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SEGA: Sonic Frontiers sequel will benefit from larger budget, reiterates developing new DLC

Sonic looking at the stars in Sonic Frontiers

SEGA has published its recent investor question and answer session for their latest financial result briefing and have talked a little more about Sonic Frontiers and their ambitions for the new 3D Sonic game. Firstly the aspect of the game’s Metascore was addressed with SEGA admitting that the score was lower than they expected though it is a “widely accepted (game) by a lot of people around the world” and that they will build on the game “recently announced DLC” along with promotion of “Sonic Prime, the third Sonic film, and merchandising opportunities.” SEGA also admitted that general development costs have spiralled and with their next 3D Sonic game they are “proceeding with a bigger budget, even from the basic research stage.”

Q: While the Metacritic score for Sonic Frontiers was not as high as it was hoped, we know that it was well received by fans. How do you evaluate the quality of this title?

A: It’s true that the Metacritic Score was slightly lower than we expected, but the user’s score was very high. With that, we believe we have found a title that is widely accepted by a lot of people around the world. It’s to be believed that we can build more repeat sales of Sonic Frontiers through pricing, discounts and the recently announced DLC. We plan to further promote the Sonic franchise in the future, such as the release of Sonic Prime, the third Sonic film, and merchandising opportunities.

Q: Even though you have done sales for Sonic Frontiers, the average unit price has not decreased that much. Please tell us about your future sales strategy.

A: We are proceeding with this title based on a strategic sales plan. We conducted intensive promotions around the November release, and as announced recently, we have been able to achieve good results so far. A temporary sale was held around Black Friday, but the selling price has since returned to normal. We have been able to achieve these results while maintaining a certain level of quality, and the number of units sold greatly exceeded our original estimation. We will continue to sell over the long term based on sales strategies such as pricing, promotions, and the development of further DLC.

Q: With the strong performance of Sonic Frontiers and other global titles, will you be focusing more on products like it in the future?

A: We expect development costs for new titles to grow even larger in the future. We will strive to ensure solid quality in the development of major titles from our existing franchises. However, development labour costs will rise due to the impact of the global external environment, and we expect this trend to continue for the foreseeable future. Since it is necessary to take on these challenges for major titles, we are proceeding with a bigger budget, even from the basic research stage. Therefore, we assume that development costs for future new titles will increase accordingly.

Q: Considering your earnings forecast for this fiscal year and the current market environment, I assume that there will be a lot of uncertainty about the next fiscal year. How are you planning to increase repeat sales during the current term, and what’s the status of the new titles?

A: Since there were many new titles in the previous fiscal year, we took on a strategy of repeat sales in our plan coming into this fiscal year, and it continues to fall short of our forecasts. On the other hand, despite the not-so-favourable market environment, we were able to maintain the same level of repeat sales as in the previous fiscal year. We believe that the prospects are clear to some extent, given that titles that have performed well this term, such as Sonic Frontiers, and with the upcoming DLC, we believe that its’ sales will increase even further. We are also considering sales strategies. New works are scheduled for the Like a Dragon series, HYENAS, and more. Please keep your eyes open for upcoming titles.

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8 thoughts on “SEGA: Sonic Frontiers sequel will benefit from larger budget, reiterates developing new DLC”

  1. From Metacritic user score comparison:

    (Nintendo) Fire Emblem Engage – 6.6

    (SEGA) Sonic Frontiers – 8.2

    I think we can all agree that modern SEGA does what modern Nintendon’t.

  2. All I got to say is do not make the sequel 60 hours long. Most people start hating games that long or longer. Adopt a here’s the game and if you want more here is a dlc to extend the game. You can literally have to alternate endings

  3. Well if that’s basically what they want to fit there budget, then I’m hoping for them to make used on what they are developing in the future. It’s been a while since Sonic Team made sequels for the franchise. The last mainline game to have a sequel was Sonic and the Black Knight.

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