Game publishers need to copy the movie industry

[Woelfel]

TL;DR - Games should be sold digitally first, and then physical copies sold later.

 

We know that the game industry is hurting by used games. I read http://devfodder.blogspot.com/2013/06/you-should-have-choice-to-buy-used-game.html in which he named how the movie industry gets most of its money because of the exclusivity of the theaters, and then releasing the physical copy of the movie later on after the sales of the theaters diminish. The people who didn't want to pay to go see the movie but still want a copy (or people who want to watch it again) will buy the retail copy.

What we're moving to...
 

The video game industry is going to move to digital as the majority delivery service. It's only a matter of time. What won't go away anytime soon is the physical copies of games. Just like how vinyls, cds, and blu-rays are still being sold, the same is going to happen to games. Now, having same day digital downloads is a step into making digital a reason for a user to get a digital copy (other than console features). This will handle some of the realities of used games as (for now) digital games can't be traded in. The problem is that it doesn't solve it for majority of first day users. Most users will go and get the physical copy, beat the game, trade it in, and the problem continues.

 

Proposal

 

What I propose is that game publishers will need to copy the movie industry in that they need a "theatre" and that theatre is digital. You make the new release of a game digital only and then over time, you release a physical copy. This guarantees a game publisher that in a certain amount of time, that all the sales of their game are pure profit (just like theaters). Games make most of their profit within the first 2 months of sale. Another thing about the movie industry is that consumers don't know when the physical copy is going to be released. It all depends on when the movie stops doing well in theaters. Publishers can use that information to say after a period of time that the physical copy is being released.

 

Some negatives, some positives...

 

Now I know, as consumers, some will not like that as they like going to the store on release day (or night) to buy their game. This will alienate those users. Yes, that is the major downfall of this proposal. The other is that those users will not know when the physical copy will be released because the digital copy is selling well. The people who want the game (and are able with their online) will download the game.

 

This will ease the people into digital downloads but still have the ability to get a physical copy (after a certain period of time) and still able to trade in games. This will appeal to game publishers because of their new release not being able to be traded and bought used, but still sell to those who want physical and not being a total a-hole about it. It's a trade off. Now Gamestop will still be able to trade and sell used physical copies of games (and bundle them with DLC for more profit) but they will lose out on profit margins (depending on how publishers price the physical copy?) for saying "Hey, this game that just came out, you can buy it used for $5 cheaper).

 

This also helps the industry move towards digital in a way that doesn't necessarily seem horrible to everyone. What do you think? I know I probably forgot to say some things. Sorry for the long read but I wanted to clarify things.

[kurupy]

The system we have now has worked for years, i see no reason to change it to completely digital. OK you could point to the cost of manufacturing the disk/case/booklet etc then the shipping costs etc, etc. but at the end of the day, that ?45/$60 game you have just picked up from your local store, is still going to cost that much via PSN/LIVE.

 

I definitely should not have to wait X number of months to buy at retail because its digital exclusive. I buy full priced retail copies of games, i don't trade them in, i keep them gathering dust on my shelf. 

 

The movie industries system is antiquated, that's why the likes of Netflix/HULU/etc are on the rise. I seen Man of Steel here in the UK, cost me ?5.60 for the 2D version. how much of that do you think actually goes to the studio? If i could buy the Blu-Ray on day 1 for ?20, i would.

[DrJohnSmitherson]

The system we have now has worked for years, i see no reason to change it to completely digital. OK you could point to the cost of manufacturing the disk/case/booklet etc then the shipping costs etc, etc. but at the end of the day, that ?45/$60 game you have just picked up from your local store, is still going to cost that much via PSN/LIVE.

 

I definitely should not have to wait X number of months to buy at retail because its digital exclusive. I buy full priced retail copies of games, i don't trade them in, i keep them gathering dust on my shelf. 

 

The movie industries system is antiquated, that's why the likes of Netflix/HULU/etc are on the rise. I seen Man of Steel here in the UK, cost me ?5.60 for the 2D version. how much of that do you think actually goes to the studio? If i could buy the Blu-Ray on day 1 for ?20, i would.

Most of the money from ticket prices goes to the studio. The theater itself gets a larger portion as time goes on. When a movie first comes out, the theater gets little.

[BobSlob]

I think a move to 100% digital is fine... but ISPs (at least in North America) are getting more and more restrictive with bandwidth to the point of killing innovation. There's also that "digital distribution is cost savings for the consumer" which... by the prices on Origin/Steam/PSO/Xbox Live is a lie.

[n_K]

Erm sorry what, day 1 downloadable only? Why would that make things 'better'? You already have downloadable games with retail too atm, I don't see how stopping retails would improve anything at all.

 

And as for digital only without retail releases and not allowing trading in, if that was to happen I'd prompty stop buying games and go with piracy.

[trag3dy]

I suspect the theory is that it would help combat piracy. But if anything digital download only helps with that.

[Luc2k]

So.. how would this benefit the consumer exactly?

[Doli]

If they do that (and i hope they dont) then they better have a preload for the games so its ready on release day. It took me a week just to down load Max Payne 3's 30 GB on steam. I cant leave my computer on downloading all day so I only download overnight. I just finsihed downloading Uncharted 3 on PSN and that was about a week also. Im glad Uncharted 3 was broken up into parts so I didnt have to download the 3D movies because that would have made the game a 40 GB download.

[McKay]

I would prefer digital and physical to be available at the same time. For consoles I'd also like ALL games to be available for download too. The digital download game selection for 360 was pitiful. Maybe offer it at a cheaper price too since I can't trade digital downloads in etc. 

[Woelfel]

So.. how would this benefit the consumer exactly?

 

It doesn't. (unless the prices change for the better) I was speaking for publishers.

[goatsniffer]

I'm no astronaught doctor, but last I lifted up the back of consumerism and checked consumers still drive consumerism, which feeds businesses. If you screw your consumers, especially the diehard ones that wait around on sidewalks to get their 'hands' on their game on launch day, then you screw your business. The same diehard fans that proudly display their physical game collections and buy multiple editions of the same game.

The movie industry is the way it is because it's a monopoly, like music used to be. Once someone found a way to give the music consumer a better way to get their music people stopped listening to radio all day hoping to hear their favorite song once, or going to stores to browse for music.

In line with your proposal, I would like to make a proposal to help the oil industry. Determine the hours surfing the day when the majority of people purchase gas and raise the price during that time.

[+Majesticmerc MVC]

Remind me again why we're taking pity on the publishers? There's no reason that they're somehow entitled to a share of the aftermarket profits. If they lose money on a game because they don't get any money from second hand sales they (a) didn't charge enough money for the original sale and/or (b) it cost too much to publish the game.

 

Piracy, of course, is and for the foreseeable future will continue to be a problem, but when they hit that point where the DRM becomes an obstacle for me, the legitimate buyer, I'm going to go elsewhere. Last time I checked, gaming was still a buyers market.

 

Getting a share of second hand sales is double-dipping (online passes are another matter, since there are costs associated with online play that do warrant further purchase) and they can go suck it if they feel like they're entitled to a second income. Game companies aren't entitled to their existence, so if they're not making enough money, they're not doing it right.

[Athernar]

The best solution by far is to just support digital distribution to the best of everyone's ability, consumer, publisher and vendor alike.

 

Some people will prefer to buy discs out of habit, or a desire to sniff fresh game manuals. Others will buy and download digitally the very first second possible. Eventually DD will become dominant and discs will be phased out.

 

Piracy, of course, is and for the foreseeable future will continue to be a problem, but when they hit that point where the DRM becomes an obstacle for me, the legitimate buyer, I'm going to go elsewhere. Last time I checked, gaming was still a buyers market.

 

Piracy isn't a problem, or at the very least it's far less of a problem than used games. Used games are a guaranteed lost sale whereas piracy is not.

[trag3dy]

The best solution by far is to just support digital distribution to the best of everyone's ability, consumer, publisher and vendor alike.

 

Some people will prefer to buy discs out of habit, or a desire to sniff fresh game manuals. Others will buy and download digitally the very first second possible. Eventually DD will become dominant and discs will be phased out.

 

 

Piracy isn't a problem, or at the very least it's far less of a problem than used games. Used games are a guaranteed lost sale whereas piracy is not.

 

Maybe game developers should make games that people don't want to get rid of after playing through their 6 hour game with day 1 dlc and pre order bonuses from half a dozen different locations.

 

At the end of the day the "problem" is that 90% of games that come out today are crap. If game devs maybe put a little more effort into making their games people might feel less inclined to sell them to feel like they're actually getting something out of their $60 purchase.

[Athernar]

Maybe game developers should make games that people don't want to get rid of after playing through their 6 hour game with day 1 dlc and pre order bonuses from half a dozen different locations.

 

At the end of the day the "problem" is that 90% of games that come out today are crap. If game devs maybe put a little more effort into making their games people might feel less inclined to sell them to feel like they're actually getting something out of their $60 purchase.

 

Sorry, but that's such a cop-out answer. While I am someone that keeps the games I buy, I do also acknowledge that there are people who aren't interested in keeping a game after they've completed it.

 

Your argument is also circular, day 1 DLC and pre-order bonuses exist because of used games in the first place.

 

Let's not pretend the "issues" facing the industry are so simple or one-dimensional, all we can say at this point is that said industry is broken, and it needs fixing.

[UseLess]

With regard to day1digital. my fear is that games are growing in size faster than internet speed can keep up. I have had the same internet (basically) for the last 10 years (N64 to soon the PS4).

 

Until we have a radical shift in 3d graphics technology (i.e. not poly based) games will keep getting better (and bigger) at an astonishing rate as the dev's keep packing in more and more polys to ramp up quality. With the incoming BDXL disks (100+GB), downloading a full disk will take me 80+ hours on my current internet. (and use 50% of my total quota for the month)

 

Until the issue of internet is overcome, they will at least need to limit day1digital by region.

[Growled Member]

Digital is great in a land where the Internet is fast and abundant. Too bad that's not in a lot of places. 

[Brian M. Veteran]

The biggest reason I never buy games digitally (other than through steam) - it's a rip off.

 

They don't seem to grasp that things can be sold cheaper to lure people in due to smaller expenses selling digitally. If I go through PSN - I bet any money that practically every game on there can be had cheaper if you buy the physical copy. I really do not understand this logic.

[Fourjays Veteran]

Best way to solve the "trade-in problem" is to make games people want to keep.

 

Only games I've sold on or traded in are those that aren't worth keeping. That isn't necessarily story driven linear games (I've kept a few of those), just games that were all round mediocre, uninspired or failed to live up to expectations. I'm not sure I even believe this "trade-in problem" anymore either. Seems it is the big guys with huge revenue streams who often release the aforementioned mediocre games who do the most moaning about trade-ins.

[+InsaneNutter MVC]

The biggest reason I never buy games digitally (other than through steam) - it's a rip off.

 

They don't seem to grasp that things can be sold cheaper to lure people in due to smaller expenses selling digitally. If I go through PSN - I bet any money that practically every game on there can be had cheaper if you buy the physical copy. I really do not understand this logic.

Indeed i've always thought digital copes of games should be cheaper... not massively more expensive.

 

On Xbox Live digital games hardly ever drop there price either, even on those 50% off sales Xbox Live has had recently its still been cheaper to buy a new, sealed copy of the game in question, even with the 50% discount!!

 

Example current Halo 4 prices:

Halo 4 on Game on Demand (?40) with drm

Halo 4 on Amazon (?25) with no DRM

[xWhiplash]

Indeed i've always thought digital copes of games should be cheaper... not massively more expensive.

 

On Xbox Live digital games hardly ever drop there price either, even on those 50% off sales Xbox Live has had recently its still been cheaper to buy a new, sealed copy of the game in question, even with the 50% discount!!

 

Example current Halo 4 prices:

Halo 4 on Game on Demand (?40) with drm

Halo 4 on Amazon (?25) with no DRM

 

You also have to pay for the convenience.  Do you think it only costs you in order to download?  It costs Microsoft and Sony money for both the storage of all these games and the bandwidth of MANY people.

 

Depending on the type of internet you have, you can have Halo 4 in just a couple of hours.  Without paying extra, you will need to wait 5 days (typically)  with Amazon's free shipping method.  It would probably come out to the same price if you set it to next day shipping.

 

It would probably also cost you the same price to go to the store, pick it up, and go back home (depending on how close you are to the store and how much miles per gallon you have)

[WinMunkee]

Movies get played on TV and are Streamed through this they collect Royalties, games can't do this.

[LittleNeutrino Veteran]

For the film and video industries this works well as generally the customer will enjoy the content once in a short manner and then it sits, however, with video games it is not the same, I think if they were to move to a standard such as that it would hurt more than help as A) the content would take much longer to download than to purchase as a Disk and B)a timed rollout like that would give some players the upper hand over others from being higher level or getting better gear than others when it comes to online play.

[Azies]

OP doesn't know what he's talking about.

[torrentthief]

Just release games 1hr after the game leaks on torrent sites, that way less people will pirate it.