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Microsoft Reveals New Xbox Game Pass Stats And Explains How It's Different From Netflix

Topher

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Xbox executive Sarah Bond has shared some new data about Xbox Game Pass that illuminates some of trends and behaviors of subscribers. She told Forbes that Game Pass subscribers tend to play more games overall, and--very importantly for Xbox and its partners--spend more money.

Bond said Game Pass users:

  • Spend 20% more time playing games
  • Play 30% more games
  • Play 40% more genres
  • Spend 20% more money on gaming overall
Also in the interview, Bond said Game Pass has a different value proposition compared to a video streaming service like Netflix because Game Pass leads to even further ways to spend money.

"When you subscribe to a channel that enables you to watch a video, like Netflix, that's kind of the end of the monetization cycle that you have with that piece of content," she said. "In gaming it's the opposite: there are items that you can buy in the game, there are extensions you can buy, there's a next franchise you can purchase, there are other genres that you can leap to."

Bond also mentioned that Microsoft is pushing its xCloud streaming service because the overwhelming majority of people who play games don't have a console, so streaming helps reach people who might only have a phone or who have no desire to play on console/PC.

"There are 200 million people who buy a console, and there are 3 billion people who play games," Bond said. "Today, a lot of those people don't have the option to play many of these amazing experiences and iconic games that you see. When you really look at what we're doing with Game Pass is we're making that possible by linking that to subscription, and putting our streaming into subscription. We're able to make the economics of all that work."

Xbox Game Pass had 18 million subscribers as of January 2021. The catalog grows each month with additional titles, including 20 from Bethesda that arrived this month after Microsoft's $7.5 billion acquisition of ZeniMax. The former Nintendo Switch-exclusive Octopath Traveler is coming on March 25. For more, check out all the games coming to and leaving Game Pass in March.

In addition to older back-catalog games, Xbox Game Pass features first-party games that release into the program day-and-date, which means subscribers can play Halo Infinite this fall at no extra cost.

https://www.gamespot.com/articles/m...-how-its-different-from-netflix/1100-6489122/
 
Aug 28, 2019
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Netflix doesn't constantly try to get you to buy add-ons to get the full experience for shows and movies. That's a big reason why GamePass users pay 20% more than Nintendo and PlayStation players.

Errr.. this is MS saying how GamePass Xbox users spend more than non-Gamepass Xbox users. Has nothing to do with NIntendo or Playstation players. Why would it? Sony makes their largest chunk of money on DLC/microtransactions.. from 3rd parties.

MS likes to act like GamePass is the cause for this; but it's far more likely just a correlation thing. Their biggest spenders probably are more likely to get something like GamePass, than their smaller spenders.
 
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Topher

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With Xcloud, all AAA games become mobile games. You only need a stable 4G connection or WiFi.

Are AAA games made for a large screen really going to appeal to mobile gamers though? I'm playing AC:V and the idea of playing that game on my Samsung Note is not appealing. That's just me, but seems like mobile gamers like games made for smart phones.
 

DeepEnigma

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Errr.. this is MS saying how GamePass Xbox users spend more than non-Gamepass Xbox users. Has nothing to do with NIntendo or Playstation players. Why would it? Sony makes their largest chunk of money on DLC/microtransactions.. from 3rd parties.

MS likes to act like GamePass is the cause for this; but it's far more likely just a correlation thing. Their biggest spenders probably are more likely to get something like GamePass, than their smaller spenders.
Just like when I sub to Eat Pass from Uber Eats, I spend way more than when I am not subscribed. But that also doesn't mean I don't go and get food myself at a similar clip.
 
Aug 28, 2019
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Just like when I sub to Eat Pass from Uber Eats, I spend way more than when I am not subscribed. But that also doesn't mean I don't go and get food myself at a similar clip.

Sure; but MS has never claimed they are saying people spend more after joining GamePass. They just generically say that GamePass users spend more.

You are more likely to sub to Uber Eats Pass if you use Uber Eats a lot is the anology I'm using.. so Uber Eats Pass customers probably by default "spend more than those without the Pass".. same with GamePass, their biggest spenders likely are the ones signing up to GamePass more often than not. Difference with Uber Eats Pass and GamePass is Uber Eats Pass isn't giving you a bunch of meals for "free."

Internally MS knows whether those actual users actually spend more after joining GamePass or not.. but I don't think they are actually telling us that.
 
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Are AAA games made for a large screen really going to appeal to mobile gamers though? I'm playing AC:V and the idea of playing that game on my Samsung Note is not appealing. That's just me, but seems like mobile gamers like games made for smart phones.
The Nintendo Switch screen is 6.2 inches. Most modern smartphones have OLED screens that are around that size and with much higher resolutions that reach 4K on flagships.
 
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DeepEnigma

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Sure; but MS has never claimed they are saying people spend more after joining GamePass. They just generically say that GamePass users spend more.

You are more likely to sub to Uber Eats Pass if you use Uber Eats a lot.. same with GamePass, their biggest spenders likely are the ones signing up to GamePass more often than not.

Internally MS knows whether those actual users actually spend more after joining GamePass or not.. but I don't think they are actually telling us that.
Ah yes, clever, clever.
 
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Ah yes, clever, clever.
I suspect they know those numbers, and they probably aren't good.

Otherwise they'd just say it.. "after joining GamePass, spending increases." That would be QUITE a story to tell.

Their real strategy is scale, to scale to those "billlionnns" of gamers out there currently spending $0 on the platform. But I suspect, that what they've done in the interim.. is save a ton of people money, and maybe encourage a fraction of their GamePass audience to actually spend more.

But they can claim what they claim in the OP, and it's true.. and they are speaking to stockholders with this stuff more than anything else. As long as it's true and sounds good, stock price goes up.
 
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Topher

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The Nintendo Switch screen is 6.2 inches. Most modern smartphones have OLED screens that are around that size and with much higher resolutions that reach 4K on flagships.

Yeah, but Switch is a different experience primarily because it has built-in controls. Most smart phone games are built around the touch screen rather than the resolution. For AAA gaming, you would really need to carry around a controller.
 

Captain Toad

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I suspect they know those numbers, and they probably aren't good.

Otherwise they'd just say it.. "after joining GamePass, spending increases." That would be QUITE a story to tell.

Their real strategy is scale, to scale to those "billlionnns" of gamers out there currently spending $0 on the platform. But I suspect, that what they've done in the interim.. is save a ton of people money, and maybe encourage a fraction of their GamePass audience to actually spend more.

But they can claim what they claim in the OP, and it's true.. and they are speaking to stockholders with this stuff more than anything else. As long as it's true and sounds good, stock price goes up.
I hear people all the time saying they've bought DLC for games they never would have purchased. Or purchased full games they didn't previously plan to buy when they are taken down from GamePass.
 
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yazenov

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Microsoft is such a tease; they reveal some vague stats yet they never show us what we really want, actual sales data such as software sold in units and Dollars, hardware sales, and profit. like either show us the receipts or shut up.

whitney houston best gif GIF
 
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Captain Toad

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Microsoft is such a tease; they reveal some vague stats yet they never show us what we really want, actual sales data such as software sold in units and Dollars, hardware sales, and profit. like either show us the receipts or shut up.
Yup. If the sales data was impressive, they'd shout it from the rooftops. When it isn't, they give random stats that make it APPEAR to be impressive.

I appreciate Nintendo. They aren't afraid to reveal their data. They go through periods where their consoles sell extremely well and periods where they are horrible. Either way, they don't hide the data.
 

Ellery

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With Xcloud, all AAA games become mobile games. You only need a stable 4G connection or WiFi.

I guess you are right about that, but it is hard for me to envision what the games would look like then and how they would play.
Maybe I just have a different definition of AAA games and that what I associate with that term and hope for won't be the same in the future on mobile devices which drastically change the landscape.
 
Aug 28, 2019
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I hear people all the time saying they've bought DLC for games they never would have purchased. Or purchased full games they didn't previously plan to buy when they are taken down from GamePass.
I'm not saying it doesn't happen; there's logic to suggest GamePass opens people's horizons.

But you have to weigh that against people potentially not buying games that they would have... and the fact GamePass was $1 for 3 years for a TON of people.

Which TBH, will ramp up once MS starts really releasing a lot of 1st party.

Of course the amount of people paying full price will ramp up.

We'll see.. either way, if MS was talking about people spending more money AFTER JOINING they'd have worded it that way IMO.
 
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Black_Stride

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Microsoft is such a tease; they reveal some vague stats yet they never show us what we really want, actual sales data such as software sold in units and Dollars, hardware sales, and profit. like either show us the receipts or shut up.

whitney houston best gif GIF

Convert those bitcoin become a shareholder/investor ask your accountant to ask them for cold hard numbers not percentages and all dem receipts are yours.

Im going to assume shes lying because obviously shes lying its MS we are talking about
 
Dec 29, 2018
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Well I have spend a grand total of $0 since I started using GamePass for the last few weeks.

I don't see a need or reason to spend any more money on any microtransactions or whatever else. All my money is going into my car so not sure what Xbox is saying here. I'd rather just wait for a game to hit GamePass instead of buying it. Plenty to keep my busy until that day.

All MS will ever get is my monthly subscription. That's it.
 

reksveks

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Errr.. this is MS saying how GamePass Xbox users spend more than non-Gamepass Xbox users. Has nothing to do with NIntendo or Playstation players. Why would it? Sony makes their largest chunk of money on DLC/microtransactions.. from 3rd parties.

MS likes to act like GamePass is the cause for this; but it's far more likely just a correlation thing. Their biggest spenders probably are more likely to get something like GamePass, than their smaller spenders.
There is also a bit of an amazon prime effect.

- Users are less likely to shop around if its cheaper elsewhere
- Users want to make sure that they get the most value out of their subscription so more likely to buy those discounted vbucks/what not

I forgot the episode but its in the Land of the Giants podcast about Amazon
 
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abel empire

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This business analysts never get it, game pass is not some new thing, games for subscription has existed before gamepass, playstation now, stadia and whatever platform its just up to sony to lower subscription prices and add more games and if people wanted free games that much theyll just get a pc go online and start downloading pirated games which they already are.

And xcloud isnt new too game streaming has always been there, gamers arent interested in playing god of war on a phone its like what masturbation is to sex! You want a real cinematic experience when playing console games its why stadia, onlive flopped

Third point gamers are a different breed, everybody watches films from any platform and any maker they only care if the film is good but gaming is cultural its 90 percent men who have their desired games and platforms and breaking that culture is like breaking masculinity itself ull just indulge yourself into a long bigger and expensive never ending war, and i suspect those 3 billion gamers are mostly moms playing candy crush and crash royale who have no interest and never heard of what a triple a game is.
 

reksveks

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Third point gamers are a different breed, everybody watches films from any platform and any maker they only care if the film is good but gaming is cultural its 90 percent men who have their desired games and platforms and breaking that culture is like breaking masculinity itself ull just indulge yourself into a long bigger and expensive never ending war, and i suspect those 3 billion gamers are mostly moms playing candy crush and crash royale who have no interest and never heard of what a triple a game is.
Hmm, okay. Feels a bit weird.
 

Topher

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Well I have spend a grand total of $0 since I started using GamePass for the last few weeks.

I don't see a need or reason to spend any more money on any microtransactions or whatever else. All my money is going into my car so not sure what Xbox is saying here. I'd rather just wait for a game to hit GamePass instead of buying it. Plenty to keep my busy until that day.

All MS will ever get is my monthly subscription. That's it.
Lies No GIF
 
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Bernd Lauert

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Well I have spend a grand total of $0 since I started using GamePass for the last few weeks.

I don't see a need or reason to spend any more money on any microtransactions or whatever else. All my money is going into my car so not sure what Xbox is saying here. I'd rather just wait for a game to hit GamePass instead of buying it. Plenty to keep my busy until that day.

All MS will ever get is my monthly subscription. That's it.
That's what I thought too, and then I played a game that I really, really liked and I wanted to play the DLC. Moneyrain.
 

Alandring

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Wonder how the prospect of 3 billion gamers translate to the games that will be on Gamepass? Could a long term switch to mobile games happen for Microsoft? :pie_thinking:
I really hope they will. I hope Microsoft will one day release a real Game Pass on mobile (yes, there is already xCloud, but I'm more interested by native mobile games).
 

Stuart360

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They play 20% more because they have 300 'free' games there to play. Not rocket science.
 

DaleinCalgary

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Well I have spend a grand total of $0 since I started using GamePass for the last few weeks.

I don't see a need or reason to spend any more money on any microtransactions or whatever else. All my money is going into my car so not sure what Xbox is saying here. I'd rather just wait for a game to hit GamePass instead of buying it. Plenty to keep my busy until that day.

All MS will ever get is my monthly subscription. That's it.
I'm in the same boat. I think I'll just be playing the free stuff.
 
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Hitchyhero

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Well I have spend a grand total of $0 since I started using GamePass for the last few weeks.

I don't see a need or reason to spend any more money on any microtransactions or whatever else. All my money is going into my car so not sure what Xbox is saying here. I'd rather just wait for a game to hit GamePass instead of buying it. Plenty to keep my busy until that day.

All MS will ever get is my monthly subscription. That's it.

Well I've never bought DLC in my life as I'm usually 'over' the game by the time DLC comes out.

Since getting gamepass in November I've bought both Forza horizons DLC and some sea of thieves things
 

pasterpl

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I actually fit into those numbers, I spend more on non-gamepass games, sometimes I buy gamepass games at discount, I buy dlcs, and definitely play more games and try new genres
 
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I'm in the same boat. I think I'll just be playing the free stuff.
Yep. There's an embarrassing amount of games on available on GamePass. Too much to spend on DLC IMO.

Well I've never bought DLC in my life as I'm usually 'over' the game by the time DLC comes out.

Since getting gamepass in November I've bought both Forza horizons DLC and some sea of thieves things
Currently playing Forza Horizon 4 and there is cheap DLC attached to that game however I don't see myself spending the money on it as the roster of cars is already so damn large why spend money to get 6 more cars. I doubt I will ever complete the game also so there's no need to buy any DLC no matter how cheap it is.
 
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pasterpl

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I always hear that GP's big benefit is that you save money. Yet this says they spend 20% more. That's fascinating.
Save money on games that are on gamepass so you can spend more on games that are not included in the conversation
 
Dec 29, 2018
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I always hear that GP's big benefit is that you save money. Yet this says they spend 20% more. That's fascinating.
The way I look at it is that GamePass exposes you to an assload of games and in that assload of games you have an X amount that have microtransactions attached to them so the likelihood of someone spending something on any number of DLC's is higher than normal.

You might love shooters more than racing games and there's a crap ton of shooting games on gamepass. You're likely to spend money on one of those shooters. If they can't hook you that way, there's a crap ton of other genres to get that $2 or $3 from you bit by bit.

It's an itch, a disease that Xbox hopes you develop for GamePass.
 

wolffy71

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Are AAA games made for a large screen really going to appeal to mobile gamers though? I'm playing AC:V and the idea of playing that game on my Samsung Note is not appealing. That's just me, but seems like mobile gamers like games made for smart phones.
Its appealing if a mobile phone is ur most powerful tech or only tech, which is the case for a lot of developing countries.
 

DaleinCalgary

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What they are saying is that the typical consumer doesnt behave as you do. The typical consumer spends more not every consumer spends more.
I spend lots.

I own both ps5 and XSX, picked up an elite controller, extra dual sense and the Sony headset and purchased a few games on ps5 already.

edit: and purchased from Microsoft the extra 2 years extended warranty for the XSX.
 
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djjinx2

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Yep. There's an embarrassing amount of games on available on GamePass. Too much to spend on DLC IMO.


Currently playing Forza Horizon 4 and there is cheap DLC attached to that game however I don't see myself spending the money on it as the roster of cars is already so damn large why spend money to get 6 more cars. I doubt I will ever complete the game also so there's no need to buy any DLC no matter how cheap it is.

Lego is THE best DLC ever, it's just a fact ok...