Over here in the UK I do think games are over-priced. I'm sure if you were paying up to £45 for Xbox 360 games in the US it would be considered way too expensive.
Do you think video games are over priced?
This is a carbon copy of another thread where I tried to make people see sense but fuck it, if they cannot understand that they are actually paying less percentage-wise for games than they are standard DVDs, that's there own fucking problem.
Game prices are absolutely fine at $60 from a consumer level, and from a business level they could stand to go up a few dollars, making your money back on a $60 retail is becoming harder and harder given the icnreased costs and the fact you only see $22 - 32 of that $60 (rest is used up in production, or paid to Sony/MS/Nintendo or used to pay for the distribution. Of each $60 disc, Sony/MS/Nintendo take $8, and distributor and store at least $3 each), and that's only if the game sells for full price, often it doesn't and you have to slash the price and re-sell unsold stock that has been returned to manufacturer by stores.
Hmm well they are more expensive here in the UK but I still think I get what I pay for. Will I get £55 worth of entertainment out of MW2? Yeah. Cloverfield on Blu-ray cost me £15 and I've got 2-3 hours of entertainment out of it, so in terms of hours, games are better. I also don't mind supporting the industry. So no, I dont think they are too expensive.
No. US it's $60 for a new PS3 game.
Here in Japan it's $80-100 depending on the game. MGS4 was $95 for the normal edition.
So no, I don't think games are over priced in the States but rather under priced and should be up to the same price as the rest of the world.
Edit: So, apparently you can get 50/50 with 7 votes....
"@The_A_Drain: Ohh man sorry dude. I did a search to see if another thread like this was already on and the search came up empty. I thought to myself that it was odd no one has started a thread about this issue. "
Nah no, it's not your fault, that particular thread (and the ones that popped up around it) are pretty old now, I was just giving a reason as to why I'm not prepared to go into huge detail again and discuss it like I had before, because maybe one or two people will listen, the rest won't care, or will response with one sentence smarmy answers. So there's little point telling them that if a company even thought about lowering it's $60 retail for a standard game these days, they would probably break under the financial stress after a couple of games unless they sold millions of copies. Even at $60 and on a relatively light budget you need to sell in the region of 300,000 copies to break into profit, and on the PS3 that is much higher due to increased development costs.
That and costs are getting higher and higher, even higher than people were complaining about at the start of this generation, yet retail prices are staying the same, it's not sustainable, prices are going to have to go up again eventually (after all, they were $70 back in the NES days, I predict they will reach that point again by around 2011, 2012, whether consumers like it or not, tough shit that's the price you pay for such expensive technology these days)
And to all the UK people out there, be happy you can find games for £34.99 to £44.99. Retail is actually £49.99, but stores have to take a hit because no fucker will pay that price. It too will be rising shortly, ActiVision are testing the waters wit Modern Warfare 2 (although you can already find pre-order prices for £44.99) with a retail of £54.99.
Prices are gonna go up folks, and soon, so make the most of $60 price point while you still can.
"Sure sony/microsoft/nintendo dont make a profit on thier consoles but disks are so cheap to make. I reckon games should cost £30"
At £30 per disc, I can tell you for a fact (yes, a fact) that a company would actually lose money on each disc produced, let alone recouping the cost to make the game. Some budget games can achieve this price point with clever distribution, and it's a lot easier if you have an exclusivity deal with a single console manufacturer, but for most developers/publishers that price point is absolutely beyond out of the question.
I'm buying less console games and more handheld games.
Overall, I am spending much, much less on console games. Either waiting it out for a price drop or used copy.
This usually means that Gamestop and other stores are making the money, not the publisher.
Do I care if the publisher makes less to no money on the copies that I buy?
HELL NO.
On that note, it has been years since I purchased an actual DVD on film. I think the whole argument of "DVD films are more expensive so game prices are fine" is SILLY.
Hell, why don't we throw in the music biz, the print magazine biz, books and other media into the mix as well?
We don't do that for a reason. It's absolutely irrelevant!
EDIT: The whole international price argument is silly as well. Japan and UK (at the very least) living costs are higher than the US from my knowledge. Almost everything costs more.
I think, the $60 price point is okay, but I think there is a reason why the PS2 and the Wii, are still selling quite well. The (good) games are the same quality, they are just cheaper.
That $10 hike is hurting NEW game sales on the PS3 and 360, while consumers are buying USED game more and more.
"@The_A_Drain: I hate so much about the things you choose to be......"
What? Logical? :P
Seriously, when you break down the percentages, only the most low budget crap can attain a price point of £30, even then they are clawing back only something like £8 per disc with the rest going to other channels and costs. That's why so many Wii games are selling for that price point. This isn't a slight on the Wii, but the much lower development costs allow companies to take that hit and not worry so much about it. Any game that costs more than 2 or 3 million to produce, there's no way it can sell for more than standard price. The larger budget games, like your blockbusting november titles, can barely get by with the current retail price.
Edit:
@Animateria:
No the DVD comparison is not silly at all, they are both products that have similar outgoings and costs, as well as similar target audiences as well as being depentant on consumer reception to sell. The only major difference is that they don't have to come with a manual, and you don't have to pay Sony/MS/Nintendo $8 per disc. They can also afford to drop the price because they are turning profit per disc in most cases, having made most if not all of their budget at the box offices.
The percentages however remain the same for the cost breakdown, hence it's a comparable product. And you really should care that the developer sees no money from your purchases, because it's doing them legitimate damage whether you want to see it or not. I'm not about to sit here and condemn the used games market, but I am going to point out that games manufacturers have a HUGE budget to recoup, and it's just not possible on a lower retail price.
I will also point out the irony in the fact that the people buying used games because they are 'cheaper' are actually the ones driving up the price of new retail games.
$60 for a game? No, I don't think that is overpriced, as long as I can get my money's worth out of it.
Do I think they are overpriced? No. They have been in the same price range in the USA for over 10 years and have only gone up $10 with this current gen of consoles being the 360 and PS3. Games are regularly priced at $60, where as "greatest hits" tend to be around the $20/$30 range. Genesis games were $50 bucks new and would eventually drop to 20 if not less and the same still happens. Kids now a days also have the ability of renting online for a monthly fee compared to a weekend or 3 days for $5, where you most likely wouldn't get a complete playthrough unless it was short to average length of a title.
Crappy games are annoying but fortunately there is the internet as well now and buying a game on release for something unknown like a new IP or something that you didnt demo may result in a poor decision, wait a few days read reviews and then bite the bullet. Find a game which you can replay if you aren't employed and need it to last a while.
I think $60 bucks is a fair price for the current gen games. I've bought a few games that I was glad I didn't pay the full price for, I'm a cheap bastard when it comes to most of my games >.>. It all depends on the person really, I think paying full price for an 8 hour game is ridiculous, unless it was a absolute blast for all 8 hours, but that's only because I play a lot of RPGs that last at least 40 hours.
Here's my take on the matter. $60 is only a $10 increase from what games use to be. However, I almost never pay full price for a game these days and I refuse to buy used games. The thing is... these days, games are dropping in price faster than ever. You wait six months and nearly every game is knocked down by $20-30. That's awesome. I can't say that applies to every console. I know that certainly isn't the case with Wii games, but Nintendo has always been one to keep the price of their games high as long as possible. 360 and PS3 owners certainly get to save some money with just a little bit of patience. The games that are overpriced these days are the limited edition ones. Most of that stuff is kind of a waste of money anyway, so if you're going to buy any special edition version of a game, just be aware that you're almost always paying more than you should. I also think DS games are overpriced, but with a little searching, you can find a lot of them on sale.
"@Animateria:No the DVD comparison is not silly at all, they are both products that have similar outgoings and costs, as well as similar target audiences as well as being depentant on consumer reception to sell. The only major difference is that they don't have to come with a manual, and you don't have to pay Sony/MS/Nintendo $8 per disc. They can also afford to drop the price because they are turning profit per disc in most cases, having made most if not all of their budget at the box offices.The percentages however remain the same for the cost breakdown, hence it's a comparable product. And you really should care that the developer sees no money from your purchases, because it's doing them legitimate damage whether you want to see it or not. I'm not about to sit here and condemn the used games market, but I am going to point out that games manufacturers have a HUGE budget to recoup, and it's just not possible on a lower retail price. "
It's business as usual. They need to make money, I need to save money. I don't do what I do for some illogical reason to spite publishers (not that you said that or anything, just saying).
I'm buying more used games because I'd like to buy more games, and that $10 is quite a hit on my budget, believe it or not.
At the $50-40 price point, I would buy 2-3 new games in two months. Now I'm buying strictly 1 new game in two months, the rest is handheld/used/Steam-sale games.
This essentially means that 1 publisher in two months isn't making money anymore. 2 publishers (or one twice) enjoyed a split of $50 each in the past, but now it's $60 or nil.
Of course this is only me as an example, but I'm sure others are spending less on new games at the very least.
(Of course handheld publishers are making more money now)
I don't buy DVDs, as I find it a waste of money, why buy when you can rent/Netfix? It's too short to warrant a purchase in my books.
Let's say going to the movies cost you, I don't know, $20. That move is 2 and a half hours long. During that time, you spent $20 to be entertained for 2 and a half hours. Let's say you buy a video game for $60, and it promises 20 hours of entertainment. By purchasing that video game, you will have multiplied the time you are entertained by 8 times for only 3 times as much money, and you can experience those 20 hours again and again. So yeah, I'd say it's a pretty good deal.
I think that made sense.
Were any of you alive for the year 1990? That year, Super Mario Bros. 3 came out and cost 90 U.S. dollars before taxes. 90 dollars 20 years ago is way more than 60 dollars is today. You also have to consider that the base unit of the cost of labour (AKA minimum wage, AKA the basis for all economic costs) has increased. We are paying far less for something that cost far more to make.
And to the people trying to argue that since a disc is cheap to burn, the game should be cheap to sell. Well, if that were the case, all they'd sell us is blank discs, but guess what? THE COST OF PRODUCING A GAME IS A COST THE DEVELOPERS AND PUBLISHERS NEED TO RECOUP AS WELL.
I have to say that when one considers the rate of inflation, as well as the exponential increase in the cost of producing games over the last 2 decades, 60 bucks is pretty darn cheap.
Put it this way, it costs you about 8 and a quarter hours of unskilled labour to be able to afford one game. Now multiply that labour input by the sales of whichever title. Let's take something that did marginally well, let's say... Dead Space. It sold 337 000 copies. So, 337 000 multiplied by 8 and a quarter hours of unskilled labour equals... 2 780 250 hours of unskilled labour. Obviously it took far less than 2.8 million man hours to produce and market Dead Space, but skilled labour costs far more than unskilled labour. You have to consider that the sales of Dead Space have to be commensurate with the cost of input on the production and marketing of Dead Space. (And when I mean 'marketing', I mean bringing the good to market, so that includes shipping as well as advertising. Video game production is a cost-intensive process, the fact that they only charge you the equivalent of 8.27 hours of unskilled labour for their product is a pretty good deal, when you consider the fact it takes far more hours of skilled labour to bring the good to life, and to bring the good to market.
Obviously, in most cases, the amount of hours of labour the game companies receive is greater than they input. This isn't evil, this is profit. We're all trying to obtain more value for our effort than we put in.
Somebody tell me what the minimum wage in Britain is. I'll help you figure out whether or not the cost of the game is actually higher in the U.S. or the U.K., and if so, by how much.
" Let's say going to the movies cost you, I don't know, $20. That move is 2 and a half hours long. During that time, you spent $20 to be entertained for 2 and a half hours. Let's say you buy a video game for $60, and it promises 20 hours of entertainment. By purchasing that video game, you will have multiplied the time you are entertained by 8 times for only 3 times as much money, and you can experience those 20 hours again and again. So yeah, I'd say it's a pretty good deal.I think that made sense. "
Well, I already think people who buy DVDs are suckers.
Why buy something you might watch maybe twice?
Like a short game I'd say "Rent it you idiot!?".
Hell, I rarely go to the theater for the same reason.
Considering most people hardly come out even when it comes to video games, they're not really over priced.
Read TheGreatGuero's comment above, games are dropping in price faster than ever. If you want it right on day one, you are gonna have to pay $60, or get it second hand, and when so many people want it day one, but don't want to pay the asking price, people wonder why publishers complain.
I'm not going to argue with the reason you buy second hand, money is tight these days everybody knows it, but as a consumer you should shop smart, not grab the second hand deal the first time you see it because it's $5 or so cheaper. Scale back your buying habits and buy 6 months behind what's new, you get stuff so much cheaper, and don't (and shouldn't) feel bad for getting a second hand version because a new games average profitable shelf life is around 6 months. After that publishers need to get shot of the boxes to make physical space for prints of other games. I do it and it saves me a ton of money, I get the same enjoyment out of games I normally would and on average I save enough money each year to buy a large chunk of the november releases day one. The last 2 years i've had 4 out of 5 november releases on release day with the money I save by buying everything else 6 months behind (but I buy a lot of games, so scale this back appropriately)
But in the long run, buying the new game slightly cheaper second hand (not just you, i'm talking when millions of people do it) all you do is strengthen companies like GameStop etc (again, talking generally here, doesnt matter where you personally shop) and make publishers think about raising the asking price. Given that as the price of pressing discs went through the floor, game retail prices went down with it, from as high as $90 for carts, to as low as $50 for GC and Wii games. Now it's starting to go back up again as skyrocketing budgets take over as the major concern. Given that the statistical average profitable shelf life is about 6 months, and that those budgets are debt as they've been spent developing the game, as a company, once you are done developing a game you are at your weakest. You essentially have 6 months to make back that budget plus a little to make the whole thing worthwhile. So it's no wonder they are panicking when people buy second hand games, and whether it's a knee jerk response, or a legitimate response to the market and economy, prices are gonna climb.
You want cheaper games? Then you have to be willing to live with lower quality graphics, cheaper production values, etc etc. As you've found yourself buying handheld games etc, you've experienced this first hand. Handheld games are cheaper to produce, even with the carts, because the budgets are nowhere near as high. But for high budget home console games, $60 is a pretty good price, and i'm pretty sure it's going to go up.
Edit: I'm not knocking handheld games here at all, they are great :D Just pointing out the reason they are cheaper (and when you compare the level of tech in a handheld game, for say $25, to a $60 home console game, the handheld game actually looks kinda overpriced, the only thing saving it from being called as such is the production costs of carts)
You're lucky... where i live there are games (like The Darkness) that are still at full price.
What about quality? People pay $9-15 dollars just to watch one single movie in a theatre for 2 hours compared to enjoying a videogame for decades. I think the prices are fine because I REALLY take my sweet time doing my research on a game's quality, overall enjoyment and importantly (for this thread), it's overall length. RPG's are a budget buyer's best friend!
Fuck it, I decided to figure it out for myself
UK: £45 / £5.73 = 7.85 unskilled hours of labour per game
US: $60 / $7.25 = 8.27 unskilled hours of labour per game
ON: $70 / $9.50 = 7.37 unskilled hours of labour per game
JP: ¥7140 / ¥589 = 12.24 unskilled hours of labour per game
So actually, the British have it better than everyone (except us Ontarians). In terms of the true cost of games.
"@natetodamax said:" Let's say going to the movies cost you, I don't know, $20. That move is 2 and a half hours long. During that time, you spent $20 to be entertained for 2 and a half hours. Let's say you buy a video game for $60, and it promises 20 hours of entertainment. By purchasing that video game, you will have multiplied the time you are entertained by 8 times for only 3 times as much money, and you can experience those 20 hours again and again. So yeah, I'd say it's a pretty good deal.I think that made sense. "Well, I already think people who buy DVDs are suckers.Why buy something you might watch maybe twice?Like a short game I'd say "Rent it you idiot!?".Hell, I rarely go to the theater for the same reason."
It's a bit much to call people an idiot just because of the way you would act.
You might watch a movie twice, I might watch it 100 times. You just don't know, so a products value for money can only be set on a personal level.
Same goes for short games, you call me an idiot and tell me to rent it, I tell you to go fuck yourself. I might play that short game through once on each difficulty, and then once again in a years time when i'm bored.
That and if you pick up DVDs when they are not brand new, it's cheaper than even renting it, or at least a comparable price. The same cannot be said of games. You think people who buy DVDs are suckers, well, I have something like 150 DVDs and I think they represent decent value for me though they might not for someone else.
Edit: The same applies in reverse, someone might enjoy a short game due to it's long lasting multiplayer. I will never ever touch that multiplayer so it is wasted on me. I actually support the idea of selling multiplayer and single player versions of a game seperately, it would allow publishers to make more sales at a lower price point, and for people to customise there sale (EG buy the multiplayer portion only, etc) but consumers are too short sighted to see how this would benefit them.
It's a completely qualitative thing. I paid full price for Call of Duty 4 and even with its short campaign, I felt like I got my money's worth and then the fantastic multiplayer was a bonus. Compare that to the typical garbage out there and I get left feeling incredibly ripped off. With a game like Prototype, I can see where all the work has gone in but effort does not always translate into an enjoyable experience.
There's also the sales tax that makes actual prices around, $65. (In California anyways, I think there are states that don't require a sales tax as well)
Yes I think 90$ is too much for a single game.
Thats how it is where I live. I dream of a day when I can buy a game for 60$.
"@animateria: Yeah, I'm not going to listen to any British person whine about the cost of games in their region ever again."
I love how you listed the retail as 45, when it's in fact 50 bringing it in about even with the US ratio. That and when you convert it all back to USD (the currency the people making the money actually care about) they make a higher percentage of profit from us. That and our tax just went down, but retail prices did not, so they are now seeing slightly more as well.
" @animateria said:"@natetodamax said:It's a bit much to call people an idiot just because of the way you would act.You might watch a movie twice, I might watch it 100 times. You just don't know, so a products value for money can only be set on a personal level.Same goes for short games, you call me an idiot and tell me to rent it, I tell you to go fuck yourself. I might play that short game through once on each difficulty, and then once again in a years time when i'm bored. That and if you pick up DVDs when they are not brand new, it's cheaper than even renting it, or at least a comparable price. The same cannot be said of games. You think people who buy DVDs are suckers, well, I have something like 150 DVDs and I think they represent decent value for me though they might not for someone else. "" Let's say going to the movies cost you, I don't know, $20. That move is 2 and a half hours long. During that time, you spent $20 to be entertained for 2 and a half hours. Let's say you buy a video game for $60, and it promises 20 hours of entertainment. By purchasing that video game, you will have multiplied the time you are entertained by 8 times for only 3 times as much money, and you can experience those 20 hours again and again. So yeah, I'd say it's a pretty good deal.I think that made sense. "Well, I already think people who buy DVDs are suckers.Why buy something you might watch maybe twice?Like a short game I'd say "Rent it you idiot!?".Hell, I rarely go to the theater for the same reason."
Ah, don't take it personally. I wasn't particularly serious about that comment.
Either way, I think its a mistake to assume DVD and Videogame purchasers are in the same bracket. Both mediums can have people who buy both, but as you and I disagree of each of their values, there's a lot of people who probably only buy DVD's or Video games.
I can see how someone who thinks a DVD has a good value would see Videogame prices as cheap I suppose.
"@The_A_Drain said:" @animateria said:Ah, don't take it personally. I wasn't particularly serious about that comment. Either way, I think its a mistake to assume DVD and Videogame purchasers are in the same bracket. Both mediums can have people who buy both, but as you and I disagree of each of their values, there's a lot of people who probably only buy DVD's or Video games. I can see how someone who thinks a DVD has a good value would see Videogame prices as cheap I suppose.""@natetodamax said:It's a bit much to call people an idiot just because of the way you would act.You might watch a movie twice, I might watch it 100 times. You just don't know, so a products value for money can only be set on a personal level.Same goes for short games, you call me an idiot and tell me to rent it, I tell you to go fuck yourself. I might play that short game through once on each difficulty, and then once again in a years time when i'm bored. That and if you pick up DVDs when they are not brand new, it's cheaper than even renting it, or at least a comparable price. The same cannot be said of games. You think people who buy DVDs are suckers, well, I have something like 150 DVDs and I think they represent decent value for me though they might not for someone else. "" Let's say going to the movies cost you, I don't know, $20. That move is 2 and a half hours long. During that time, you spent $20 to be entertained for 2 and a half hours. Let's say you buy a video game for $60, and it promises 20 hours of entertainment. By purchasing that video game, you will have multiplied the time you are entertained by 8 times for only 3 times as much money, and you can experience those 20 hours again and again. So yeah, I'd say it's a pretty good deal.I think that made sense. "Well, I already think people who buy DVDs are suckers.Why buy something you might watch maybe twice?Like a short game I'd say "Rent it you idiot!?".Hell, I rarely go to the theater for the same reason."
You misunderstand me, i'm not comparing the people who buy DVDs and games, i'm comparing where the money goes for each product and the percentages are roughly equal (aside from the extra $8 on videogames that goes to console manufacturers) so any complaints about how much a disc costs to press for example, are totally moot as that isn't what is driving the cost up. It's the cost of actually getting the game out and distributing it that drives the cost per disc up.
I also hoped to rebuff any claims that movies have high budgets but can afford to sell DVDs cheaply, they can afford to do so because they keep the profit percentages the same, the money it cost to make the film has already been (at least partially) recouped from box office takings, so they can afford to operate purely on a profit per disc basis, and keep the costs low. Whereas a videogame doesnt have the luxury of a box office opening, so while the percentages of profit to cost are the same (all DVDs and games make a roughly 50% return on each disc, sells for $60, they see $30 give or take a few, dvds do the same, but at the lower price point) they still have to make back that initial investment, and within the 6 month timeframe that a game will sell for statistically.
Edit:
It's also why I take a stance some would view as hypocritical on piracy. Film piracy I do not condone, but do not care about, game piracy I do care about. Why? Again, the simple matter of box office takings.
The film makes back most of it's money at the box office (ok, not always, but a lot of them) so any DVD sales are pure profit and exist solely to make money.
Whereas the games are trying to recoup the initial investment as well. If movies didn't have a box office release, I guarantee you they would be a much much higher price point as they would be several million dollars behind breaking even before it even goes on sale, instead they can count themselves a nice $6 or so for each sale, games have to sell 300,000+ copies before they can sit back and relax.
And at that rate, it's cheaper.
Also, nobody pays more for video games than the Japanese (and the Australians, but that is partially to do with the geographic isolation of the country. They have to work far harder for a commensurate standard of living because the cost of shipping goods to them generally appears to be so much higher.)
If you have a look at Acitivision-Blizzard's year over year net revenues you'll see they are nearly consistently increasing. They are selling more and more games so their net revenues are keeping up with their percentage basis costs and in some cases actually decreasing them.
I GET capitalism, yeah the company wants to make money, I know but I don't think anyone could legitimately argue that game prices are low or not high enough. From a consumers point of view we should be dealing with perfect compeitition so until we do get perfect competition prices on products will always be too high. That's the gist of it I guess.
Numbers can do all sorts of funny things depending on how you work them out ;) Keep that in mind though. It's just as easy to work it out another way and definitively claim the UK is paying more. There's no 'right' answer because so many variables are wildly different in the different territories, but there is some merit to the complaints, not huge amounts, but some.
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