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Pach-Attack: Is PlayStation Plus Profitable?

Forums - Gaming Discussion - Pach-Attack: Is PlayStation Plus Profitable?

From my experience and many friends' reports, we are spending MORE after subscribing for Ps Plus.

They mostly give away free games that have DLC, or a sequel is incoming. Many people buy DLC they otherwise wouldn't.

I lost count of how many friends bought Borderlands 2 and Borderlands DLC after receiving Borderlands 1 for free.

So I guess it ends up turning a profit.

As for the Vita, yes, many of the best games are available for free but people will still buy DLC or other games they want. I wouldn't have purchased Uncharted or Wipeout, for example. Despite having a big Vita backlog thanks to Ps Plus, I still bought all the games I wanted (SF x TK, Ragnarok, etc). I have 20+ Vita games, yet I'll be buying Dead or Alive 5+ on day one, and so on. Ps Plus does not influence my buying habits unless they give exactly the game I want for free.



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Lafiel said:
Lostplanet22 said:
=p. In all those years on Vgchartz I read a lot of 'Sony makes profit on every PS3 sold, Sony is making profit on this;..And that;..' and every time they post a loss.

Sony is for sure not making a lot of profit with Ps plus. Every discount ends up with a low margin of profit for Sony. I am pretty sure that they have contracts that they pay around 5$ bucks for every game downloaded (red dead/just cause 2/ borderlands).

It is just sony's way to create better relations with the devs/publishers that is also why most of the 'free' games are made in the Western market.

And ofcourse trying to establish a bigger community on PSN. It is working because you now exactly get fans who come up with idiot comments as

'Wow I only have to pay 50 $ to get free games' Then again I only had to pay 400$ and Samsung gave me a free tv o_o!

as the owner of the platform Sony doesn't make money by people buying stuff, they make money by people adding money to their psn wallets

So if I buy something with my creditcard on PSn they don't make money? Was their even some thing like a PSn wallet before 2009?  I remember that it was a big deal that sony finally announced the PSn cards/vouchers =p.



 

RolStoppable said:
How does PS+ work anyway? Do you get around five new free games per month, plus exclusive discounts on some games in the PS store?

If that is the case, you only need to think about how this affects gamers and games. Must have titles won't be negatively impacted by PS+, because these games will still be bought early on. However, everything that falls under the "maybe" category and was planned to be purchased once the price has dropped to around $30 can now be waited for to arrive on PS+ (provided the service offers a good selection of games; if they only put duds on it, it won't really matter). If you previously bought five games per year that fell into this category, you were spending $150; with PS+ you are spending $50 for the same and more. If your gaming time is limited, then PS+ might have an even bigger impact on the money you spend per year.

Aside from the most dedicated PS owners, I can't see anyone whose spending on gaming would go up because of PS+. Rather the opposite is going to be the case.


Things like exclusive PS+ sales, additional money off in a sale, day one discounts for PS+ owners etc I'm sure pushes people into buying things they otherwise may not have.

If they give a game away in PS+ it will not be the GOTY edition or have DLC included also, I'm sure some games are given away on it with the intent to get some DLC sales, on older games that are cheap at retail and selling slow especially (and likely have a lot of used sales happening) the DLC sales may make more money even.

Also quite often when a sequel to a game is coming out in preceeding months the game that released before it finds it way to Plus, obviously used as marketing tool.

It is still a rather long wait before a game goes to PS+.  Except when they give a brand new PSN only game away on the day of release...I cannot figure that one out.


On Vita I think it is more pushing people into buying a Vita, as well as buying overpriced Vita memory cards.



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KylieDog said:


On Vita I think it is more pushing people into buying a Vita, as well as buying overpriced Vita memory cards.


Exactly, my 16GB memory card is not nearly enough for my own games (I own only digital ones) and PS Plus games. Many players will be forced to delete games to play new ones or simply go buy more mem cards.



I've always viewed it as a loss leader. You cant keep giving away games that go for $10-$30 every month without it costing Sony $4 and change. It helps move hardware which in turn moves software/dlc which in turn can create a profit. 



Getting an XBOX One for me is like being in a bad relationship but staying together because we have kids. XBone we have 20000+ achievement points, 2+ years of XBL Gold and 20000+ MS points. I think its best we stay together if only for the MS points.

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-Jim Sterling

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Lostplanet22 said:
Lafiel said:
Lostplanet22 said:
=p. In all those years on Vgchartz I read a lot of 'Sony makes profit on every PS3 sold, Sony is making profit on this;..And that;..' and every time they post a loss.

Sony is for sure not making a lot of profit with Ps plus. Every discount ends up with a low margin of profit for Sony. I am pretty sure that they have contracts that they pay around 5$ bucks for every game downloaded (red dead/just cause 2/ borderlands).

It is just sony's way to create better relations with the devs/publishers that is also why most of the 'free' games are made in the Western market.

And ofcourse trying to establish a bigger community on PSN. It is working because you now exactly get fans who come up with idiot comments as

'Wow I only have to pay 50 $ to get free games' Then again I only had to pay 400$ and Samsung gave me a free tv o_o!

as the owner of the platform Sony doesn't make money by people buying stuff, they make money by people adding money to their psn wallets

So if I buy something with my creditcard on PSn they don't make money? Was their even some thing like a PSn wallet before 2009?  I remember that it was a big deal that sony finally announced the PSn cards/vouchers =p.

To buy anything from PSN you have to add funds to your wallet anyway (it has been there from the start) and that's the point when Sony makes money (there are big restrictions for actually receiving funds back). The more people are inclined to add funds to their psn wallets, the better for Sony.



I think you only need to look at the games they give away to see why it's profitable. The games either have an upcoming sequel to which a PS+ giveaway is a great advertisement for the sequel, or a lot of DLC which will inevitably be bought. Especially as most games have the DLC on sale in their give away month. I doubt Sony is paying the third parties much (if anything) to be a PS+ game of the month - as it results in that game making more money then it would have probably by a large amount (Just look how succesful the humble indie bundle is...). That is of course done via DLC sales AND extra PSN sales to normal customers due to the 'priority' PS store placement.

I think the service also helps keeping the PS store active. A big problem with these online stores is people often have no real point in 'browsing' them beyond when they KNOW a game they want is coming out. PS+ gets all its users visiting the store weekly and paying attention to sales, and new game release. I'd imagine it's a huge factor in PS store activity.

I expect the service to fully mature for the PS4 and offer an even more complete feature set, as well as even better giveaways. There arn't many things I feel Sony 'gets' nowadays but this is one of the few things I think they've absolutely nailed and it really is starting to make Xbox live and XBLA look archaic - albeit as a non-Xbox owner I can only really base that on what my friends have said to me (Who are Xbox players).



I counted my ps plus backlog (free and bought with discount). I have 12 full games that i haven't even downloaded yet because of 160gb hdd and so much other games installed which i am not through yet. Together with my retail backlog that makes about 25 unfinished games. And i tell you. It's not that i buy less just because that backlog. The ps plus discounts like 50 percent make me buy even more. I have to work hard on that games until ps4 comes out...



must-have-list for platforms i don't own yet:

WiiU: Donkey Kong

XBone: Dead Rising 3, Ryse

The two posts above also speak the truth.

Agree 100%.