Retailer Slams Game Industry

TheChefO

Banned
On the company’s website, it detailed why it has decided to quit selling games. Its stock is currently being shifted at a 20% discount. DVDEmpire’s business is mostly focused on film.

1. Video Game Industry Does Not Care...

2. Can’t Make Money...

3. No Price Protection + Games Prices Drop Quickly...

4. No Product Returns...

5. Distribution is Dumb...

6. Games Are Better Suited for Brick and Mortar Retailers...

7. The Final Reason...

http://www.next-gen.biz/index.php?option=com_content&task=view&id=4655&Itemid=2

Sounds like their sour about inevitable(curent) digital distribution and being a small player. Interesting insight on some things though.
 
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I've been involved somehow in this retaling game business some time ago, and - it's true, every point.
It's almost impossible to make money as a small player.
 
Digital distribution has little to do with console games except for demos. I've thought for a while that video gaming is as of yet still a very immature industry from an economic standpoint...and this article just confirms that for me. Not that the attitude of publishers toward used games and rentals were insufficient proof or anything, but this really is the icing on the cake.
 
DVDEmpire only got into the game market in an effort to make a quick buck off a rising market. Games and movies both come in DVD boxes, so we can sell 'em the same, right? Now all the other big players are involved, they can't compete, so they are going to get out of the market, which is how it should be. Better for them, no loss to the public who is buying stuff cheaper and faster at other outlets.
 
There is something structurally wrong with price policy in the games industry - if a game like FF13 of GOW is selling at the same price as Flushed Away.
At least in the book selling market, books unsold are returned to the publiser.
 
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