Why are digital games the same or more expensive than retail games?

When said company sales a retail game, you have package and handling, shipping, and the middle man (gamespot,walmart,etc) who takes a piece.

Why is a digital copy with no middle man, no shipping, no retail packaging,etc. Cost the same or even more?

I hear it's even worse in Europe. That new games digitally sell for more than physical new copies.

Anyhow, If digital retail was actually undercutting store prices they'd probably take action to drop some degree of support behind the product that did that.

Furthermore, publishers have to pay up front to companies like Microsoft, Sony, Nintendo, on copies printed, like 30%. So they want to in a way work to get those copies sold before printing new copies. Selling games cheaper digitally might hurt their ability to sell at retail.

I still support digital at the end of the day. I never sell my games until I've had them for years. By then they're only worth like a few bucks at GameStop at best. Buying digitally gets me a 10% rebate on Xbox Rewards, that's $6 back on new $60 games, and I save about $5 in sales tax by buying digitally, so a net benefit of about $11 on my end. So, normal scenario, I keep games for a few years, sell them for $3 at GameStop, I dont have the game, versus the economics of keeping my games and saving money, it still works to a benefit.

Where digital fails most though is dropping prices as retail prices drop. Though, there's often good deals digitally offered every week on a number of titles, best to just keep your eye out on all those and take advantage of them when you get a chance and it's not so bad.

To help retail stores out. Majority of sales still come from retail stores.

Because the retail stores would be pissed if they would sell games digitally for cheaper than they cost in the stores and since most of their sales still come from retail stores, they don't want to upset them.

Because you will still buy them anyways.

It's because GameSPOT is crazy selling games :)

But this is the correct answer. I also think it's partly got to do with not wanting to devalue retail copies.

yeah i've been wondering this myself. its a complete rip-off.

And what pisses me off even more is the fact that Amazon and best buy dont include digital games in their 20% off on games with the "my gamers club" and "amazon prime". like wtf.

im all digital this gen, i dont give a damn about physical anymore so why limit it to just physical games..

Nintendo is by far the worst at this. Their games sell at the same price 3+ years later.

I can't believe this. I can't remember the last time I bought a game from a store instead of online.

It's simple, because when it comes to consoles there is ONLY 1 place on each console to buy the game digitally (PSN/XBL) so they can charge whatever they want, and people (idiots) will keep on paying.

@blueinheaven: I always get mine from Bestbuy 20% off. But I'm talking online retailers too. I still don't buy digital yet.

I don't buy digital either but I always get much better prices online for physical than what it would cost for digital. I'm just surprised that people still actually go to stores to buy games lol. I must be one lazy mofo.

@blueinheaven: You dont have to go to Bestbuy though, they will ship to your house.

Because places like Walmart will not sell games at a different price than they cost elsewhere. It's all price matching. You can't have multiple different MSRPs.

If digital games sold at $50 at release instead of $60, Walmart would go in and start charging $50 for each game they sell. Walmart wouldn't care, they'll still get their cut of every game sold. It'd hurt the publishers/developers though.

There are loopholes though. You can always charge a different price in a sale. It's not an uncommon sight to see 10-20% off digital games if you pre-order.

Because people are frankly stupid. It's been proven that console gamers don't vote with their wallets. What is really insane is you can't even sell console digital games after you use them at least in the USA.

So if people will buy overpriced games then of course they will continue to sell them. Consolites are even buying game previews smdh. Consolites buy remasters/themes/advatars/season pass 1/2/3 ect basically anything on the marketplace.

A fool and his money are soon parted.

People pay it and the publishers make larger margins. If digital sold drastically less, they'd gave to drastically adjust to make the narket viable.

Look at Steam... like a 30% cut to host and sell people's games. Minimal overhead.

Thank consoles for it,PC use to drop its price is games faster and all are basically digital for years,but PC also has allot of piracy which is what drive those prices down faster,but console i see will not drop a cent in many games even old ones digital even that your rights with digital games is totally different to physical copies by the way,you pay more or the same for digital and the company owns it not you.

I get digital games way cheaper than retail. Either CDkeys and similar sites or Steamsales. You never get that with physical games anyway, at least with digital you have a fighting chance at obtaining it under MSRP or at the very least catching a sale later. Physical games it's either $60 new, $40-50 used or $20 sale long after release and demo games cost $40 lol.

I mean look at Dishonored 2, it's not even out yet but you can preorder it for $35.89 on cdkeys

Because people pay it.

This is the main reason why I refuse to go all digital... prices are a joke. For example, here in Aus, I bought Titanfall 2 for $69 at my local EB Games whereas on XBL Store it's $99.95. It's ridiculous.

Did you trade in a game or three to get it for $69 at EB? because on their website it's $99, and EB are the biggest ripoffs for the most part when it comes to Australia.

Because Sony and MS still take a large cut of every digital sale. Dave Lang talked about this on the Bombcast a while ago

@i_p_daily: EB do price matching with other stores :)

@hrt_rulz01: Shit i forgot about that lol.

So do you need to take a catalogue in or just mention the price at big w/jb hifi as i've never done it.

Because greedy console manufacturers have a monopoly on digital distribution of console games. They do it because they can, people still pay, and they don't want to demolish their existing retail supply chains with cheaper and accessible digital copies that's beneficial to the consumers.

The same strategy can't be enforced on PC, since there is too much competition. Steam as a platform may have a huge market share, but its keys are sold in a heavily competitive market, with sellers ranging from Steam, GMG to other 3rd-party resellers sourcing keys from regions like Russia and China which sell the digital keys cheaper than Western prices.

It's one of many punishments and taxes for Console Peasantry , you must pay extra for convenience. PCMR is the way to go.

@i_p_daily: Just mention the price you want to match and where... but it has to be a store in the same shopping centre.

And depending on who serves you, they might check with the store to confirm price. But they usually don't for me.

@hrt_rulz01: Yeah my nearest EB is in Canberra, so i don't go in there often unless i'm looking for a second hand game from them. I mostly buy from my local Big W as it's the cheapest place in my town to buy them.

When i am in Canberra i usually go with JB Hifi as they're the cheapest. So i never really need to price match.

@i_p_daily: Yeah fair enough... the main reason I prefer getting my games from EB is because of their return policy. I'm a level 4 member, and I have 10 days to return it if I don't like it.

Do provide a source for this claim

And you think steam for example doesn't provide these services in return of their % cut of the game sales? Again source pls

But ye publishers make a killing from 60$ digital sales, steam/gog takes 30%, publisher takes 70%, from a 60$ retail the publisher doesnt even get 50%

The usual reasons, however it also apparently allows them to play more sales games if they initially come out with a high price. So when they have those huge 50-75% off sales they still end up making decent money. If they launch with a low price it doesn't give them much wiggle room for "huge discounts" later on.

There are a ton of reasons why but the main one is the agreement with brick and mortar retailers.

Games cannot be sold digitally for less than retail and undercut them - Retail space is expensive and costs the retailer more to keep a game there that isnt selling. This is why retailers lower prices the longer an item is on the shelf

Digital games dont cost anything to keep so there is no rush to clear space.

This is also why you see more sales on digital games than retail because this is the one loophole they have.

Its the way the market works. You cant blame retailers because they have to make money.