Live Services – Part 2: An ideal business model

Previously I wrote about GaaS games and some of the trends that we are now commonly witnessing as videogame consumers. In this second part I wanted to think about what I believe make the best business models when it comes to monetisation for a GaaS. Ideally the fairest business model is pay once or a subscription, but the industry has tried to move away from these. So this should probably be a called a wishlist of how I would envisage the ultimate GaaS business model. I think there’s a balance of how companies charge and price a service.

The following are things publishers and developers should be steering away from when it comes to a videogame business models in my opinion:

  • No lootboxes
  • No pay2win, i.e. purchasable items with ANY stat increases.
  • No XP or in-game currency boosts
  • No separate currencies
  • No currency that can be purchased
  • No level gating of items only to be removed for players spending real money

Lootboxes have been debated in great depth but with a growing number of independent bodies or governments now starting to investigate or legislate against them, publishers should do the right thing and stop their use immediately. The impact on children and the lack of protection for consumers is one of the biggest problems the videogame industry has ever faced. But a problem of its own making.

So the question becomes what would I consider more acceptable business models in a GaaS videogame?

Purchasable cosmetics (maybe)
Personally I would prefer cosmetics were earnable. Remember when you saw someone in endgame gear in early World of Warcraft. You knew it was a badge of honour. Something to respect. Now cosmetics usually just mean the player who has spent the most money on the game. Ideally cosmetics should be earnable, or at least there is a balance; still allowing players lots of customisation without having to spend money.

Time limited content should be reserved for a few seasonal events
It’s cool to earn stuff from an event but using this as a continual mechanism to get people to login is less cool.

All items should be earnable in-game
With ‘reasonable’ play-time as well. And not hundreds of hours

Fair pricing
So not charging £30+ for a skin. Characters or skins really should be ‘micro’ in price. I know if games charged less I would actually be encouraged to spent more.

No V-Bucks, Platinum or Gold
Just price the purchasable item in a local currency where one transaction can be made. No ‘best value’ packs etc.

Online, multiplayer games only
Single player games have no-need for any of the above, as they aren’t GaaS games.

No mixing and matching of business models.
If the game has multiple tier versions at launch with season passes then there should be no-need for microtransactions. Games need to be fair in their overall value offering.


Of course this is all wishful thinking, but I do think that the better examples of GaaS games embrace some of the above (although not enough) pricing strategies. We have to consider games on a case-by-case basis. However generally it’s reasonably obvious to spot the videogames which get the balance wrong when it comes to the cost and the impacted design of a GaaS business model.