Blog Post #3: “Pay to Win” Games
Video games are supposed to be fun things to do to distract yourself when you are bored, or a way to bond with friends. However, the culture of “pay to win” games has become increasingly widespread, and has led to an interesting question: Why do people decide to use real money to pay for something that is just purely a game on a screen? Deep down, people know the consequence of spending too much money on games, but we just say it’s “paying for convenience” or “paying for progress”.
The trap of “pay to win” is that the game starts off by not needing the player to pay any money to finish levels, successfully luring them in. As they get more into the game, microtransactions get added in. And although it might only seem like 1 or 2 dollars, those microtransactions add up. According to a Medium article about the culture of “pay to win” video games, these games draw on the behavioral economics concept of sunk cost fallacy, where players feel like they have reached a point where they have spent too much money in the game to quit. If people have spent hundreds of dollars on a video game, it’s hard to just let all of that go.
So why do we keep paying even if we don't want to? One way people justify their spending on games is that people who don’t spend money actually end up paying more. This is because people who don’t spend money on “pay to win” games end up spending much more time trying to beat levels and “grinding” to unlock characters. On the other hand, people who spend money easily level up, resulting in much less time spent on the game.
Game developers also take into account what will be appealing for users to buy in the game, and their number one goal is to design systems that motivate players to spend money. For example, in another Medium article on how game developers balance in-game economies, the author writes, “By giving players options to spend currency on exclusive items, powerful upgrades, or unique content, I make them feel their time invested in the game is worthwhile.” In-app purchases, called IAPs, are also a crucial part of game economies. They function by providing players with value rather than distracting them from the game. This is how people don’t realize the impact of their spending—they think it’s giving them value.
Moreover, game developers also take into account the psychological aspect of spending money. They want to make players feel good about their decision, like their purchase was worth it. So, the next time you’re tempted to purchase an upgrade, gems, or coins in a game, remember that these rewards are meant to attract you, and reconsider if it’s really worth it in the end.
