Capcom Wants to Release Three Major Games Each Year; Focusing on World-Class Quality and Profitability

Capcom's executives are planning to release approximately three major games each year, while aiming to achieve both quality and profitability.

October 12, 2018

Today Capcom released its annual report for analysts and shareholders, and it included more information on the publisher’s goals and strategies directly from Chief Executive Officer Kenzo Tsujimoto.

According to Tsujimoto-san, games are luxury items which means that quality is important. This was a foundational principle when he started his career in the world of entertainment fifty years ago, and he believes it to be true even today.

“games are luxury items, not essentials. This is why the brand must be of world-class quality.”

Nowadays, the company’s motto is “From Osaka to the World” and its corporate culture is based on the following principles:

“(1) a spirit that is always eager to take on new challenges and (2) a sense of pride to constantly strive to be world-class deeply ingrained in every Capcom employee.”

In the past six years, the company hired over 100 employees every year, and it currently employs 2100. We heard earlier today that the goal is to reach 2,500 by 2021.

Another important factor according to Tsujmoto-san is pursuing technical advancement, which is crucial to creating world-class games.

Interestingly, he identifies new games as growth drivers, with the goal to release “approximately three major titles each year.” Tsujimoto-san also mentions the intention to extend the sales life of these games to three-to-four years with additional content and pricing strategies, and strengthen the company’s presence overseas, since North America and Europe form 85% of the Consumer (IE: console games) market.

The strategy also involves catalog titles (IE: older games), able to generate a recurring revenue base through download sales and the release of past hit titles for current generation consoles.

The document also includes a report by Director and Executive Corporate Officer Yoichi Egawa about development. Egawa-san has taken charge of Capcom’s game development division two years ago, and he believes in the following:

“First, if the game isn’t good, it won’t sell; second, if you don’t pursue global brands, you won’t survive in the game industry.”

His personal motto is “never run away, never give up.” His focus going forward is going to be as follows:

(1) producing both world-class quality and profitability, (2) creating hit mobile titles, (3) addressing development of esports and a long-term sales model, and (4) strengthening network technology for multi-player competition and the like.

Egawa-san agrees with Twujimoto-san on the fact that achieving those goals requires the expansion of development resources in the form of personnel, so he will “continue to pour effort into hiring and training developers.”

Giuseppe Nelva

Hailing from sunny (not as much as people think) Italy and long standing gamer since the age of Mattel Intellivision and Sinclair ZX Spectrum. Definitely a multi-platform gamer, he still holds the old dear PC nearest to his heart, while not disregarding any console on the market. RPGs (of any nationality) and MMORPGs are his daily bread, but he enjoys almost every other genre, prominently racing simulators, action and sandbox games. He is also one of the few surviving fans of the flight simulator genre on Earth.

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