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SQEX Regional Price Increases (FFXIV)

Aight, first thread in 4 years. *cracks knuckles*

Gonna start with tl;dr version: Square Enix has increased the prices of subscriptions and microtransactions for Final Fantasy 14 players from Brazil and Russia that were using Steam (which so far had lower prices accounting for currency exchange discrepancies via Steam's currency conversion). The price hike came with no warning whatsoever, and only a few weeks after the launch of their latest expansion. Their ToS say they will not hike the prices without a warning, but on a "technicality" they are not increasing anything, just "adjusting" it.

Needless to say, the players are not happy, with many complaining at the forums, trying to reach for refunds or simply just dropping the game.

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A more extensive explanation follows:

The Brazilian and Russian players of Final Fantasy XIV were surprised to see increased prices when trying to pay for things on Mogstation (Square Enix FFXIV account management and digital store), including subscriptions.

FFXIV allows PC players to buy the game through Steam, and PC accounts associated with Steam are allowed to pay for things in the Mogstation, from microtransactions to subscription renewals, with their Steam Wallet, using the Steam storefront API. This not only makes things convenient, but also made the prices more fair for certain markets, as Steam applied a different exchange rate, one that accounted for currency value discrepancies, making the prices fall within more reasonable ranges.

The practice of using diferential exchange rates on Steam was not exclusive to Final Fantasy XIV, as other games from other developers (Warframe, for example) also use the differential pricing, allowing players from regions with lower income or unstable economies to still be able to afford the games and/or their associated subscriptions and microtransactions. Other games such as Elite Dangerous only allow the Steam API to use USD in their transactions, which leads to higher prices and possibly taxation (Brazil applies one for "dealing on foreign currency", for example).

Starting from patch 4.05 (effective from july 11th), all prices on Mogstation are now directly converted from USD. This has, of course, balooned prices.

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What makes this move particularly insidious is that there was absolutely NO notice of this. Actually, there is still isn't, as SQEX only acknowledge the issue after it was asked. The players had the displeasure of finding this out by themselves, as their subscription prices nearly doubled, in the case of Brazil, going from 27BRL to around 42BRL for the Entry Level Sub (cheapest, with a few restrictions). Russian players got an even shorter stick, as their prices nearly tripled (890RUB) overnight.

And if you take into account that the new expansion (Stormblood) came out about a month ago (June 20th), this becomes increasingly shady.

Of course, there was a huge uproar in the official forums.

After some outcry, a GM answered, and it confirmed everyone's fear. (SQEX is currently pointing to this forum post buried deep in an unofficial thread as their official response.)

Threads on the FFXIV subreddit also popped up. There are other threads on the official forums. There's also this screencap of when a friend contacted Square Enix's support. There's been traction.

The official justification is "These changes were made to bring prices using these currencies in-line with the global pricing structure based on current exchange rates. In addition, these adjustments mean that prices now accurately reflect the pricing provided on our other official channels and currencies." (sic) In other words, they equalized it from their end, so they get the same 13/15USD from each subscription regardless of region, and "fuck you" if that means the new price is completely out of your region's reality.

....But things get a bit shittier. Their Terms of Service specifically state that they would never hike their prices without notifying their players at least 30 days early "under reasonable effort". Some players in the official forum thread did point this out, multiple times. But technically, they can use some legalese and fine print and say "but we didn't technically *increase* the prices. We just equalized them, and that *happened* to change the perceived price for some regions". Or that "they have to make some effort, but can't make guarantees".

(It should be noted, however, that the payment option for "Automatic Renewal" for the Brazilian storefront was *not* changed, sitting at 28,99 BRL instead of the new price of ~42BRL, very likely due to legal reasons.)

Apparently, there was at least one was a well-known Russian reselling website that would buy items from the official microtransactions store at a reduced price and resell it to the players at a profit, but for lower prices than players buying in USD in other regions.
Some people are pointing this as one of the possible reasons for the price hike for BR/RU, but it seems iffy at best, since making a large-scale OP out of this seems unfeasible since it would be easy to detect.

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Now lots of players are having to make their plans on how to drop their games. Some will wait until their subscriptions expire, and then will not renew them. Some are trying to get refunds right now for the months of subscription they paid beforehand, since they don't want to face the new price whenever they have to renew it. Some are crying for Valve's help, so they can get refunds for buying the expansion via Steam. Lots of BR and RU players are either crying at the forums or subreddit, or simply abandoning the game. Some, like me, are trying to raise awareness of the issue, reach for loudest megaphones they can. A friend of mine shot an e-mail (which I used to base this thread) to SidAlpha, and got some coverage: https://www.youtube.com/watch?v=dXXjJE0kQtY

The steam review page is getting the usual trickle of negativity, as people complain and try to get heard. The recent score went from "Mostly Positive" to "Mixed" (currently at 51%) and it keeps dropping. Lifetime average went from 85% to 82%. The reviews mostly praise the game while denouncing the high price as their reason for not recommending it.

Players from other regions arrived at both "sides" of the matter. Some are supporting the BR/RU players, agreeing that the price hike was absurd, or at the very least agreeing that it sounded opportunistic and shady given its timing. Others, however, decided to either side with Square Enix saying "equal prices means it's fair" and "this is a business, not a charity", or simply to bash the people complaining, either through the "zero-sum game" fallacy (i.e if it's "cheaper" for someone else, it should be "cheaper" for me otherwise it's a scam) or through outright racism against Brazilians and Russians, blatantly ignoring non-BR/RU who are sympathetic to the cause. So, you know. The usual.

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I don't think I have anything else to add. Just wanted to put word out there of what's happening, to let SQEX know this is not OK to do. If you read it all the way through to here, thanks for your time.

Cheers~

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[UPDATE 23/07/2017]

It's been pointed out by some people that players from the UK pay less: they pay 9 GBP, which equals to 11,70 USD (and 36 BRL). This means that the justification that it was done "in order to equate global prices" was pretty bullshitty from the get-go.

Needless to say, players are again calling foul play more than ever on the official forums.
 

Eradicate

Member
Thank you for sharing this Holygriever. This is pretty rotten of them to do this seemingly without any warning. For such large increases as this, they really needed to let players in these places know ahead of time.
 

Ogawa-san

Member
I left behind an account with several lv50 charsjobs and a PC license to REbuy the game on Steam, otherwise I couldn't use the regional pricing. Because japanese company.

And now they price match it. Upwards, obviously.

This is not how I predicted to be done with XIV, but yep.
 

trejo

Member
Between this and the Nier Automata price hike for China Squeenix has been pulling dick moves left and right for a while now. Hopefully something gets done to get them to stick their heads out their asses a little bit.
 

samred

Member
any sense of how many years BR/RU players were paying at the rates described here? I would love some more data...
 
any sense of how many years BR/RU players were paying at the rates described here? I would love some more data...

The conversion rates were the same at the very least since august 2014, since that's when I started playing and can attest to. Very likely been the same ever since the game popped up on Steam.
 

Trogdor1123

Gold Member
So what's the actual price then? In all honesty I'm surprised this hasn't become more of a trend. Once it's digital they got you by the balls.

In a way, I like it being uniform pricing. Everyone pays the same for the same product. I know it's more complex than that but still.
 
I don't understand Square screwing over and making growing markets pay more. They biting the hand that feeds them. Messing with countries with the most growth in PC gaming
 

True Fire

Member
There is a huge disconnect between Square Enix's horrendous management and their actual developers. It's heartbreaking.
 

Bowl0l

Member
I am not surprised if the entire company is sold off within 10 years. FFXV is probably going to be the last main entry (not MMO) from Square.
 

RRockman

Banned
It's rude to increase the price after so long. It's unpardonable to hike up the price and then try to abuse a loop hole in your own rules to get out of raising it gradually or giving prior notice. Gonna go ahead and drop my free trial. Square got greedy big time.
 
I am not surprised if the entire company is sold off within 10 years. FFXV is probably going to be the last main entry (not MMO) from Square.

It's kind of crazy how many people think SE is in financial ruin when they're actually making more money than they ever have. But back to topic, they need to get these pricing mistakes corrected, i remember just a couple of months ago about a price increase in china for Nier that made a bunch of people upset.
 

Bowl0l

Member
It's kind of crazy how many people think SE is in financial ruin when they're actually making more money than they ever have. But back to topic, they need to get these pricing mistakes corrected, i remember just a couple of months ago about a price increase in china for Nier that made a bunch of people upset.
They cut off studios and use crowd funding to attract talent. Kinda weird thing to do for a company that big and making lots of money.

Steam price changes is not a pricing mistake. Management probably thought everyone is ready to pay in USD. Unfortunately, they thought adding Denuvo to Nier is a feature that goes well with price increase.
 
It's kind of crazy how many people think SE is in financial ruin when they're actually making more money than they ever have. But back to topic, they need to get these pricing mistakes corrected, i remember just a couple of months ago about a price increase in china for Nier that made a bunch of people upset.

Like most JP 3rd party studios, most of their income is now from mobile. Their traditional game studios have been struggling for years and the only reason they look financially healthy now is because of gachas.
 
Like most JP 3rd party studios, most of their income is now from mobile. Their traditional game studios have been struggling for years and the only reason they look financially healthy now is because of gachas.

They're successful on Console, mobile, and PC. Writing them off as a mobile company is what leads to people thinking that they're going bankrupt in any minute now. I see it in every SE related thread.
 
If anyone still cares about this subject, it's been pointed out by some people that players from the UK pay less: they pay 9 GBP, which equals to 11,70 USD (and 36 BRL).

This means that the justification that it was done "in order to equate global prices" is pretty bullshitty from the get-go.

Needless to say, players are again calling foul play more than ever on the official forums.

I'm gonna add this to the OP.
 

Killthee

helped a brotha out on multiple separate occasions!
Update: they're giving RU/BR steam players 30 free days and temporarily reverting the sub price for 60 days before permanently raising it again.

08/07/2017 3:39 PM Regarding Price Changes for Brazilian & Russian Steam Users

Alongside the launch of Patch 4.06, we increased the subscription price of FINAL FANTASY XIV for Brazilian and Russian Steam platform users. We would like to apologize that this price adjustment was not communicated beforehand which led to confusion and frustration within the community. We understand that additional communication past the acknowledgement of the price change furthered confusion within the community. However, we wanted to be able to present a solution for your concerns, not just reiterate that we were aware of the concerns.

The reason for this increase was to ensure that no matter where someone plays from, what currency they use, or which platform they play on, the price would remain roughly the same for everyone. Before this change, the price for Brazilian and Russian Steam platform users was lower than what other users, even those in Brazil and Russia, were paying when not using the Steam platform. After the change, everyone was paying roughly the same price.

We will temporarily revert the recent price adjustments in the upcoming Mog Station maintenance planned for August 16, 2017. These reduced prices will be in place for approximately 60 days. After that, prices will return to the levels they are at today.

This extension of the reduced prices and when they are ending will allow Brazilian and Russian Steam platform users to prepare for the price change. We will also be adding 30 days of game time to the accounts of Brazilian and Russian Steam platform users to further assist users who were impacted by the subscription price changes.


Once more, we would like to apologize for the frustration caused due to the lack of announcement ahead of time.

http://na.finalfantasyxiv.com/lodestone/news/detail/1f2ad5890189204af477cac3c3afd675a7084f31
 

Pepboy

Member
Update: they're giving RU/BR steam players 30 free days and temporarily reverting the sub price for 60 days before permanently raising it again.

That seems more than fair to me. Glad players raised a stink given the new release of the expansion.

My guess is they wanted to increase the price to shut down players who lie about region to get cheaper subscription prices / buy cheaper keys, etc. No clue how much of that was actually going on but otherwise seems like a strange move to spring on developing countries.
 

Suikoguy

I whinny my fervor lowly, for his length is not as great as those of the Hylian war stallions
That's a more than acceptable 'fix' to the situation.

I take it currency exchange rates of Brazil and Russia are responsible for this?

Looking at both on XE.com shows the majority of the change occurred a few years ago, they really should have given a notice, as it looks like this was expected.

This chart in particular
http://www.xe.com/currencycharts/?from=RUB&to=JPY&view=5Y
 
Its interesting to see the contrast to the reaction of PS+ price hikes. Seems like more people are upset here, while for PS+ people have generally just accepted it.
 
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