Microsoft's Aaron Greenberg has been talking a bit more about Xbox Game Pass in a recent interview with What's Good Games, explaining that the service "isn't a big profit play" for the company right now.
In the interview (transcribed by GameSpot), Greenberg was asked about how Xbox Game Pass can prove profitable, and responded by highlighting that it's all about providing value for the customer:
"It's a different mindset. If you do optimize for profit, and you do specifically say ... you can either say, 'How we do get as much profit out of each customer?' Or, do you pivot that and say, 'How do we add as much value to our fans?' 'How can we actually over-deliver on value?' If you do that, you build fans for life."
He later went on to point out that word-of-mouth marketing can do far more for the service than any marketing Microsoft throws at it, and the team wants to encourage that by continually adding value over the long term:
"Ultimately, we think long-term that's the right thing for the business and will have long-term benefits for us. In the short-term, yeah, [Xbox Game Pass] is not a big profit play. But we think long-term it works out good for everybody."
What do you make of Aaron's comments on Xbox Game Pass? Let us know in the comments below.
[source youtube.com, via gamespot.com]
I love Game Pass - especially Ultimate! I think it's the best value out there - despite all the "I would rather own my games" hate out there. I understand the idea of going back and playing old games whenever I want, but the reality is that when I finish a game, I rarely go back.
The way I see it, if I play a game on Game Pass, finish it, and want to go back to it sometime down the road, I will just buy said game at a deep discount (due to age) if it's no longer available on Game Pass anymore.
Heck even if it takes me two months of Game Pass ($30) to finish the game, and I spend $10 on the game way down the road, that's cheaper than $60 for the game brand new.
Still haven't signed up for gamepass, It's the best deal is gaming right now but i just wanna own my games while i play them damn it..
@GamingFan4Lyf Yep, that is some sound logic to me. I feel the same way.
"He later went on to point out that word-of-mouth marketing can do far more for the service than any marketing Microsoft throws at it..."
Indeed it does. You see that everywhere with how people who have tried it have nothing but praise to say about it.
Game Pass is awesome & the best deal in gaming.
Even when GamePass is not successful, it is.
GamePass might not convince user X to subscribe, but millions of users will play this or that title and make word of mouth for that title spread, twitch and YouTube streams, eventually user X ends up buying said game, be it on XBox, MS Windows Marketplace or Steam. Either way the developer wins (especially if it’s a Microsoft game that sells.)
The service won’t even cannibalize sales, IMO, because I often seen games available on the service chart rather high on Amazon Xbox top selling game lists.
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