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May 27, 2020
How Fortnite Makes Money

How Fortnite Makes Money

Fortnite has been one of the leading online games since the last two years and it is needless to say that the craze of Fortnite among the users have not reduced even a bit. This is undoubtedly the most popular battle royale game around the world and generates a handsome amount of revenue even though the game comes free from the developers. The game is a hit among the masses due to the fact that it is exclusive and comes with a fun user experience.

Tim Swenety is the creator of the game and it was released through Epic Games Inc. This is a free video game that is based on a post-apocalyptic and zombie-infested world. It has been a huge success till date, thanks to the ever-lasting craze of gamers about shooting games.

One of the most important things to note here is that, unlike its peers, Fortnite offered the game for free. This acted as a catalyst and contributed a lot towards its popularity. As everyone was able to play the full version at absolutely no cost. The game was released on 17th July 2017 and within 10 months. It was successful in acquiring an audience of 125 million. In 2018, the game alone was able to bring in a revenue of $2.4 billion.

The simplicity of the game is another highlight, as it comes with one mode and map. This makes the user experience much more enjoyable. One of the best features added by the game is that, it is not only played together but is also watched together. Millions of viewers around the world watch live streaming of the game.

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The Fortnite Makes Money Making Model:

The Money Making Model

According to studies conducted by several research groups. It was easily concluded that the game was successful in engaging highest grossers around the globe. Coming to the revenue of the game, it mainly came from the microtransactions. Unlike its peers who earned by selling the digital version or hard copy of the game.

The microtransactions would include buying costumes, skins, etc. for the game. One can also buy Battle Pass which costs $10 for a quarterly subscription. One thing that you should remember is that you can still play Fortnite for free. But engrossed gamers find themselves compelled to buy these additional items to add that X-factor to the game.

Going into the details of the revenue earned by the company, the highest contribution was from the Battle Pass. With $10 per quarter, the gamers are able to get access to exclusive content. This would include system updates of the game. Map changes and other addition to the characters, that doesn’t come for free to the users. The whole concept of subscriptions and memberships, indeed made the gamers and buyers of the pass feel special.

Another purchase that contributes to the revenue would include and in-game currency called “V-bucks” using this the players can purchase multiple items inside the game. The exchange rate is 1 USD = 100 V-Bucks. It is to be noted that the gamers are not allowed to buy anything with the v-Bucks that would affect their performance in the game.

How Does Fortnite Make Money?

How Does Fortnite Make Money

Another revenue generator for this game are the accessories available in the Fortnite shop. The items are available for a limited time period. This means that looking into the accessories. The players have to make the purchase as soon as possible or else that particular accessory might get disappeared from the virtual shop.

Playing this battle royale game can be really fun for a while unless one the sense of accomplishment gets diminished. Purchasing all the above features would lead to a better gaming experience which not only installs a sense of accomplishment among gamers but also compels them to continue playing.

The battle pass gives them access to many rewards and it adds to the free gaming experience. Psychological excitement of exclusivity is something that most of us enjoy and crave for. The joy of unlocking some amazing features adds to the joy of the gamers and also attract them to continue playing. Innovation of features is the key to get greater revenues from playing Fortnite.

The revenue reached a whopping $318 million generated by Fortnite for Epic Game in the month of May 2019. Researchers believe that the increase in the revenue and high demands of the game is due to the fact that it is able to draw audiences to a genre which previously remained closed for its core audiences. This made the game to be emerged as world sensation, beating out all of its peers like Call of Duty.

Future Plans Of Fortnite:

Future Plans Of Fortnite

Analyst believes that the success of the game is mainly due to various game modes. The diversified experience is the main factor that made Fortnite stay ahead of its competition. However, with the release of the “battle royale” version in 2018, the popularity of the company reached to franatic proportions.

But the recent revenue data released shows that the profit from the game has gone down severely compared to its past performances. This is also a dip compared to the revenues of its competitors. The most important challenge for any business is to keep its existing customer base along with attracting new customers. This becomes more difficult when the audience base consists of young adults who are always out in search of a better game.

The drop in the revenues can be taken as one of the unfortunate incidents or a significant alarm for something coming up for Epic Games. The conclusion is obvious that the number of players engaged with the game has declined or they are spending less on the additional features of the game.

In Spite of all these, Fortnite continues to inflow cash for Epic Games. However, it will be able to do so in the future or not would totally depend on whether the company is able to adapt its business model to the marketplace. This is something we would all need to wait and see.

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