This is something thats been bugging me for awhile. How much do game retailers have to spend on each individual game? I've heard estimates of anywhere between $35-$42 per game.
This is something thats been bugging me for awhile. How much do game retailers have to spend on each individual game? I've heard estimates of anywhere between $35-$42 per game.
Don't know the exact numbers but the margins are tiny which is why they go nuts over trade ins and used games.
Not too sure but here in Aus the markup is much higher then in the US.
Hence why we get ripped off with games vs what you guys pay. They make a reasonable profit off of consoles too. Not sure what the exact profit on consoles but they are around 17% gross profit, or even higher.
Games are higher still, somewhere in the range of 20 - 25% gross profit. (50% or more with second hand games).
It's me... no really, it IS me!!!
| Magera said: Not too sure but here in Aus the markup is much higher then in the US. Hence why we get ripped off with games vs what you guys pay. They make a reasonable profit off of consoles too. Not sure what the exact profit on consoles but they are around 17% gross profit, or even higher. Games are higher still, somewhere in the range of 20 - 25% gross profit. (50% or more with second hand games). |
Wow interesting, so you're saying its not Sony, MS, or Nintendo charging more its your own stores? Interesting theory, you have any data to back it up? Not doubting you but just wondering if it is more than theory or just your hunch. Nothing personal its just making sure I have my facts straight.
19% is avg for my chain. We have some titles go up to about 25 in some cases. Sometimes it is as low as 15% . !8-19 range is the most common number I see on the scanner. We don't do used games. My guess is that there is an insurance or liability reason. There could also be a copyright issue. We are not to sell a game it the wrapper is off, or if it has been repackaged. And if the service desk did it's job, we would not get opened games back, except in the case of a defective disk. I have actually seen games that people have shrink wrapped so that they could return it to us.
"But as always, technology refused to be dignity's bitch."--Vance DeGeneres
Magera: Are you sure the price isn't higer becouse of taxest (VAT)?
Well, for Europe and Mario galaxy it is known. The cost for the shop is 35€ (Vat Included). The shop makes 12.60€+ "raw" profit, if I calculated correctly:
http://www.vgchartz.com/forum/thread.php?start=11&id=5928
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| Just_Ben said: Well, for Europe and Mario galaxy it is known. The cost for the shop is 35€ (Vat Included). The shop makes 12.60€+ "raw" profit, if I calculated correctly: http://www.vgchartz.com/forum/thread.php?start=11&id=5928 |
I'm fairly certain Just_Ben is German.
And now for something I have meant to do for a while:
Hallo Just_Ben,
Ich habe im Deutchland gewhonnt.
aufweiderscrieben,
Valen200
and that is most of my functional German
"But as always, technology refused to be dignity's bitch."--Vance DeGeneres
mrpapaye said:
Hi Just_ben, i dont know where does come from your price for Mario Galaxy cause my wholesalers still dont have one but i can say that for other Wii Games edited by Nintendo we pay 31.5 € without VTA so it is 38 € VTA included. I suppose it will the same price for Mario Galaxy. We are an independant shop so we can make our own prices and for new games, we have generally a profit of 8 €. (without VTA of course) and between 4 and 7 € for games who come cheaper that normal price. Bye. PS : sorry, i have seen the post from your link now and your source for the price. Well they list it very cheap and i'm pretty sure belgian wholesalers wont have it at that price. |
Thats from the GC in germany? How high is VAT there in belgium. The 35.0 is "Listenpreis". Normaly thats includes VAT and is the price you have to pay if you buy it from Nintendo. So your price coud be higher, because of the wholesaler? He got do get some profit.
Join up to the VGC Mario Kart Wii GP European League!
Or the VGC Mario Kart Wii GP Australian League!
Or the VGC Mario Kart Wii GP American League!
Or the VGC Halo 3 American League!
Or the VGC Call Of Duty PS3 League!