CelebrityOn.comroad to become a web celebrity

In my previous post I wrote about MochiCoins and how the game developers are going to earn more money by this new development. At that time Mochi did not announce any share for the publishers, but they told that they might come up with a suitable agreement between developers and publisher so that these games could be distributed well. Now, few days ago Mochi came up with their revenue share model for MochiCoins enabled games. The main features can be summarized as follows:

Publishers: A publisher will earn 10% of the 1st total funding transaction by a user from the website. If the same publisher buys again later at any other website publishers will get nothing. Also, publishers will get their share only if the user buys coins using a credit card or PayPal account. Publishers are not eligible for any other payment methods. Publisher can earn 10% extra if the user spends money in a game where the developer has opted to share revenue with publishers. Publishers are always eligible for this 10% share with the ‘developer revenue sharing games’.

Developers: Developers will earn 60% of the total spending by a user and their earning is not limited to ‘first transaction only’ like publishers. They will earn gross 60% of the share regardless of anything. Developer can share 10% of total earning if they opted for ‘developer revenue sharing’ in a game. In that case a developer will earn 50% of the total transaction and 10% goes to publishers.

MochiMedia: MochiMedia will earn 40% of gross revenue all the time except when a user first time buys coins. In that particular case they will earn 30% and rest 10% goes to publishers.

Developers and MochiMedia are clearly benefiting from the revenue sharing model. For publishers it is only limited to first time purchase, so the overall revenue of publishers would be way lower than the 10% figure, although publishers can earn little extra if developers opt for revenue sharing in their games. Publishers are clearly not happy with the model and developers seems well-accepted the revenue sharing system. In my opinion the total revenue sharing model is biased towards MochiMedia and game developers. Publishers might not earn much from this revenue sharing model. There is no point limiting publishers only for the first transaction by an user and they should get their share all the time when a purchase is made from their website, but clearly Mochi is against that as they pointed out this in their forum that publishers need to prove their worth before they ask for more.

Now it is to be seen how this model works out and how many publishers accepts these terms especially big publishers. There are also many things in the MochiCoins enabled games that are not acceptable to the publishers. A user has to leave publisher’s site to buy coins and that could result into traffic loss for publisher website. Mochi said that the purchase could not be done in the publisher site to make the whole thing secure. Users have to separately login to Mochi system, before they can use the coins, which can be confusing to the user because they might already be logged into the publisher site. Also the Mochi login system is not customizable like other in-game revenue sharing companies like GamerSafe. Developers find all these are just excuses of publishers and publishers should be happy that they are getting something from the revenue sharing model where they should not get a penny in the first place. Developer’s argument is that publishers are getting contents for their websites for free and they should be happy with it.

At this time only a handful games are MochiCoins enabled and only high quality games are accepted for coins-system. The fight between publishers and developers might go on long, but if Mochi wants to make the system a success they have to make everyone happy and that could be a tough job. At present, the revenue sharing model presented by MochiMedia is probably not the best for publishers, but they might earn some while adding these games to their websites. Developers and Mochi will definitely earn more with this new system.

Are you a developer or a publisher? Let us know your opinion on the revenue sharing model by commenting on the post.