As dispersing elements, grazing incidence reflection gratings offer the unique combination of high dispersion and wide spectral coverage at high efficiency. They can therefore be coupled with large area, low-resolution mirrors and high quantum efficiency detectors to yield moderate resolution spectroscopy of faint X-ray sources. Various design options are presented and compared, including both objective and convergent-beam configurations and both in-plane and off-plane grating mountings. A specific reflection grating payload design for ESA’s X-Ray Multi-Mirror Mission (XMM) is reviewed in more detail. Predicted performance curves derived from ray trace studies are presented along with preliminary X-ray reflectivity measurements of prototype grating samples.