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GameStop Corp. Message Board

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  • hbeetroot hbeetroot Oct 5, 2010 4:39 AM Flag

    Why digital downloads are a far cry from becoming competition

    To me it comes back to the consumer. Do they prefer digital delivery over physical products? In most cases, I think the answer continues to be "no". The vast majority of the gaming industry's revenue is generated during the holiday season. This market is poorly served by digital delivery. Consumers are also not stupid - given the choice they will continue to prefer a product that has resale value.

    Just because publishers might rub there hands together at the prospect of increased margins due to digital delivery, doesn't mean they are stupid enough to alienate their customers.

    Making comparisons with the app store IMO is erroneous. The average price paid for a game on the app store is, what - less than $2? They simply are not comparable. Digital delivery continues to have a place in the market, but it's highly segmented IMO. There will be a digital delivery market, there will be a full retail market.

 
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