When we invest in a new video game we want to feel satisfied by the content supplied in the game, we want to know we’re getting our moneys worth in the investment. Publishers, on the other hand, want us to keep our old games so they stay out of the used market. A publisher does not make a dime on used game sales. Their primary weapon to stop game sales? Downloadable Content (DLC).
1. Publishers Spend Lots on Marketing
A great example being GTA IV, hardcore gamers have a short attention span and live on hype more than physical games. Today, games live in press releases, demos, cinematic and live gameplay footage at conferences and on the web. Then, a game hits the shelves and sells millions of copies for a week or two before it’s forgotten. Publishers have marketed their game well, spent thousands on conference booths, streaming video bandwidth and rushing game demos through development and testing cycles early to get eyes on their titles.
Let’s face it, gamers that scrambled to buy Grant Theft Auto IV have moved onto the next big title or have decided to go outside for some fresh air (probably the former). Hardcore gamers consumes games like candy, sells them off for store credit and works towards their next purchase.
2. Publishers Want Loyalty
DLC breaths new life into old games, making them remain valuable for months after the hype and excitement has died. We’re now spending USD $60.00 for some of these new “current generation” game titles for a few days or weeks of excitement. Free downloadable content brings new reasons to play our “old stale” games and allows us to feel comfortable about our 60 bucks spent on a title.
Rainbow Six Vegas 2 is receiving a new “Fan Pack” for gamers to re-energize themselves about the “old” sequel to Rainbox Six Vegas. A game released in March is considered old by gamers, probably rarely played on Xbox Live anymore and needs something to keep the fans interested. This helps build loyalty to your product so the next franchise title which is released has a better chance of being purchased by your fan base because they can look forward to additional free content in the future.
3. Publishers Hate Used Games
Publishers are helping stick those games in the hands of the gamers for a longer period of time by supplying free add-on packs. Why would you re-sell your precious title back to the store when you could hold it and wait for potential DLC?
Publishers receive no revenue from the resale of a video game so it’s in their best interest to keep it out of the used markets. If there is a chance your beloved game will receive new features, at no cost to you, wouldn’t you hold off from selling it to see what’s coming?
Once a gamer has sold their title to a retail chain for pennies they’re unlikely to re-buy the title with the typical 80% markup when DLC arrives. They may opt to borrow a friends copy or rent the title rather than re-purchase it; neither fair well for the publisher in terms of revenue.
Games are expensive. Consumers must be wise to the best value in their video game titles and publishers want you to choose them for your gaming entertainment. Competition is high, profit margins are low and the market is all about sales volume. Publishers want repeat customers, people who feel their games are valuable before and after the purchase and are willing to share their loyalties with others.
Do you collect old console games, or do you sell them off to game stores and/or eBay? Would you consider holding off a sale if there was a great chance of new downloadable content?
The “year” Sony may be talking about is fiscal year 2009… which rolls into March 2010. Although Sony hasn’t tagged either title with an ETA, it’s being assumed that we’re talking 2009 until spring 2010. Given most games launch in the September and October time for the holiday season that leads us to believe it will either arrive for the holiday or slide to 2010. If the title isn’t ready for prime time by the holiday season, can you wait a full year for these games?
The obvious answer is no, Sony don’t NEED theese 2 games to drop in the 2009 calendar year.
If you take a look at the games that are CONFIRMED to hit before 2010:
Killzone 2
White Knight Chronicles (US and EU release)
Uncharted 2: Among Thieves
Yakuza 3 (Japan)
Infamous
Final Fantasy XIII (Japan)
Heavy Rain
New Ratchet & Clank
Gran Turismo 5 (Possibly)
That’s more than enough to offset anything that Microsoft/Nintendo can conjure up. Even if Microsoft were to shock everyone by releasing Halo 4 and Gears Of War 3 (Har har) Sony would still outshine them without the two games you mentioned.
Personally, i probably won’t even be picking up MAG and God Of War 3 is an afterthought for me. The game i’m most looking forward to is Uncharted 2: Among Thieves.
The obvious answer is no, Sony don’t NEED theese 2 games to drop in the 2009 calendar year.
If you take a look at the games that are CONFIRMED to hit before 2010:
Killzone 2
White Knight Chronicles (US and EU release)
Uncharted 2: Among Thieves
Yakuza 3 (Japan)
Infamous
Final Fantasy XIII (Japan)
Heavy Rain
New Ratchet & Clank
Gran Turismo 5 (Possibly)
That’s more than enough to offset anything that Microsoft/Nintendo can conjure up. Even if Microsoft were to shock everyone by releasing Halo 4 and Gears Of War 3 (Har har) Sony would still outshine them without the two games you mentioned.
Personally, i probably won’t even be picking up MAG and God Of War 3 is an afterthought for me. The game i’m most looking forward to is Uncharted 2: Among Thieves.
With the inevitable price cut supposedly sometime this year, i think sony can hold off GOW 3 and MAG at least till next year.
The PS3 seem to be coming alive and starting to gain some real momentum and i think a $100 price drop might just seal the deal and save them from utter failure and embarrassment.
Microsoft has already got their install base sewn up hence only need to worry about selling software. Sony on the other hand have the harder task of marketing what seems like a luxury brand (to most people) in a recession. Many people simple can’t justify spending that much on what is primary a game console. (blue-ray simply doesn’t cut it Sony)
At the end of the day it comes down to Two words, PRICE CUT, and they better do it quick.
With the inevitable price cut supposedly sometime this year, i think sony can hold off GOW 3 and MAG at least till next year.
The PS3 seem to be coming alive and starting to gain some real momentum and i think a $100 price drop might just seal the deal and save them from utter failure and embarrassment.
Microsoft has already got their install base sewn up hence only need to worry about selling software. Sony on the other hand have the harder task of marketing what seems like a luxury brand (to most people) in a recession. Many people simple can’t justify spending that much on what is primary a game console. (blue-ray simply doesn’t cut it Sony)
At the end of the day it comes down to Two words, PRICE CUT, and they better do it quick.
The price cut would have been announced today had there been one. Sony’s losing too much per unit still.
The price cut would have been announced today had there been one. Sony’s losing too much per unit still.
The “Rumoured” PS3 price cut isn’t supposed to take effect until April………so why would they have announced it in March??? LOL………….
The “Rumoured” PS3 price cut isn’t supposed to take effect until April………so why would they have announced it in March??? LOL………….
The rumored price drop was March.
http://www.gamestooge.com/2008/11/25/playstation-3-march-2009-price-drop-rumor/
The rumored price drop was March.
http://www.gamestooge.com/2008/11/25/playstation-3-march-2009-price-drop-rumor/
Another rumor:
http://www.gamestooge.com/2009/03/07/more-ps3-price-drop-predictions-by-analysts/
This one was shot down by Sony as well.
Another rumor:
http://www.gamestooge.com/2009/03/07/more-ps3-price-drop-predictions-by-analysts/
This one was shot down by Sony as well.
LOL…..as the link you just provided proves, the price cut isn’t expected to take place until April at the EARLIEST.
Better learn how Sony’s FISCAL year works……..it runs from April through to March of the following year. It makes far more sense for Sony to cut the price at the start of a new fiscal year rather than at the very end of one.
LOL…..as the link you just provided proves, the price cut isn’t expected to take place until April at the EARLIEST.
Better learn how Sony’s FISCAL year works……..it runs from April through to March of the following year. It makes far more sense for Sony to cut the price at the start of a new fiscal year rather than at the very end of one.