Loot boxes in video games: What do we know so far and what should we study in the future?
- Jan 1, 2021
- 1 min read
Xiao, L. Y., Aarseth, E., Ferguson, C., Flick, C., Nielsen, R. K., & Zendle, D. (2021). PANEL PROPOSAL Loot boxes in video games: What do we know so far and what should we study in the future?.
Unlike the video games of yore which were sold as complete software products, most video games today contain in-game microtransactions that allow for players to purchase additional content for more money. Indeed, many games (particularly on mobile platforms) are even initially offered to players entirely free-of-charge and rely solely on microtransactions to generate revenue (ie, free-to-play games). The shift from the game-as-a-product to the game-as-a-service business model has meant that a more diverse variety of monetisation methods have been invented and popularised.
One prominent example that has been subject to significant controversy is paid loot boxes, which offer randomised rewards of varying value (Nielsen and Grabarczyk 2019). Most potential loot box rewards are perceived to be worth less than the purchase price of the loot box, whilst certain rare rewards are deemed to be especially valuable, sometimes even in real-world monetary terms (Drummond, Sauer, Hall, et al. 2020). Loot boxes are arguably conceptually and psychological akin to gambling (Drummond and Sauer 2018).