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Gojimaster said:
I find it interesting then, that Amazon regularly bundles $20 gift cards and free shipping with the hottest new games. The margins for games on Amazon and Walmart must be razor thin-- like $1 or so.

It also must be devastating to publishers when the games don't sell that well and a quick price reduction is enacted. I usually never buy games when they are released because I know that I can get them for at least $20 off the new price 2-4 months after release. For example, I finally broke down and bought a new copy of Mass Effect 2 for $40 last week.

The really bad games like Bionic Commando can be had for just $10 a few months after release. It would be interesting to know how much the console manufacturer lowers their cut once an official price cut is announced.

Amazon always offers free shipping on orders of 25$ or more regardless of the items.