Print Production Cost Estimations
Problem
Scene
Many factors could become a threat to any project. Therefore, knowing the industry in and out and planning for the unpredictable is the bare minimum for any well-performing project manager. For this assignment, we became a hypothetical financial advisor for a video game production team, looking to promote their game through an art book sale.
Objective
Provide cost estimations for the client’s desired print production job, in addition to a report on their sales forecast.
Process
Print Mission
Before, assuming the role of a financial advisor, I needed to assume my client’s role and draft their vision. This way, I’m able to “take their order” and give my next steps a direction. For instance, I needed to know how large this videogame production team and their general yielded profit. To make this exercise as accurate as possible, the parameters of my client needed to be reasonable. For instance, a game-developing duo that yields the same profit as Riot Games would disrupt the exercise’s realism.
Materials/
Labor
With my mission drafted, I then researched how much it would cost to realize my client’s vision. This included understanding types of paper and their respective price, finishes, binding options, potential embellishments, labor costs, and time restraints. All matters considered, I yielded the print production project’s budget.
Competitors Research
Next was to research competitors and their success in sales and marketing strategies. The three art books I most heavily referenced were “Legend of Zelda: Hyrule Historia,” “The Art of Super Mario Odyssey,” and “The Art of Ghost of Tsushima.” This research aided in deciding the retail price for the artbook.
Final Projections
Financial Report
With all the complex math finished and out of the way, the last steps were to subtract the forecasted sales from the budget, to produce a profit estimation.
Regarding book sales, it was crucial to note that the greatest threat to the project was any miscommunication with their book retailers. Without proper preparation, the art book will not make it to the shelves on time for it’s planned release, resulting in 0 sales.
Take-Away
Cost estimations are far from simple hypotheses. In cases where risk projection is necessary, it’s vital to do extensive research and find justification for every single number. The more one knows to be true, the safer the risk.
