Get over here and shine those shoes boyyyyy.
Like how old fashioned are we talking, what century?
Get over here and shine those shoes boyyyyy.
Like how old fashioned are we talking, what century?
Okay… Quick economics lesson.
Would you make more profit selling 100 virtual items for 5 dollars each, or by selling 1000 virtual items for 3 dollars each.
The goal is to find the price point where you maximize profit. I have seen no experimentation that would suggest they are even trying this.
Some insipid dopes might be salty that they paid more for something comparable a few weeks/months/years ago, but you can’t and shouldn’t worry about those people. There is no obligation on Blizzard’s part that all of their offerings will always be kept at the same price point.
Luckily for you, I graduated second in my economics courses in College. So lets dive in a little bit deeper shall we…
Volume vs Price tradeoff: While lowering the price can increase volume, it only works if demand is elastic enough. With virtual goods, especially in games, demand often isn’t as elastic as you might expect. If you lower the price too much, you might not see enough of an increase in volume to offset the lower price. In fact, revenue could decrease if the price cut attracts the wrong customers.
Price sensitivity and customer segmentation.: Not all customers are alike. High-spending players (whales) may value exclusivity and higher prices, which could drive their purchases. Lowering prices might devalue the item and reduce their interest. Casual players are more price-sensitive but generally buy less, so the increase in volume might not be enough to make up for the lost revenue from whales.
Maintaining perceived value: Constantly lowering prices can harm the perceived value of virtual items. If items drop in price too often, players might assume they’re not worth as much, which can lower motivation to buy. This can create a “race to the bottom” where items lose their appeal.
experimentation and testing: Price experimentation is key, but it’s not the only factor in profit maximization. Blizzard likely experiments with different tactics, from dynamic pricing to marketing campaigns and limited-time offers. Pricing alone isn’t the solution—it’s about finding the right balance between price, content, and player engagement.
Consumer expectations: Blizzard doesn’t have to keep prices the same forever, but lowering prices too much can create negative perceptions, especially if players feel they paid too much for something similar. This can harm long-term loyalty. Players value consistency and fairness in pricing, so it’s important to manage expectations without alienating your core base.
So again…
The argument about just lowering prices to increase volume is too simplistic. Sure, lowering prices can increase sales, but it only works if there’s enough demand elasticity, which isn’t guaranteed with virtual goods. If you lower prices too much, you might not get the volume needed to make up for the reduced price, and in fact, you could hurt revenue.
Also, the idea of “who cares about players who paid more” misses the point. If Blizzard constantly slashes prices, it could alienate loyal players who feel like their purchases are devalued. This might hurt long-term trust and loyalty, especially from whales who are willing to pay more for exclusivity.
The “just lower prices” approach ignores the complexity of the player base. Whales want value, not discounts, and casual players are price-sensitive but don’t spend as much overall. Pricing needs to strike a balance between these groups, and Blizzard likely does plenty of testing already—pricing isn’t a one-size-fits-all solution.
Ultimately, pricing isn’t just about volume; it’s about maintaining perceived value and managing customer expectations over time.
Are you just in the thread to evangelize? Nobody is interested in hearing about your weird religion… Can you at least try to relate it to hearthstone or the thread topic?
There is no race in this game vis-a-vis the players.
Concerning the denizens of Azeroth, I think we should all be able to agree that murlocs and gnolls are the frickin’ worst, and the world would be a better place if they were packed up and shipped through the dark portal. The fel orcs can go with them.
As opposed to parroting alt-right broscience that supposedly societal racism isn’t a term or/and that may not necessarily refer to literal race.
I agree with almost all of that.
My main contention would be that Blizzard’s experimentation appears to nearly exclusively take place at the level of content, rather than at price point.
"Let’s throw in ten more packs and an epic, and see how many more whales bite.
Even a comparable pack to cost ratio, but down in the $10 to $15 range might yield more success. The cost of trying is very low.
Signatures and cosmetics shouldn’t have their value diluted through price reductions. I would challenge the notion that this applies to packs. You don’t want to go too low (damaging the perceived value) or too frequently (incentivising people to wait for sales), but this shouldn’t be as sensitive with wild/twist, since these packs are selling phallus-all anyhow.