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Forums - Sales - Gamestop: ‘Pre-owned good for the industry, doesn’t harm developers’

 

VG247

Gamestop has revealed new figures regarding its American pre-owned sales, stating that they are worth $1.8 billion a year, but remains adamant that used sales don’t impact new, and that developers simply don’t understand how pre-owned works. Set phasers to angry.

 

In a Gamasutra interview, Gamestop president Paul Raines said, “We are not ashamed of the pre-owned business and in fact we believe that it’s good for the industry.”

Raines’ statement comes despite many game developers slamming the used sale methods of retailers, and the way they eat into new sales. With used sales, none of the profit made goes back to developers, and only the initial new sales makes them money.

Regardless, Raines stands his ground on the subject, “We have not been successful in communicating to developers how this business really helps. Now, if I’m a developer, I know that [used games] give me heartburn, to see a game…”

It’s here Gamasutra reports that Raines tailed off before he continued:

“We’re really not cannibalizing new game sales,” Raines proceeded, “That’s a common misconception. So my answer to developers is that we are driving growth in a category that needs to grow.”

Raines concluded, “We think there’s a real lack of awareness as far as how it’s good for the industry. The transparency you’re seeing from us is because we want people to know about it, helping people understand what we’re trying to do for the industry.”

http://www.vg247.com/2012/08/06/gamestop-pre-owned-good-for-the-industry-doesnt-harm-developers/

 



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To be honest statistically its a fact

But the vast majority of gamers dont actually really understand how the industry works so prepare for lots of rage hate in this thread

Either way doesnt really matter well just continue growing the industry



I believe the reasons below are the main ones people use when promoting used game sales (tell me if I missed some, this was done with brief thought):

1) People who buy used games for cheaper prices wouldn't buy it for the full price (not the best point as it doesn't always work)

2) By selling their old games they don't play anymore, people use that money to afford more new games (not as easily countered as it holds more weight)

3) It is part of basic consumer rights to be able to sell something they own (This reason alone makes it mind-boggling to understand why many video game consumers want their basic rights thrown away)

To be honest this sort of topic reminds me a lot of Star Wars Episode 3 --> Padme: "So this is how democracy ends... with thunderous applause."



Gamestop's practices don't necessarily hurt developers, but they certainly hurt consumers. Offering the general public [at most] half of what a product is actually worth [on eBay, for example]. I just don't understand why people keep supporting that store that makes such insane profits from ripping people off. Is it really that hard to sell your games online? The answer is no, but maybe most consumers are just to lazy to try.



Yeah... that's what basic economic theory tends to state, despite what people want to scapegoat their declining sales on.



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Heres another quick statistic for you

70% of all trade in credit is used towards the purchase of new games

Also its strange how some gamers are against used sales, when every other industry has used sales and not many complain



@Kasz216

Actually our profits are up simply our overall sales are down

A clear reflection of how awful new hardware is selling



wfz said:
I believe the reasons below are the main ones people use when promoting used game sales (tell me if I missed some, this was done with brief thought):

1) People who buy used games for cheaper prices wouldn't buy it for the full price (not the best point as it doesn't always work)

2) By selling their old games they don't play anymore, people use that money to afford more new games (not as easily countered as it holds more weight)

3) It is part of basic consumer rights to be able to sell something they own (This reason alone makes it mind-boggling to understand why many video game consumers want their basic rights thrown away)

To be honest this sort of topic reminds me a lot of Star Wars Episode 3 --> Padme: "So this is how democracy ends... with thunderous applause."

Not quite.

It's that by being able to sell their old games they don't play anymore.   It increases the inherent value of said games, increasing peoples "Ideal price" in the first place.  Lets be honest... buying a new videogame is a significant risk.  Your spending 50-60 dollars on soemthing that my be complete crap, you've got no idea.   This is partially why we get so many retreads and games that are so similar to other games.

Being able to resell your game is a partial buffer from a bad game/game you get sick of. 

 

Also, just because number 1 doesn't always work doesn't actually diminish the point, sicne it does work at times.



I know I buy FAR more games solely due to the fact that I sale many of the finished games on Ebay. (Gamestop is a friggin' rip off)

I buy new and used... new if its really good. Plus a lot of digital games too, which can only be new, but are on sale.

Point is, used games are beneficial and I'd bet there is a way to show it helps reduce piracy as well.



We are legally allowed to resell our games. I don't care what the companies say, we should even be able to sell our digital games.

It's the law..or at least it's going to be. Can't wait.



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