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afterburner1978 Blog

It's time to take a stand!



http://www.joystiq.com/2006/09/16/rumor-your-money-is-no-good-for-gamestop-reservation/

I don't care if this is true even for the good people of Hawaii, or just a careless rumor. Stunts like this are common place for the Gamespot/EB conglomerate, and indicative of game retail itself. Ever since the two companies became one, there is little to no competition when comes to your choice in game retailers. Yes, I know Wal-Mart is the #1 retailer of videogames in the U.S., but can you trade your games in there? Does Wal-Mart, Target or Best-Buy carry games that are more than 2 years old? What about games that have a limited print run, or eccentric Japanese titles that don't have the words Final Fantasy in their title? We are pretty dependent on the Gamespot/EB corporation for the majority of releases for our hobby. Because of that fact, they feel that we have to play their 'game', so to speak. I am sick of being harassed for trades or guilted into pre-ordering every time I shop these stores. Why can't I just walk into a game store on day 1, and lay down my hard earned $59.99 for the latest release, like I do every Tuesday with CDs and DVDs? Forget that I am parting with my $60 bucks for just one game (that is a subject for another day). Even 'Big-Box' retailers (i.e.; Wal-Mart, Best Buy, Circuit City) are getting in on the pre-order game

To put it simply, the videogame retail market is severely broken!

These retailers have such a hard-on to get you to pre-order, because whatever they don't sell, they can't return to the publisher. They get stuck with it and continue to take the preverbal 'bath' as the price drops. Now, if this doesn't sound familiar to you, that's because this practice is almost exclusive to the game industry. Choose any piece of merchandise at your local department, or electronics store. That merchandise has a distributor and a manufacturer. If a retailer orders too much or doesn't sell what they have on hand, most times they can return it for a credit/refund, or the distributor/manufacturer will give them a credit/refund on the difference as the price of merchandise drops. This even applies to CDs and DVDs. Why doesn't this apply to games? Maybe, you should go ask Nintendo. In the 1980s, they almost single handedly created our entire retail market as it applies to videogames, right down to the profit margin that retailers get (which is next to nothing, that's why used is pushed so hard) and what third parties are paid.

So, I beg the question: Why are these practices still being followed today?

No one dares to stand up to the status quo! Things need to change people. Yes, I know this is a free market society, but we as consumers also have the right to speak up and articulate with our dollar. We do have a choice in who we buy from (I am not talking about the price gougers on EBay, they are part of the problem too), and most importantly when we buy.

Plainly, the video game industry needs distributors. Why can't we get our games on time like other entertainment industries? Why do publishers feel the need to package and send their own shipments?

Retail for games needs to change too. Gamestop/EB wouldn't feel so pressured to hound us poor consumers for pre-orders if they were able to treat their product like other industries do. Fix this and maybe, just maybe we wouldn't have to stand in line or feel the pressure to sprint to out local store just to beat the crowd. Their might be *GASP* plenty of product for everyone.

Look, it's no secret why you local mom and pop game store doesn't exist anymore. Corporate chains have taken over in more than just our industry. But, now that there is a lack of competition in video game boutiques, things have gotten worse. But it doesn't have to be this way.

Steps to take:

I want you to walk over to your window, stick your head out and scream, "Dammit, I am mad as hell and I'm not going to take it anymore". It's time to take a stand! We shouldn't have to be strong-armed just to get the product that we want to pursue our hobby.

Speak with your dollar! You make the call, you control what you buy and from where. What you decide does make a difference. Don't give in to these bullies!

Believe it or not, we do have a lobby in this industry, the Entertainment Software Association. Most, if not all game publishers belong to the ESA. It's the closet thing to unification that we have. Let you voice be heard. Contact the ESA today!

http://www.theesa.com/contact/index.php

My state of the industry address

I still get giddy over videogames. Don’t get me wrong, I can be just as jaded as the next guy with a ‘been there, done that’ attitude. But this industry still keeps me engaged. I am 28 years old and have seen most everything come and go since the Atari 2600. Though this cycle of new consoles is going to be different than anything we’ve seen before.

Now, I am not going to **** about the current price of games. I understand the commitment and financial burden it takes to deliver a quality piece of entertainment that we have become accustom to.  However, I will spend some time venting about the price of the platforms we experience this entertainment on.  Sorry Sony, but you are going to bear the brunt of my frustration to help deliver my point.

A decade ago this same company with little to no presence in the videogame entertainment industry, expected consumers (most notable early adopters) to shell out $300 for a PS1. Now, over 10 years later, this same company that has captivated an industry much the same way Nintendo did in the late 80’s, expects it’s loyal customer base which has purchased over a 100 million units, to pay double the price of it’s original console for it’s new iteration.

It can be argued that you are getting double the entertainment capabilities that the original PS1 offered. I am not falling for that angle though. The original PS1 had CD music playback, not a standard console feature of the day, and now I am expected to pay double just to experience a non-standard format that may never take off? Game console prices have increased and I can both understand and live with that.

But, please look at Sony’s peers in this market. Do you think Microsoft or Nintendo would ever try to charge $600 for a game console? I don’t think so. Sony is betting that its spot at No. 1 will guarantee that not just the hardcore early adopters, but general consumers will bend over just to get their hands on their new gaming console. Would Sony try this price point if it still had little to no market presence? I don’t think so. This takes some balls people.

It’s funny how Nintendo is approaching this new generation. The once ‘King of Videogames’ has loss some footing in the last few years. Going from first place to last place, and has now become the ‘Cool kid in school’ again. I mean, can you even find a DS Lite right now? Appealing to the mainstream consumer first is a great approach and has worked for many companies in other industries (Wal-mart anyone?).  But, showcasing simplicity while concealing complexity is an odd move. Can you really see everyone flailing their hands and body around just to play a game? What if I just want to come home after a long day at work, sit my ass on the couch, be lazy and play? I can’t see myself standing up and acting like a jack ass on every game. Will developers even feel compelled or pressured to support controller movement in every game? What about multi-platform games? Is my Splinter Cell experience going to be different on the Wii? Is Nintendo’s new console destined to be a consumer’s second choice because it’s so different it will never be the main focus of your videogame entertainment?

Being a cyclical year, or even generation (if the last generation set a president), how will Microsoft shake things up? The big M has learned some tough lessons with the original X-Box. Let’s face it. Only a company with Microsoft’s capital, influence, and sheer balls could take on Sony success, lose a billion dollars and expected to continue on towards a profit in round two. But are they playing it a little too safe this time around? I think so. After ditching a slew of 1st party games and developers last year, Microsoft Games Studios seems to be focused only on the big guns like Gears of War and Halo3. Where as in the past they would have published everything from smaller games like Fusion Frenzy and Blinx, to guaranteed blockbusters like Halo 2.  I believe they understand that though game prices have changed little, customer are now more fickle about what they spend their hand earned entertainment dollar on. This in addition to higher development costs has made Microsoft more focused on publishing what it feels are guaranteed hits. But what are they doing to set themselves apart? What is Microsoft doing to appeal to consumers as the gaming platform of choice? In a couple of words, X-Box Live. There is no way that Microsoft’s competitors can do anything better than copy the online infrastructure that was laid down almost 5 years ago. X-Box Live is the single best reason to get an X-Box 360 as your main gaming platform. Live Arcade and Achievement points kept the system afloat during the drought of games after launch.

Now, I am not saying that Microsoft will win the console war this generation. I don’t believe in a console war. I am a game platform agnostic. There will however be a market leader and eventual profit victor. Will Microsoft pull ahead? I guess we will find out over the course of the next 5 years or so. That is what makes this industry so much fun! We get to reap the benefits of competition vying for our time and money. The one who really win are us.

The Digital Distribution of Content

The Digital Distribution of Content, or: How we cut out the middle man and learned to love it.

Dragging our lazy butts to the store on release day to pick up your latest wanton desire. Waiting in line, with other sweaty nerds, digging through your wallet trying to find your pre-order slip from 4 months ago. You get to the counter, produce your crumpled up slip, only to be informed by the snide game clerk that your latest adventure has been delayed. Usually due to manufacturing delays, shipping errors, or some other disappointing reason.

Now imagine waking up on release day, turning on your console or PC and downloading the latest release straight to your machine. No more lines, pre-sale slips, Holier than thou clerks with their nose in the air. You wouldn’t even have to get out of your Yugioh pajamas.

It’s a thought that’s not too far fetched, and it will be here sooner than you think. On the PC, downloading the latest digital chapter in an ongoing saga, or taking on the newest MMO expansion is an everyday occurrence.  The Xbox 360 already offers you the ability to download demos, in game items, trailers, and Xbox Live Arcade games. The Nintendo Revolution will have similar capabilities allowing access to its vast library of titles, and Sony recent announced its network allowing PS1 games direct from your PS3 enabled hard drive.

Selling games direct to the consumer is just what game companies are willing to do to cut down on production costs (no box, no instruction manual, no disc), and shipping costs. More importantly it cuts out the middle man. Several middle men really. No more production facilities to press the discs and print the manuals. No more major shipping companies to deal with. But the major middle man that gets the proverbial boot is the retailer.

While it’s true that game retailers don’t make a bundle off of new software sales, virtual product removes to ability to later re-sell said product as used.  Not only does the retailer lose out profit on the sale of the new, but on the vital used sale that fuels the game retail industry. As much as game publishers rely on retailers like GameStop, EB, and Game Crazy, to promote new games and create excitement for their product, they lose crazy money on the used.  If you were to buy a used PS2, a used memory card, and nothing but used games, game publishers would not see one red cent from your purchase. Every year the margin at which publishers make a profits declines. No wonder there are rumors about that the PS3 won’t play rented, used, or borrowed games.

So, how does this affect you as the consumer? In addition to easier access to new content having to leave the comforts of home, it would provide more convenience. Having access to your game collection from your hard drive, you would never have to worry about scratching your discs again. Forget about losing games around the house, they would all be available at the touch of a button. The possibility of lower game prices could be alluring to someone who doesn’t care about packaging but just wants to play their game now.

What about a return on your investment though?  With your physical games you could always trade them in, albeit at a loss. Yet they still retained some value. Most of us have made an un-wise decision on some crap game, only to quickly turn it around into trade-credit or even cash. What about the collectors out there? Those who savor their massive bookshelves filled with gaming memories, archiving their past journeys.

Some long for the perfect box and instruction manual, which from time to time will actually increase the collector price of a select title. Maybe these people are in the minority?

If getting your latest gaming fix direct becomes the norm, it could change our industry on more than one front. Security would be increased and thwarting game pirates might become easier. Major company’s business models would change. Smaller developers and publishers that have relied on other larger competitors to get their product released (i.e., Ubisoft for Capcom, EA for Square) could globally distribute it themselves. The lack of huge distribution expenses would allow developers to take more creative risks. As a gamer and a consumer, we would all benefit.

New technology and consumers buying trends tend to make lasting changes on our industry. Remember that arcades were once in abundance. Where are they now? With broadband becoming cheaper and more available, computers and consoles becoming more powerful, and storage space getting bigger, things are going to change. Who would have thought over 5 million of us would pay over $15 a month ($180 a year!!!) just to play one game?

It’s not going to happen over night, but its well on its way. And not everyone is going to adopt this way of life right away. But getting the latest copy of WOW or Half-Life while sitting on my couch in my underwear, where do I sign up?

The Twilight Zone is # 1 for a reason.

Great story telling and TV go hand in hand. Tv show do what a movie can not. A 2 hour movie can't convey a story arc like a great tv series can. Yet, an anthology show like The Twilight Zone could do it in just 25 minutes. Every current day (and Past) sci-fi/genre show owes a debt to Rod Serling. This show defined GREAT TV.