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Business & monetisation · 15 entries

Game monetisation terms explained: battle passes, loot boxes and DLC

How games are sold and how they earn money after launch, explained without the marketing language.

Ten or twenty years ago, most games were bought once and that was the end of the transaction. Today, many games are free to download and earn money while you play, and even full-price games often sell extra content. The words used for these models can be confusing, and some of them matter a great deal for parents.

How games are sold

A free-to-play game costs nothing to start but sells optional items. A live-service game is updated continually over years, often in seasons. DLC (downloadable content) adds extra content to a game, and a season pass bundles future DLC. Early access lets you buy a game before it is finished, and a remaster is an updated version of an older release.

Spending inside games

A microtransaction is any small in-game purchase. Many games sell a premium currency bought with real money and spent in the game, which can make prices harder to judge. A battle pass is a paid track of rewards unlocked by playing. Cosmetics change how things look without affecting play. Pay-to-win is the criticism made when spending gives a real advantage, and a whale is industry slang for a very high spender.

Paid random items

A loot box is a paid item with random contents, and a gacha game is built around paid random draws for characters or items. In the UK, loot boxes are not regulated as gambling; the government has opted for industry-led protections. PEGI changed its criteria in 2026: paid random items now push newly rated games to PEGI 16, and from October 2026 PEGI began updating existing digital-only games rated PEGI 3, 7 or 12 that contain them to PEGI 16.

The entries in this section explain each model plainly, and point to the settings and descriptors that help families manage spending.

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