Since their inception and introduction into the gaming industry around 2006, microtransactions (or MTX for short) have consistently been a hot topic among consumers. Selling online content for real money is now completely commonplace, with many companies basing their entire game’s business structure around the system. A great example is the viral video game Fortnite. This game is free to download and play to all users, but players are given the opportunity to purchase in-game cosmetics for real-world money. Fortnite has become arguably the most popular game in recent memory and proves that this system works wonders.
Microtransactions can come in a variety of forms. Many games adopt the menu style of MTX, which means that players can purchase online items from a list for a specified price. Another way to sell MTX items is through a lottery system, and this is where things get interesting. Star Wars Battlefront II was a hotly anticipated game back in 2017, especially because it carried the Star Wars name on its brand. The game was released and sold for full price (around $60) and also included microtransactions to supplement sales. Early reviews of the game aggressively criticized these microtransactions by accusing them of being “pay to win.” This means that players were able to purchase advantage-giving online items that would make the game unfair for those who did not purchase these microtransactions.
EA Games, the head developers of the game, tried to do damage control by removing these pay-to-win microtransactions, but the damage was already done. The game became the laughingstock of the industry and still garners negative attention to this day. Not only were these items inside of a lottery system, but they were also giving players with more money an unfair advantage. Star Wars Battlefront II has since recovered from this somewhat due to frequent quality-of-life updates, but the game could have been much more successful than it was had the MTX not been there.
Another popular game, Apex Legends, uses a similar style of lottery system. This system, however, only deals specifically with cosmetic items. In my opinion, the lottery system as a whole should be phased out of the industry. Most MTX lottery systems in the gaming industry distribute content through “loot boxes.” In a typical setting, an interested consumer would spend real money on one of these loot boxes and receive 3 items of varying levels of quality (usually common, rare, and legendary). This means that the chances of getting exactly what you want are pretty slim. This is clearly a way to get the most money possible out of your consumers.
What about the kids though? If a twelve-year-old kid downloads Fortnite for free and decides to buy loot boxes, isn’t that a form of gambling? Should there be clearly marked warnings on video games that might promote gambling just like tobacco products have warnings about cancer? In my opinion, lawmakers who are older in age and aren’t tuned into the world of video games probably don’t even know microtransactions exist. If they knew the ramifications for some of these business models, I strongly believe that legislation would be passed to protect young, impressionable gamers from contracting addictive gambling tendencies. What do you think? Are microtransactions here to stay? Is an MTX lottery system a form of gambling? Are businesses in the gaming industry targeting minors for maximum profit?
Here are a couple interesting articles on microtransactions for some further reading: