Microsoft guts its Rewards Program further by raising redemption points for Xbox and other third-party gift cards (UPDATED)

Multiple users indicate that Microsoft has raised Microsoft Rewards redemption points for Xbox and Amazon gift cards.

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What you need to know

Over the past few days, several users took to social media platforms citing the drastic changes Microsoft made to its Rewards program, including adjustments to the redemption prices for Microsoft and other third-party gift cards.Microsoft disclosed toWindows Latestthat it “regularly tunes the methods for redeeming points,” which explains the changes to the redemption prices for gift cards.While speaking to Windows Latest, a Microsoft Spokesman stated that:“Over the last few years, the Microsoft Rewards program has regularly evolved to reflect our growth and expansion. We evaluate every change closely, tuning the methods and frequency through which our members can earn and redeem points. Whether searching with Bing, browsing with Edge, playing on Xbox, or making purchases in the Microsoft store, we know our members take delight in the added incentive the Microsoft Rewards program offers. We aim to grow in ways that continue to provide value to our members, and we monitor feedback to ensure satisfaction. We appreciate the enthusiasm and loyalty of our Microsoft Rewards members and remain excited for the program’s future.”The company indicated that the changes are geared toward exploring more “growth and expansion” for the platform.

TheMicrosoft Rewards programhas undergone several changes in the past few months that most users aren’t too happy about. It all started with Microsofthalting the capability to earn points for using Microsoft Edge daily, barely a week afterkilling the Xbox Rewards app.

At the time, most users speculated that Microsoft was discontinuing the program. However, this wasn’t the case. The Redmond giant issued a statement indicating that it was evolving the program, having made significant adjustments to its loyalty awards points system, dropping points for “other activities” from 10 to 2.

Microsoft alsointroduced a “cooldown” period to the program, limiting users to award points for only 3 searches per 15 minutes. Based on opinions shared across social media platforms, it’s apparent that these changes aren’t welcome to the program. Some users said they would no longer useMicrosoft Edgeor Bing, further stating that Microsoft Rewards kept them there.

While a January report seemingly indicated thatthe Microsoft Rewards program was back to normal, with users getting up to 30 points per reward again, this isn’t the case (at least according to complaints lodged by multiple users across social media).

“Same exact situation here. Had enough for 25€ already, but today I still have to grind to get it back. To say that I thought of buying games last night is an understatement and I should have..US has a +5% increase, EU has a +12%. The MSR team is at it again. How is that fucking fair… 1€=1.10$. Yet they treat 1€=1$ on their store, shitting on it like always,“a concerned user lamentedon Reddit.

Based on the Reddit thread, Microsoft has seemingly raised the points value for gift card redemptions and increased it by up to 33% (viaMSPowerUser). According to some users in the United States, a $50 Microsoft gift card translates to 47,500 points, up from 46,000 points.

Redemption prices for Xbox gift cards have gone up in most places. 3rd party gift cards like Amazon have gone down in some countries.March 6, 2024

The same also applies to third-party gift cards from retailers like Amazon. You’ll need anything from 7,600 to 8,125 points for a £5 Amazon gift card. It’s worth noting that Amazon no longer lets users use their gift card balances to buy other gift cards. This means that you won’t be able to use Microsoft Rewards to get an Amazon gift card to add to your Amazon account to buy other gift cards.

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The drastic changes to the Microsoft Rewards Program are hurting Bing and Edge more

Multiple users have openly indicated that they’ve been using Microsoft Edge andBingsolely for the Microsoft Reward points they are awarded when using these services. It’s no secret that Microsoft Edge andBing’s market share is struggling a bit; even Microsoft CEO Satya Nadella said thatGoogle doesn’t play fairly.

According toStatCounter’s February report, Microsoft Edge holds a 5.07% stake in the browser market share globally. Users have previously outlined their preference for other browsers over Edge due to its “bloatedness,” some have outlined Bing’s search quality issues as the main reason they use other search engines.

RELATED:Microsoft Edge and Bing exempted from DMA regulation for not being dominant enough

Microsoft is placing all its bets on AI, integrating the technology across most of its products, including Edge and Bing. Interestingly,our recent pollindicated that most readers don’t findMicrosoft Copilothelpful.

READ MORE:How are people using Microsoft Copilot in their lives?

It will be interesting to watch how Microsoft handles this issue moving forward. We’ll keep a close tab on the issue as it unfolds and keep you posted on any developments.

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Kevin Okemwa is a seasoned tech journalist based in Nairobi, Kenya with lots of experience covering the latest trends and developments in the industry at Windows Central. With a passion for innovation and a keen eye for detail, he has written for leading publications such as OnMSFT, MakeUseOf, and Windows Report, providing insightful analysis and breaking news on everything revolving around the Microsoft ecosystem. You’ll also catch him occasionally contributing at iMore about Apple and AI. While AFK and not busy following the ever-emerging trends in tech, you can find him exploring the world or listening to music.