Microsoft confirms it’s scrapped Game Pass discounts on game and DLC purchases

Microsoft Axes Game Pass Discounts on Game and DLC Purchases, Replaces with Microsoft Rewards

Following a significant overhaul of the Xbox Game Pass subscription service last week, a deeply valued perk for many subscribers has been quietly removed. Microsoft has now officially confirmed that the long-standing 10% discount on digital purchases of games and DLC from the Game Pass library has been discontinued for all subscribers. This change, initially speculated by some to be a targeted move against specific titles like hypothetical Call of Duty: Black Ops 7 DLC, has now been clarified by Microsoft to encompass a much broader scope, impacting all eligible games and downloadable content.

Understanding the Shift: From Direct Discounts to Rewards-Based Incentives

In a candid statement provided to IGN, Microsoft acknowledged the discontinuation of the blanket discount. The company explained that, in lieu of this direct price reduction at the point of purchase, subscribers will now be integrated into a loyalty scheme bonus powered by Microsoft Rewards. This represents a fundamental shift in how Game Pass members are incentivized for their engagement with the digital storefront.

The New Microsoft Rewards Integration for Game Pass Subscribers

The revised system aims to offer a different, albeit arguably less immediate, form of value. According to Microsoft’s explanation, Xbox Game Pass Ultimate and Premium subscribers will now earn points on select digital game and add-on purchases made from the Game Pass library. Specifically, Ultimate subscribers will earn a 10% return in points, while Premium subscribers will receive a 5% return in points on these eligible transactions.

This is a notable departure from the previous model. Previously, the 10% discount was applied directly to the purchase price, offering an instant saving. The new system requires subscribers to accumulate points, which can then be redeemed for various rewards, including gift cards, sweepstakes entries, and even hardware.

Continued Benefits for Ultimate Subscribers

It’s important to note that Microsoft has clarified that Ultimate members will still retain a 20% discount on select games from the Game Pass library. This particular benefit appears to be preserved, suggesting an effort to maintain some level of direct savings for the highest tier of subscribers. However, the broader 10% discount that applied to all Game Pass subscribers on any eligible purchase is the one that has been fully retired.

Furthermore, the enhanced point earning extends beyond just Game Pass specific purchases. All Microsoft Rewards members will now earn points when purchasing games and add-ons from the Microsoft Store. The tiered structure continues to apply, with Premium and Ultimate subscribers earning even more points, specifically 2x and 4x respectively, on these general store purchases. This aims to encourage broader engagement with the Microsoft ecosystem through its rewards program. For more in-depth information on the specifics of this new Game Pass Rewards program, interested users are directed to consult the detailed overview provided by Microsoft.

Analyzing the Downgrade: The Downsides of the New Rewards System

While Microsoft frames this change as an evolution and an enhancement through the Microsoft Rewards program, a closer examination reveals several significant downgrades from the perspective of the average subscriber. The shift from an immediate discount to a points-based system introduces friction and a different value proposition that may not resonate with all users.

Increased Friction and Reduced Immediacy of Savings

The most apparent drawback is the increased number of hoops subscribers must now jump through to realize any financial benefit. The previous 10% discount was straightforward: select a game or DLC, and at the checkout, the price was automatically reduced. This offered instant gratification and a tangible saving that was immediately reflected in the amount of money spent.

The new rewards system, conversely, requires subscribers to first spend their money at full price and then wait to accumulate points. These points then need to be actively managed and redeemed. This process is less intuitive and offers no immediate financial relief. For many gamers, the allure of Game Pass was not just access to a library but also the associated savings on games they intended to purchase regardless. The removal of this direct saving diminishes a key aspect of the perceived value.

The Global Availability Gap of Microsoft Rewards

A critical limitation of the new rewards system is its lack of universal availability. Microsoft Rewards is not a global program, meaning that a significant portion of Game Pass subscribers will not benefit from this new incentive structure at all. The program is currently available in a select list of countries, including:

This leaves subscribers in numerous other regions without access to the promised points-based bonus. For these users, the removal of the 10% discount represents a clear and uncompensated reduction in the benefits of their Game Pass subscription. This geographical disparity is a significant point of contention and highlights an unequal distribution of value among the global subscriber base.

The Context: A Series of Changes Impacting Game Pass Value

The discontinuation of the Game Pass discount arrives on the heels of a broader revamp of the Xbox Game Pass subscription tiers, which has already drawn criticism from the gaming community. This latest change, therefore, feels like another significant “sting in the tail” for subscribers who were already grappling with the implications of the previous adjustments.

Game Pass Ultimate Price Hike and Bundled Additions

Last week’s overhaul saw Game Pass Ultimate experience a substantial price increase, becoming approximately 50% more expensive. The justification provided by Microsoft for this significant jump in monthly cost was the bundling of additional services and content. This included the integration of Ubisoft+ games into the Game Pass library, the inclusion of the Fortnite Crew subscription, and a promise of over 75 day-one game launches.

While the addition of more content and services might seem appealing, the significant price hike fundamentally alters the value proposition of Game Pass Ultimate. The service now costs approximately $30 per month, a steep increase from the previous $20 per month. For many, this elevated price point necessitates a re-evaluation of whether the service remains a worthwhile investment, especially when combined with the removal of other previously enjoyed perks.

The Diminished Value Proposition for Subscribers

The cumulative effect of these changes—the increased price of Ultimate, the addition of services that some may not utilize, and now the removal of direct purchase discounts—raises serious questions about the overall value proposition of Xbox Game Pass. Subscribers who were already paying more are now receiving fewer direct financial benefits on their digital purchases.

The argument that the new rewards system compensates for the lost discount is weakened by the aforementioned friction and the global availability issues. For many, the convenience and immediate savings of the 10% discount were a more compelling and tangible benefit than the prospect of accumulating points in a program that might not even be accessible to them. This latest adjustment undeniably shifts the balance of perceived value, potentially alienating a segment of the dedicated Game Pass subscriber base. The focus on a points-based system, while a common loyalty strategy, might not be the preferred method of reward for gamers who were accustomed to a direct, unencumbered discount on their digital game and DLC acquisitions. The long-term impact of these decisions on subscriber retention and overall satisfaction remains to be seen, but the initial reaction suggests a considerable degree of dissatisfaction.

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