The digital revolution has opened up several new possibilities for game developers and publishers in terms of accessibility and financial models.
The penetration of smartphones and the ubiquity of the internet has enabled them to reach a broader audience base at affordable rates.
The popularity of online media streaming services like Netflix and ClassPass has compelled developers to explore new revenue models.
One model that gained popularity equally among the users and the developers is the subscription-based gaming services. Subscription model services charge the users a recurring amount of fee per month or year to access the services.
Based on their success, many businesses have started to embrace the subscription-based model. According to Statista, the US media consumers, the millennials in particular, have an average of 17 paid media subscriptions each at the start of 2020.
Similarly, a survey conducted by McKinsey & Company in which the researchers interviewed 5,093 respondents. The survey found that 15 percent of the respondents have subscribed to a paid ecommerce service over the past year.
The same research found that 46 percent of respondents with a subscription-based service has subscribed to online media streaming services like Shopify and Netflix.
Below, we discuss the subscription-based gaming model and explore why it has become a preferred option for users.
Subscription-based gaming model:
The subscription-based model is not something new to the gaming world. Sony and Microsoft have tried this model for over a decade by offering the PlayStation Plus and Xbox Live. But the model has gained some prevalence because of the benefits that it offers. Here is a list of some of those benefits.
Subscription-based gaming platforms offer incredible convenience that wasn’t available to players before. Users now don’t need to reach home and sit in front of their gaming PC to play their favorite titles. Instead, they can access the platform at any time and any place, as long as they have a smartphone or PC with a stable internet connection.
Subscription-based services can be availed on demand during spare time in the office, in a restroom, and on commutes. The entire process is simple and hardly takes any time, from downloading and installation to actually playing the game. Comparing it to traditional games where you had to go to the store and buy copies of your favorite titles, it is clear that subscription-based gaming is a painless alternative. The high level of convenience is a crucial factor for the success of subscription-based gaming.
Another reason behind the popularity of subscription-based gaming platforms is that they provide unlimited games for a minimum subscription fee. Since the platforms often contain massive gaming libraries, you can always find a game for your taste. Some of the titles can be pretty addictive and can be played alone or with family and friends.
The success of subscription-based gaming majorly depends on the catalog of games and the price at which the platform offers them. Currently, the subscription model allows you to play unlimited games for a subscription fee that costs less than a cup of coffee. The sheer number of games available on these platforms makes the subscription a good deal for your money.
As this gaming model gains prominence, we will see more platforms offering an enriching gaming experience that players used to get on individual titles played on Xbox and PCs.
Most of us hate advertisements being shown in the middle of a video or a game. Yet, they are crucial for the survival of many companies. Revenue from ads is responsible for more than half of the total revenue for casual games. However, it comes at the cost of interrupting the gameplay.
The subscription-based model solves this issue by providing an ad-free gaming experience for a fixed monthly or yearly fee. With subscription-based gaming, players can be sure to play their favorite titles without constantly being interrupted by ads.
Offers and discounts:
Subscription-based gaming platforms are also preferred because they offer great discounts and incentives. Bundling several games under a single subscription model and providing premium gameplay with discounts and incentives benefits both the players and game publishers.
Popular game subscription services:
With the success of video streaming services like Netflix and Amazon Prime Video, many gaming companies have tried to implement a similar subscription model in the gaming industry. We already have numerous gaming platforms available now, and chances are that we will get countless others in the future. Below is a summary of some of the popular subscription-based gaming services available to gamers.
Nintendo Switch Online:
Nintendo Switch is an economical subscription service that costs $5.95 per month. Players can enjoy single-player and multiplayer titles with cloud saves for the first time on the platform. Cloud saves enable users to back up their game data online for the future.
Unlimited Gamez Mo:
Unlimited Gamez Mo is a mobile subscription-based gaming service that offers unlimited access to hundreds of games for a limited fee. It is home to hundreds of games listed in nine categories, making it appropriate for any age.
Google Stadia is a cloud-based gaming platform by Google. It provides access to AAA titles like Assassin Creed Odyssey for a monthly fee of $9.99. Google Stadia will act as a medium for publishers to develop games and earn through their game-development skills.
Ubisoft is a gaming subscription service launched in 2019 and offers plenty of old and new titles. The service costs $15 per month and includes premium games that would cost players hundreds of dollars if purchased separately. Ubisoft also plans to provide services via Google Stadia.
Subscription-based gaming platforms are ideal for players who find in-app purchases, ads, and purchasing every game frustrating. Given the extensive gaming libraries, lower charges, and recent trends, many gamers find subscription services a real deal.