If you ever wondered why so many games have in-game transactions nowadays, here you go.
Activision-Blizzard released its quarterly earnings report today and among the figures, the most notable is the increase in revenue from “in-game net bookings”, aka micro-transactions, in the first quarter of 2020. As reported:
In-game net bookings were $956 million, as compared with $794 million for the first quarter of 2019.
Total revenue was just shy of $1.8 billion. A big reason for the success is Call of Duty Modern Warfare which was referenced as it is now the best-selling Call of Duty of all-time and also has the highest total player count of any game in the series’ history. Warzone was said to have now surpassed 60 million total players as well.
CEO Bobby Kotick, issued the following statement:
“Our goal to connect the world through epic entertainment is more important to our players than ever before,” said Bobby Kotick, Chief Executive Officer of Activision Blizzard. “We delivered strong financial results for the first quarter, and are raising our full year outlook. I have been awestruck by the strength of our employees and their families during this difficult time. Whether managing healthcare or childcare, performing public service or community service, our teams around the world have shown ingenuity and resilience. In the face of so many difficulties, our employees have made certain that the joy, the engagement, and the benefits of gaming remain an effective way to help keep our 400 million players around the world connected and safe.”
While it’s an incredible figure, it shouldn’t be surprising. Activision-Blizzard has been relying on in-game transactions for years now and as you can see, it makes up a very large percentage of their overall revenue. Like them or not, micro-transactions are now a permanent fixture in the industry.