Please understand that Riot is a business. Also that there are different business models.

Hyrum Graff··6 votes·572 views

Whenever I see people debating about whether things like Hextech Crafting are a money grab, someone invariably mentions how "Riot is a business, which means they'll only do something if there's a profit for them." The implication: Riot won't do something that's purely good for players.

There's more than one business strategy.

One is, indeed, to make a cash grab at the expense of your consumers to squeeze out as much money as you can, right now.

Another is to do something that might lose you money in the short run, because you're building a relationship with a base of loyal customers who will support your business.

Maybe it's to create a bunch of really cheap content and give everyone deals that they'll buy because why not?

Maybe it's to create expensive content that's worth the cost.

tl;dr, "Riot is a business" doesn't mean anything. What matters is the kind of business they are.

13 Comments

SirArcticWarfare1 votes

that's why they have specials ?

Hyrum Graff1 votes

{quoted}

that's why they have specials ?

Specials also make a short-term profit for Riot so I'd say it's a bit of both.

Sahn Uzal1 votes

''What the fuck, how dare you try to make money off something?! Even though this is a free to play game where the only products that we would need to pay for are cosmetic products, WHICH we can now also get for free through Hextech Crafting'' -The community

Hyrum Graff1 votes

[{quoted}](name=SwHc Fenris,realm=EUW,application-id=cIfEodbz,discussion-id=TVk7R5pR,comment-id=0001,timestamp=2016-05-21T09:55:44.862+0000)

''What the fuck, how dare you try to make money off something?! Even though this is a free to play game where the only products that we would need to pay for are cosmetic products, WHICH we can now also get for free through Hextech Crafting'' -The community

I feel like you missed the point a little bit. I was trying to get across, that this isn't a black-and-white issue where "Riot is a business and therefore they're evil" OR "Riot is a business so therefore it's okay to do anything in the name of profit."

Hextech crafting combines elements of free samples and gambling (tl;dr, actions with variable rewards are highly addicting), both proven strategies for increasing revenue. Make no mistake, Hextech Crafting is going to directly cause people to spend more money on League of Legends.

I do not approve of the gambling element. It benefits Riot at the cost of the community, and I think the community has the right to be angry about it.

I approve of the 'Free Samples' element. It benefits Riot and the community, the community also has the right to celebrate it.

It's not black and white. That's okay.

BloodyTompon1 votes

Can you elaborate? How do you see variable feedback loops as being detrimental to the community? From my perspective it's beneficial to both.

Hyrum Graff1 votes

{quoted}

Can you elaborate? How do you see variable feedback loops as being detrimental to the community? From my perspective it's beneficial to both.

Because if I'm spending a lot of time or money on League (I have done both), I want it to be for the right reasons: because I enjoy the game and content I'm buying, not because I'm addicted to the thrill of opening chests.

Check our timewellspent.io

BloodyTompon1 votes

I have to admit, i'm still not following why you dislike that feedback loop so much. How do you feel about First Win of the Day? That's pretty similar, sure it's a regular, temporal schedule (less effective the variable), but they both serve to increase and maintain play.

Hyrum Graff1 votes

{quoted}

I have to admit, i'm still not following why you dislike that feedback loop so much. How do you feel about First Win of the Day? That's pretty similar, sure it's a regular, temporal schedule (less effective the variable), but they both serve to increase and maintain play.

I like Win of the day. It's a different feedback loop because you know whether you're going to get it before you play. It's an incentive to come back, not an incentive to play over and over and over and over again.

The 'Slot Machine' loop is one where you don't know what the reward will be when you start playing -- it might be great, or it might be absolutely nothing. Pulling that lever over and over again, to see if you'll get that awesome something THIS time, is highly addicting, and humans are just generally not capable of controlling ourselves with this type of activity.

http://www.nytimes.com/2015/12/06/technology/personaltech/cant-put-down-your-device-thats-by-design.html

Sahn Uzal1 votes

I wasn't trying to claim "Riot is a business so therefore it's okay to do anything in the name of profit." Allthough they could. I'm trying to say we really don't have the right to complain if the only thing that we can't unlock with just playing are the cosmetic products, And now we can even get those for just playing (through hextech crafting) Allthough I do not 100% agree with how we need hextech crafting to get champ mastery level 6 and 7, especially for OTP's.

Duke Anax1 votes

It's not really gambling, because you don't actually stand to lose anything.

No matter what happens you will get content at a discount.

Hyrum Graff1 votes

[{quoted}](name=Duke Anax,realm=EUW,application-id=cIfEodbz,discussion-id=TVk7R5pR,comment-id=000100000002,timestamp=2016-05-22T10:14:47.458+0000)

It's not really gambling, because you don't actually stand to lose anything.

No matter what happens you will get content at a discount.

The point is that the variable reward of opening chests is highly addicting (to a lesser extent, so is getting keys).

Check out timewellspent.io

BloodyTompon1 votes

I've said this before and I'll say it again: Riots business model is much like the chicken and egg. It's never possible to say what comes first because they feed into each other and cycle. Take Hextech crafting as an example. It is a new avenue from which Riot can make profit, true. However, it's also a new avenue for people to earn free stuff and something that (despite some of the complaints) brings extra enjoyment to the game.

Hyrum Graff1 votes

{quoted}

I've said this before and I'll say it again: Riots business model is much like the chicken and egg. It's never possible to say what comes first because they feed into each other and cycle. Take Hextech crafting as an example. It is a new avenue from which Riot can make profit, true. However, it's also a new avenue for people to earn free stuff and something that (despite some of the complaints) brings extra enjoyment to the game.

Enjoyment and engagement are two different things. If I wanted to gamble I'd go gamble I don't want to have to worry about that shit when I'm playing league.

Check out timewellspent.io

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