friends lists, inter-game messaging, and other features similar to Xbox Live. NCsoft also intends to release desktop, facebook and mobile widgets to extend gamers' experience.
According to Dallas, NCSoft thinks of Dungeon Runners as a "MMO light" or a game that straddles the gap between casual and core gamers. In Dallas' opinion, the success of products like Runescape makes it likely NCSoft will develop even more accessible games - perhaps even browser-based - to further minimize the barriers to entry.
With 40+ data probes plugged into Dungeon Runners, NCsoft approaches the product as a testing ground for ideas to be built into other games. The probes measure everything from time played, rewards frequency, item usage, leveling curves and dozens of other useful metrics. Outside of the game, account-level metrics are tracked in a publisher module that will allow NCsoft to track and analyze a single player's activities across all their products.
In Dallas' eyes, retail may soon become "extinct" with digitally delivered gaming ruling the day. He spoke candidly about the struggles facing music and film and how games are uniquely structured to develop their own delivery solutions. To that end, products like Guild Wars and Dungeon Runners are blazing trails for NCsoft.
Finally, as already mentioned, a recurring theme from Dallas was his commitment to lowering the barrier to entry in all NCsoft products. As evidenced by their free to play experiment, NCSoft strategy is to grow their customer base as widely as possible, then monetize the largest possible proportion. Most flatteringly, Dallas said his officemates all had printouts of F2P's article, Top 10 Ways to Reduce Barriers to Entry, and were treating it as a white paper of sorts.
Thanks to Dallas Snell for his time and to Opal Lertutai, NCsoft PR, for setting us up.
Start your engines!
Finally, the game that captivated Korea - where a third of the populace have played it, allegedly - comes to North America.
From Pimp My Wii:
KartRider’s open beta will be open to anyone with an internet connection and the need for speed. With several distinct characters to choose from, open beta racers will compete on a multitude of elaborate race courses ranging from the smooth asphalt of Zoomtown to the scorching sands of Desert Drift. The open beta will additionally provide testers with two different karts, numerous paint and license plate modifications, a scenario/story mode, and a useful ‘My Garage’ feature. The ‘My Garage’ feature included in open beta allows users to hang out with friends, modify and show off karts, and try out new items if racers are in need of a pit stop.
Open beta testers can also enjoy different single and team race modes including item mode, an anything-goes mode featuring the use of creative items used to gain an edge, and speed mode, a test of driving skill focusing solely on speed and drift. While item mode racing often results in humorous exchanges and unpredictable outcomes, speed mode rewards drivers for their drift technique. By combining the elements and weapons of a fantasy racer with the precision of drift, KartRider blends an optimal balance between racers who prefer either the spontaneity of item use or the driving skill required by drifting.
Head over to Kart.Nexon.net to see what the hype is about.