🔗 Share this article

What has become a marketing headache for Microsoft has become a valuable marketing moment for major retailers like GameStop, Amazon, Walmart, Best Buy, and Target. These businesses are vowing to sell monthly subscriptions for Xbox Game Pass Ultimate at the price of $19.99, in spite of Microsoft having declared a rate increase to $29.99 per month.

The Retailer's Clever Tactics

GameStop, specifically, is capitalizing on the controversy to encourage people to purchase physical games. Following the October 1 announcement, GameStop has made several digs at Microsoft and Xbox via online platforms.

An update emphasized people that their options were paying close to thirty dollars a month to have no permanent access, or spending the same to have lasting ownership at GameStop. They additionally referenced news of the price increase with the comment, "Welcome to GameStop." Arguably its bravest step is starting a promotion where it promises to continue selling Ultimate at the lower cost.

"Xbox Game Pass is still $19.99 with us," the announcement states. "You're welcome. Available in-store and online."

Practical Considerations

Frustratingly, obtaining twelve months would mean acquiring multiple of these cards, or several quarterly passes, which are likewise available for the reduced cost right now. But doing so would remain more affordable than paying $360 annually, so it may be worth it for any Xbox fans who don't want to pull the plug just yet or fans who aren't ready to face additional commercials.

Marketing Strategy Analysis

It's a great marketing strategy for GameStop, as a smart commercial decision gets posed as benevolence. Based on reasonable assumptions, but if every large store are following similar practices, it's possibly due to they have to get rid of the existing inventory that comes displaying the "$19.99" number. This seems like a while supplies last type of situation, and it's unknown for what duration the cheaper stock might be available.

Microsoft's Response

Meanwhile, Xbox is engaged in crisis control. “We understand rate hikes are always difficult for anybody, but we're trying to reinforce by including extra features to these plans as well,” an Xbox spokesperson stated. “It's something we don't take lightly, and we're hearing community input of players and the community to attempt to deliver them with increased desired content.”