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Xbox Game Pass Hurts Sales, Says Dev Behind Xbox Game Pass Title

MiguelItUp

Member
There are also a lot of other articles from smaller devs actually praising Game Pass for what it's done to help them. I think it all depends on the studio involved, and their product. I mean, if your game wasn't so interesting to the masses in the first place, how would you expect it to sell well?
 
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RagnarokIV

Battlebus imprisoning me \m/ >.< \m/
Never heard of it. Quickly looked and it's one of those generic "GAMES ARE ART" indie things? It's a no for me dawg.
 

Ozriel

M$FT
mike yard no shit GIF by The Nightly Show


People buy into the BS PR supply. MS already admitted to the CMA from internal documents that it cannibalizes sales, and we have monthly sales charts and splits to show what platform's base is being conditioned to not buy games anymore. The splits are growing and charts are dropping at a rapid pace.


Says MS themselves to the CMA and the monthly sales charts showing the splits grow and grow to PS2 era levels at a vapid pace.


This isn't a coincidence.


... Or the splits just reflect the console marketshare/install base and marketing deals.

Both consoles have well advertised subscription services, so not sure how the 'conditioning' is so one sided as you claim.
 

feynoob

Banned
mike yard no shit GIF by The Nightly Show


People buy into the BS PR supply. MS already admitted to the CMA from internal documents that it cannibalizes sales, and we have monthly sales charts and splits to show what platform's base is being conditioned to not buy games anymore. The splits are growing and charts are dropping at a rapid pace.


Says MS themselves to the CMA and the monthly sales charts showing the splits grow and grow to PS2 era levels at a vapid pace.


This isn't a coincidence.

MS pays them to put their games on the service. So they essentially getting upfront money first. They could ask for more if they are worried about this.

and for your CMA one, MS isn't paying themselves there. They are getting their money from gamepass from the lost sales. So those chart numbers is meaningless to them, as they gain more from gamepass.
 

DeepEnigma

Gold Member
... Or the splits just reflect the console marketshare/install base and marketing deals.

Both consoles have well advertised subscription services, so not sure how the 'conditioning' is so one sided as you claim.
The splits are the same in the UK where they are neck and neck with install base. When half of your install base is on a sub, and are conditioned for 5+ years to "I'll wait until it hits Game Pass..."

That very line has been repeated ad nauseum by the most loyal on Gaf for years.

MS pays them to put their games on the service. So they essentially getting upfront money first. They could ask for more if they are worried about this.

and for your CMA one, MS isn't paying themselves there. They are getting their money from gamepass from the lost sales. So those chart numbers is meaningless to them, as they gain more from gamepass.
Obama Reaction GIF
 
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the issue with Game Pass is not Game Pass itself...but rather how it has been marketed, like this utopic service in which you gonna get all games day one (especially AAA) at no extra cost.

what is currently happening in the streaming warz is a prelude to what Xbox is going to experience.
 

Warnen

Don't pass gaas, it is your Destiny!
With xbox and pc platforms doing returns on digital stuff, don't think that matters. If your game doesn't grab people quickly they will just return it. At least with gamepass they might give it more of a chance, and you get paid for it being on gamepass.
 

Nautilus

Banned
That's been rather obvious for some years now, as Xbox themselves admitted that Game Pass canibalizes its own titles sales
 

gothmog

Gold Member
I don’t think there’s a definitive yes or no answer to whether Game Pass hurts or helps sales. Some developers have said they’re happy, and they’re all obviously collecting a payment to put their game on the service.

If it’s not working out the way you hoped, then don’t make any future deals.
I think the answer is yes it hurt sales. People who would normally buy the game would probably be a subscriber and therefore would not buy it. It's not even that interesting of a question ultimately because the follow on what ifs are what Microsoft is trying to figure out.

Do sales matters if you have a large enough number of subscribers and service monetization built in? My gut says on paper you can do it but it's incredibly risky. Customers and developers are complex enough that what may be an overwhelming success one day could turn into a wasteland the next.
 

Aenima

Member
Thats a fact. But you played yourself if you acepted MS or Sony money to put your game in these kind of services. Dont cry about it now when ur pockets are already full.

While i think these services are terrible for AAA game sales, i actually think it can be very good for indie devs. You might not get many sales, but if the game is good, it gets word of mouth faster because of the exposure which might lead to some extra sales. And the money you got upfront probably cover the dev costs already. I guess it depends what kinda deal u accepted.
 
He's probably right, but also, why not make the first 10 minutes amazing too?

For me, that’s why some of the best games are arcade games. They have to continuously give you good reasons to put in another credit or you’re going to walk away. None of the “you bought this so you’ll have to suffer the tedious tutorial” captive audience vibes of many console games. There’s a happy balance to be found where a game respects the player’s time; too few games do.
 

feynoob

Banned
I think the answer is yes it hurt sales. People who would normally buy the game would probably be a subscriber and therefore would not buy it. It's not even that interesting of a question ultimately because the follow on what ifs are what Microsoft is trying to figure out.

Do sales matters if you have a large enough number of subscribers and service monetization built in? My gut says on paper you can do it but it's incredibly risky. Customers and developers are complex enough that what may be an overwhelming success one day could turn into a wasteland the next.
It depends on how much your game can make.

If you are the service provider, you are getting more money than your current games does. But that also means you need to put money in to your service too.

For 3rd party devs, it depends on how much they ask and what type of deal they do.

For AAA games, the cost is between 50m-200m. If you can get half of that cost, then you are decreasing the risk of losing money if your game fails to sell the amount of copies it needs to get your return.

Big games don't need this service. But new AAA games kind need this service if they don't want to lose their investment. It's better to get half of your investment upfront, instead of risking it.
 

Abriael_GN

RSI Employee of the Year
mike yard no shit GIF by The Nightly Show


People buy into the BS PR supply. MS already admitted to the CMA from internal documents that it cannibalizes sales, and we have monthly sales charts and splits to show what platform's base is being conditioned to not buy games anymore. The splits are growing and charts are dropping at a rapid pace.


Says MS themselves to the CMA and the monthly sales charts showing the splits grow and grow to PS2 era levels at a vapid pace.


This isn't a coincidence.


Imagine trying to prove a point with... some dude on Twitter.

Console warriors are funny.
 

Hot5pur

Member
Gamepass is for the zoomer..They don't have enough attention for one game..they need them all.. for *free*. Hail leader Phil Spencer.
Why are we ripping into zoomers lol. First it was millennials now it's zoomers. Two generations that were given a relatively raw deal after decades of better circumstances (not counting anything before the post world wars era).

But on topic, gamepass is a business model just like Netflix. If it can be profitable, which I think it is, then I don't see an issue. If developers think they are worse off by offering their games on gamepass they don't really have to do it. Perhaps gamepass is just an excuse for some devs for their games actually not being that good, or at least not as good as they think they are ;)
 

adamsapple

Or is it just one of Phil's balls in my throat?
"Because a lot of people just go in and try it, and they don't invest. If they don't like the first 10 minutes? That's it"

I .. uh I don't see the problem here ?

It's better than duping people into buying a shitty game and the having them refund and possibly not consider the developers next projects.
 

DeepEnigma

Gold Member
Imagine trying to prove a point with... some dude on Twitter.

Console warriors are funny.
You do know where that information comes from, eh?

I did not think so, and don't be so quick to throw the warrior label around when your ignorance shines through.

Can't rebuttal MS's own internal docs submitted to the CMA, so you skip right to the ad hominem. Shitty games journalism, indeed.

Plus I don't see how those sales are relevant to this topic.
Tom Cruise What GIF


They're relevant because the platform sales splits are the same 2:1 as they were last gen, but the software sales splits are far greater than last gen, and back to a gen where the platform sales splits were 3 to 4:1.

I wonder what the denominator is now? Hmmmmmm 🤔
 
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Nico_D

Member
I buy games so rarely at full price that if I'm not 95% sure I like it, I won't buy it. Sorry, dev. On gamepass I may at least try it and maybe end up liking it.

Also, in everything else "the first 10 minutes" is extremely important: books, movies, plays... why do you think it would be different with games? If you can't sell the game to me in, say, 30 minutes, write better beginning.
 

feynoob

Banned
They're relevant because the platform sales splits are the same 2:1 as they were last gen, but the software sales splits are far greater than last gen, and back to a gen where the platform sales splits were 3 to 4:1.

I wonder what the denominator is now? Hmmmmmm 🤔
People these days have both consoles together.
We are not in PS2 era.
 

feynoob

Banned
It's not nearly as high as you think it is. The echo chamber of that has always existed to these types of boards.
Its still a loss sales. It contributes to higher sales for PS and lower sales for Xbox.

You can see it yourself if you have both consoles. You tend to buy more in 1 platform.
 

gothmog

Gold Member
It depends on how much your game can make.

If you are the service provider, you are getting more money than your current games does. But that also means you need to put money in to your service too.

For 3rd party devs, it depends on how much they ask and what type of deal they do.

For AAA games, the cost is between 50m-200m. If you can get half of that cost, then you are decreasing the risk of losing money if your game fails to sell the amount of copies it needs to get your return.

Big games don't need this service. But new AAA games kind need this service if they don't want to lose their investment. It's better to get half of your investment upfront, instead of risking it.
Exactly. I personally don't think GamePass works as a day 1 service for many games. Once a game breaks even it seems like it brings a lot of value to pretty much everyone. Especially if you're packaging it to a common deployment format. It makes your game both available and also helps preserve it.
 

Ozriel

M$FT
The splits are the same in the UK where they are neck and neck with install base. When half of your install base is on a sub, and are conditioned for 5+ years to "I'll wait until it hits Game Pass..."

They aren’t anything close to ‘neck and neck’ in the UK and using physical retail splits in the UK has long since been shown to be a crazy venture.

That very line has been repeated ad nauseum by the most loyal on Gaf for years.

Truly unimpeachable proof indeed
 

fermcr

Member
Nobody is forcing you to have your games on Gamepass. If you aren't interested in Gamepass money, then DON'T RELEASE YOUR GAMES ON GAMEPASS.
 

SmokedMeat

Gamer™
I think the answer is yes it hurt sales. People who would normally buy the game would probably be a subscriber and therefore would not buy it. It's not even that interesting of a question ultimately because the follow on what ifs are what Microsoft is trying to figure out.

Do sales matters if you have a large enough number of subscribers and service monetization built in? My gut says on paper you can do it but it's incredibly risky. Customers and developers are complex enough that what may be an overwhelming success one day could turn into a wasteland the next.

What we don’t know is how much they’re getting to put their game on the service. If it’s enough to cover those lost sales from potential buyers, then it may not matter.

I think the incentive is to bring new players into the fold. Anecdotally I’ve seen plenty of comments over the years from players who discovered games they otherwise wouldn’t have bothered with, because of Game Pass.
The hope is to grow your pool of customers. I think if you can pull that off then it might make more sense to not put your next game on Game Pass.
But if people aren’t interested then they’re not interested.

I’m looking at it purely from a single player game perspective though. I think multiplayer’s more cut throat.
 

gothmog

Gold Member
What we don’t know is how much they’re getting to put their game on the service. If it’s enough to cover those lost sales from potential buyers, then it may not matter.

I think the incentive is to bring new players into the fold. Anecdotally I’ve seen plenty of comments over the years from players who discovered games they otherwise wouldn’t have bothered with, because of Game Pass.
The hope is to grow your pool of customers. I think if you can pull that off then it might make more sense to not put your next game on Game Pass.
But if people aren’t interested then they’re not interested.

I’m looking at it purely from a single player game perspective though. I think multiplayer’s more cut throat.
Oh I completely agree with everything you're saying. I guess one of my points is that PS+ has all of the same benefits of bringing in new players, giving people a catalog to discover, and the chance of growing large among other things. They also don't have the risk that a day 1 promise brings. Sony decides when a game is worth going to the service and the only people that get upset are usually the early adopters that already bought it at retail price. They were going to buy it anyways because if they're like me they want to be in the zeitgeist and have poor impulse control. Lol.
 

Fess

Member
If they can’t even keep you interested the first 10 minutes they don’t deserve a sale.
And paying for a game after looking at a cool trailer or big picture and then get bored after 10 minutes is a really crappy scenario, feeling like you need to keep playing just because you spent money on the game doesn’t make things any better.
 

DeepEnigma

Gold Member
Its still a loss sales. It contributes to higher sales for PS and lower sales for Xbox.

You can see it yourself if you have both consoles. You tend to buy more in 1 platform.
Eddie Murphy Yes GIF

They aren’t anything close to ‘neck and neck’ in the UK and using physical retail splits in the UK has long since been shown to be a crazy venture.



Truly unimpeachable proof indeed
Ok. If you say so. MS themselves admitted that it cannibalizes sales internally and summitted that to the CMA.

I guess all MS does is lie then, and people will move goalposts with their own mental gymnastics over it.
 

truth411

Member
I don’t think there’s a definitive yes or no answer to whether Game Pass hurts or helps sales. Some developers have said they’re happy, and they’re all obviously collecting a payment to put their game on the service.

If it’s not working out the way you hoped, then don’t make any future deals.
Yes there is, Why purchase a game if it's on your streaming service. Also didn't MS admit to gamepass cannablising sales during the MS/ Activision acquisition?
 

DeepEnigma

Gold Member
Yes there is, Why purchase a game if it's on your streaming service. Also didn't MS admit to gamepass cannablising sales during the MS/ Activision acquisition?
Posted it several times, nobody wants to rebuttal it.

:messenger_expressionless::messenger_expressionless::messenger_expressionless:
I didn't know all these games on the list were day1 on gamepass.
If I had a dime for how many times I see Xbox gamers say, "Will wait till it comes to Game Pass..." across the internet and on here, especially when half the units sold are subbed to it and none of their games are charting anymore, even in the first week, and third party splits are growing rapidly to a gen that was 4 to 1 splits when this is only 2 to 1, you can do the math.

You are a smart fellow, you know conditioning is real. Especially 5+ years of it.
 
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SmokedMeat

Gamer™
Yes there is, Why purchase a game if it's on your streaming service. Also didn't MS admit to gamepass cannablising sales during the MS/ Activision acquisition?

Game Pass absolutely cannibalizes sales.

But the developer chose to put their game on it, and was paid upfront to put it there. Kind of silly to go complaining about lost sales. What did they expect?
 

DeepEnigma

Gold Member
Game Pass absolutely cannibalizes sales.

But the developer chose to put their game on it, and was paid upfront to put it there. Kind of silly to go complaining about lost sales. What did they expect?
This I can agree with. Maybe they were sold the "it will increase sales" pitch at the signing table?
 

feynoob

Banned
Yes there is, Why purchase a game if it's on your streaming service. Also didn't MS admit to gamepass cannablising sales during the MS/ Activision acquisition?
MS first party games get their lost sales from the service. So it doesn't matter if they lose copy sales as long as they get it from their service.

It's different matter for 3rd party games.
 

feynoob

Banned
Posted it several times, nobody wants to rebuttal it.


If I had a dime for how many times I see Xbox gamers say, "Will wait till it comes to Game Pass..." across the internet and on here, especially when half the units sold are subbed to it and none of their games are charting anymore, even in the first week, and third party splits are growing rapidly to a gen that was 4 to 1 splits when this is only 2 to 1, you can do the math.

You are a smart fellow, you know conditioning is real. Especially 5+ years of it.
Those online users don't represent the majority of Xbox users. and most games don't end up on gamepass.

That is not the reason why sales are low. If people want those games, they will buy it. And those who won't buy it in day 1 will buy it when it's on sale.

MS pays people who their games on their service. They don't do it for free.
 

DeepEnigma

Gold Member
Those online users don't represent the majority of Xbox users. and most games don't end up on gamepass.
People these days have both consoles together.
We are not in PS2 era.
We have come full circle.
That is not the reason why sales are low. If people want those games, they will buy it. And those who won't buy it in day 1 will buy it when it's on sale.

MS pays people who their games on their service. They don't do it for free.
Ok.
 
Gamepass is for the zoomer..They don't have enough attention for one game..they need them all.. for *free*. Hail leader Phil Spencer.
game pass is good up to the point that you've sampled everything. at which point, it becomes a 'renew sub only as needed' service...
 

Ev1L AuRoN

Member
Gamepass is not a good deal for the AAA blockbuster title, but for smaller projects it is heaven. Visibility, rentability enough to make ends meet on the Studio side and maybe funding for the next project.
 

feynoob

Banned
We have come full circle.

Ok.
Batman Facepalm GIF by WE tv

I feel like I am wasting my time.

One last time for you to understand it.

1: people have both consoles. They buy their games on the platform they play the most.

2: developers look at overall sales, and not one specific market. (Those chart sales represents tiny bit of information).

3: most people don't pay for day 1 games, unless it's the game that they are waiting due to cost of budget (current AAA games are 70$ for this gen consoles).

4: people buy a lot of games during sales, when the game is cheap and affordable for them.

5: Xbox Online users are tiny margins compared to over all users. Their words are not a gatcha moment. If people want to buy those games, they will buy it. If they don't, then those people will buy it when it's on sale. Either way, devs get their money.

Now for Xbox gamepass.

1: due to the list of games, you get situations where users don't use the store that often. This is critical, because most people find few games by accident and buy them when they browse the store. In this case, Xbox is losing potential sales from users who will otherwise browsed their store (think of it like walking in GameStop store and picking a random disc).

2: Xbox games are there on gamepass for a long time. They lose potential sales, because they are on the service. But here is the caveat. In order for people to access those games, they have to buy gamepass monthly. With 1$ gone, that is 10$ or 15$ a month to access those games. MS is earning more money in the long run, compared to selling them for 60$-70$ at once.

3: MS pays 3rd party devs upfront money and other type of deals to put their games on the service. That accounts certain amount of copies, which they would have sold it on Xbox. On top of that, they gain sales from other platforms if it's not timed exclusive.

MS and devs losses regular sales, but they get their money in other ways (MS paying them or MS earns it from gamepass subs).

Either way, both party get their money.
 
yeah. There is no incentive to go in and give the game a real shot.

Imagine if everyone quit demon souls after the first 30 minutes lol. it took some people 5 hours to get through to the first boss back in 2009.
even the guy who greenlit it thought he made a mistake.

https://www.pushsquare.com/news/2012/02/shuhei_yoshida_thought_demons_souls_was_rubbish

“When it was close to final I spent close to two hours playing it and after two hours I was still standing at the beginning at the game. I said, “This is crap. This is an unbelievably bad game.” So I put it aside.”
 
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