Um.. Ok.. so why are digital titles $60 again?

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#1 Posted by OhSnapitz (18458 posts) -

Maybe I missed the memo but I was under the impression that publishing, manufacturing costs, Marketing ect.. all contributed to a games pricing. So could someone explain why games ( not all mind you) are selling for $60 USD on PS4 PSN? I can only assume the same holds truefor XBO.

Saving on shipping, manufacturing costs, materials, and retail markup alone should knock a nice chunk off the retail costs for consumers.

#2 Edited by freedomfreak (41031 posts) -

Saw Watch Dogs on the PSN store for €70.

f that s

#3 Posted by highking_kallor (524 posts) -

Pure Greed

#4 Posted by StrifeDelivery (1638 posts) -

Didn't Nintendo have a statement that they didn't want the digital game to seem like less value, so they kept the prices the same?

Anyway, we're starting to see that more with multiplatform games that include PC. Watchdogs for instance, across all systems is $60, but even on DD such as Steam, it also starts at $60. Back in the day, when console game prices went up to $60, it was said to be an increase in development costs, but since it was still $50 on PC, some of that extra $10 increase was meant to deal with software cuts the console producers get. But that was to show console/PC price disparities.

There should be a price difference between retail and digital, how much I don't know. Between console retail/digital and multiplatform console/PC, we're starting to see more and more games pushing that $60 boundary.

#5 Edited by Cranler (8809 posts) -

Convenience, save gas money, no tax and downloading is faster than shipping. Still should be cheaper though.

#6 Posted by EducatingU_PCMR (739 posts) -

cuz consoles

No competition so no reason to have fair prices.

#7 Posted by Cranler (8809 posts) -

@StrifeDelivery said:

Didn't Nintendo have a statement that they didn't want the digital game to seem like less value, so they kept the prices the same?

Anyway, we're starting to see that more with multiplatform games that include PC. Watchdogs for instance, across all systems is $60, but even on DD such as Steam, it also starts at $60. Back in the day, when console game prices went up to $60, it was said to be an increase in development costs, but since it was still $50 on PC, some of that extra $10 increase was meant to deal with software cuts the console producers get. But that was to show console/PC price disparities.

There should be a price difference between retail and digital, how much I don't know. Between console retail/digital and multiplatform console/PC, we're starting to see more and more games pushing that $60 boundary.

Console games were more expensive because of licensing fees. A portion of every console game purchase goes to the console manufacturer. PC games should have ca heaper msrp than console games.

#8 Edited by MlauTheDaft (3853 posts) -

@StrifeDelivery said:

Didn't Nintendo have a statement that they didn't want the digital game to seem like less value, so they kept the prices the same?

Anyway, we're starting to see that more with multiplatform games that include PC. Watchdogs for instance, across all systems is $60, but even on DD such as Steam, it also starts at $60. Back in the day, when console game prices went up to $60, it was said to be an increase in development costs, but since it was still $50 on PC, some of that extra $10 increase was meant to deal with software cuts the console producers get. But that was to show console/PC price disparities.

There should be a price difference between retail and digital, how much I don't know. Between console retail/digital and multiplatform console/PC, we're starting to see more and more games pushing that $60 boundary.

Which is a massive load of bullshit :)

Basically, the answer is: Because profit.

Honestly, I would'nt be surprised either if the always "increasing" development costs actually mean increasing marketing budgets.

#9 Edited by finalstar2007 (25308 posts) -

I been asking this same exact question since the start of last generation.. i mean seriously we are not getting a box, we are not getting a cool boxart and we are not getting a manual so why the f do we pay full price? so far whats nice about digital games is that you save up from paying tax as you pay tax at retail but not digitally ( PSN )

i would assume why games are retailed full price digitally is because of retailers like gamestop, bestbuy, etc as they will complain big time since people will start going digitally and retailers will start losing money heck some retailers may even stop buying retail games for that specific system since they stopped getting customers.

but yea i agree i think the same game digitally should be at least $10 cheaper

#10 Posted by lamprey263 (24235 posts) -

It should really be less for any number of reasons:

  • no tangible retail copy production costs
  • no shipping costs
  • less retailer refunds on MSRP adjustments
  • no used game sale on that copy
  • no retailer cut consideration
  • no more pre-order bullshit
  • it would strengthen consumer confidence and support for digital retail market at large, and thus increase digital sales
  • more flexibility in pricing could achieve better long term sales
  • stronger support for digital retail could lead to an end of the used game system
  • greater consumer satisfaction
  • more discretion over sales figures and no sales tracking
  • it can remain on the market longer (retails have been horrible this last gen keeping inventory due to used games)
#11 Posted by silversix_ (14810 posts) -

Should be 44.99

#12 Edited by Gue1 (10223 posts) -

digital games are a scam anyway.

Your account gets hacked you lose everything. After the console is phased out your HDD fails, and you lose everything. You pay full price for digital and you can't even share your games or sell em. And not to mention all the wasted bandwidth in having to download 20GB+ games (and only getting bigger) and then having to download it again if the console fails or something like that happens. Then we have the multiple issues with servers and DRM, etc., etc.

This digital future has more drawbacks than having both or just physical alone.

#13 Posted by Alcapello (955 posts) -

Xbox

#14 Edited by Nonstop-Madness (9486 posts) -

It allows developers and publishers to make more money on a per unit basis without raising prices. It also allows them to combat piracy and used games, which are still issues for them.

Also, lowering the price of a game doesn't actually mean you'll make more revenue or profit. The initial demand of a game varies very little depending on the price. They're better off lowering the price afterwards while demand has fallen.

#15 Posted by DEadliNE-Zero0 (2923 posts) -

Higher profit returns. Simple. If i remember, retailers and shippng would take out atleast 25% of the price. But seriously, why do that when you can leep normal pricing and gain more money?

#16 Posted by uninspiredcup (9012 posts) -

Because money give.

#17 Edited by SolidTy (43863 posts) -

This has been going on for years and it's why I buy physical console games...and there is a host of reasons why which include selling, lending, and trading my games.

Regarding $60 retail games on DD service. This is publishers making profit. This is the case with Wii U, 360, Xbone, PS4, and PS3 DD games.

#18 Posted by FoxbatAlpha (7428 posts) -

If there was a fair price break it could drive brick and mortor stores right out of business.

#19 Posted by locopatho (20385 posts) -

Everything is worth what it's purchaser will pay for it.

Translation - If people don't buy at 60, the price will go down.

#20 Posted by br0kenrabbit (13102 posts) -

@finalstar2007 said:

i would assume why games are retailed full price digitally is because of retailers like gamestop, bestbuy, etc as they will complain big time since peoiple will start going digitally and retailers will start losing money heck some retailers may even stop buying retails games for that specific system since they stopped getting customers.

^^

#21 Edited by seanmcloughlin (38216 posts) -

Because people will easily pay the prices for the convenience

#22 Posted by YearoftheSnake5 (7499 posts) -

So that big retailers, like Gamestop, don't get pissed off at publishers undercutting them. They can say whatever they want about the 'value' of a game, but it's all about appeasing those who sell your consoles.

#23 Posted by StrifeDelivery (1638 posts) -

@Cranler said:

@StrifeDelivery said:

Didn't Nintendo have a statement that they didn't want the digital game to seem like less value, so they kept the prices the same?

Anyway, we're starting to see that more with multiplatform games that include PC. Watchdogs for instance, across all systems is $60, but even on DD such as Steam, it also starts at $60. Back in the day, when console game prices went up to $60, it was said to be an increase in development costs, but since it was still $50 on PC, some of that extra $10 increase was meant to deal with software cuts the console producers get. But that was to show console/PC price disparities.

There should be a price difference between retail and digital, how much I don't know. Between console retail/digital and multiplatform console/PC, we're starting to see more and more games pushing that $60 boundary.

Console games were more expensive because of licensing fees. A portion of every console game purchase goes to the console manufacturer. PC games should have ca heaper msrp than console games.

I know, I mentioned that in the bolded section. PC games should have a cheaper price than consoles, but again, as I mentioned, we're starting to see more games push that boundary.

@MlauTheDaft said:

@StrifeDelivery said:

Didn't Nintendo have a statement that they didn't want the digital game to seem like less value, so they kept the prices the same?

Anyway, we're starting to see that more with multiplatform games that include PC. Watchdogs for instance, across all systems is $60, but even on DD such as Steam, it also starts at $60. Back in the day, when console game prices went up to $60, it was said to be an increase in development costs, but since it was still $50 on PC, some of that extra $10 increase was meant to deal with software cuts the console producers get. But that was to show console/PC price disparities.

There should be a price difference between retail and digital, how much I don't know. Between console retail/digital and multiplatform console/PC, we're starting to see more and more games pushing that $60 boundary.

Which is a massive load of bullshit :)

Basically, the answer is: Because profit.

Honestly, I would'nt be surprised either if the always "increasing" development costs actually mean increasing marketing budgets.

Oh yeah, definitely. I wasn't saying that I believed Nintendo, but rather, posted it to show some of the excuses we would see to justify keeping the price the same.

And regarding your last point, I think its a combination. 30 team guys went up to 100 team guys which have been even going higher than that. But also, for certain games, we've seen massive marketing ploys, which costs the big bucks as well.

#24 Posted by MlauTheDaft (3853 posts) -

@StrifeDelivery:

Yeah, I figured that was your point and my marketing remark was half cynicism ;)

#25 Edited by KungfuKitten (21142 posts) -

Oh there is actually an answer for that. Even though it will not be what you want to hear and I don't like it either. Retailers are causing digital pricing to stay high, way higher than it has to be/should be.

It works like this: I'm a game publisher and I want to sell my game digitally because that is the popular thing to do (convenience sells). So I price my game $50 on a console digitally.
That very second I get a message saying:

Dear mr. Fucker,

If you sell your game for $50 digitally, how do you expect us to make a decent living?
You match our price, or we won't sell your game at all.

Sincerely,
Media Retail Cartel

#26 Posted by HitmanActual (389 posts) -

In Australia they always claim the cost of games is due to shipping and transport costs, yet I can buy a disc version next gen game in any number of stores for $80-90 give or take a few bucks, yet on PSN and XBL most digital games are $100.

Fucking douche bags.

I guess I will continue to ride my Kangaroo into town to buy disc based and ultimately cheaper versions.

#27 Edited by StrifeDelivery (1638 posts) -

@MlauTheDaft:

Right, yeah, I knew that.... (Nah, I got to work on the more subtle cues).

#28 Edited by superbuuman (2907 posts) -

@highking_kallor said:

Pure Greed

^ This, nothing more than just greed. :P

#29 Edited by Alcapello (955 posts) -

@KungfuKitten said:

Oh there is actually an answer for that. Even though it will not be what you want to hear and I don't like it either. Retailers are causing digital pricing to stay high, way higher than it has to be/should be.

It works like this: I'm a game publisher and I want to sell my game digitally because that is the popular thing to do (convenience sells). So I price my game $50 on a console digitally.

That very second I get a message saying:

Dear mr. Fucker,

If you sell your game for $50 digitally, how do you expect us to make a decent living?

You match our price, or we won't sell your game at all.

Sincerely,

Media Retail Cartel

Not quite, but nice scapegoat..

#30 Edited by hoyalawya (342 posts) -

Because of Obama.

#31 Posted by foxhound_fox (88791 posts) -

Higher profit margin.

A $60 digital game actually brings the developer some money. Retail games have always been very poor methods of generating profits on consoles. The developers saw (I think) around 6-8% of total sales in revenue. And most of that went to recouping development losses. It's why so many games last gen "needed" to sell several million copies to even break even.

I don't find many games worth $60 anymore, in any sense. Especially since the Steam sales started going nuts with discounts. Every three months I have an opportunity to get the games I want at 75-90% off. I can most certainly wait time for that kind of discount (it usually takes a year for most games to get to that level).

It's really starting to suck to be a console gamer these days. Getting shit deals on game prices. Getting the downgraded console ports from PC. And overall paying out of your ass for every feature.

#32 Posted by foxhound_fox (88791 posts) -
@highking_kallor said:

Pure Greed

Game developers don't exist to make you happy. They are businesses trying to make a living for themselves.

"Greed" doesn't even factor into this discussion. These people work 80-100 hour work weeks to get the game out on time so people like you don't complain that it is "delayed". They give up a paycheque for the entire development cycle, not knowing whether their work will in fact get them paid in the end because people like you complain their game isn't "good enough" and skip buying it.

"Greed" is wanting something for nothing. Wanting a game developer to bend to YOUR will and give you a high quality product for only the amount you are willing to pay them.

Gaming is a business, first and foremost, and if developers can't make money, then they won't be continuing to make games. It's people like you that are killing gaming, and making some businesses go under. Demanding higher and higher budget products for less and less money.

--

The best thing people can do to support gaming is to buy a game digitally. That way almost ALL the money you paid goes directly into the developer's pockets. Especially the ones that don't use publishing companies.

#33 Edited by LJS9502_basic (151504 posts) -

Because they can....it's that simple. Supply and demand...

#34 Posted by ShepardCommandr (2755 posts) -

@highking_kallor said:

Pure Greed

#35 Edited by Heil68 (45245 posts) -

Yup. No reason whatsoever to go DD.

#36 Edited by Roler42 (770 posts) -

A dev said it's because retailers won't allow them, having a digital game cheaper than retail makes people go for it for obvious reasons, retailers don't like that sort of competition so they somehow managed to restrict devs from lowering their prices at release at least

#37 Posted by cainetao11 (17771 posts) -

@silversix_ said:

Should be 44.99

F that! 39.99

#38 Edited by SecretPolice (22243 posts) -

@cainetao11 said:

@silversix_ said:

Should be 44.99

F that! 39.99

$24.99.. going once, twice, three times.... Gone. :P

#39 Posted by asylumni (2134 posts) -
@YearoftheSnake5 said:

So that big retailers, like Gamestop, don't get pissed off at publishers undercutting them. They can say whatever they want about the 'value' of a game, but it's all about appeasing those who sell your consoles.

This is the correct answer. Consoles are sold at a minimal markup at retail, so if they can't make a large profit of games, they won't sell either and you have another PSP Go.

#40 Posted by LJS9502_basic (151504 posts) -

@asylumni said:
@YearoftheSnake5 said:

So that big retailers, like Gamestop, don't get pissed off at publishers undercutting them. They can say whatever they want about the 'value' of a game, but it's all about appeasing those who sell your consoles.

This is the correct answer. Consoles are sold at a minimal markup at retail, so if they can't make a large profit of games, they won't sell either and you have another PSP Go.

Actually it's quite wrong. Supply and demand. Games are sold for that price physically.....so they set that price. If the games didn't sell they would be reduced. However, since they are being bought the demand is there. It's capitalism...it's basic economics. Has nothing to do with brick and mortar stores. If they had any clout Amazon would increase prices.

Post fail....and you bought it.

#41 Posted by hoyalawya (342 posts) -

For Xbox, I can usually find Xbox gift cards for 20% to 30% off the retail price. So, digital is cheaper for me (I don't buy or sell used games).

#42 Posted by sts106mat (19857 posts) -

@LJS9502_basic said:

@asylumni said:
@YearoftheSnake5 said:

So that big retailers, like Gamestop, don't get pissed off at publishers undercutting them. They can say whatever they want about the 'value' of a game, but it's all about appeasing those who sell your consoles.

This is the correct answer. Consoles are sold at a minimal markup at retail, so if they can't make a large profit of games, they won't sell either and you have another PSP Go.

Actually it's quite wrong. Supply and demand. Games are sold for that price physically.....so they set that price. If the games didn't sell they would be reduced. However, since they are being bought the demand is there. It's capitalism...it's basic economics. Has nothing to do with brick and mortar stores. If they had any clout Amazon would increase prices.

Post fail....and you bought it.

No. Those two posters are correct, it is you that is wrong.

MS / Sony / Nintendo (all publishers etc) have relationships with retailers (both brick and mortar as well as online), they have a symbiotic relationship. which is why, you now see retailers selling digital codes / content.

#43 Posted by nini200 (9827 posts) -

Because imbecile Gamers keep buying it for those jacked up prices and trying to justify their purchase (Well The Last Of Us Remake is an ENTIRELY new experience because it has more pixels). Most of the crap in gaming is because of the idiotic gamers that keep buying that crap (Unfinished games with DLC at launch, High Digital Game Prices, Pay Again to Play Online, etc).

Stop buying it and things will change.

#45 Posted by LJS9502_basic (151504 posts) -

@sts106mat said:

@LJS9502_basic said:

@asylumni said:
@YearoftheSnake5 said:

So that big retailers, like Gamestop, don't get pissed off at publishers undercutting them. They can say whatever they want about the 'value' of a game, but it's all about appeasing those who sell your consoles.

This is the correct answer. Consoles are sold at a minimal markup at retail, so if they can't make a large profit of games, they won't sell either and you have another PSP Go.

Actually it's quite wrong. Supply and demand. Games are sold for that price physically.....so they set that price. If the games didn't sell they would be reduced. However, since they are being bought the demand is there. It's capitalism...it's basic economics. Has nothing to do with brick and mortar stores. If they had any clout Amazon would increase prices.

Post fail....and you bought it.

No. Those two posters are correct, it is you that is wrong.

MS / Sony / Nintendo (all publishers etc) have relationships with retailers (both brick and mortar as well as online), they have a symbiotic relationship. which is why, you now see retailers selling digital codes / content.

Hahahahaha....you guys are funny. Guess MS, Sony, and Nintendo will still put their products in stores....and Gamestop etc will cease to exist if they don't sell their products....so really Gamestop is MORE not LESS dependent.

And none of you know a damn thing about business.

#46 Edited by LJS9502_basic (151504 posts) -

@nini200 said:

Because imbecile Gamers keep buying it for those jacked up prices and trying to justify their purchase (Well The Last Of Us Remake is an ENTIRELY new experience because it has more pixels). Most of the crap in gaming is because of the idiotic gamers that keep buying that crap (Unfinished games with DLC at launch, High Digital Game Prices, Pay Again to Play Online, etc).

Stop buying it and things will change.

Finally someone that understands how this works......kudos.

#47 Edited by Wasdie (50003 posts) -

Because people are buying them at $60.

#48 Edited by sts106mat (19857 posts) -

@LJS9502_basic said:

@sts106mat said:

@LJS9502_basic said:

@asylumni said:
@YearoftheSnake5 said:

So that big retailers, like Gamestop, don't get pissed off at publishers undercutting them. They can say whatever they want about the 'value' of a game, but it's all about appeasing those who sell your consoles.

This is the correct answer. Consoles are sold at a minimal markup at retail, so if they can't make a large profit of games, they won't sell either and you have another PSP Go.

Actually it's quite wrong. Supply and demand. Games are sold for that price physically.....so they set that price. If the games didn't sell they would be reduced. However, since they are being bought the demand is there. It's capitalism...it's basic economics. Has nothing to do with brick and mortar stores. If they had any clout Amazon would increase prices.

Post fail....and you bought it.

No. Those two posters are correct, it is you that is wrong.

MS / Sony / Nintendo (all publishers etc) have relationships with retailers (both brick and mortar as well as online), they have a symbiotic relationship. which is why, you now see retailers selling digital codes / content.

Hahahahaha....you guys are funny. Guess MS, Sony, and Nintendo will still put their products in stores....and Gamestop etc will cease to exist if they don't sell their products....so really Gamestop is MORE not LESS dependent.

And none of you know a damn thing about business.

congrats for looking at with such a blinkered view.

think before posting

#49 Posted by LJS9502_basic (151504 posts) -

@sts106mat said:

@LJS9502_basic said:

@sts106mat said:

@LJS9502_basic said:

@asylumni said:
@YearoftheSnake5 said:

So that big retailers, like Gamestop, don't get pissed off at publishers undercutting them. They can say whatever they want about the 'value' of a game, but it's all about appeasing those who sell your consoles.

This is the correct answer. Consoles are sold at a minimal markup at retail, so if they can't make a large profit of games, they won't sell either and you have another PSP Go.

Actually it's quite wrong. Supply and demand. Games are sold for that price physically.....so they set that price. If the games didn't sell they would be reduced. However, since they are being bought the demand is there. It's capitalism...it's basic economics. Has nothing to do with brick and mortar stores. If they had any clout Amazon would increase prices.

Post fail....and you bought it.

No. Those two posters are correct, it is you that is wrong.

MS / Sony / Nintendo (all publishers etc) have relationships with retailers (both brick and mortar as well as online), they have a symbiotic relationship. which is why, you now see retailers selling digital codes / content.

Hahahahaha....you guys are funny. Guess MS, Sony, and Nintendo will still put their products in stores....and Gamestop etc will cease to exist if they don't sell their products....so really Gamestop is MORE not LESS dependent.

And none of you know a damn thing about business.

congrats for looking at with such a blinkered view.

think before posting

I did. And I know business. But you keep pretending you do...it's funny. Please go on....

#50 Edited by sts106mat (19857 posts) -

@LJS9502_basic:

sure you do

I live and work in the UK, have been in business almost 18 years. I am dealing with contracts worth hundreds of thousand of pounds on a daily basis....I guess i must have been dreaming when the company i work with flew us to las vegas for 3 nights all expenses paid last year based on our good performance.

you know fuck all