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Fortnite is the most successful video game in terms of revenues generated. Since it belongs to the 'free-to-play games', the company has to optimize the in-game-shop to generate revenues. Product differentiation is one possibility to optimize the profitability of the game. In this paper, we use a microeconomic approach in order to highlight the implications of product differentiation for the profit maximization problem.
Much significant research has been done to shed light on discrimination of females in, for example, labor markets. Less is known, in contrast, about the amount of discrimination in the virtual world of online gaming. In an early study, Castronova (2004) finds that female avatars receive about 10\% lower prices in online auctions. In this research note, we re-examine the pricing of avatars sold in the Fortnite game. We cannot reject the null hypothesis that female and male avatars are sold at the same prices. We also account for the impact of a Fortnite sex scandal on the price differential between female and male avatars.