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Thursday, December 3rd, 2009

EA To Embark New Game Business Models, Free First Then Pay Works

November 1, 2007 by Patrick Quek  
Filed under Gaming

eaThe 100-pound gorilla games publisher, Eletronic Arts (EA), has changed the ways they distribute and sell games. EA is adopting Asia’s or in particular, South Korea’s gaming business models of giving games free first, then charge gamers who crave for bells and whistles in the games.

FIFA 07 no longer appeared for retail on shelves, and the game was offered free for download over the Internet. In order for EA to gain something out of the gesture, the publisher marketed game “enhancements” for a minute microtransaction fees. Unsurprisingly, it was widely accepted. Korea’s gaming economy flourished with microtransaction business models.

This concept is actually nothing new. It’s exactly a “try first, pay later” model as hardcore gamers will go all the way to get the ultimate enhancement, fanciest suit or the most elusive treasure in specific games. In this way, the game keeps expanding and scaling up which in turn, guarantees a longer online life (shelf life).

Via QJ

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