What has turned into a marketing headache for the tech giant has transformed into a valuable marketing moment for prominent sellers including GameStop, Amazon, Walmart, Best Buy, and Target. These businesses are committing to sell one-month passes for Xbox Game Pass Ultimate at the cost of $19.99, in spite of Microsoft having declared a cost adjustment to $29.99 per month.
GameStop's Strategic Moves
GameStop, in particular, is capitalizing on the uproar to encourage people to purchase physical games. Since the October 1 announcement, GameStop has taken multiple jabs at Microsoft and Xbox via online platforms.
One post reminded people that their choices included paying nearly $30 a month to own nothing, or investing equally to keep a title permanently at GameStop. They additionally referenced news of the rate hike with the remark, "Welcome to GameStop." Arguably its bravest step is initiating an offer where it promises to continue selling Ultimate at the cheaper price point.
"Xbox Game Pass is still $19.99 with us," the message declares. "You're welcome. Accessible at physical locations and online."
Important Details
Unfortunately, securing annual access would mean acquiring multiple of these cards, or various three-month subscriptions, which are likewise available for the reduced cost right now. But doing so would continue to cost less than paying $360 annually, so it might represent good value for any Xbox fans who wish to continue their subscription just yet or subscribers who hesitate to face additional commercials.
Marketing Strategy Analysis
It's an excellent marketing strategy for GameStop, as a prudent business move gets framed as kindness. I'm taking an educated guess, but if each prominent seller are following similar practices, it's likely because they have to clear out the existing inventory that comes marked with the "$19.99" number. This appears to be a while supplies last type of situation, and it's unknown for what duration the cheaper stock might be available.
Xbox's Position
Meanwhile, Xbox is engaged in crisis control. “We understand cost adjustments are never fun for anybody, but we're trying to reinforce by providing additional benefits to these plans as well,” a company director stated. “It's something we consider seriously, and we're paying attention to responses of players and the community to attempt to deliver them with additional requested features.”