customer-development, gamingWhat are the differences between a normal consumer focused startup where you solve a problem for customers and a gaming startup where you make a product mostly for entertainment.
What are the core differences in terms of customer development, customer behaviour, product cycles, market behaviour?
The answer to this is simple - It’s a question of “want” versus “need”. A product that “solves a consumer need” (such as a better laundry detergent or solving litter box odor) is vastly different than selling an entertainment product.
Asking about the life cycle of products and consumer behavior is rather vague, because it is going to depend on the industry the product/service is in. Without question, the cycle is pretty brief in entertainment products, such as video games, although the caveat there is the complexity involved.
It is not terribly difficult for companies to model and predict desirability and interest by consumers when it comes to products/services that fulfill a need, because that’s what market research and product sampling are for. Let people try the product/service for free in exchange for their feedback on whether it does, in fact, solve the identified need and is something they’d pay for.
Entertainment products, on the other hand, are more emotional and impulsive choices rather than the logical products that solve needs, so consumer behavior is much harder to predict and model. That’s where a savvy marketing and social media campaign would be more effective, whereas a need product is a more thoughtful decision.
The cost of producing and marketing entertainment products (such as video games) nowadays rivals that of the average Hollywood feature film, so it takes a big budget, a really good marketing strategy, and more willingness to take risk than any consumer products company would ever contemplate.
I hope this is helpful in any way.
Good luck!
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