So i read an article on Cnet.com where they spoke to a former Sony Europe president by the name of Chris Deerling.
And he told them that if the current development cycle and cost is maintained a price point of 70 British pounds or 100 US dollars price tag would be inevitable.
So initially i thought wow 100 dollars for a game thats fucking expensive, but then i realized thats what people here in Denmark have been doing for years now cause our VAT is amongst the highest in Europe (Sucks so much balls). If you go buy them in a physical store that is. You can get the a little cheaper online here.
So i was wondering, if this became a reality that people in the US or England would have to pay 100 Dollars or 70 Pounds for your games, would it change anything? would you think twice about what titles you go pick up? or would you just continue buying games as you do now?
Would you pay $100+ for a blockbuster game?
100 bucks for one game, regular version? Count me out. I'll pay a 100 bucks for a collectable version but that also depends on what that version offers. If they make new games cost a 100 buck here in the US you'll see an almost over night drop in new games sales. Stores like Gamestop and Game Crazy will have a ball with the used games while stores like Best Buy and Walmart and other retailers that don't sell used games will suffer greatly.
" $120 is the price for new PS3 and 360 games in my country, which is $100 US anyway. And no, I won't pay more than $80 in our local currency, so I wait for a decent price reduction. "smart man, i would never go buy a game in a local shop here where i live. It´s just too damn expensive. But i bet a lot of parents do, people who are not aware of how the game market works.
The few times i have visited a EB Games or a Gamestop, when a kid enters the shop with their unaware parents, and they beg the parents to pick up a game, it almost kills me a little inside, that these people are buying a game for so much money, when they could be picking up the same game for a lot less if they did it online, or just went to the right place.
if the game prices went up all it would do is kill the casual market and as nintendo has discovered there is a lot more money in the casual market than the core market. Branching out has always been the downfall of video games and making the price 100$ would just completely kill the business. think about it only high end studios with the best games would survive but the total revenue, with such a small market, would make it impossible for the studio to put so much money into the products it produces. Nintendo even with all its backwords thinking still has the best finacial idea. Macking the core system dirt cheap and annoucing it as a true secessor was the best thing it could of ever done. and advertising it to everyone but the gamers that would even pick it up was briliant. In other words game studios are fucking themselffs over if they decide to make game prices hit 100$.
" @oldschool said:I import as well. DS is good for that and I have an NTSC Wii. It gives me options." $120 is the price for new PS3 and 360 games in my country, which is $100 US anyway. And no, I won't pay more than $80 in our local currency, so I wait for a decent price reduction. "smart man, i would never go buy a game in a local shop here where i live. It´s just too damn expensive. But i bet a lot of parents do, people who are not aware of how the game market works. The few times i have visited a EB Games or a Gamestop, when a kid enters the shop with their unaware parents, and they beg the parents to pick up a game, it almost kills me a little inside, that these people are buying a game for so much money, when they could be picking up the same game for a lot less if they did it online, or just went to the right place. "
I don't understand anyone who pays full price for a game - no matter what. A good game is still a good game in 3, 6, or 12 months time.
Yeah i import games my self too but for the PS3. Most of the games i buy for that console are imported, cause i can save a lot of money doing that.
People have to realise that if they want more and more out of graphics, AI, game length, etc etc, development costs are going to get bigger and bigger, and they have been for many years, to the point most games don't even profit, the only games pulling any serious profit are the small ones that cost little to produce (DS games, indie games, XBLA games, Wii games) or the big blockbuster titles like Guitar Hero, or Call of Duty.
A price rise has been inevitable for a while now, I keep calling it and people keep calling me a 'fucking moron' and god knows what else, but unless consumers are willing to put up with lower graphical quality, and less advancements in AI and other technology, then prices are going to rise whether they like it or not.
I'll continue exactly the same as I am now, buying only the games I really can't live without brand new day one, and waiting for reductions on the rest. It's gonna happen people, get used to it.
" @oldschool: Yeah i import games my self too but for the PS3. Most of the games i buy for that console are imported, cause i can save a lot of money doing that. "The PS3 is the only console I don't have - too expensive at $700. However, its biggest selling point IS the lack of region coding. I look forward to a realistic price.
" People have to realise that if they want more and more out of graphics, AI, game length, etc etc, development costs are going to get bigger and bigger, and they have been for many years, to the point most games don't even profit, the only games pulling any serious profit are the small ones that cost little to produce (DS games, indie games, XBLA games, Wii games) or the big blockbuster titles like Guitar Hero, or Call of Duty. A price rise has been inevitable for a while now, I keep calling it and people keep calling me a 'fucking moron' and god knows what else, but unless consumers are willing to put up with lower graphical quality, and less advancements in AI and other technology, then prices are going to rise whether they like it or not. I'll continue exactly the same as I am now, buying only the games I really can't live without brand new day one, and waiting for reductions on the rest. It's gonna happen people, get used to it. "A new game in 1992 is the same price that it is today (in my country at least). Realistically, games are actually cheap,
You are right in a theoretical sense, but consumers don't like over $100 dollar pricing. Perhaps developers should accept a plateau and keep game costs under control. The Wii has proved that graphics are not everything.
I'd pay $100 if it actually meant better game quality. If they could make a JRPG as good as Chrono Trigger but with the graphics of Crysis, a Mario game as good as World or 3, an action game as good as Contra Hard Corps, a FPS as good as Doom 1...
The problem is most game developers are incompetent, and if they'd be selling a game for $100, it'd probably be something like Madden or World of Warcraft, or The Sims which they know idiots will buy no matter what.
Perhaps developers should accept a plateau and keep game costs under control. The Wii has proved that graphics are not everything. "And that is also why software for the Wii here in Denmarks also has a lower price tag compared to PS3 and Xbox 360. Its the other two consoles that are targeted for the increase in cost, making games for them is just much more expensive cause of the tech used in them.
And i doubt that the cost of Wii game devleopment will increase anytime soon.
" People have to realise that if they want more and more out of graphics, AI, game length, etc etc, development costs are going to get bigger and bigger, and they have been for many years, to the point most games don't even profit, the only games pulling any serious profit are the small ones that cost little to produce (DS games, indie games, XBLA games, Wii games) or the big blockbuster titles like Guitar Hero, or Call of Duty. A price rise has been inevitable for a while now, I keep calling it and people keep calling me a 'fucking moron' and god knows what else, but unless consumers are willing to put up with lower graphical quality, and less advancements in AI and other technology, then prices are going to rise whether they like it or not. I'll continue exactly the same as I am now, buying only the games I really can't live without brand new day one, and waiting for reductions on the rest. It's gonna happen people, get used to it. "I think you're only half right. Many things affect pricing and there are different pricing strategies. Your explanation is talking about cost pricing. You also have to look at supply and demand and what the customer is willing to pay. Usually what the customer is willing to pay wins and therefore you will have to cut other costs so that you can provide them with a price they are comfortable with or you will lose sales.
We are not simply to get used to it. If the price increases to $100 then demand will fall eventually lowering the price until an equilibrium can be reached.
Also i see many games retail for 59.99 US with poor graphics, AI, short length, no replayability even as we demand better quality games.
The games are also plagued by bugs. So your point of us wanting better games means we must pay more money doesn't make sense to me because in my opinion games are already expensive at US59.99.
"i think that if 100$ becomes the new standard, piracy will also become the new standard for obtaining games. and rightfully so, publishers need to get a punch in the face for them to realize that fuckin over paying customers is not acceptable "
The problem here is that you are completely wrong. The other problem is that most consumers think exactly like you do.
Production costs go up and up, you are quite prepared to accept that technology, yet you don't want to pay for the advancements in technology? Almost as hypocritical as the publishers getting fat off your dollars. You need to realise that the amount of games not turning a profit these days is very very high, and you've had it good for so many years, you need to accept the fact that prices are going to go up, heck, game prices were $70 during the NES days, noy they are $60? I'm pretty sure inflation doesn't work that way. Games have enjoyed a very low price for many years now and now developers and publishers are paying the price with so many games not turning a profit. The bigger publishers are surviving on a few massive franchises, most of their games still aren't turning a profit worthy of the massive investment it takes to make them. Activision for example is profiting almost solely from WoW, Call of Duty and Guitar Hero, everything else is straggling along or failing miserably.
Gouging your customers is not acceptable, you're right, but neither is claiming that publishers need a punch in the face, or advocating stealing a luxury product you have no need for, or right to have access to. It's a luxury product and companies will charge whatever they like, just be thankful you've had it sweet for so many years.
@oldschool said:
" @The_A_Drain said:" People have to realise that if they want more and more out of graphics, AI, game length, etc etc, development costs are going to get bigger and bigger, and they have been for many years, to the point most games don't even profit, the only games pulling any serious profit are the small ones that cost little to produce (DS games, indie games, XBLA games, Wii games) or the big blockbuster titles like Guitar Hero, or Call of Duty. A price rise has been inevitable for a while now, I keep calling it and people keep calling me a 'fucking moron' and god knows what else, but unless consumers are willing to put up with lower graphical quality, and less advancements in AI and other technology, then prices are going to rise whether they like it or not. I'll continue exactly the same as I am now, buying only the games I really can't live without brand new day one, and waiting for reductions on the rest. It's gonna happen people, get used to it. "A new game in 1992 is the same price that it is today (in my country at least). Realistically, games are actually cheap, You are right in a theoretical sense, but consumers don't like over $100 dollar pricing. Perhaps developers should accept a plateau and keep game costs under control. The Wii has proved that graphics are not everything. "
I neither agree nor disagree. I will however say that Wii development costs are pretty stable, and the $50 pricetag is enough to leep their budgets profitable and enticing, everybody wins. The problem is that between the level of tech being used on the Wii, and the level being used on other consoles and PC software, the difference is a huge amount bigger than $10 per disc. So the price needs to go up, if the market can't sustain that, it will soon say so when these new higher priced games don't sell and companies start going out of business.
@Diamond:
"The problem is most game developers are incompetent, and if they'd be selling a game for $100, it'd probably be something like Madden or World of Warcraft, or The Sims which they know idiots will buy no matter what. "
You can hardly argue that any developer putting out a game guaranteed to turn a profit no matter what is incompetent. As for the higher price leading to better games, again, while it's a nice idea, the higher price is already being paid, just not by customers. So there wouldn't be an increase in development budget, it's the increase in development budgets in the past that is spurring these price rises. So in effect, you have to ask yourself if games like MGS4, Call of Duty 4, RB2, etc etc etc have been worth $100.
There are tens of millions of dollars going into making games nowadays, it's simply unrealistic to expect most of them to make a return on that when you consider the average shelf life of a game statistically is less than 6 months, and when you also consider games do not have a box office style opening to recoup large amounts of that, essentially it's straight to DVD. At least the film industry can afford to print cheap discs because those films made back most or all (or more) of there budgets at the box office, so the DVDs are just pure profit. With games it's different, most games struggle very hard to make a profit within those 6 months before the game becomes old news.
I don't like paying higher prices any more than anybody else, but people have to be realistic here, as consumers we've been reaping the benefits of other peoples money for a long time now, it was only a matter of time before it hit the fan and people realised they can't keep pushing technology unless the retail price goes up, it's just not sustainable for all but a handful of massively successful franchises.
" @The_A_Drain said:" People have to realise that if they want more and more out of graphics, AI, game length, etc etc, development costs are going to get bigger and bigger, and they have been for many years, to the point most games don't even profit, the only games pulling any serious profit are the small ones that cost little to produce (DS games, indie games, XBLA games, Wii games) or the big blockbuster titles like Guitar Hero, or Call of Duty. A price rise has been inevitable for a while now, I keep calling it and people keep calling me a 'fucking moron' and god knows what else, but unless consumers are willing to put up with lower graphical quality, and less advancements in AI and other technology, then prices are going to rise whether they like it or not. I'll continue exactly the same as I am now, buying only the games I really can't live without brand new day one, and waiting for reductions on the rest. It's gonna happen people, get used to it. "I think you're only half right. Many things affect pricing and there are different pricing strategies. Your explanation is talking about cost pricing. You also have to look at supply and demand and what the customer is willing to pay. Usually what the customer is willing to pay wins and therefore you will have to cut other costs so that you can provide them with a price they are comfortable with or you will lose sales. We are not simply to get used to it. If the price increases to $100 then demand will fall eventually lowering the price until an equilibrium can be reached. Also i see many games retail for 59.99 US with poor graphics, AI, short length, no replayability even as we demand better quality games. The games are also plagued by bugs. So your point of us wanting better games means we must pay more money doesn't make sense to me because in my opinion games are already expensive at US59.99. "
The problem is, those graphics and AI etc might be 'poor' in your opinion, but they still take millions of dollars to develop and implement. That being my point, you've gotten used to these products, yet you only praise a handful and so developers have to push harder and harder in order to please you people, and it's driven development costs sky high over the past 6 years.
Supply and demand is a legitimate point, but an equilibrium will be reached at considerably more than $60, if it doesn't then technology will have to stop advancing so quickly in order to make that $60 a sustainable price point. You will see even less games each and ever year offering new technology and more advanced features.
'Plagued' by bugs is also a pretty hefty accusation, game breaking bugs are few and far between outside of PC games nowadays, and minor bugs are left in because testing and bug fixing also costs a huge amount of money, and sometimes they don't have the time or money to fix everything, and anything major usually gets a patch nowadays. Now sure, sometimes this comes down to shoddy product design and implementation, and yes there are developers out there who are incompetent, but it's an impossibly dream to expect all software to be bug free.
I think its bullshit that he is trying to justify 100 bucks that way. Blockbuster games do cost more to develop but they fucking make more money than other games. If we even think about the games selling for 50 bucks, because thats what the game companies get back after a little goes to the store, then they make so much money, that kind of price in Europe cannot be justified except by greed. I am paying 100 bucks for the Call of Duty Prestige but seriously, this kind of pricing is not justified.
A game sells 1 million copies at 50 bucks, then thats 50 million, I doubt some games cost that much to make. Then there are those that dont sell well but of course they are not good games and dont cost as much.
I would NOT pay $100 US for a game; not in any regard. That will make the business of video games seem even more ridiculous than it is today. My parents can't stand when I pay $60 for a brand new game and, honestly, I can't blame them. $60 is a lot of money and when I am paying that much for a object that is only going to decrease exponentially within a short period of time, I can see how frustration can arise. I would never pay $100 for a standard game. Never!! *cue E3 pic*
"I think its bullshit that he is trying to justify 100 bucks that way. Blockbuster games do cost more to develop but they fucking make more money than other games. If we even think about the games selling for 50 bucks, because thats what the game companies get back after a little goes to the store, then they make so much money, that kind of price in Europe cannot be justified except by greed. I am paying 100 bucks for the Call of Duty Prestige but seriously, this kind of pricing is not justified. A game sells 1 million copies at 50 bucks, then thats 50 million, I doubt some games cost that much to make. Then there are those that dont sell well but of course they are not good games and dont cost as much. "
Actually i've posted the numbers before but people are too ignorant to believe them.
For a standard $60 game, the store and distributor take a 10% cut each, the cost to press the disc, manual, and package the product is around $4 - 6, and MS/SonyNintendo take a flat fee of (average) $8 (This is per disc, regardless of the retail price. This is not worked out on percentage.) There is also a shipping and storage cost associated with each disc, of a small amount, a couple of dollars per disc. There are also potential Royalty costs going to who knows, this doesn't happen for every disc, but it happens for a lot of them.
The publisher only actually claws back on average $28 - 36 of the $60. So no, it's not a case of "The store gets a bit, and then they get my $60!!! Greed greed greed!!!111oneone" Yes there is a certain business greed to everything that happens nowadays, but strictly by the numbers games are no different to DVDs and other similar products, the same percentage of money is made per disc. Compare that (average) 100% return to the insane amounts of money other entertainment products bring in and you aren't doing all that bad.
You have to remember that these are luxury entertainment products and those products bring in a high premium. By all accounts games these days are actually very cheap considering the type of product they are.
" Consumers will never pay $100 for a game. It's just intimidating. "They will if they have to, the only other alternative is to wait for a price drop, or buy them second hand. But there will always be those people who have to have the game on day one, no matter what the cost.
I will be buying a lot less games if the price ever increases that much. Those developers better hope their game is fantastic because unless it is the best I wouldn't be buying it.
This discussion has gotten way too "involved" for me to contribute decently. However I will say this. If SEGA make Shenmue III, I would happily part with over £200 for just the disc.
" Considering MGS4 was 9800円 in Japan when it came out, and I was one of the many idiots who bought the game at launch...I'd say yes. I have paid $100 for a game and loved it. "But this is not about "if" you have bought a game for 100 Dollars, this is about the price point rising to where 100 Dollars would be the normal price for a game, and if you would continue to buy games regardless.
Maybe each game should be priced individually taking their demand and quality into consideration.
This would be better than some fixed price point.
That way you can predict your sales and costs better.
" PS3 games are 8000円 minimal in Japan. Hyped games are over 9000円...people here pay close to $100 for games since the PS3 came out. So $100 games for me are normal now. :-\ It sucks so much. "Yeah it does suck, as i mentioned in my first post, where i live we have been paying that price for years now. So if they bump the price up in the US, the rest has to follow too.
Which will make thing suck even more.
" Nope, I'll pirate them. The market will correct itself. Fact is the companies are all pulling massive profits every year so they can afford to keep making the games they are at the current price point. No way in hell am I going to feed someone else's greed. "Pirating games for consoles is a hassle, why anyone wants to go through all the hoops to do so is beyond me.
It´s so much easier just to go the legal route. Also eliminates all the legal issues and the huge fine or prison sentence if your caught with pirated games or some anti piracy group catches you.
Absolutely not.
There's been a recent trend in the UK to make more popular titles like Modern Warfare 2 more expensive than usual and I'm 100% against it. The £10 price increase that the 360 and PS3 brought in was understandable and I don't mind paying £40 for quality games, however, I only ever pay that much for games that I know will really be worth it.. For anything else, I wait for them to drop to at least £30. Asking £55 for Modern Warfare 2 is just a joke, and there's no way I'm going to start paying that much for any game.
If publishers want to make games more expensive.. then throw out a limited edition, give us a fancy box and some free bits of tat to collect, and if it's a game I care about enough, I'll cough up the extra cash. But even then, games like MW2, Halo, God of War, Mass Effect, etc.. I can understand why big games like this have collectors editions, but is anyone going to pay the extra money for a Need for Speed limited edition? Every game seems to be coming out with one nowadays, and when they're giving away extra ingame content you can't get otherwise.. then screw it, chances are I'm not going to buy the LE and if I miss out on content because I don't want to pay more, then I probably won't buy the game at all. I'm getting a little side tracked now, but bottom line: Limited Edition games can come with all the free crap they want, but you shouldn't miss out on IN GAME content by not buying them.
Well, considering the crap they expect me to enjoy, no. However, if the said game is revolutionary, addicting, has more than 20 hours of game play, and has great replay value that doesn't consist of just multiplayer than yeah.
Neo Geo games used to cost as much at $300 a decade ago. But, to answer the question, "no". I am not going to pay that much for a game...unless, it's on the installment plan. Ha! Actually, if you count WOW then I've already paid well above $100 for a game. But for a single player console title, the answer is no. The Witcher Directors Cut dropped to under $30 on Steam, this past weekend there was a sale of Warhammer 40K and Company of Heroes at $10 each, today there is a sale of 10 indie titles for $30.00...that makes each game $3. Battlefield Heroes and Quake Live are free, not to mention all the other free-to-play games on the internet. If games want to cost a $100, I can find other option on the cheap to satisfy my needs. I have the time and would rather save the money.
Well, a brand new PS360 game costs the equivalent of $98 here in Sweden... so not only would I pay $100 for a new game, I've done it a number of times. I really hate when Americans complain about games being expensive... they often get games that we Europeans get later(sometimes not at all), and they get them for $40 less. Stop your fucking whining.
" Well, a brand new PS360 game costs the equivalent of $98 here in Sweden... so not only would I pay $100 for a new game, I've done it a number of times. I really hate when Americans complain about games being expensive... they often get games that we Europeans get later(sometimes not at all), and they get them for $40 less. Stop your fucking whining. "Well you have to understand that the Americans don´t have to pay as much tax as we do. Now your from Sweden and i´m from Denmark so we are pretty close and we share some of the same high taxes, even though Sweden is a bit cheaper right now cause of your low currency compared to Denmark. But like you we have been paying almost the same as you for our games, around 96-106 Dollars.
But where we live we have been used to that again cause our tax systems are they way they are.
So i do understand why the Americans and the Brits don´t like this. And we shouldn't either, cause if their prices go up, one can only fear that ours do too.
With these prices it's not difficult to see how I became a budget gamer! Not to mention I've always been pretty cheap. <_< I'm perfectly fine lagging behind a couple of years and picking up stuff for 1/10 of their original price.
Short answer to topic: NO!
$100 for a game... My immediate reaction is no way in hell would I pay that much for a DOMESTIC title. However, I import A LOT of my games, about 1/2 to 3/4 actually, and am paying pretty close to that now, or more than that with some special editions. For instance, the Fate/Unlimited Codes Special Edition ran me $110. So I can't say I won't pay $100 for a game. Would I pay that much for a domestic title here in the USA? Well, I'd have to think about that since whether or not I would would probably be largely dependent on how much more it would cost to import. What I can definitely say though is that I would be buying far fewer new/current gen games.
On sort of a generic note, if the price point did become $100 for a game I think a lot less people here in the United States would be buying games, or would be buying them new. Then again whose to say the secondary market will even exist for whatever the current gen consoles are when this happens, and who knows what the economy and inflation will be like then.
If a game came out today that I wanted and it was $100, I could see myself getting it. Think of a game like Modern Warfare 2 to come out with the game only and it being $100. It would still sell. Not all games should $100 but I could see some major games getting the $100 price tag.
If they could make more profit selling at $100 then they would already be doing it. The thing is, if you're going to play 200 hours of MW2 multiplayer then yeah, $100 is totally worth it. But you have to figure that a decent chunk of MW2 sales will go to people that will either never play multiplayer or will play maybe a few times - in which case you will be asking those people to pay $100 for a 5 or 6 hour campaign, which most will just dismiss out of hand. If they want to start jacking prices, maybe they need to start thinking about 2 SKUs for games like this; a 'Full' version and a SP-only version.
The development costs need to come into line with what the public are willing to pay for the product (which for most aint $100), not the other way around. They've had years to become more efficient at making these games, they don't need to keep re-inventing the wheel every time they make a game. Modern Warfare 2 should cost significantly less to produce than Modern Warfare 1, for example.
Bioshock 2 is a perfect example - nobody was asking them to put multiplayer in, yet they went ahead and spent time and money on doing it anyway. Will it sell significantly more than if they hadn't bothered? I doubt it.
Publishers need to start skewing toward making more (quality) content for existing tech, rather than constantly making new tech every time they make a game.
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