this post was submitted on 19 Nov 2023
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It had nothing to do with WoW, smartphones were basically to blame. 2007 was when the iPhone came out, Android followed next year, and by the early 2010s, smartphones became ubiquitous. Both the App Store and Google Market exploded exponentially in the number of apps and games. Mobile game makers soon figured out that microtransactions brought in more money than upfront payments. All the popular games started exploiting this model, such as Angry Birds, Temple Run and of course the infamous Candy Crush.
King, the company behind Candy Crush, generates over a billion dollars of revenue per year - their turnover exceeding that of several traditional PC/console game makers. In 2012, they staggering 1000% growth in just an year - and that was the trigger. That was when everyone looked at them going, "tf, why the hell are we wasting so much time and money developing AAA games, and making way less money than some cheap mobile game?"
And the rest as they say, is history.
WoW is a stepping stone, it's used as a frequent example in Reality is Broken, which is good place to start if you want to understand where all this comes from, as well as the rather utopian hope psychologists had at the time.
I was there, and it didn't "come from" WoW. Mtx were already popular in South Korea and China, with games like MapleStory (2003) and ZT Online (2006) being early examples, which predates mtx in WoW. Farmville also had them back in 2009, around the same time WoW started selling pets. And back then Zynga were making like a $1mil a day from Farmville mtx, and this was before WoW pet sales really took off.
Yes, WoW did play a role, but it wasn't as big as you think - after all, it had a very niche audience, whereas games like Farmville, Candy Crush, Angry Birds etc had a much wider appeal that reached out to several age groups and audiences, whilst simultaneously being a lot more accessible - which made them so much more dangerous (in terms of addiction).
WoW appealed to the hardcore MMO gamers, gamers who were used to paying for virtual goods, whereas games like Farmville normalized mtx across for the general and wider public. Paying for virtual items was no longer something that nerds did, it was a completely normal thing. And then Candy Crush tweaked the formula even further. WoW's mtx was a lot more benign compared to some of the shady psychological designs games like Candy Crush implemented.
I absolutely agree that Farmville had a bigger impact, especially as it was geared towards a more casual market. Showing that people who would not describe themselves as gamers would spend a lot of money on games was a huge thing that a lot of people set out to copy.
I worked at GameStop when Farmville was big. Regularly had older women come in and spend $40 to $100 dollars on Farmville cards. A couple of these women came in every week, outspending almost every "traditional" gamer I knew.
Yes! There’s a reason Microsoft bought Activision-Blizzard-King