Kaneman! said:
shikamaru317 said:
It will hurt game sales, but it will significantly boost Game Pass subs which will make up much of that lost revenue, and it will get people to try games they might not usually try, which will be good for getting the stubborn Xbox fanbase to try the smaller exclusives they typically ignore.
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Will it make up for the lost revenue, though? Just because all of the revenue of the game pass goes directly to Microsoft, who knows what percentage goes to game licenses that are on the game pass themselves? Somehow I imagine that a core Microsoft gamer would bring in more revenue by just buying 3 MS games per year than to be subscribed the whole year.
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There will probably be an initial loss of revenue but that will lead to an increase in the long term in my opinion, You can't just look a actual sales as they will be getting are other bonuses to this in the fact they there will be less physical sales which in turn means there is less of a resale market on used games floating around as MS don't get a thing from 10 different users buying the same copy that gets traded in and there is also the physical production/shipping and retailers fee probably knocking $20 off before MS would even take any revenue and then there is the question of how long it holds that price 2-3 months down the line it's probably already dropping to $30-40.
They will make a lot of revenue still from season passes, DLC packs and from REQ packs and other similar in game purchases still (this should increase revenue in this area due to higher game populations) as they won't be included in the Game Pass sub and most big games these days have 2-3 expansions releasing throughout the games first year of release, You will still see people buying this content to go with their Game Pass sub and even if users sub for 1 month each time game they want releases they could very well buy the DLC and re-sub later on. I'd also argue that the majority of users who sub, cancel and re-sub constantly are likely the ones who buy the games cheap used or wait for sub $20 bargain prices before picking them up so with that in mind it becomes the whole is that a lost sale if that person wouldn't of bought it until a year or so after at which point the price is very low anyway.
Many people will also forget to cancel or leave the sub running and either not use it or barely ever touch it which becomes revenue from nothing I do it myself all the time unfortunately :( I would like to see 12 month codes for the service along the lines of 12 months for $100-110 which equals 1-2 months free and that also works in the favour of MS as it's locks in a sub for a full year. Lao combining a 12 month Game Pass/Gold sub for $150 could be a great idea to sell people on the idea.
Of course there will still be plenty of revenue from digital/physical sales as there is no doubt many who still want actual ownership of a game rather than a subscription service.