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The game industry made 175 billion in 2020. Guess how much of that was spent on "in game" purchases?

mckmas8808

Mckmaster uses MasterCard to buy Slave drives
$175 billion dollars generated in gaming for 2020.

Of that $175 billion, $128.6 billion was spent on "in game" purchases. That's 73 percent spent in games, rather than on games.

The "platform wars" of the past are over. It's no longer Sony vs Microsoft. It's no longer console vs PC. It's game vs game. Fortnite vs. World of Warcraft etc...

The push towards GAAS over the next 2-3 years will be intense.


I guessed $100 Billion thinking I was going to overshoot the true number on purpose. But even still lets not kid ourselves. It's not Fortnite vs. WoW.
 

Aion002

Member
That's just sad. Imagine how many people spent money on virtual sports characters that disappears in a year.... This is worse than character skins on a moba game... At least those are permanent.
 

Men_in_Boxes

Snake Oil Salesman
Always has been game vs. game.

We are returning to the Atari / NES era where you played just 2-3 games for months or years before get a new one. The circle is closing.

Only we played this for months on end because we were kids and games were expensive...

544tanks.gif


Whereas the games today have ridiculous depth that encourages players to explore them for hundreds / thousands of hours.
 

ACESHIGH

Banned
Its sad
So sad
Its a sad sad situation

According to Sony fanboys on Gaf and Era that pie chart should be 50% first party sales as exclusives are what matters the most right? But then reality kicks in and it shows you that the uber casual multiplat audience is what is brining in the cash ( Fortnite, COD, GTA, FIFA and your flavour of the month MTX heavy online games)

I highly doubt that folks spending money on shark cards and fortnite skins are the ones playing Bloodborne, Last Guardian or Gravity Rush. This goes to show why Sony is looking to port their first party games to PC: Extra cash and the B&B Online oriented audience would not care.

It also goes to show that the Series S was a good idea. As stated a couple of posts above mine, most of this audience plays a couple of online games, not more. You want to lower the barrier of entry for them as much as possible so that they keep spending.
 
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SlimySnake

Flashless at the Golden Globes
This and people getting rich thanks to only fans, where is the money???
ive never paid for porn and am flabbergasted by bitches selling their nudes for $20. you can get a lap dance for $20 and find nudes on google with safe search off. what a waste of $20.
 

Guilty_AI

Member
This really goes beyond gaming though. Virtual "goods" are becoming more and more of a thing.
GAAS are less games and more platforms, a platform where you can just pass the time, "improve your skills" or socialize.

In the future, we'll have "platforms" where we won't be able to quite tell if they're games or social media.
 

SlimySnake

Flashless at the Golden Globes
Its sad
So sad
Its a sad sad situation

According to Sony fanboys on Gaf and Era that pie chart should be 50% first party sales as exclusives are what matters the most right? But then reality kicks in and it shows you that the uber casual multiplat audience is what is brining in the cash ( Fortnite, COD, GTA, FIFA and your flavour of the month MTX heavy online games)

I highly doubt that folks spending money on shark cards and fortnite skins are the ones playing Bloodborne, Last Guardian or Gravity Rush.
well, yes. But you should be thankful that sony isnt falling for that trend and continues to release single player games with zero microtransactions. if anything, this makes their $10 increase in game prices a bit easier to swallow. They have to generate that revenue somewhere and they are doing that by charging you an extra $10 instead of making everything GaaS like EA, Ubisoft and Microsoft.
 

Thirty7ven

Banned
Yeah well, it’s pretty ugly but people always manage to corner themselves into a state of spending, propelled by the interests of billion dollar companies.

Here’s a fanny pack for you character, that will be ten dollars please. Fucking idiots.
 

mcz117chief

Member
Lol, this reads like a 80+ forum discussing current trends. Where the **** have you all been these past 20 years? MTX are a standard now and have been for a while, I spend about 20-30% of my money in-games and have been for years (DLC, cosmetics for my favorite games or pay-to-progress for decent games with insane grinding like Warframe).
 
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Men_in_Boxes

Snake Oil Salesman
Its sad
So sad
Its a sad sad situation

According to Sony fanboys on Gaf and Era that pie chart should be 50% first party sales as exclusives are what matters the most right? But then reality kicks in and it shows you that the uber casual multiplat audience is what is brining in the cash ( Fortnite, COD, GTA, FIFA and your flavour of the month MTX heavy online games)

I highly doubt that folks spending money on shark cards and fortnite skins are the ones playing Bloodborne, Last Guardian or Gravity Rush. This goes to show why Sony is looking to port their first party games to PC: Extra cash and the B&B Online oriented audience would not care.

It also goes to show that the Series S was a good idea. As stated a couple of posts above mine, most of this audience plays a couple of online games, not more. You want to lower the barrier of entry for them as much as possible so that they keep spending.

You're face when you realize the people investing hundreds+thousands of hours into a single game are the "hardcore", and the people bouncing from flavor of the week games like The Last of Us II and Zelda Breath of the Wild are the actual casuals...

tenor.gif
 
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Stuart360

Member
People saying 'it doesnt efect me', you are kind of missing the point. Its results like this that give us Marvels The Avengers, and Gotham Knights, etc, instead of the next single player Batman game. Its why we get, and will continue to get, incomplete games with missing content that you are expected to pay for, GAAS games, etc.
If you are happy with that model, then all power to you.
 

Concern

Member
Not surprising. For all the bitching we see online about microtransactions, probably like 80% still contribute to the problem.

Devs are more concerned about this rather than releasing a quality product these days.
 

Saruhashi

Banned
You're face when you realize the people investing hundreds+thousands of hours into a single game are the "hardcore", and the people bouncing from flavor of the week games like The Last of Us II and Zelda Breath of the Wild are the actual casuals...

tenor.gif

I was just thinking something like this.
Single player games seem to be a niche kind of thing.

The big money and the big time investment is being spent on games that players will put months or years into.

I bet there are plenty of folk out there who have spent more money in Fortnite in the 3 years since release than I have spent on my entire gaming library in the same period of time.

Man, I just don't understand the appeal of spending money to get cosmetics.
It doesn't feel like good value for money at all. 15 bucks for a character skin etc.

I feel like DLC is also a bit overpriced.
Deluxe editions add very little but cost like 10 bucks more
 

Lethal01

Member
And people genuinely believe game prices need to increase. Mugs.

This chart shows why they need to increase.

a higher bas price means that a company has more to lose by going free to play and missing out on that initial payment.

If the bas price of a game stays the same then it makes more and more sense to make a free game with tons of microtransactions rather than waste time making a nice single player experience.
 
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Xenon

Member
Well at least we've seen companies Crash and Burn trying to build games around this. And I hate to admit I have enjoyed a few of the free to play games. I've dropped my purist attitude, at the end of the day I'm happy to throw a company a few bucks here and there if I enjoy the game.

Luckily I think some companies understand that there is a market for well-designed experiences that are not geared around microtransactions.

Oh and...

Good grief, sometimes people really scrape the bottom of the barrel just to come up with a positive bullet point for Sony.


And people say the all digital PS5 all digital made no sense.

This should be the top comment.
 
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RoboFu

One of the green rats
When this stuff dictates the market, and you buy things from that market, of course it affects you. You just won't always know it. When the games you love are no longer profitable and everything is GAAS, you'll feel it.

You realise of course that a lot of DLC is just content that, at some point in time, would have just been in the base game anyway, and they're now repackaging it and selling it to you later for extra?

you can say that but you could also say that a lot of content may have never been made if the budget didnt have DLC in mind. it's not a clear case.

But reguardless I am never for FORCING others to conform to one view. Peoples choices determine the market. If epople want to spend money on DLC then who are we to tell them they are wrong?
 
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Woggleman

Member
People saying 'it doesnt efect me', you are kind of missing the point. Its results like this that give us Marvels The Avengers, and Gotham Knights, etc, instead of the next single player Batman game. Its why we get, and will continue to get, incomplete games with missing content that you are expected to pay for, GAAS games, etc.
If you are happy with that model, then all power to you.
I am not happy with it but at the end of the day all the complaining in the world will not make people stop buying MTX. The public has voted with their wallets for better or worse.
 

AJUMP23

Gold Member
Looks like the war is basically over. Get your game into peoples hands and then allow them to make purchases for additional content or cosmetics. that is how you earn money and stay in business.
 

Stuart360

Member
This chart shows why they need to increase.
If the bas price of a game stays the same then it makes more and more sense to make a game with tons of microtransactions rather than waste time making a nice single player experience.
Come on now lol, dont fall for the publisher 'we need to add MTX because development is so expensive' bullshit. They could put game prices up to $80 and MTX would be exactly the same.
 

Neil Young

Member
The one place the mtx has affected me the most is sports games. I used to love Madden and 2k but since the ultimate team shit...it just seems like everything is geared towards that...and after seeing these numbers, how can you blame them. Same for MLB the show. You know all their development resources are being used for mtx. I feel the games have taken a hit and havent advanced much.
 

yugoluke

Member
That actually makes a lot of sense and if anything this shows why game pass will be a force once MS starts rolling out solid exclusive titles.

Most causal gamers don’t have $65-$75 to spend to constantly buy new games in one year but they do have $5-$20 to spend on getting upgrades or dlc for games they already own or are focused on like call of duty, fortnite, etc.

Services like game pass will give more gamers access to more games which in turn can create more opportunities for devs to get that add-on/dlc money because it’s clear from this data that big money is in the add-on and dlc content not just the initial game purchase.

This is my viewpoint as well.

I was priced out of the market for new games quite some time ago. I cannot justify spending $100 CAD on a game that I end up disliking. Subscriptions are a much better model for me. I have Gamepass till 2023 courtesy of the $1 upgrade, and I am playing more games that I ever have. Just finished "Call of the Sea". Would never had played this game had it not been on Gamepass.

I mean come on. This should not be a surprise to anyone. People respond to VALUE. This has driven the games as a service explosion in recent years. If you care about the survival of single player games, then it is in all of our best interests to cheer and support business models or technologies that drive the cost to develop and experience these games DOWN.

We can complain all we want about shitty business models and "suits" making decisions that effect the games we love but until a framework/business model for sustainable profitability exists we will see less and less money allocated towards single player narrative based experiences. I believe this business model is Gamepass and services like it.

We want to grow the pie of people experiencing these games. A massive amount of people WILL direct their attention to single player experiences if they are not as expensive as they are. The volume play seems to be the salvation of single player games.

Companies that make a commitment to single player games IN ADDITION TO offering services like this is what we should be hoping for. If heavy hitters like Sony get on board and promise to maintain their commitment to first party (it would be suicidal if they did otherwise), then we will be in a good place.

If we have learned anything, it is that there is more disposable income being poured into gaming than previously thought. Capturing some of that revenue and directing it towards projects that mean a lot to us will require more compelling value propositions that allow for low barriers of entry for access to high quality experiences (AKA FIRST PARTY).

The argument that "there is not enough money in subscription services for the consistent development of high quality first party games" is effectively dead. The amounts of money in this space is truly massive, and I am sure that consumer habits can be pushed in the direction of high quality first party games. We just need the correct Trojan horse (AKA Business model).

Last we have heard, Gamepass has something like 15 million subscribers. Sony could easily pull 20-30m. The math checks out for an essentially never ending stream of funding for games we want developed.

And finally, the ability to purchase games outright will still be one option, but not the only option.

Anyways, hopefully this is a wake up call, and positive developments will follow.
 
This chart shows why they need to increase.
If the bas price of a game stays the same then it makes more and more sense to make a game with tons of microtransactions rather than waste time making a nice single player experience.

And you genuinely believe they won't raise prices AND keep stuffing games with microtransactions? lol
 

Arkam

Member
One of the best years for the Games industry ever, and mostly due to covid..... and they gave a whopping .001% to covid donations (160M/175B). Kinda funny in a cynical way. Esp when you see how most of these companies act "progressive" on the social.


And that Digital/ physical data... was damn nice knowing you physical media. You will be remembered in our hearts.
 

Men_in_Boxes

Snake Oil Salesman
Interesting to note:

Sea of Thieves, which usually hovers around the 30th most played game on Steam as well as XBox Lives Most Played list, continues to be supported by Microsoft.

Microsoft is doing this because it's brining in the money for them.

If Sea of Thieves, probably the most disappointing game of the generation, is turning a profit for MS, can you imagine how the major publishers view that kind of cost benefit analysis?

Sea of Thieves could have gone supernova if it was actually good.
 
People saying 'it doesnt efect me', you are kind of missing the point. Its results like this that give us Marvels The Avengers, and Gotham Knights, etc, instead of the next single player Batman game. Its why we get, and will continue to get, incomplete games with missing content that you are expected to pay for, GAAS games, etc.
If you are happy with that model, then all power to you.
I'm still not over that second one... This is so on the money. You love the arkham games? Fuck you we want 9 year olds buying robin skins so here's gotham knights. I mean its so cynical you just watch the gameplay demo and the trailer and its so obvious the industry pivot and the skew towards a younger audience. This stuff impacts all gamers.
 

AV

We ain't outta here in ten minutes, we won't need no rocket to fly through space
But reguardless I am never for FORCING others to conform to one view. Peoples choices determine the market. If epople want to spend money on DLC then who are we to tell them they are wrong?
Well, no-one can force anyone to conform to the view. Normies will always dictate the market, not enthusiast dorks like us who waste hours of our lives on video game forums. Games became too mainstream for that many years ago. We're just disheartened by it, even if it's inevitable, because it affects all of us, including you, regardless of whether or not we contributed to it. If it's not reached the games you play yet, it probably will, or you just haven't realised it yet.
 

Stuart360

Member
Interesting to note:

Sea of Thieves, which usually hovers around the 30th most played game on Steam as well as XBox Lives Most Played list, continues to be supported by Microsoft.

Microsoft is doing this because it's brining in the money for them.

If Sea of Thieves, probably the most disappointing game of the generation, is turning a profit for MS, can you imagine how the major publishers view that kind of cost benefit analysis?

Sea of Thieves could have gone supernova if it was actually good.
Sea of Thieves is (or was the other day) the 2nd most selling game on Steam, just behind Cyberpunk, and its barely left the Top 20 in sales since it released, all while being a 4 year old game that has been on Gamepass for years.
SOT is a huge success, regardless of what you think about its gameplay.
 
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Lethal01

Member
Come on now lol, dont fall for the publisher 'we need to add MTX because development is so expensive' bullshit. They could put game prices up to $80 and MTX would be exactly the same.

There is no bullshit.
A company has less incentive to make a self contained single player experience when they could instead try to make some free to play game dripping with MTX and get a far bigger player base giving them far more money.

Not saying that people won't make $80 games full of MTX but a more expensive base game makes not doing that more viable.
 

Men_in_Boxes

Snake Oil Salesman
Sea of Thieves is (or was the other day) the 2nd most selling game on Steam, just behind Cyberpunk, and its barely left the Top 20 in sales since it released, all while being a 4 year old game that has been on Gamepass for years.
SOT is a huge success, regardless of what you think about its gameplay.

That's my point.

It's a mediocre game that is relatively unpopular in terms of daily player count.

Imagine if it was competently designed?

The market is so ripe for a big budget, high quality, social multiplayer game these days.
 
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Lethal01

Member
And you genuinely believe they won't raise prices AND keep stuffing games with microtransactions? lol

That is not what I said at all. I said that raising the price increases the percentage of companies that decide not to go with a free to play MTX model instead.
 

Woggleman

Member
As long as we have investors and suits who don't care about games and only see dollar signs this will keep happening. Corpos just want to make money and as long as the public is willing to spend it they will be there. It has sadly happened to every form of entertainment.
 

Lethal01

Member
And you have evidence of this?

Yes, a higher base price means that a company has more to lose by going free to play and missing out on that initial payment.

Increasing the base price means more games that would make more money by charging that base price rather than going f2p.
 
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Men_in_Boxes

Snake Oil Salesman
Nintendo made most of the money from dedicated hardware sales and physical software sales.

And yet, their top three best selling games are GAAS multiplayer. You don't think leadership at Nintendo is looking where the industry is headed in the next 3-5 years?

Single player isn't going anywhere, but the market for GAAS is expanding at an alarming rate. The single player market isn't keeping pace.
 
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