It's happened to all of us. There's a game on Xbox Live Arcade that you want for the ever attractive price of 400 MS Points. You don't have any points, so you decide to buy some. But what's this? You can only purchase them in multiples of 500, leaving you with useless leftover points. This begs the question, why can't you buy the exact amount you need? 1UP's Patrick Klepek asked just this question of Xbox 360 group product manager Aaron Greenberg. While we've always assumed that spare change is produced in order to entice users to spend more money so they can spend more Microsoft Points, Greenberg has a different answer. "The reason why we do that, the core reason, is around credit card transaction fees," says Greenberg, adding, "If we do this in bulk, we don't have to burden the consumer with the transaction fees, or ourselves or publishers." He conceded that it's annoying to end up with odd leftover points, but added that Microsoft isn't planning on changing the system anytime soon.So there you have it folks, you're spending extra money so you can save money. Simple, right?
[Via Joystiq]
Reader Comments (Page 2 of 2)
12-11-2007 @ 7:17PM
Chris McDannold said...
Last time I bought a points card in my local game store, I used...wait for it..."cash". So, in effect, I am being penalized because I used hard currency.
"...feature not a bug; feature not a bug..."
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12-11-2007 @ 7:33PM
Shape said...
I like having a surplus of points in my account. In fact, last time Circuit City had a 50% off sale on points cards, I bought 4 1600 point cards for $40. Now everything I buy on Live is automatically half price, and I don't mind spending them.
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12-12-2007 @ 12:36PM
SeNiLe911 said...
I did the same thing but I bought $400 worth. I am sure I will use them someday but if not I can always sell them if I have to, just couldn't pass up on the great deal.
12-11-2007 @ 8:16PM
Killswitch On said...
It is definitely a rip off. These companies/corporations do everything they can to take another couple bux if not more out of its consumers. MS isnt the only one doing it.
It's all over the place. They nickel and dime us constantly. Sadly, most of us keep buying and play along.
Everyone says, "its only a few bux...dont be cheap". Well that few dollars adds up. Take a look, if youre old enough, at some of the things you spend your money on. From bills to whatever. I bet youll find a lot of bs charges or expenses. Until everyone wake up and takes a stand or a huge recession happens, this will only get worse. The average consumer and average American, who is not rich, will continue to get screwed.
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12-11-2007 @ 8:33PM
nmmalone said...
Sounds like a marketing ploy to me, even if that is really why Microsoft does its points the way they do.
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12-11-2007 @ 9:03PM
Kalroy said...
There is one other thing. How many points do any of us really have left over? I'm sure if you added up all the times I've had points left over after I bought points for a purchase it would be quite the haul.
The truth is, however, that I have less than two hundred points left over, because the points don't disappear after a purchase, and they went to other purchases (some of which were added to a total augmented by the purchase of more points). In reality I have less than two hundred points left over since my first ever purchase. And that will be gone after being augmented by yet more point purchases that I'll be making for DLC for the joint evils that are Guitar Hero III and Rock Band.
You're only ripped off if you never bought anything with your points and get rid of your 360 without spending your leftover points. Like the leftover script from the county fair back in the day.
Kalroy
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12-11-2007 @ 10:54PM
Wilco said...
Actually, even if you do eventually spend them you are being ripped off (albeit a micro-ripoff for most). See those extra points sitting in your Live account? Those points represent money you could be earning interest on if it were sitting in your bank account. Instead, its sitting in Microsoft's bank account, and they are receiving interest that should be yours. Now, if they paid out interest on those points that would be another story. Otherwise, you're letting inflation eat away at it as well as the lost opportunity to earn interest as time goes on. It may not be much, but its still money that should be yours.
12-12-2007 @ 8:34PM
Kalroy said...
Wilco,
I wish that money would be earning me interest. Knowing myself, however, it would be earning extra fat around the waist in the form of that candy bar.
Kalroy
12-11-2007 @ 9:21PM
herfy said...
are xbla games more expensive in different countries? If they are not, then I would just say that it is much easier for M$ to sell a certain number of points at some "exchange" rate then to add new code to xbl so they are making the same profit per game. Plus selling the points per country at their going rate diminishes the assumption that if the points were very cheap in a certain country, a lot of people would probably sell the points on ebay (or something) to make a profit.
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12-12-2007 @ 8:24AM
xenocidic said...
This is exactly why MS Point cards are region locked.
Otherwise I'd be buying codes off eBay from Americans.
12-11-2007 @ 9:45PM
Amber said...
What about those using COLD HARD CASH? You know, the people who don't use credit cards to buy their MSP?
No excuse? Shut the hell up, Microsoft.
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12-11-2007 @ 10:35PM
Peff said...
yeah, so i have random 20 MP just sitting there, its pretty random and annoying.
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12-11-2007 @ 10:51PM
durtnap said...
Duh.
It's the carne system. It will cost you 12 tickets to ride the Sonic Brain Killer, but you can only buy tickets in allotments of 10.
This is the oldest system of forced spending known to man.
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12-11-2007 @ 10:53PM
Justin said...
Hey pennies aren't that color!
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12-12-2007 @ 12:48AM
jp said...
through all his rambling all i hear is show me the money...
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12-12-2007 @ 3:18AM
JaysonAych said...
"If we do this in bulk, we don't have to burden the consumer with the transaction fees, or ourselves or publishers."
I once worked at a company that processes credit card transactions for merchants, and according to the agreements merchants make with Visa and Mastercard (and others), they're not allowed to pass the transaction fees on to the customer anyway. Not directly, that is. They pay those processing fees to cover the costs of another company handling their transactions and because they get additional business they wouldn't otherwise get if they didn't accept credit cards. I've seen businesses lose their privileges to accept credit cards for doing things like charging customers who pay with credit cards more than they'd be charged with cash, and so on.
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12-12-2007 @ 9:25AM
dunnypop said...
I don't mind using points mainly because I wait until there's some form of discount. I usually pick up points for 20 - 25% off....
same thing for Live as well.
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12-12-2007 @ 9:33AM
Gemini Ace said...
Another bullshit answer from Greenburg. I'm so shocked that he's defending this practice. He's actually a worse spin doctor than Major Nelson. What a douche!
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12-12-2007 @ 9:50AM
hppypnts said...
That is a total crock, they should sell 800 points then so I can just have enough money for a game or enough money for 2 400pt games. The whole microsoft point system is designed to f*ck the customer, this also goes for the Nintendo VC. I feel very abused by them both, and is the main reason I don't buy points.
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