Ubisoft reveals profit margins for physical versus digital sales on console

[flashfire926]

Darwinianevolution said:

flashfire926 said:

The reason  we see the same prices is because as of right now, Physical is still plays a huge roll. Look at retailers are pissed at xbox games pass, so much so that they decided to delist xbox consoles. 

Even though Gamestop is declining, it still has more than 4000 stores worldwide. If console makers allow lower prices for digital now, retailers will get extremely pissed and discourage people from buying said console, and even might stop stocking said console and games because everything is available cheaper in digital (like gameware did to xbox). After all, you cant buy the console itself digitally. And still need retailers to do that.

And needless to say, take out a huge chunk out of console and game sales. Give it two-three more years. Once brick-and-mortar shops fade to irrelevance, thing will DEFINETLY be cheaper in digital. Xbox Games Pass is just a small taste of what's to come.

With physical games gone, there would be no real incentive to lower the prices. Why should they? Either you buy them from us, or you walk away. And even if dedicated videogame stores are becoming smaller and smaller, the big retailers around the world still sell them. In fact, because they are massive markets, they can afford to buy in bulk way more copies of games per store than the smaller videogame retailers, decreasing the price (not to mention online stores for such products).

curious question: Do you think the console makers will raise their cut, once digital is majority?