Sony say inclusion of their first party onto PS+ has had a big (negative) effect on traditional sales

anonpuffs

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No sh!t johnny!

I Bought PS+ Extra for 12 months on special before the price hike and I have not bought a single game for my PS5 this year. No wonder they are raising the prices... When you spend $300 millions on a game it's worth quite a lot.

Mind you, I'm not renewing because I play only a couple of games each year... but then again with the price of retail games in Canada that may be the least bad option so that both me and my kids can play a variety of games.
Also since the revamp Sony and to a lesser extent Xbox have been putting pretty decent games on there.
 

Petekilla

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I said this and people disagreed without any actual argument. I'm glad now that we have conclusive evidence.

Sony is truly stupid

They call PC/Steam a competitor but continue to put their games on there.
They know PS+ inclusion is cannibalizing sales but they continue to put their games on it.

They put their own future and profitability at risk just to follow a model that's only resulted in failure for Xbox for 6 years straight.

They see Nintendo breaking records and being the most profitable by sticking with the traditional model and instead choose to emulate the last place losers that are about to exit the gaming business. How anyone can still say he was a good CEO is beyond me, the Jim worshippers are honestly worse than Phil's.
The reason why Nintendo can stick to the traditional model is because their top exclusives sell 30/40+M and their exclusives are cheap to make. Sony needs that extra revenue.
 

Bryank75

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The reason why Nintendo can stick to the traditional model is because their top exclusives sell 30/40+M and their exclusives are cheap to make. Sony needs that extra revenue.

Better option is to control the budgets, get cheaper support studios and control the scope... Cutting any fat.

Pc ports hurt the desirability of both the game and the hardware it was originally made to help sell.

If the games are not selling hardware, their purpose is nothing. They might as well depend fully on third party and just cut cheques to get exclusivity on everything they can instead of making anything.
 
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JAHGamer

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The reason why Nintendo can stick to the traditional model is because their top exclusives sell 30/40+M and their exclusives are cheap to make. Sony needs that extra revenue.
Only a handful of Nintendo games sell 30m+, majority of them sell around 3m-5m like Bayonetta, Metroid, Pikmin, Fire Emblem, Splatoon, Astral Chain, Xenoblade, etc. What Sony has that Nintendo doesn't is the largest install base that actually gets the biggest 3rd party releases. Much more than Xbox and Steam. Why jeopardize your install base and lose that 30% cut?

But Nintendo has at least fostered a culture of supporting good games, which is why 3rd party devs bend over backwards to get a Switch port. Sony putting their games on PS+ and PC is the exact opposite of fostering a healthy install base, you condition consumers to wait for games to be dropped on subscription service to be played for "free" or a PC port where you can buy it for cheaper or pirate it.

Saying "Sony needs that extra revenue" objectively makes no sense. The PC port initiative has been flop after flop after flop. After 4 years and 10 ports combined they still haven't reached 250m revenue altogether. And that's BEFORE a 30% Steam cut and porting costs are accounted for, which we now know can cost around 30m. For context, Ragnarok made over 300m revenue in ONE WEEK. And nearly 1 billion dollars after 1 year, Spider-Man 2 is a similar story. Sony makes around 500m revenue from the PSN store per WEEK. So saying they "NEED" the PC revenue is an absolute joke. Especially when that revenue comes at the massive cost of diminishing your brands identity.
 
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Petekilla

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Sony really is in an awkward position here with PS+:

  • Putting their games on PS+ day one (or even a year out from sale) will flatline their sales, but people expect games on subscription services now
  • Microsoft is winning gamers over with GamePass because it provides tremendous value (GamePass alone makes me want to buy an XBOX for the first time ever)
  • Without first party games on PS+ day one, there isn't much incentive to subscribe to higher tiers of the service
  • I wonder if some people are simply just waiting for games to hit PS+ now? I'm abstaining from GOWR, TLOUR etc because I'd rather wait for them to hit PS+ because I view PS5 games as "inflated" now. They rarely go on generous sales since they were increased to $70 (or $119 in Australia), so I'm not in a rush to pay a high price anymore. Either they get generous discounts like PS4 games did, or I wait for PS+.
I get why they won't hit PS+ within a year anymore, but I'll continue to wait for the day they do, or for when they reach bargain bin prices.
 

Bryank75

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From Era.
Sony really is in an awkward position here with PS+:

  • Putting their games on PS+ day one (or even a year out from sale) will flatline their sales, but people expect games on subscription services now
  • Microsoft is winning gamers over with GamePass because it provides tremendous value (GamePass alone makes me want to buy an XBOX for the first time ever)
  • Without first party games on PS+ day one, there isn't much incentive to subscribe to higher tiers of the service
  • I wonder if some people are simply just waiting for games to hit PS+ now? I'm abstaining from GOWR, TLOUR etc because I'd rather wait for them to hit PS+ because I view PS5 games as "inflated" now. They rarely go on generous sales since they were increased to $70 (or $119 in Australia), so I'm not in a rush to pay a high price anymore. Either they get generous discounts like PS4 games did, or I wait for PS+.
I get why they won't hit PS+ within a year anymore, but I'll continue to wait for the day they do, or for when they reach bargain bin prices.
They muddied the waters too much...

The exclusives should only ever have been to buy and never on pc... Now people expect to get them for little or nothing.

Despite their high quality, they are now viewed as the same shit as everything else...cause they are too available.
 
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Petekilla

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Only a handful of Nintendo games sell 30m+, majority of them sell around 3m-5m like Bayonetta, Metroid, Pikmin, Fire Emblem, Splatoon, Astral Chain, Xenoblade, etc. What Sony has that Nintendo doesn't is the largest install base that actually gets the biggest 3rd party releases. Much more than Xbox and Steam. Why jeopardize your install base and lose that 30% cut?

But Nintendo has at least fostered a culture of supporting good games, which is why 3rd party devs bend over backwards to get a Switch port. Sony putting their games on PS+ and PC is the exact opposite of fostering a healthy install base, you condition consumers to wait for games to be dropped on subscription service to be played for "free" or a PC port where you can buy it for cheaper or pirate it.

Saying "Sony needs that extra revenue" objectively makes no sense. The PC port initiative has been flop after flop after flop. After 4 years and 10 ports combined they still haven't reached 250m revenue altogether. And that's BEFORE a 30% Steam cut and porting costs are accounted for, which we now know can cost around 30m. For context, Ragnarok made over 300m revenue in ONE WEEK. And nearly 1 billion dollars after 1 year, Spider-Man 2 is a similar story. Sony makes around 500m revenue from the PSN store per WEEK. So saying they "NEED" the PC revenue is an absolute joke. Especially when that revenue comes at the massive cost of diminishing your brands identity.
Oh I agree it’s been a flop. This was more a risk that they wanted to take. I’m sure they know know.
 
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Petekilla

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They muddied the waters too much...

The exclusives should only ever have been to buy and never on pc... Now people expect to get them for little or nothing.

Despite their high quality, they are now viewed as the same shit as everything else...cause they are too available.
Yeah but this was seems like an Xbox fanboy on Era who wrote this. MS isn’t winning anyone, especially with Gamepass. Lol I do think this was the best comment that I saw there though.

“I'm still of the belief that Nintendo's approach was the correct one in the long haul. They never devalued their product, once you start training customers to get your games without paying for them it becomes a lot harder to actually get them to pay for them”.
 
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Neversummer

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It's also worth mentioning this is an estimate projection and not real sales data, notice includes future 2024 estimated results and that HFW was released less than 2 years ago so they don't have 2 years of sales.

And beyond that, this is an even more incomplete picture: they sacrificed game sales to bump gamesub revenue.

This part only shows the estimated sacrificed sales, but there's the missing part of the bumped gamesub revenue to see if it compensated enough or not.

On top of this, another reason of including it on PS+ is to mazimize the amount of people who was able to buy the game's DLC. Because in fact, Insomniac posted there that they are working on a "booster content" (DLC?) that they want to have ready for the moment they include it in PS Plus:

Screenshot_2023-12-20_072000.png



SIE generating record revenue and profit.
PS hardware selling record numbers,
PS game sub generating record gevenue.
PS first party games getting sales records for their studios.
PS5 only sequels of games ported to PC break sales record.

There are no negative effects, if something there are positive effects on console. Plus PC provides them hundreds of millions of dollars in profit per year, a number that keeps growing year after year as they keep releasing games.
PlayStation is being successful because PlayStation & are breaking record profit because PS not because PC releases (even thoe it’s a bonus w caveat). There is negative effects of Sony releasing games on PC (it might not be noticeable short term) but from the data that we have when Xbox started releasing games on PC to now there’s been a massive negative effect in consoles. There will be a further noticeable negative effect of Sony releasing games on PC when Nintendo Switch 2 console is more inline w PS & Xbox in power & gets the mainline 3rd party

I mainly play on PS but if they continue PC releases there will be a future where I’m no longer spending my time & money on PS (where Sony gets a bigger cut) & I play there games on PC (smaller cut) & make Nintendo consoles my prefer console to play on spending more time & money on Nintendo instead of PS where Nintendo has true exclusive that I can’t get anywhere else
 
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Swolf712

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Horizon Forbidden West was selling aligned with Horizon Zero Dawn year 1, and immediately flatlined once put onto subscription.

That revenue will further crate now that they're giving it away on PC to pirates soon.

Jim Ryan continues to try to recreate Xbox's decline onto Playstation.
I mean, this is only looking at a piece of the pie here.

For one, the drop-off is... really not THAT steep. They may well see it as worth the short-term loss for long-term gain on potential PS Plus sub retention or growth. We can't really make definitive statements with scraps of data.
 

Ezekiel

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I'm of the opinion that PS+ Extra can replace the big discounts we saw for their games.

If HFW stays 50-70$, and gets added to PS+, that's like if they discounted it to 10$.

You also have to take in consideration the sales of their DLC, Burning shores.

If they prefer having game sales, than they can go back to discounting games to 40, 30, 20 and yes, even 10$.

Otherwise, including them in PS+ Extra after some time can be good.
 
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anonpuffs

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Horizon Forbidden West was selling aligned with Horizon Zero Dawn year 1, and immediately flatlined once put onto subscription.

That revenue will further crate now that they're giving it away on PC to pirates soon.

Jim Ryan continues to try to recreate Xbox's decline onto Playstation.
"This represents a loss of $85m to HFW's Retail Revenue"

This is the exact line that shows why Xbots kept pushing for Sony to put their games on PS+. Microsoft has been angling to destroy PS's first party games' value and cause them to go into a money-losing business. "It's free for Sony to put their first party games on PS+!" STFU no it isn't bitch
 

Airbus

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That horizon forbidden west data consolidate my opinion that they have to remove/delete ps plus permanently

Let people buy games and sales will thrive;)
 
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anonpuffs

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That horizon forbidden west data consolidate my opinion that they have to remove ps plus permanently

Let people buy games and sales will thrive;)
PS+ is fine but it should be limited to smaller indie/AA games, reduce the price back to $60 and give us 50% off sales. just go back to where it was. Microsoft fucked everything up by forcing Sony to respond.
 

JAHGamer

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PS+ is fine but it should be limited to smaller indie/AA games, reduce the price back to $60 and give us 50% off sales. just go back to where it was. Microsoft fucked everything up by forcing Sony to respond.
they didn't force Sony to do anything. That idiot Jim had no idea what he was doing and just copied them when there was zero incentive or reason to follow suit. Sony could've easily just let Xbox fail on their own and laughed but poor, inept leadership can't think for themselves.
 
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anonpuffs

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they didn't force Sony to do anything. That idiot Jim had no idea what he was doing and just copied them when there was zero incentive or reason to follow suit. Sony could've easily just let Xbox fail on their own and laughed but poor, inept leadership can't think for themselves.
Nah I think it was necessary for them to respond. PS+ neuters the only reason to ever get an xbox which is gamepass by having better games on it, while still being a moneymaker for PS (although it is handicapping their game sales a little). For fans we can afford to laugh at Xbox's dumb ideas but as a billion dollar corporation they HAVE to hedge their bets, especially when Microsoft has enough money to sustain it if they perceive any sort of progress. Just think back to 2020-2021, when it was PEAK gamepass propaganda, you couldn't go two steps without seeing an ad for it. I think in 2020-2021 Sony looks at this and sees a real threat that can't be allowed any quarter.
 

JAHGamer

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Nah I think it was necessary for them to respond. PS+ neuters the only reason to ever get an xbox which is gamepass by having better games on it, while still being a moneymaker for PS (although it is handicapping their game sales a little). For fans we can afford to laugh at Xbox's dumb ideas but as a billion dollar corporation they HAVE to hedge their bets, especially when Microsoft has enough money to sustain it if they perceive any sort of progress. Just think back to 2020-2021, when it was PEAK gamepass propaganda, you couldn't go two steps without seeing an ad for it. I think in 2020-2021 Sony looks at this and sees a real threat that can't be allowed any quarter.
GamePass was never ever a threat, it's been stagnant and unprofitable for almost 5 years. And a lot of those subs were $1 or microsoft rewards. The vast majority of people simply aren't interested in paying $17 a month just to play old games and mediocre 1st party. Just like how no one is interested in a crappy console no matter how cheap it is which is why the Series S has been retailing for $150 for weeks and still selling horribly.

The importance of value proposition in the gaming space has always been overblown. And that's only because of the constant GamePass propaganda that you mentioned. All of those shills and astroturfers haven't made a dent.

The best way Sony could've hedged against it was by making online free, casuals will see infinitely more value in that than they ever would in GamePass. But we all know that Sony would never do that, so their 2nd best option would be to just do nothing. Let Microsoft continue to burn money and make themselves less and less appealing, yes they can burn money for a long time, but not forever. Even more so now that they've spent $80 billion on publishers. Satya and shareholders are gonna want to see results eventually.