Subscription service as the future of video games?

Screw the blog personality for this post. We’re doing this in-person. Shigsy had an interview with Bloomberg, where he warns other video game developers about greed. This is rich, coming from a dev who can do whatever the hell he wants rather than doing titles that the market has yearned for some time. It’s no secret 2D Mario titles sell more than 3D ones, but they’re too much work and bothersome to design. He’d rather have games developed like a school project.

Shigsy doesn’t really say anything especially worthwhile. His criticism on F2P and lootboxes echoes so many others, and you can read between the lines how there is irritation about mobile games with gacha are making tons of money. Fate Grand Order or whatever it was is making millions per day, supposedly. Shigsy saying the fixed-cost model hasn’t been a success is bullshit though. Something that has worked for pretty much everything thus far doesn’t suddenly become unsuccessful just it seems to be under fire now. Sure, Shigsy talks mostly in context of mobile gaming. Nintendo tackling mobile games has been criticised for good reasons, as the market is widely different from console game market. It’s like entering a market selling pizzas with hamburgers. There is a reason why Nintendo’s IPs on computers has always been handled by other companies, like Hudson with Super Mario Bros. Special.

Shigsy clearly likes the idea of subscription based gaming, like how Netflix is for movies and TV shows. To him, how games have been sold thus far seems to have failed despite gaming has become larger than Hollywood through it. F2P games with in-game purchases is greedy way to make profit to him, but this is business. You make money the best way you can. Subbing services on the other hand would still have the consumer pay a front fee to access titles to begin with, but just as with Netflix and other of its competitors, the question about what games would be available. Nintendo’s upcoming service for the Switch is abysmal in this, as the game variety they’re offering is extremely limited. A subbing service requires to have extremely wide variety of titles, and having something else than the same NES titles over and over.

It’s trite for Shigsy to argue for Nintendo wanting to bring their games to widest possible audience via mobile games. If Nintendo truly wanted to do this, they’re start doing third party games for Microsoft and Sony. That’s not going to happen, so what they’re really about with mobile games is cross-platform advertising. Show people who play games on mobile phones how great titles Nintendo has with selected IPs, and maybe some of them will be interested enough to jump the bandwagon with Switch.

This has been Nintendo’s strategy with across media platforms and consumables before as well. All the cartoons, toys, cereals, comics and so on were only to promote Nintendo’s games and consoles. Mobile phone games are the exact same thing, as their primary value is to advertise the brands and IPs instead of raking money on themselves.

I’m almost baffled how Shigsy thinks there isn’t already a culture of paying for valued software. Your normal everyday person doesn’t have thousands or millions to blow money on games. Hell, most people don’t even put hundreds into games. Outside some stupidly obsessed people, consumers have a very strong tendency on purchasing products they deem worthy. Nobody simply blows their cash on whatever kind of products if they can help.

Considering Nintendo of Japan seems to has jack shit understanding about global market, I wouldn’t be surprised if this wasn’t one of Shigsy’s and Nintendo’s brain farts how consumers act. The main reason why Fire Emblem and Famicom Wars never hit the West before GBA was because Nintendo’s staff thought Americans didn’t like strategy games, despite PCs being filled with them. Then again, this probably is partially true due to how most successful strategy games have been on PC, and we’ve seen, Nintendo didn’t deal in the PC market. Nevertheless, Advance Wars became more popular in the West than in Japan. Then you had Nintendo’s official, can’t remember who, proudly mentioning how Japanese children loved to craft and play with cardboard. Honestly, Nintendo’s corporate culture in this sense has their heads deep in their asses. This line really should be read that Shigsy wants a culture where games he values would be purchased. I bet he is still salty about Donkey Kong Country being the breakthrough title for the Super Nintendo.

Consumers already have a habit of paying money for applications and software  they deem worth the money. Trying to act like this is not the case goes against reality. If this is some sort of jab at piracy and how Nintendo has been fighting against ROMs and the like as of late, it further shows how out of loop he and the rest of the company is. Virtual Console was a massive success to the point of titles outselling new games Nintendo was putting out. There is a market for these older titles, hence why people are willing to pirate and play ROMs. This the same reason why the Classic Mini systems are selling like hotcakes. By not offering a way for consumers to purchase and access them is effectively shooting yourself to the leg and not offering software people are willing to pay for. This isn’t any goddamn rocket science. The habit Shigsy wants consumers to have is already there, but they’re not willing to provide the software. On the contrary, they’ve killed all avenues to obtain these titles. Furthermore, piracy has promoted products far more than any other field; it is not an outright negative impact in itself. A pirated title is not a lost sale, as the case often is that there was no intention to purchase that title in the first place. Comparison with music streaming is false equivalency but its the best Shigsy can muster. You can’t play games Youtube either, so into the trash with it.

Does changing things into Netflix-like subbing service change anything in this? Of course not. If the library of games is lacklustre compared to other similar services, or even outright stores, you won’t see customers subbing. The price has to be low enough to warrant subbing to it as well, and lose all rights to the games. Never underestimate customers’ will to have ownership over what they’ve paid.

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