Ya’ll do realize that HoT had a prepurchase option available months before HoT launched and the sales from those prepurchases would have been on the pre-HoT quarter.
Nope that is not true. GAAP rules don’t allow companies to recognize revenue at PoS unless it’s also the same date a delivery or the date a customer actually takes possession of the goods.
But the customer did take possession of the goods the day they prepurchased HoT.
Remember that GW2 went f2p before Heart of Thorns, and when it did so, purchasing HoT was how you upgraded from f2p to full account. The day a f2p account purchased HoT they take possession of more character slots, unrestricted trading post, and beta weekend access.
For example I came to this game in august of 2015 as f2p, I bought HoT in September of 2015 in order to gain a full account. I took possession of the full account on that same day. HoT launched in late October of 2015.
Even people that had bought the original game before f2p where still possessing their HoT purchase before HoT launch in the form of incentive items.
From the HoT pre-purchase announcement page: “All virtual items will be delivered to your account immediately for instant enjoyment” https://www.guildwars2.com/en/news/guild-wars-2-heart-of-thorns-is-available-for-pre-purchase/Did the customer take possession of the HoT expansion at the time of prepurchase?
The took possession of Guild Wars 2. All versions of HoT included vanilla GW2 as part of the purchase.
See the link in previous post. And really HoT pre purchases have to be under the previous quarter since it doesn’t make any sense for the game to have a large revenue spike during a content drought.
But they did not take possession of the highly advertised HoT expansion to GW2. Taking possession of the incentives for prepurchasing HoT is not taking possession of HoT.
They took possession of (most of) the goods because they took possession of a full account.
Please remember that legally and technically Guild Wars 2 is a separate item than Guild Wars 2: Heart of Thorns However all packages that include Heart of Thorns include Guilds Wars 2.
Besides there is literally no way to make any sense of the quarterly reports if we assume that all HoT purchases including pre purchases where listed in HoT’s release quarter. It would require assuming that players randomly increased their gem purchase by a large amount during the drought, and assuming that of the existing players only a minority bought into HoT, and assuming that the game received little if any new players post HoT, and that gem store purchases dropped to nothing after HoT.
I can honestly say that I dont have sufficient record of what was being offered in the gemstore at the time of the drought in order to state that any spike was random.
I can say that players did not take possession of most of the goods at the time of prepurchase because the expansion itself was most of the goods. Only people who did not previously own GW2 received a full account. Nether of us can prove it, but I hope we both know that the majority, vastly so I am sure, of HoT purchases (pre or post launch) were by existing owners of the core game. ANet (or was it NCSoft?) has even stated that conversions from F2P to HoT were disappointingly low.