Square Enix Admits Sales of Marvel Avengers Are Not As Expected

Launching the kotaku.com site, Square Enix, as the publisher of Marvel Avengers, admitted that the game’s sales did not match expectations. In early November, Square Enix held a meeting for investors in Japan. The Tokyo-based gaming company finally released the official transcript of the meeting this week.

During the presentation, Square Enix President Yosuke Matsuda said, “The HD Game sub-segment posted an operating loss because Avengers Marvel’s initial sales were lower than we expected and were unable to fully offset the amortization of game development costs.”

One of the investors who participated in the meeting estimated a loss of up to 7 billion yen, or around Rp. 943 billion, this was not denied by Matsuda. As for those asking whether the HD Game sub-segment would be profitable if Marvel’s Avengers had sold enough to cover the development costs, they don’t seem to believe the losses were too big just because Avengers sales were sluggish.

“The absence factor associated with Marvel’s Avengers, the sub-segment will be black,” replied Matsuda. “Apart from the amortization of the game’s development costs, another important factor associated with the title is the fact that we carried out a massive advertising campaign at the time of its release to make up for delays in our marketing efforts due to the covid-19 pandemic.”

According to Matsuda, there are still “some development costs”, but Square Enix hopes to cover those costs by increasing sales. The game is getting DLC ​​next month, while the PlayStation 5 and Xbox Series X / S versions have been postponed to next year to improve the game.

“Our intention is first and foremost to work to expand sales in order to increase its profitability.”

Matsuda was also asked if there was a reason for this unexpected low sales or if something could be done, he replied, “We were involved in a lot of preparations before the launch, but it is true that there are aspects of where we are. We intend to use the lessons we learned from this experience in future game development efforts. “

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