jlrx said: You can't run a business on 10% However that is why GameStop came out and said 70% of their profits come from new games (possible also hardware).
I've no idea to be honest, with so many hands in that pot, it can't be too excessive. |
Retail profit margin on new games is between 40% and 50% . It's going to depend on the size of the business and the size of their orders
It's not that hard to compute.
Do you think those retailers offering 20$ off for pre-order are selling at a loss ? Nope... They still make a profit which means that 60$ game they sold you for 40$ cost them less than 40$, seeing how in most retail business it is 50% I will assume it is the same for games...
Hardware is the exception ( and only consoles), they get their 50% on accessories..