PS Plus, Xbox Game Pass Spending Has Completely Plateaued in USA

Fenton

Veteran
22 Feb 2023
1,085
2,520
data from Circana (formerly NPD) shows that consumer spending in the sector has completely plateaued.


While more and more people signed up to services like Xbox Game Pass during the pandemic, revenue has peaked at around $400 million per month – after first reaching that figure in November 2021, almost two years ago. Games Industry.biz elaborates: “Subscription fatigue, fewer available dollars for discretionary spending due to higher food and gas prices, slow mass market adoption of cloud gaming, and a strong slate of new premium releases may be contributing factors to the slowdown.”

 
  • haha
Reactions: toadsage44

ethomaz

Rebolation!
Icon Extra
21 Jun 2022
10,845
8,871
Brasil 🇧🇷
PSN ID
ethomaz
Yeap it stagnated.

I'm not much into the Xbox side of things.
But like I pointed in previous earnings the PS+ revenue got a boost after the PS+/PS++PS+++ split (that meant people moved to higher tiers) but after that it showed similar numbers even with more PS5 reaching the market (that should have boosted the numbers of subscriptions).

And to be fair I believe it is the main drive of why the PS+ price is rising now... the quantity stopped to grow at fast pace so they had to find another way to boost revenue from subscriptions.

It is bad for consumers.
 
D

Deleted member 223

Guest
Considering MS walked back their price increase when they got heat for it I would be worrying more about PS leadership and their plans to milk PS whales. Far more numerous. Obviously MS turned XBL Gold into Core and increased the pricing anyway but at least initially they retracted.

See no hints of PS walking back this recent price increase.
 

anonpuffs

Veteran
Icon Extra
29 Nov 2022
10,125
11,500
Donald Glover Reaction GIF
 

ChorizoPicozo

Veteran
1 Jul 2022
1,848
1,481
MS should be in absolute Panic Mode if TileFilled doesn't substantially increase all metrics for the next quarter.
 

historia

Veteran
29 Jun 2023
2,818
2,720
That why those fucking cunt Jim Ryan raised the price. Stupid aggnorant asshole, he is not any better than Filthy Phil.
 

Yurinka

Veteran
VIP
21 Jun 2022
7,278
6,170
If we look at the graph of the worldwide PS+ data we see that the PS+ subscribers did stop growing when the consoles shortages started, and became stagnant during the shortages. Most of the new subbers sould be new console users, particularly those who didn't have a PS4 (which are a big percent of the PS5 users according to Sony):

3nwtvgq.png


We also see in the graph that despite being flat in the number of subscribers, the release of the new PS+ caused a noticiable increase in the related revenue because millions of existing PS+ subbers migrated to higher, more expensive tiers.

The chart only covers until the end of March, but this year, speciallly in the 2nd half Sony is now able to ship consoles normally without being supply constrained by chip shortages, meaning they will sell way more consoles than in previous years, which also it's fair to assume that will also mean that the amount of subbers will grow again.

It's also worth mentioning that Sony no longer sells PS+ cards or PSN gift cards with discounts on external stores. Now if you find them they have the standard price.
 
Last edited:

Johnic

Veteran
24 Mar 2023
3,580
5,945
Outer Heaven
They are worth Trillions lol. They dont care. They just want to outlast the competition by outspending them
Xbox has been on the chopping block several times before. At some point the shareholders will want a return on their investment from that division. I have no idea how Spencer convinced Nadella to keep investing in it.
 

historia

Veteran
29 Jun 2023
2,818
2,720
Xbox has been on the chopping block several times before. At some point the shareholders will want a return on their investment from that division. I have no idea how Spencer convinced Nadella to keep investing in it.
Max Chrisma points
 
OP
OP
Fenton

Fenton

Veteran
22 Feb 2023
1,085
2,520
Xbox has been on the chopping block several times before. At some point the shareholders will want a return on their investment from that division. I have no idea how Spencer convinced Nadella to keep investing in it.
This is what Nadella wants:

3 billion players across PC, Consoles, Mobile Devices, and Cloud by 2030.

 

Kokoloko

Veteran
Icon Extra
21 Jun 2022
5,279
4,174
Xbox has been on the chopping block several times before. At some point the shareholders will want a return on their investment from that division. I have no idea how Spencer convinced Nadella to keep investing in it.
I agree but I think Nadella is fully onboard with taking over the “living room” and willing to spend more. He just spend 80 billion like it was nothing And there not gonna stop. We’ll see how the board feels though.

I doubt Starfield will take Xbox or Gamepass to where they want and expect, I doubt it gives them the momemtum the fans have been saying since 2019 or whenever it was, which was meant to be kickstarted by Halo Inifinte.

Halo is dead for now, Call of Duty won’t be exclusive, Starfield isn’t the 2nd coming of Christ and Fable/Hellblade2/Avowed etc are gonna be cared about less than Starfield. There biggest IP, Elders Scroll 6 is probably 5 years away
 
  • they're_right_you_know
Reactions: Johnic

flaccidsnake

Veteran
2 May 2023
2,997
2,525
I had Gamepass for a year and then cancelled it. I have a Steam backlog with more games than I'll ever have time to play. It makes no sense to pay for a subscription to MS' backlog.