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[Business] Free2Play: From Piracy to League of Legends - Gamecraft

The Swyx Mixtape

CHAPTER

Video Game Pricing Unlocks the Elasticity of the Market

In the old days when we would sell a game for $60, if you sold it to someone like me or you who was a game geek who would go home and play it until their fingers bled, that person would pay you $60. The beauty of the free to play model was that if it's tied to a flexible and interesting enough monetization system, you unlock the elasticity of the market. That is just a transformation in the video game business that really unlocked the future in a lot of ways. And we owe it in many ways to Cartrider and to the antecedents that they themselves studied in the Western markets, the rare goods economy of Ultima Online.

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