Let's say that a game doesn't lose sales for for the simple fact that it gets delayed. I can believe that.
But why does a game developer delay a release? Not because they want their game to be perfect, but for economic reasons. The game would loose sales if it got released in a crappy and unpolished state.
But what about costs? If it got released at the time T the game would cost Y, but if it got released at the time T + 1 Month, it would cost Y + 1 Month of developing costs. Now the game company would need to sell X + something copies to achieve the same margin.
If I worked at Bioware's marketing department my reasoning would be something like this:
If we release the game when we initially thought we would, we would loose X sales due to bad word of mouth generated by bugs and general lack of polish.
(BUDGETED SALES - SALES LOSS)* SELLING PRICE - COSTS = MARGIN 1 (Crappy game margin)
Now let's build another scenario: to fix bugs and polish the game we need to add Y weeks of development time that mean Z $ of ADDED COSTS.
(BUDGETED SALES) * SELLING PRICE - (COSTS + ADDED COSTS) = MARGIN 2 (Good Game Margin)
IF (MARGIN 2 > MARGIN 1) THEN it is good to delay the release ELSE it is not good to delay the release.
Now to the questions:
- Does Bioware reason like this when it comes to decide if a game has to be delayed or not?
- If it doesn't: is it because Bioware doesn't believe in such methods or because it is not possible to perform the calculations I described?
- Is it possible to calculate how much Brand Image deterioration caused by crappy releases impact sales in the long term (next installments in the same franchise, other titles by the same company etc.)?