As the world of gaming continues to grow, more and more developers are turning to game passes as a way to monetize their games.
Game passes allow players to access a library of games for a monthly subscription fee, which can be a great way for developers to earn a steady stream of income. However, there are many questions about how developers get paid on game passes, and it’s important to understand the process in order to make informed decisions about your own game development business.
Payment Models for Game Passes
There are several different payment models that developers can use when offering their games on game passes. The most common models include:
Subscription Model
The subscription model is one of the most popular payment models for game passes. Under this model, players pay a monthly fee to access a library of games. Developers earn revenue each month as long as players continue to subscribe to the service. This model can be very lucrative, especially if the subscription fee is set at a reasonable price and there are a large number of games available.
Revenue Share Model
The revenue share model is another payment model that developers can use when offering their games on game passes. Under this model, developers receive a percentage of the revenue generated from the sale of the games included in the game pass. This model can be very attractive to developers, as it allows them to earn money without having to worry about marketing or distribution.
Pay-Per-Use Model
The pay-per-use model is a less common payment model for game passes. Under this model, players pay a one-time fee to access a specific game. Developers earn revenue each time the game is played. This model can be attractive to developers who want to focus on creating high-quality games that will generate a lot of revenue from individual sales.
Case Studies and Real-Life Examples
There are many successful examples of game passes in action, and there are several different payment models that have been used to great effect. Here are a few examples:
Xbox Game Pass
Xbox Game Pass is one of the most well-known and successful game passes on the market. It offers players access to a library of games for a monthly subscription fee, with new games added on a regular basis. The payment model used by Xbox Game Pass is primarily based on subscriptions, with developers earning revenue each month as long as players continue to subscribe to the service.
Epic Games Store
The Epic Games Store offers players access to a library of games for free, with the option to purchase additional games using in-game currency or real money. The payment model used by the Epic Games Store is primarily based on purchases, with developers earning revenue each time a game is purchased.
Steam Deck
The Steam Deck is a new gaming device that will be released later this year. It will offer players access to a library of games for a monthly subscription fee, with new games added on a regular basis. The payment model used by the Steam Deck is primarily based on subscriptions, with developers earning revenue each month as long as players continue to subscribe to the service.
Benefits and Challenges of Using Game Passes
There are several benefits to using game passes as a monetization model for game development businesses. Firstly, game passes can provide a steady stream of income for developers, which can be very attractive when trying to make ends meet. Secondly, game passes can help developers reach a wider audience, as they allow players to access games that they might not have otherwise been able to play. Thirdly, game passes can help developers focus on creating high-quality games, as they do not have to worry about marketing or distribution.
