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Something for general stores: Fortnite (22)


08-04-2018 08:09 PM #1 pekadis (Moderator)
Something for general stores: Fortnite

I am pretty much a noob at it and my son would easily beat me.

And much like him, there are loads of kids playing Fortnite.

He bought a T-shirt in a local store today. For 15 euro.

That same T-shirt is just a few $ on aliexpress: https://www.aliexpress.com/wholesale...hText=fortnite

And there are lots of other products you can sell as well, like key chains and backpacks.

But if you really want to make some money, buy the same items here in some quantity: https://s.1688.com/selloffer/offer_s...5.3262836.d102

You'd be buying those t-shirts at $1 each. Keychains are less than that.

There's a lot of stuff I wouldn;t know where to buy, like the pick axe keychains. So I think there's a real opportunity here.

Well worth a test at least...

PS: This is not officially licensed gear, so keep that in mind


08-04-2018 08:23 PM #2 manu_adefy (Veteran Member)

Yeah, was thinking if you'd bring up the last part or not haha.

Fornite is huge, and I'm pretty much following developments in that space regularly. They've created much more than a game, it's basically a meme now so I have a feeling it's not done growing yet.

They are also quite careful about who gets to use their IP. They are not even putting their game on Google Play: https://stmforum.com/forum/showthrea...PPI-on-Android

I am pretty sure they will fight hard if gear with their IP becomes too common.

Of course, there will be things they cannot claim, so there should be a sweet spot somewhere.


08-04-2018 08:32 PM #3 pekadis (Moderator)

I would call that an IP play as well, if really what I cared about is that 30% :-))

I think that when they do try to regulate, there will be official merchandise as well. Which would also be a good opportunity.
All the kids want to have the real stuff...

For now, there's a hungry crowd of kids out there.

Personally, I can't spend any money on a dance, a pick axe or a character if it doesn't give me an edge in the game. Know of a lot of kids, including my own, who eagerly spend money on whatever new gotta-have thing that comes out.


08-06-2018 07:20 PM #4 moneytrain (Member)

Following this very closely as well. I know big time investors that have personally put millions of their own money behind eSports teams and companies in the eSports space.

Next step is to think of products that could be sold to this market on a recurring revenue basis aside from the obvious ones...

EDIT: From what I've gathered these may be two different markets. 1.) Casual players that are not interested in going pro or making money from video games (streaming, tournaments, etc.) and 2.) Players that have an interest in going pro and making money from video games. The latter group often playing more hours per day and likely paying more on products or services that help them achieve their dreams or not fall behind other players.

And then there is the whole female video gamer market too that we shouldn't forget about.


08-06-2018 07:26 PM #5 manu_adefy (Veteran Member)

Quote Originally Posted by moneytrain View Post
Following this very closely as well. I know big time investors that have personally put millions of their own money behind eSports teams and companies in the eSports space.

Next step is to think of products that could be sold to this market on a recurring revenue basis aside from the obvious ones...
I assume something like football (soccer as its called in the US) is a decent comparison.

Jerseys, memberships, season tickets and all sorts of stuff that you renew every year, with every new season.

You can go even deeper with training camps and such. Once there is enough money on the line for the skill, there will be people teaching the game(s) too. Already happening, just at a smaller scale.


08-06-2018 07:54 PM #6 pekadis (Moderator)

Looking at my son and his friends, they all would love to be part of a team and have followers, play better, make money.

But I don't know who is teaching for a fee, although there's plenty of free stuff on Youtube.

The trouble is knowing which games will have staying power. You don't want to set up a team for game X, only to find out no one is interested in the game any more after some time.

However, once your team becomes a brand, like Faze for example, you can do Faze COD, Faze fortnite etc (as they have done: https://www.youtube.com/watch?reload=9&v=fMZL_r7tzMg)

With @manu_adefy 's comparison to football and how they generate money, it can be very lucrative to create a team and own the rights. I don't even think it would cost that much.

With try outs etc you can even generate a lot of buzz and money before the team is set up.

Interesting stuff...


08-06-2018 08:02 PM #7 manu_adefy (Veteran Member)

Quote Originally Posted by pekadis View Post

With @manu_adefy 's comparison to football and how they generate money, it can be very lucrative to create a team and own the rights. I don't even think it would cost that much.

With try outs etc you can even generate a lot of buzz and money before the team is set up.

Interesting stuff...
I don't know exact numbers because I didn't look enough into the market but I heard several times here and there that it's much more than you would expect.

It's much more than just incorporating.

Creating a big buzz, having good players, getting sponsors and winning prizes are probably much tougher than it looks to us outsiders.

I am pretty sure you cannot dent the eSports scene without 8 figures these days. So while that is nothing compared to football, it's probably always going to be considered a lot of money, haha.

Maybe someone already in the industry, with the right connections, strategy and marketing know-how can do it with less. But as an outsider, I have big doubts.

Following the industry from the sides for now. Maybe there will be a situation in which my skills are useful and timing fits to get involved


08-07-2018 06:56 AM #8 pekadis (Moderator)

I wouldn't look at making a dent in the scene and winning prizes.

Target would be to have something kids can aspire to and belong to (with different tier levels). And makes money.
On a national level, not the world scene.

Here (The Netherlands), there would be plenty of opportunities.

It's what Jon Spoelstra did for a sports team that did nothing but lose. Yet was very profitable. How? By marketing going to the game as a fun day out.
Recommend reading his book, marketing outrageously (here's an Amazon link)

This sort of buiness can be achieved for a lot less.
It all depends on your goals of course.


08-08-2018 12:42 PM #9 matuloo (Legendary Moderator)

Kids are willing to spend money on game-related stuff ... they are getting on my nerves all the time with it I could understand if they wanted a t-shirt or other branded apparel ... but the damn SKINS are something I have a hard time to understand ... my kids regularly beg me to buy them skins that give them absolutely NO advantage, no special powers, no improvements ... they just look different from the free ones. But it's not like they are any exclusive, soon after being released, tons of other players have them too, so it's not even making them stand out of the crowd much ... I don't get it


08-08-2018 12:45 PM #10 pekadis (Moderator)

@matuloo - exactly my experience as well.

And once the Vbucks are spent on the skins, they want to use a noob skin as part of their strategy...

Now told my son to grind through the levels of the new season to earn the Vbucks in-game.


08-08-2018 01:28 PM #11 manu_adefy (Veteran Member)

Quote Originally Posted by pekadis View Post
Now told my son to grind through the levels of the new season to earn the Vbucks in-game.
Can't wait to hear how the talk will go once you tell him something like "You should play that game less"

"Oh sure, now I should play it less. Make up your mind, Dad!"


08-19-2018 02:36 AM #12 moneytrain (Member)

Hey Guys,

Over the past few days I ran a few campaigns in hopes of collecting leads in the gaming space. Prospects were led to a survey/questionnaire funnel so I could gather some data, and then after they completed the survey, they opted in with their name, email, and phone number to get a lead magnet (PDF guide on how to game like the pros).

Ran $30 of FB ads, $30 Google Adwords, and $50 of Snap Ads. Main takeaways below:

-Snap CPMs are not high, as Manu and Mitchell have stated. My creative was a simple motivational video clip of eSports, with text that said "if you wanna game like the pros swipe up now". The $50 got me 50,000 impressions, 500 Swipe ups, and about 25-35 optins (don't know which came from FB and Google). This came out to be about a CPC of $0.10 and a CPA of $1.42.
-Google - Top adWord was "improve gaming" by far. No other words game close. CPC was too high at $2.00 (compare to Snap at $0.10 a click).
-Facebook - CPC was around $0.60, still 6x more expensive than Snap.

Demo info:
-Snap Traffic: Of the 40 opt-ins, 99% were 18-22.
-FB/Google - slightly older mix. Still 40% 18-22, but 30% 27-35 and 30% 35+. Keep in mind that the sample size for FB/Google was much smaller (majority of clicks came from snap.)

Survey Questions with Answers/Responses:

1.) How Old are You?: 99% said 13-22
2.) Where Do You Watch Your Favorite Streamers?: 55% Twitch, 40% Youtube, 5% other (Mixer)
3.) What Social Media Platform do You Use the Most?: 99% Snapchat (could be bias here )
4.) Do You Want To Go Pro or Just Be Good Enough to Get Tons of Subs or Stream Followers?: 65% said they just want to be good enough to stream/gain subscribers, 35% said they wanna go pro. Funny enough, 0% said they just gamed casually.
5.) If you Could be a Pro Gamer in Any Game, Which Would You Pick? 90% said Fortnite, 10% said Counterstrike/League/Dota 2
6.) What's the biggest thing holding you back: 70% said they don't have any money, 30% said they're too busy with school/work
7.) Which of These Things Would You Buy To Improve Your Gaming Skillz?: There was no clear winner here. I tested 3 products and they all got an even split. 25% said Meal replacement shake, 25% said Magic Pill that increases reaction time/reflexes, 25% said Pre-gaming/Pre-scrim drink that improves their gameplay. The last 25% said that they wouldn't buy any of these things. This leads me to believe that the best product that can be sold to this potential (emphasis on potential) market would be a Pre-gaming "Super Drink" that helps gamers focus/stay alert, AND increases their cognitive ability (reaction time/reflexes being the most buzzword here in the gaming community).

Open Response Results:

The other half of my traffic went to a lander that asked: "What is the #1 thing holding you back from being a pro/serious gamer," to which I received a variety of responses:

-"I don't have the streaming equipment and I'm low on money"
-"my parents"
-"school and my parents" <-- got this one twice
-"I personally, I believe the lack of a team to support me and the streaming equipment prevent me from becoming an eSports pro although I'm known amongst the Smash bros community" <-- LOL at this response
-"Recognition/the views on Twitch"
-"No viewers on my streams"
-"Wifi speed and money"
-"I don't have enough money to buy a pc and streaming equipment" <-- got this one twice
-"my brain doesn't work 99% of the time" <-- hope for brain pills?!?!
-"I'm not getting any viewers on my Fortnite stream"
-"I feel like I'm being held back by my inability to use the smartest strategies"
-"lagging and hackers"
-"It seems that even at my best I'm still able to be knocked from left and right. Example- on COD Black Ops 3 I am able to get a pretty decent k/d and high kills but I seem to lack what is needed to live long enough to earn my score streaks yet everyone else is able to get things like r.a.p.s and the hayter and I'm just sitting here like idk what to do" <-- LOL at this one too
-"I don't have the right equipment to stream"
-"I suck at gaming"
-"lack of confidence and networking"

So to summarize, it seems that aspiring eSports pros and aspiring mediocre streamers may be two completely different markets, even though they are both young (18-25) and don't have a lot of disposable income. It seems like a pre-game reaction time/reflexes energy drink MIGHT have some demand for the aspiring pros, while the aspiring streamers, cheap streaming equipment (hello dropshippers) or an info-product on how to get more views on your stream would sell a lot better.

For nootropic competitors I found these 1.): https://hvmn.com/nootrobox (these guys are also doing big numbers in Keto), and 2.) Qualia https://neurohacker.com/ (a source who works in the nutra industry said that this company is for sure an 8 figure company, possible a 9 figure company.

anyways, my sample size was quite small (40 respondents) and most of the traffic came from Snap (so it makes sense that they are young). Going forward, I might test a mock product funnel page targeted at a slightly older demographic and see if I get any bites. I have a strong feeling that there is demand for SOMETHING in the growing video gaming space, I just don't know what that is yet and how to effectively target the older demographic that is willing to actually spend money.

I hope this data helps. If I can't get anything running in this video game niche I'm just gonna dive right into nutra products targeted at 40+ year old women. I think I'd rather deal with women than a bunch of video gaming dudes


08-19-2018 08:46 AM #13 shishev (Moderator)

Gamers are a really tough crowd and yes there are tons of different markets/niches/sub-groups, they also don't like spending money.

Going pro is extremely time consuming and a lot more difficult than you'd imagine, it takes some serious dedication and persistence. You need constant practice, you have to stay "in shape", and you have to be stubborn as a donkey.

I can speak from personal experience - spent way, way over 10000 hours playing Counter-Strike (thousands of hours in other games too) as a teenager and barely managed to reach some near pro skill levels. 5v5 tournaments, 1v1 tournaments, non-stop "casual" play/practice - if you stop playing for a month, you have to practice for 2-3 more before you're back in shape, and only then can you continue improving your skills.

Obsession might be the correct synonym for competitive play - I remember playing 1v1 versus some real pros and I kept losing and losing, but I was determined to win and managed to catch up - after dozens of games I found their weaknesses, readjusted my play style and it happened. Not long after I had my eyes set on a professional gaming career but then the common "parents + school" hammer dropped down. And it also did for my teammates, life happened.

Another thing I know is that gaming gear does not make you better at games. Only practice does. Started working online when I was 15 and I could afford some fancier, more expensive "gaming" equipment, but it made no difference. I played best with a common $5 keyboard, and a $10 mouse. Though gaming equipment does sell really well for obvious reasons (you sell the sizzle, not the steak as Sugarman puts it haha).

Selling to aspiring pros would be very different from selling to streamers or even just casual gamers.

For pros I can see infoproducts doing really well, though slapping together a simple PDF or video from stuff you've read left and right won't cut it. You need to hire a pro to write stuff and record videos for you, but then even those have to have exceptional content because you can always open up Youtube/Twitch and learn directly from so many good players.

For streamers, I think you can either try to sell the dream of becoming successful/popular (it's what every kid nowadays wants), or focus on selling cheap streaming equipment. Or a specific branded "streamer-specific" item like glasses or something of the sort.

The easiest bet would be to test tons of game-related merchandise in case there are no licensing issues. It's very similar to sports fans - the urge to belong is insane, and they'd spend cash on anything related to their favourite team. It's the same with car brands.

I don't know what the age groups of Fortnite are but my guess is it's mostly kids under 18 who are the most passionate - so perhaps target the parents with gifts, or some sort of a fear-based guide, or something that educates the parents and helps them understand why kids buy so many skins and then twist the angle to selling them physical goods because they have some actual use etc. (@matuloo haha).

I rarely play games nowadays but I did try out Fortnite and I've got mixed feelings - it's a really fun game, but it has super casual shooter mechanics, hence the explosive growth. I don't think it's going to last too long but I may be wrong.


08-19-2018 10:45 AM #14 manu_adefy (Veteran Member)

Haha, there seems to also be a growing market for streaming "guru" - courses to teach people how to gain more viewers because it seems like a big issue for everyone responding.

You probably can't get super big streamers but maybe some of the medium ones could partner with you on that? Question is if you can convince that streamer that you're good enough to promote their product and not just a shady affiliate.

This is not just for @moneytrain now but others who perhaps are looking into this. As an affiliate, you probably have some skills in driving traffic, even if it's to a live stream, so it's not like you'd be completely out of your element.


08-22-2018 10:37 AM #15 manu_adefy (Veteran Member)

So @matuloo, @pekadis... Which one of you guys are buying the Galaxy skin for the kids?



https://www.youtube.com/watch?v=-HotPykhALM


08-23-2018 01:00 PM #16 pekadis (Moderator)

@manu_adefy I am very clear when it comes to buying skins. No.

Told my son to leave 1K in Vbucks for next season and grind to earn. Teaches persistence.

Same principle applies to ecommerce.

But am starting 2 new sites as a project with the kids.

one will be a gamer / fortnite site for my son
other will be a site with hats (woolen etc) for which I have a killer domain name (EMD .com) for my daughter

I'll be setting it up with them and at the same time teach them everything from what a domain name is, branding, product sourcing, promotion, hosting, pricing the whole shebang.

At the same time, I'll pay them an hourly rate for small tasks. So they can see a bit of a return and reach their immediate goals of earning money (we don't give them pocket money or a weekly allowance to spend on crap (from my perspective)

We'll see about the results, as my time is limited, but it'll be a great education that they can;t get anywhere else and will give them skills they can use the rest of their life (understanding of promotion, pricing, markets)


08-23-2018 05:39 PM #17 manu_adefy (Veteran Member)

That's awesome I think! Let us know how that goes!


08-24-2018 04:05 AM #18 erikgyepes (Moderator)

Don't have kids yet.

But as I see I should probably start saving some money on the side for skins.


08-25-2018 12:50 AM #19 vortex (Senior Moderator)

Holy moly moneytrain - that's some market research! Very inspiring.

This is turning out to be such an amazing discussion - I'm learning lots from it. Looking forward to more.



Amy

Sent from my SM-G930W8 using STM Forums mobile app


08-25-2018 01:38 PM #20 pekadis (Moderator)

So...expect official gear soon as Epic games have teamed up with IMG (read the release here)

You can enquire about a license for fortnite here Really wonder what the minimum volume would be.
Plus what sort of demands they have in terms of how to establish it's official gear and report sales.

If you can work with print on demand, this could be very interesting. Should not be hard to get traffic.

BTW, here's a site with "un-official gear" that looks really well done


09-05-2018 09:20 AM #21 udroppy (Member)

Quote Originally Posted by pekadis View Post

BTW, here's a site with "un-official gear" that looks really well done
Really interesting, Fortnite gears are something we are trying to add to our catalogues for dropshippers!


09-12-2018 04:28 PM #22 joshtodd ()

Quote Originally Posted by pekadis View Post
BTW, here's a site with "un-official gear" that looks really well done
Wow that’s just blatant! There’s no way they will get away with that for long.


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