Blue Glass Archive games Analyzing the Business Model of Successful Online Games

Analyzing the Business Model of Successful Online Games

Whether it be board เว็บบาคาร่าที่คนเล่นเยอะที่สุด from thousands of years ago like Go or Chess or the highly popular online role-playing game League of Legends, video games are an incredibly influential industry. The creative decisions that are made by developers can captivate and engage a vast audience, or regrettably repel it- making the profitability of the gaming market a tricky business model to navigate.

In an article on the Business Model of Successful Online Games, authors Franziska Handrich and Sven Heidenreich explore to what extent a game’s success is influenced by its innovativeness. According to their analysis, a game’s innovativeness is derived from three different categories: presentation, game principle, and storyline. The more innovative a game is in these areas, the greater its long-term success will be. Interestingly, indie title Undertale’s game principle innovation with its unique concept of giving players agency to kill or peacefully spare monsters is one of the key reasons for its massive success (Handrich et al. 993).

Analyzing the Business Model of Successful Online Games

Another significant factor is the way a game is monetized, which can include a variety of revenue streams such as free-to-play, in-game purchases, subscriptions or advertising. For example, Epic Games’ strategy of distributing its Fortnite Battle Royale game in a free-to-play mode while charging for additional in-game purchases, digital currency, and items is an effective strategy to generate sustainable revenues and attract a large user base.

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