What's the Value of Localizing?
We all know that Steam is a critically important platform.
It’s the closest that PC gaming has ever came to having a single, truly ubiquitous platform for all PC gamers.
But it’s not just the platform’s success that makes Steam important when considering localization. It’s also the insights that Steam shares into how and what its users are playing. Utilizing these figures as the largest survey of PC players available raises the question:
Do you know what languages those 120 million PC gamers are speaking?
Generally, most projects are localized into 5 - 8 languages. Considering the potential ROI of localization, that number should be far higher.
It’s widely understood that Simplified Chinese is competitive with English as one of the top languages on Steam. But, this can make it easy to forget that less popular languages still include millions of players worldwide. Those players love games just as much as English and Chinese-speaking players, and we’d all want to play the games we love in our native languages, right?
But how much does localization affect player enjoyment and purchasing decisions?
When thinking about those players, you have to wonder what’s the biggest drivers for them when picking up a new game:
Storytelling elements take up the 2nd and 3rd spot in player priorities, highlighting just how important localization is for player acquisition. But you might then wonder....
How many players would be happy to just play in English?
A survey of 5,390 players by Black Tabby Games, developers of Slay the Princess (a text heavy title), highlighted how many players said they would not purchase the game if it wasn’t localized into their native language.
Across all languages surveyed, around 54% of players said they wouldn’t play a text heavy game that wasn’t localized into their native language. Is releasing without localizing worth it if you’re not reaching over half of your possible player-base?
But, while Localization lets you access millions of new players, is it worth the investment? How much does localization spend equate to in revenue?
Does Localization-spend pay for itself? A Hooded Horse Case Study:
Hooded Horse’s CEO Tim Bender highlighted the difference in a localized title and a non-localized title. While these titles are at different stages of production, the regional units sold varies greatly:
Due to their different stages of development, NEBULOUS: Fleet Command is currently only available in English, while Against The Storm has been localized into 17 other languages.
Against the Storm’s regional unit sales highlight how localization aids in diversification of revenue, extending unit sales and vastly increasing visibility in other regions.
It's worth remembering that Localization is the only factor that Steam always considers for regional visibility.
How does regional diversification through localization impact revenue?
Both titles are currently available for $29.99 on Steam, with availability across all Steam markets.
70% of Nebulous: Fleet Command’s revenue comes from English speaking countries, with only 30% of revenue coming from all other countries.
In contrast, 34% of Against the Storm’s revenue came form English speaking countries, with 66% coming from countries with supported localized languages.
Comparing these figures with the responses to the Slay The Princess survey gives us a clear picture of how localization affects player purchasing.
If a player’s native language isn’t supported, they are seriously unlikely to pick up the game.
The Impact of Localization On Reviews
Localized reviews impact the overall review score, impacting revenue across all languages. Title revenue performance runs in equilibrium with user reviews.
The better the reviews, the greater visibility titles receive on Steam and other platforms, improving player acquisition and revenue.
The difference between ‘mixed’ and ‘very positive’ reviews can determine the success of a new game, and even an entire franchise.
How does Localization factor into budgeting?
Localization may seem like a spend you can avoid, but looking at the overall costs of average projects shows how small localization investment needs to be, compared to its benefits.
Below are some examples of PC development at varying budgets, with an average localization cost of $0.13 per word.
Localization spend typically constitutes under 4% of all costs incurred when developing a new game. Localization might seem like an avoidable cost, but when it gives you access to millions of new players you have to ask yourself...
Can you afford not to localize?
Sources
https://gamedevreports.substac...
https://premortem.games/2023/0...
https://www.linkedin.com/pulse...
https://newsletter.gamediscove...
https://www.resetera.com/threa...
https://financesonline.com/ste...
https://store.steampowered.com...
https://backlinko.com/steam-us...