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?
@Microsoft Points
This makes more sense, doesn’t it? I’m not sure what the deal was previously – did the games cost a different number of points in different regions? If so, it doesn’t make a difference which way you make transactions but for the customer it’s always easier to think in their native currency rather than some arbitrary points. And, if you get some extra $$$ when converting, that’s even better.
@Origin return policy
Are you sure, Jonah, that they will be able to monitor if you played through the game? One would have to read the fine print, probably, and I’m too lazy to do it 😉 They should implement some fail-safes into the user agreement if they don’t want the policy to be abused.
Anyway, seems like a good idea to demo games. People will buy them thinking they will return it if they don’t like it but a part of them will be too lazy to do that later 🙂 Win some, lose some for EA, but should result in a net gain. However, this may mean they won’t win the Worst Company in America Award next year…
@Borderlands 2 on Vita
YAY! I played the first Borderlands on my PS3 and I really liked it. It wasn’t as boring as Diablo, although the core mechanic of both games is similar – kill, get loot, upgrade weapons. Rinse and repeat. The second part coming to Vita is great news and I really hope they add some DLCs to the bundle. Still, it’s another non-exclusive game for the Vita so why even bother, right? 😉
@Next gen launch titles
As much as I enjoy indie games there’s one thing that I don’t like about the industry moving in that direction as much as it is. It’s simple – I don’t need a 1.6 GHz, 8-core, 8GB RAM machine to play Limbo… I understand that games are games and there are a multitude of great games with simple graphics but that doesn’t justify creating a new generation of gaming consoles. Unless there are developers and publishers willing to break the boundaries of what the current gen can support, I don’t even see why we need ‘next gen’ hardware. Hopefully, what’s happening now means that we will get as many AAA titles as before and, in addition, a slew of amazing indie titles.
QOTW: Nothing’s changed since last week 😛
Podcast
@Microsoft getting some sense
Microsoft points were a barrier to many people I know. Awkward unspendable amounts. Having to buy more points then needed. Not to mention that a game that is £7 looks more cost effective than a game that is 800MS points (equivalent prices). I am glad they are gone. Just have to cash in my codes and good riddance.
@Gamers can return digital titles on Origin after a week
What’s Origin?
@Bungie’s Destiny
I am really looking forward to it. I have great respect for Bungie. Destiny is an ambitious project. However, I can’t speculate on whether it will outshine Halo. Let alone Star Wars. So far all it looks like is a Halo MMOFPS. Prove me wrong Bungie.
@Borderlands 2 coming to PlayStation Vita
What’s Playstation Vita? Is it somehow related to Origin?
@Sony/Microsoft announces launch titles/line-up/window (the Internet has no clue either)
I pre-ordered a PS4 because by the time Xbox comes out in Europe my exam period will start and I will have no time. The line-up is impressive but makes not much difference. In the end, launch titles are pointless. What will sell the console are the exclusives which will come out much later in the console cycle. By the time Halo 5 comes out I will probably already own both consoles. So, for now I am going for the cheaper one that comes out earlier.
@QOTW
Very console gamer. I own practically every console that came in the past 10 years (minus PS vita which sucks). I have a laptop but it has crap specks. Much like Pavel, I stopped chasing performance as it is a very expensive business. Especially if you are not a teckie. I still have a 100 or so games on my Steam account (bloody sales), which I sometimes play.