Kickstarter counts as revenue for the first million dollars ?
The only amount that would be counts as revenue is the amount of money that you or the your studio get for the video game itself and not anything else. All money received by Kickstarter is revenue to the creator of the Kickstarter. So you have to figure out which of that revenue is related to sales of the video game. Which you have to find the retail price of the video game at each tier.
Here’s some clarification:
From Unreal Engine FAQ and answer to the similar question:
- What if my product obtains crowdfunding via Kickstarter or another source?
Royalties are due on revenue from
Kickstarter or other crowdfunding
sources when the revenue is actually
attributable to your product. For
example, if the user is required to
purchase a particular funding package
to obtain access (now or later) to
your product, or if that package gives
the buyer benefits within the product
such as in-game items or virtual
currency.Here’s an example of what we mean by
“attributable”: Assume you provide two
tiers of offers, a signed poster for
$20, and a signed poster plus game
access for $50. No royalties are due
on ancillary products like posters, so
no royalty is due on the $20 tier. On
the $50 tier, the user is paying for
the poster with a $20 value, and that
implies that the remaining $30 of
value is attributable to the product.
So, for each $50 tier sale, you’d pay
a royalty of $1.50 (5% of $30).