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Hey, GOGgers,

We're not perfect, we're exploring new frontiers, and we make mistakes. We thought DRM-Free was so important that you'd prefer we bring you more DRM-Free games and Fair Price was less critical and that it could be sacrificed in some cases. The last two week's worth of comments in our forums (nearly 10k!), show that's not the case. We didn’t listen and we let you down. We shouldn't sacrifice one of our core values in an attempt to advance another. We feel bad about that, and we're sorry. Us being sorry is not of much use to you, so let’s talk about how we will fix it.

One: DRM-free forever. Abandoning fixed regional pricing means it will probably take longer to get some games, but you've made it clear that sacrificing fair pricing for more DRM-free games isn't acceptable.

Two: We will adamantly continue to fight for games with flat worldwide pricing. If that fails and we are required to have regional prices, we will make up the difference for you out of our own pockets. For now it will be with $5.99 and $9.99 game codes. In a couple of months, once we have such functionality implemented, we will give you store credit instead, which then you will be able to use towards any purchase and cover the price of it in full or partially. Effectively gamers from all around the world will be able to benefit from the US prices.

This will apply to every single game where we do not have flat pricing, such as Age of Wonders 3 (full details here), Divinity: Original Sin, and The Witcher 3. If you remember the Fair Price Package for The Witcher 2, this will be exactly the same.

Three: We still intend to introduce the pricing in local currencies. Let us explain why we want to do it and how we want to make it fair for everyone. From the very beginning our intention was to make things easier for users whose credit cards/payment systems are not natively in USD. The advantages are simple because the price is more understandable and easier to relate to. There would be no exchange rates involved, no transaction fees, and no other hidden charges. However after reading your comments, we realized we have taken an important element away: the choice. In order to fix this, we'll offer the option of paying in the local currency or the equivalent in USD. This way, how you pay is always your choice.

Four: You are what matters, and we will be sure to involve you all more in what we're doing and why we're doing it. Let's start by meeting you at GDC - we’d like to invite you to meet us face-to-face Monday the 17th at GDC. Obviously, not all of you can come to San Francisco, so we want to invite all of you to an online event with us early in April to ask us whatever you would like. More details soon.

The bottom line is simple: there may be companies that won't work with us (although we will work hard to convince the most stubborn ones ;). Yes, it means we might miss out on some games, but at the same time GOG.com will remain true to its values and will keep on offering you the best of DRM-free gaming with Fair Prices.

Once again thank you for caring so much about GOG.com. We will work hard not to disappoint you again.

--Marcin "iWi" Iwinski & Guillaume "TheFrenchMonk" Rambourg
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gooneysenior: Alrighty, you've got a point there (at least about "a couple hundred" vs. 2.288). Now, I'm pretty sure that 2.288 people still ARE a minority. And how many of these people are real customers?
In the end only the GOGers know. And I'm not imposing my view on others nor do I think my view is the universal truth. I'm guessing from past experiences. I don't have numbers. that's why I wrote things like "to me", "I think" and so forth.
Anyhow: I dearly hope you're right about GOG knowing what they do and working with real numbers. There have been many cases in the past where companies did NOT follow facts but opinions. Short term reaction to avoid a boycot is one thing. Long term planning is another.
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narrick: we don't really know what reason made gog rethink their decision, but it might be a fall of the sales.

by the way, you think that there might be many users that agree with the local pricing but have not voiced their opìnion in the forums... i think that many other users from all parts of the world might be opposed to the local pricing but have not voiced their opinions in the forums (maybe because they find dificult to express in english), and they have stopped buying games instead
yep, that might absolutely be the case. i don't think so but I might very well be totally wrong. plus, the show is over for now - GOG has decided to pull it. I'd really like to know the "real" reason for the decision, but there'll always be a layer of PR between facts and customers. :)
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thuvia: ...As a token of my appreciation, I'm going to buy the next game I fancy on GOG.com at full price instead of waiting for it to appear at 75% discount like the skinflint I usually am..
This is the right spirit. I'll do so too. We must prove worthy of the compensations we get.

And somebody please kick the ass of the greedy publishers. They need to rethink the relation between retail and digital as well as their stance on regional pricing.
Post edited March 12, 2014 by Trilarion
I think regional pricing is suboptimal, but a relatively small concern in comparison to being able to get games such as Alpha Centauri working in new PCs. Hopefully the future will bring Warlords III to this site as well.
This is insane people! We can't just let GOG LOSE money on every sale from VAT countries like UK. THIS IS MADNESS.

Based on EnigmaticT's info, if GOG has a sale where 100,000 customers from VAT countries buy the game, gog stands to LOSE $200,000.00. Zero profit, just losses. Is everyone else really ok with this?? Is this what we expect of them to "stand by their principles"?
Post edited March 12, 2014 by Messi_is_Messiah
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gooneysenior: Alrighty, you've got a point there (at least about "a couple hundred" vs. 2.288). Now, I'm pretty sure that 2.288 people still ARE a minority. And how many of these people are real customers?
In the end only the GOGers know. And I'm not imposing my view on others nor do I think my view is the universal truth. I'm guessing from past experiences. I don't have numbers. that's why I wrote things like "to me", "I think" and so forth.
Anyhow: I dearly hope you're right about GOG knowing what they do and working with real numbers. There have been many cases in the past where companies did NOT follow facts but opinions. Short term reaction to avoid a boycot is one thing. Long term planning is another.
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narrick: we don't really know what reason made gog rethink their decision, but it might be a fall of the sales.

by the way, you think that there might be many users that agree with the local pricing but have not voiced their opìnion in the forums... i think that many other users from all parts of the world might be opposed to the local pricing but have not voiced their opinions in the forums (maybe because they find dificult to express in english), and they have stopped buying games instead
I also suppose that the sudden use of russian IPs from everyone was a matter of concern. People can always find a way to circumvent regional pricing if they want, be it proxies or even piracy in the extreme case scenario, so forcing it down their throats wasn't a great idea to start with. People are buying games on GOG because they like it, not because they need to. I guess they realized it and that's very important both for their business and for customers.
I also think that the online even they are suggesting is a GREAT idea. Allowing customers to express feedback may be very beneficial to their business.
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NetAndy: Now the real question is, do I want AoW3? :)
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TheEnigmaticT: You gotta admit, it looks pretty sweet.
It does :D
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tfishell: Could this mean we'll be getting GOG gift cards? Unless I'm mistaken, we're only able to gift specific games to people, not an amount (like 5.99 or 9.99) that said person can then spend on whatever game they want.

You should look into doing like Steam does - actual physical gift cards in stores.
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shadowbaneaxe: Why physical gift cards? That just costs them more to produce and distribute. Gift codes work just fine...
Printing it as a "real" giftcard could be a nice idea! :D
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Messi_is_Messiah: This is insane people! We can't just let GOG LOSE money on every sale from VAT countries like UK. THIS IS MADNESS.

Based on EnigmaticT's info, if GOG has a sale where 100,000 customers from VAT countries buy the game, gog stands to LOSE $200,000.00. Zero profit, just losses. Is everyone else really ok with this?? Is this what we expect of them to "stand by their principles"?
I would note that math was using publicly available numbers and was furthermore wrong about VAT. We're very close to "break even point" for games like this. My business development team would break my thumbs if I led you to believe they're that bad at making a P/L statement. :P
Post edited March 12, 2014 by TheEnigmaticT
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Messi_is_Messiah: This is insane people! We can't just let GOG LOSE money on every sale from VAT countries like UK. THIS IS MADNESS.
Maybe i'm math-impaired, but if they get a 30% share on sales, and they have to pay 20% VAT, doesn't that mean that on a 49.99$ sale they gain 15-10=5$ per sale?
Also, i thought that the extra 10$ charged was supposed to cover VAT, in fact. They should get a 30% share on the net value, 39.99, not on the gross value. Otherwise, the selling company is scamming them.

BTW, the UK price point is fair, considering the extra 10$ just cover VAT, from a customer perspective. What i really don't like is how game companies charge EU countries 39.99€ for 39.99$ games, since, for example, considering VAT is 22% here in Italy at the moment, the US price + VAT would be 48.79$, while 39.99€ is actually about 55.62$...
I wouldn't mind at all having VATs applied to all my purchases. In fact, i already DO have VAT applied on all my purchases on stores like Magic the Gathering Online. My problem is, and always was, being charged MORE then that.
Post edited March 12, 2014 by Shendue
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BKGaming: Yes exceptional cases... your crazy if you don't think it will have an effect on which games and how often...
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IAmSinistar: Thank you too, Nostradamus. It must be comforting knowing how it all plays out. Or is it the despair and gloom-seeking that is comforting? If so, take heart. If things don't go to smash this time, there will always be a future change you can peg the oncoming apocalypse to.
No fortune telling required buddy, If you can't use common sense and deductive reasoning to tell that GOG is making a very slim profit off these new games in regions with regional pricing so it unlikely they will take much risk and lose money by having certain new games then there is little point to this discussion. But by your attitude you don't strike me as someone with common sense / deductive reasoning skills though so this is probably a lost cause.

Any new AAA IP's could end up being passed over here not because of DRM or anything like that, but simply from the risk of an unproven IP and the from risk it could cost GOG especially if it's a genre that sells more outside of North America . Sure big sellers like COD (an example)... something popular and proven money makers could still come here.

As always my opinion is just that an opinion, everyone has gave there's yet because my opinion doesn't align with your views you seem to be taking it personally. I did not ever claim anything as FACT. GOG may take these risk and we could see a lot of new AAA DRM free games here... I just don't think they will. GOG doesn't have Steams money to be taking big gambles.

Take care... and being realistic here about how this could play out is not gloom and doom, I do also believe this could work out rather well in GOG's favor. Once those regionally priced Steam users realize GOG is giving a much better value for new games it could be a game changer.

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nadenitza: If you don't mind donating 30% on top of your game price sure, at any other case - course no one will buy it. We ain't that stupid. In fact i stopped buying from steam for the same reason, unless it's dirt cheap.

This begs the question why would they bother if we do this? When they can sell their games day 1 for full price on their dedicated DRM platform and comfortably rip everyone off with the put up or shut up rule, why loose money on drm free and sale hunters? And don't forget the russian gifts.
I think saying nobody would buy it is exaggerating this a lot... North America would buy it, countries with cheaper prices due to regional prices would buy it, and I have seen plenty of people from Germany and other European counties comment that they would have rather have had more DRM free games rather than worry about the price they would have had to pay for it.

And we already established that nowhere near the majority of GOG user base gave input on if they cared about regional pricing or not.

Many developers out there actually don't care for DRM, they do it because Publishers make them, and many Publishers know that many people avoid there games because of DRM. So publishers know they will only be able to sell to GOG users, many who avoid Steam, if there game is DRM free.

Ask yourself the same question? Why release a product here DRM free with flat pricing when Steam allows them to rip you off more with DRM... the answer will always be that GOG has many users that these Publishers would like to sell to and make money off of, users that they know mainly use GOG because there DRM Free stance.
Post edited March 12, 2014 by BKGaming
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Messi_is_Messiah: This is insane people! We can't just let GOG LOSE money on every sale from VAT countries like UK. THIS IS MADNESS.

Based on EnigmaticT's info, if GOG has a sale where 100,000 customers from VAT countries buy the game, gog stands to LOSE $200,000.00. Zero profit, just losses. Is everyone else really ok with this?? Is this what we expect of them to "stand by their principles"?
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TheEnigmaticT: I would note that math was using publicly available numbers and was not exact. We're very close to "break even point" for games like this. My business development team would break my thumbs if I led you to believe they're that bad at making a P/L statement. :P
Let's hope you guys keep in mind that it's temporary and that, in the end, you WILL have pushed unique price for EVERY game/publisher. ;)
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Senteria: But if that is the case, why would you want to bring any new games to GOG if that results in a loss? I feel pretty bad now that GOG is losing money for every AoW 3 pre order from outside the usa.
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TheEnigmaticT: I'd suggest you buy the games you want. If you like AoW3, pick it up. If you don't, then don't.

The numbers I used above were, as I stated, rough and based on publicly-available information. I'm not the business developement team, so I don't know *exact* numbers--and wouldn't be sharing them anyway if I did--but take it from me that if you want to pick up AoW3 from us, go ahead. Whether it helps us showcase that we're a good destination for new games--which lets us fight for flat prices--or just to help show the Triumph guys that they're you appreciate them being mensches for adapting to the changes we're putting in place, there's good reasons to pick up AoW3 if you're inclined. :)
I was inclined to pre-order AoW3, but after what went down I didn't, because I DO vote with my wallet.

Now, after this announcement, I pre-ordered the Deluxe Edition for €46,18.

You can tell the Triumph guys that this sale would have been lost otherwise.
w0rma pointed out that my maths with VAT were wrong and horrible. So I edited my post with maths for clarity. Sorry about the confusion. :'(
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Messi_is_Messiah: This is insane people! We can't just let GOG LOSE money on every sale from VAT countries like UK. THIS IS MADNESS. ...
And the mirror image will be the insane amount of money TRIUMPH WILL GAIN by every sale from VAT countries like UK. It's really MADNESS.

US retail: $40 minus revenue share for retailer (is probably higher because of storage, storefront, production costs, so let's say 50% instead of 30%) means $20 goes to Triumph.

France digital: $55 price minus 30% revenue share = $38 goes to Triumph

They should be swimming in gold already while GOG cannot even pay lunch by the money they don't make.
Does anyone keep reading the title as "Getting back to our boots" ? :/