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Product Management Analytics Question: Evaluating success metrics for Epic Games' digital distribution platform
Image of author vinay

Vinay

Updated Dec 1, 2024

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how would you measure the success of epic games's game distribution system?

Product Success Metrics Medium Member-only
Data Analysis Metric Definition Strategic Thinking Gaming Digital Distribution E-commerce
Product Analytics Success Metrics Digital Marketplace Game Distribution

Introduction

Measuring the success of Epic Games' game distribution system is crucial for understanding its impact on the gaming industry and the company's overall strategy. To approach this product success metrics problem effectively, I will follow a simple product success metric framework. I'll cover core metrics, supporting indicators, and risk factors while considering all key stakeholders.

Framework Overview

I'll follow a simple success metrics framework covering product context, success metrics hierarchy.

Step 1

Product Context (5 minutes)

Epic Games' game distribution system, primarily known as the Epic Games Store, is a digital marketplace for PC games. It serves as a platform for game developers to publish and sell their titles, while providing gamers with a centralized hub to purchase, download, and play games.

Key stakeholders include:

  1. Gamers: Seeking a diverse library of games and a seamless user experience.
  2. Game developers: Looking for a platform with favorable revenue sharing and promotional opportunities.
  3. Epic Games: Aiming to establish a strong market position and generate revenue.
  4. Competitors (e.g., Steam): Observing Epic's strategies and market impact.

User flow:

  1. Browse: Users explore the store's catalog, searching for games or discovering new titles.
  2. Purchase: Gamers select a game, complete the checkout process, and add it to their library.
  3. Download and play: Users install the game through the Epic Games launcher and launch it to play.

The Epic Games Store fits into the company's broader strategy of creating an ecosystem that spans game development (Unreal Engine), publishing, and distribution. This vertical integration allows Epic to leverage its various assets to attract both developers and players.

Compared to its main competitor, Steam, Epic Games offers a more curated selection of games and a more favorable revenue split for developers (88/12 vs. Steam's 70/30). This has helped Epic attract high-profile exclusives and free game offerings to build its user base.

In terms of product lifecycle, the Epic Games Store is in the growth stage. It has established a significant user base but is still expanding its features and market share in competition with more established platforms.

Software-specific context:

  • Platform/tech stack: Built on web technologies for the store frontend, with a native launcher application for Windows and macOS.
  • Integration points: Connects with Epic's account system, payment processors, and game developers' build pipelines.
  • Deployment model: Combination of web-based store and downloadable launcher application.

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