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The subscription service model has taken the world of service provision by storm. Nowadays, to obtain the service or product of most companies, users have to subscribe.
This model is not just for fun, as it provides a major source of recurring revenue. TV platforms such as Netflix and Disney Plus are just two of the companies that have popularized the concept of monthly subscriptions. Unsurprisingly, this practice has also found its way into the gaming sphere.
In this article, readers will learn about the implications and benefits of this model in the gaming industry.
Subscription Model in Gaming
The practice of subscription services in the online gaming industry is relatively new. As a result, most gaming companies are still trying to figure out the best way to go about it.
At the moment, EA Access, PlayStation Now, Origin Access, and UPlay+ are some of the entities employing this model. Some are in it for the revenue streams, while others are simply staying in line with competition and trends.
Users do not have access to third-party titles on platforms like Origin Access. Conversely, users can play titles published by Xbox and other third-party games on platforms like Xbox Game Pass. This divide illustrates that the industry is still trying to figure out the perfect combination for a gaming subscription system.
Factors Influencing the Adoption of Subscription Services
The subscription model has become very popular in most sectors, and the gaming world cannot afford to be left out. Fortunately, it has already been tested and trusted in other industries, so adopting it full-scale is only a matter of time.
More so, this model is beginning to get more attention among gamers. Consoles are gradually slipping out of vogue, with subscription-based games taking the lead. At this rate, online casino players will soon begin looking out for subscription services the way they search for promotions through reputable casino bonus finder.
Several gaming outfits with both consoles and subscription services are beginning to record a decline in the former. For instance, Microsoft had a considerable decrease in console sales during the last quarter of 2019. Fortunately, this was balanced with more Xbox Game Pass subscriptions. At the start of 2022, Xbox Game Pass had 25 million subscribers.
Worries About the Subscription Service Model
As seen in other industries, content creators do not make enough from subscription-based platforms. So, there is a notion that a studio or software provider could make more on its own than through a subscription provider.
The subscription service model has not been around long enough to say for sure that it is here to stay. For a couple of reasons, stakeholders are concerned about its sustainability. Some believe it’s just a trend that may fade away. The discouraging compensation for content creators is another reason for this concern.
The subscription service practice has changed the way users consume content. Game developers get better exposure and build larger fan bases with this model. Subscription services in gaming are still in the early stages. However, hands are on deck to ensure that all parties can take advantage of significant benefits. Not just the platforms but also the game providers, gamers, and other stakeholders.