Dear Game Publishers, what are you thinking? For years, loyal supporters of your games have dealt with ridiculous price increases, overpriced downloadable content, and silly DRM schemes. Yet now, in these most critical times for the game industry, your idea of repaying them is to make us pay even more? Really?
Furthermore — stooping to an all-time low — EA has stepped up for your industry and decided that users should be pushed (if not forced) to purchase new games only, punishing gamers who legitimately purchase used games. The idea behind this is essential to make them pay extra money for… nothing (or as they put it, “bonus features”, which come with the game when you purchase it anyways).
The fact is that the industry is going through one of its worst downturns in years, proving that the game industry is not recession-proof. This should enlighten you guys as to what is obvious to most: people want more value than ever before. But instead of looking for ways to provide that value to gamers, you look for ways to punish them instead.
So I have a simple question: have you guys lost your freaking minds?
Pushing The Wrong Buttons
The average price for games has gone up over the years: no doubt in response to the massive amount of effort that is required to create these games. But as the initial investment goes up, it shuts out those gamers who would like to play your games but can’t afford to. It also makes people consider their purchases more carefully — driving them to purchase games that can provide the most bang for their buck.
But things have gone wrong. For example: who was the genius that got the brilliant idea that withholding and then selling game content as DLC or expansions would provide more value? Instead of giving your customers the whole experience, some of you specifically plan on releasing that content later as DLC that could have been already been placed in the game. Just another scheme to make more money, right?
But this isn’t The Sims! Eventually, gamers are going to see right through this. And while history would predict that they will pay, regardless of the price. It will still turn even more potential customers away.
Now I haven’t purchased a single computer or console game in well over four years. I have always rented my games from GameFly, and it is worthwhile for me because I typically only play your games for a few hours anyway before I send them back. So if I have managed to avoid paying for your expensive titles for several years now — and I am fully willing to pay for games if I really want them — how do you think millions of other gamers feel about paying for these games?
How many others are there just like me that you have turned away?
It’s no wonder why rentals and used games are so appealing. Hint: it’s your customers telling you something.
But another issue that seems to make you guys steam is piracy. You hate that people acquire, circumvent DRM, and play your games without paying.
But did you ever step back for a moment and question why this happens? Maybe it is the price, of all things, that has been a motivating factor. Maybe if the barrier wasn’t so high, those people who have previously pirated your content would actually pay for it instead, because I am sure that many of them would love to support your efforts.
In case you didn’t notice, the world has been going through some pretty serious economic problems, you know? So, it is time for the industry to adapt.
(Update: Here is a great forum post by Stardock CEO Brad Wardell that goes in-depth about how piracy has impacted PC sales of his company’s titles.)
Second Life
If you want to better yourselves — which you should, before things get worse — you could start off simple.
How about lowering the barrier to entry? You say you want the revenues from a $60 investment per gamer, right? Fine. So why not charge $30 and entice twice as many gamers to shell out the cash for the game? You potentially make the same amount of money (if not more), yet you get significantly more exposure and engagement from gamers. This means more opportunity. And everyone knows how you could (and probably would) exploit that.
(Update: Many have been claiming basic economic theory against my idea of cutting the price in half and doubling the sales. Many are calling me crazy. However, it has been proven to work. Not only that, but sales have exceeded all expectations in these cases. For example, digital distribution platforms like Steam and GamersGate report massive sales boosts by reducing the prices slightly. Paradox Interactive noted a sales increase of 5,500% by temporarily cutting the price by 75% for some of their titles on Steam. That doesn’t sound crazy to me, and game publishers should take notice!)
Downloadable content. You could have developers put more effort into developing DLC, and those gamers who are passionate about your games will almost certainly pay for it. The lower barrier to entry means that more gamers will have the opportunity to purchase this DLC, which could, in turn, eventually result in you making significantly more money than you initially intended! Yes. Making more money! How crazy of an idea is that?
The problem with that is that there will be some of you who urge developers to withhold the development of content to provide a more bare game. Thus, you would require gamers to purchase DLC to have a proper experience. Don’t do it!
And finally, let’s talk about this whole used games mess. Most importantly (before you guys start following EA’s plan to punish those who purchase used games), you could come together to sell used games at a discounted price, while still getting a piece of the pie. Yeah, it is that simple.
Obviously, there are gamers who want to purchase your games without paying full price. They wait and buy used games, resulting in a missed opportunity for you to make money. This also happens at a time when the amount of revenue for your games have probably fallen off quite a bit. So why not provide easily accessible services to compete (or work with) with the likes of GameStop, GameFly, and others to provide used games at a discounted price, thus giving you a way to make money from used game sales? Why not work with the used game market to reap in more profits and sales instead of punishing it?
It makes sense. You make money that you wouldn’t have made otherwise. The gamer gets a great product that can also generate money through DLC. And everyone goes home happy.
(Update: It appears now that EA isn’t the only publisher thinking that they should charge $10 for… well… nothing. Ubisoft is considering charging you an extra $10 as well, simply for purchasing a used game. Every publisher is probably going to adopt this scheme now. So thanks for nothing, EA. Sigh.)
Game Over
But it is clear that things need to change, especially before things get worse.
The game industry is at a critical point where newer technologies are set to be released, being led by the idea of 3D gaming experiences, mobile gaming experiences, and social-aware gaming platforms. It is quite possible that games, as they are known today, will not exist as they are in a few years down the line. And all these plans that you come up with to extract more money from gamers will likely speed up the demise of your industry.
It’s only a matter of time. It happens in every industry, and while the game industry has managed to avoid it, one can’t help but wonder how long that will continue to last.
It can’t. Not unless things change. Not unless you change.
104 User Comments
Andrew
As i was rading, nobody mentions that a mario bross game gives more entertain than a cod without all the rage and dicks involved in cods multiplayer experience.
Old Games > New Games bettter graphics that looks so real, and are as boring as real world
project free tv
I remember when Napster first cam out in 1999 or so; most music pirates said that if there was just some way to download individual tracks (as opposed to having to buy a $15 CD) they’d stop pirating. After companies started selling individual tracks for $1 people said that they pirated because of restrictive DRM. Now most music services offer DRM free music and people still pirate.
People pirate because they want free stuff.
Mathew Ballard
I have to say that I don’t really have a problem with some companies charging a fee to play online if you don’t buy a game new. Personally I rarely ever buy a game used anymore because I want my money to go to those who have made the games I enjoy instead of the money going to companies like Gamestop. Now, I’m not saying I never buy used games or rent games. But, when I do so I only do so through Gamefly and they tend to be games that I’m not too sure about to begin with or older games (two or more years old) that have been around.
Now, there are somethings, like withholding content from a final game to release as DLC just to make a few more bucks. But, no one has to purchase the DLC, your not being forced to. If you don’t like it, then don’t buy. Your money speaks much lounder then your words in this case.
Mark
Good article you are right on many accounts. Want to add some psychological aspects with my first point:
1. Many gamers are addicted. Look a the tobacco industry. Most people just cannot quit cold turkey because of years of addiction and thus will make any excuse on why the companies should nickle and dime you.
WHY?
a)The younger you are the more easily manipulated you are. So essentially anyone early 20’s and lower will have a harder time quitting and saying no to companies.
b) Intelligence plays a big part in this. The higher IQ person is more likely to differentiate right from wrong in the business world and outside.
2)Used games offer price competition. Anyone notice game companies don’t compete price wise. It’s cohesion but legal because corporates can do what they want. Used games are essentially price competition and logically new games should have lowered their price to compete.
The last time their was a price competition in the game industry EA bought the NFL license and ended it.Remember NFL2k series was 20 bucks and Madden started dropping its price to 40 and eventually 30 dollars.
3) When you buy a game should you not have a right to resell it? Like a used car. Like a house. Like a ( fill in the blank)
4) Essentially you cannot trade/lend/borrow games from your friends and family.
5) Game companies are not losing money. Essentially the person who buys the game originally already paid for the online service. He sells the game and simply extends the games life. It is not adding any extra strain on the game companies part.
6) Sports games need to stop the roster updates. Clearly Madden buyers are addicted. The game has made very little improvements and is still behind NFL2k5. That’s six years ago.
Mr Anon
Dear Industry/Publishers,
We are currently living in tough economic times, and a lot of us are struggling, unlike the Games Industry which just keeps on getting bigger and greedier.
I have 2 options when I’m skint, OPTION1: buy pre-owned or OPTION2: buy new, at your exorbitant prices, and then stick with paid game for longer than I would normally because I cannot afford any more games.
Take away OPTION1: and I’m off to that place we call the bay, I believe the word “torrent” will ring a bell.
Understand ?
Oh, and what goes on, after I have paid you for the first sale, between me and a pre-owned sales shop is NONE of your damn business. You have had your money from the first sale, and like EVERYTHING in else in life, you are NOT involved in anything involving a 2nd sale, that remains between me and that third party, and get this, its perfectly LEGAL, so shove it.