DLC and microtransactions tripled size of gaming industry

While a lot of gamers seem to hate microtransactions and downloadable content (DLC), it's not hard to see why the game industry absolutely loves these concepts. A new study from monetization service company Digital Rival claims the switch to "gaming-as-a-service" has tripled the industry's value, and that a steady stream of content significantly increases the revenue per user.

"Consumers are less willing to pay $60 for a boxed game and instead choose titles with a steady stream of new content," the report said. "Publishers seek to meet these expectations and have adopted a 'games as a service' model, releasing fewer titles over time while keeping players engaged longer with regular updates and add-ons."

According to Digital River, this change from up-front costs to protracted spending means that revenue per user is expected to grow twice as fast than the rest of the market. This is backed up by findings that, on average, PC players in the US wait 21 days after they decide they want content before buying in the hopes they can take advantage of a sale.

Full details at GamesIndustry.biz.