Are in-app purchases ruining mobile video games?

Smart devices have made it easy to play video games just about anywhere, but the rise of mobile gaming hasn’t been without controversy in the form of in-app purchases. In-app purchases, or microtransactions as they are sometimes called, is when a mobile game charges you money for something after you’ve already downloaded/purchased the game. In-app purchases can take many forms such as being able to purchase virtual items exclusive to the game, loot boxes which promise a random item, subscriptions that unlock greater functionality in the game, or fees to bypass time gated content. Let’s take a look at how in-app purchases in games are used, and why they are so controversial.

The Microtransaction Business Model

You don’t have to keep up with game news to know that that many mobile video games can be downloaded free of charge. This means that the publisher must make back their development costs somehow, and this takes the form of in-app purchases in many cases. By charging players for certain items and services, a publisher can continue paying their development team to update the game, fix bugs that may come up, and even create a sequel.

While this sort of business model may sound perfectly reasonable, certain types of in-app purchases can take away from the fun of the game itself for many players. A good example of this would be a concept known as “pay-to-win” in which players who use in-app purchases have a significant advantage over those who don’t. This can lead many players to become frustrated because they chose not to spend money on the in-app purchases.

Another problem with in-app purchases that many gamers dislike is the fact that larger publishers have started the practice of putting microtransactions in mobile games that require an upfront fee. This means that the player has to buy the game, then continue spending even more money to access locked content. In the case of online games, they may even be expected to pay a subscription fee on top of all this. Needless to say, many gamers are not happy with this kind of aggressive monetization.

Pay to Beat the Grind

One form of in-app purchase that has been particularly poorly received by gamers is when a mobile game is made intentionally “grindy” on purpose with the option to make progress faster by paying for it. An example of this would be a game making it take around 20 hours to get an items such as a special sword or piece of armor just by playing the game, but offering the item for sale through in-app purchases so that players who pay for it can get it instantly.

A similar type of in-app purchase to this would be the ability to bypass time gating by paying real money. Time gating is when a certain process in the game takes a specific amount of time to complete, such as an egg taking three days to hatch into a pet monster or something. This being the case, players are often times given the option to bypass these time gates by paying real money.

Loot Boxes and the Law

Perhaps the most controversial of all in-app purchases are loot boxes. A loot box is when a player purchases an in game package that can contain random stuff such as new characters, weapons, in-game currency, armor, and more. The thing is, unlike in-app purchases that let you just buy what you want, there is no guarantee that you’ll get what you want with loot boxes. This means that players may end up spending hundreds of dollars or more before they get the desired item. There have even been reports of children using their parents credit cards to make thousands of dollars worth of loot box purchases in online games.

Loot boxes have often times been compared to gambling, and many countries have considered banning them entirely. In fact, Belgium has actually made loot boxes completely illegal. This may set a precedent going forward since some game news sources and even psychologists have claimed that loot boxes can make children more likely to become addicted to gambling.

Weighing the Good and the Bad of In-App Purchases

While there are certainly a lot of negatives when it comes to in-app purchases in mobile games, it can be argued that many mobile games simply wouldn’t be able to exist without them. While large publishers do tend to implement very aggressive monetization policies that try to squeeze every last penny from their consumers, many smaller indie studios use in-app purchases in a way that’s not a complete slap in the face to their players. In the end, microtransactions aren’t going away, so it’s up to the players to decide what’s worth paying for, and what isn’t.