The Economics of Mobile Game Subscriptions: A Longitudinal Study of Consumer Behavior
Kathy Peterson 2025-02-08

The Economics of Mobile Game Subscriptions: A Longitudinal Study of Consumer Behavior

Thanks to Kathy Peterson for contributing the article "The Economics of Mobile Game Subscriptions: A Longitudinal Study of Consumer Behavior".

The Economics of Mobile Game Subscriptions: A Longitudinal Study of Consumer Behavior

The evolution of gaming has been a captivating journey through time, spanning from the rudimentary pixelated graphics of early arcade games to the breathtakingly immersive virtual worlds of today's cutting-edge MMORPGs. Over the decades, we've witnessed a remarkable transformation in gaming technology, with advancements in graphics, sound, storytelling, and gameplay mechanics continuously pushing the boundaries of what's possible in interactive entertainment.

The gaming industry's commercial landscape is fiercely competitive, with companies employing diverse monetization strategies such as microtransactions, downloadable content (DLC), and subscription models to sustain and grow their player bases. Balancing player engagement with revenue generation is a delicate dance that requires thoughtful design and consideration of player feedback.

This study explores the social and economic implications of microtransactions in mobile gaming, focusing on player behavior, spending patterns, and the potential for addiction. It also investigates the broader effects on the gaming industry, such as the shift in business models, the emergence of virtual economies, and the ethical concerns surrounding "pay-to-win" mechanics. The research offers policy recommendations to address these issues in a balanced manner.

This paper offers a post-structuralist analysis of narrative structures in mobile games, emphasizing how game narratives contribute to the construction of player identity and agency. It explores the intersection of game mechanics, storytelling, and player interaction, considering how mobile games as “digital texts” challenge traditional notions of authorship and narrative control. Drawing upon the works of theorists like Michel Foucault and Roland Barthes, the paper examines the decentralized nature of mobile game narratives and how they allow players to engage in a performative process of meaning-making, identity construction, and subversion of preordained narrative trajectories.

This research explores the intersection of mobile gaming and behavioral economics, focusing on how in-game purchases influence player decision-making. The study analyzes common behavioral biases, such as the “anchoring effect” and “loss aversion,” that developers exploit to encourage spending. It provides insights into how these economic principles affect the design of monetization strategies and the ethical considerations involved in manipulating player behavior.

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