Wednesday, October 15, 2008

The download business model needs an overhaul



For a long time now I have believed that the download model needed to be looked at and it seems that the industry is starting to try out new models.

One area I think they need to look at is the length of time that they allow free play on downloads. Game players get things quickly and 30 mins is more than enough.

In addition to that some have tested selling games above $19.99 and have had some success achieving the same conversion rate even when they priced the game at $29.99 and only allowed 30 min trial. However the overall yield was up 5 cents per download on other options.

Fact is developers are delivering much richer experiences and the download games stand out from the free content. It could be interesting to see if the pay by play model could work. So you top up your account and you are allowed to play any game on the site for a time limit based on how much credit you have. Pay as you go gaming.

This could open up a more penetration and better conversion rates.

You can read the whole story at the IGDA.

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