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So, GOG dropped regional pricing.

#21reincarnator07Posted 3/11/2014 1:03:13 PM
Loshadt posted...
SonyHoundDawg posted...
While it is logical to think digital games should cost less, its not really true.


It's absolutely true. When publishing a game digitally you are bypassing the obligatory cut retailers take on the sales, which means more money in your pockets. Now why on earth would I buy a digital copy for the same price as a physical copy? Logically it's perfectly sound to make the assertion that digital games should cost less than retail games.


When publishing a game digitally, you're still often selling through platforms like Steam or Origin, which still take a cut.
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#22LoshadtPosted 3/11/2014 1:22:11 PM(edited)
reincarnator07 posted...
When publishing a game digitally, you're still often selling through platforms like Steam or Origin, which still take a cut.


That's absolutely true, but it's a smaller cut. I'll have to look up the exact figures though,

here we go. http://latimesblogs.latimes.com/entertainmentnewsbuzz/2010/02/anatomy-of-a-60-dollar-video-game.html

Yeah, 27 dollars out of a 60 dollar game goes to the publisher. Steam takes about 30%, so publishers make about 42 dollars out of a 60 dollar game. So realistically speaking, they could release the very same game digitally on Steam for 40 dollars and still make noticeably more.
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#23arleasPosted 3/11/2014 4:45:51 PM
Yeah it wasn't just the manufacturing costs or even the publisher I was thinking of.

There's also distribution costs, costs to store physical goods, the retailer adds his cut on top. Sony, NIntendo and Microsoft also charge a licensing fee that PC doesn't have to go through. Digital distribution cuts out a ton of the middlemen.

Seriously, why do you think Steam can put stuff on sale for so cheap and still make money?
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#24Abiz_Posted 3/11/2014 4:53:28 PM
arleas posted...
In the case of places like Australia where they pay more simply because they used to have to pay more, it's not being a cheapskate... it's only being fair.

I kinda understand regional pricing, but in some cases there's no good reason for it.
Now if they can drop the antiquated notion of new games = $60 that would be great.

There's absolutely NO good reason for a digital copy to cost the same as a physical copy.

Australia minimum wage is $16.88. That is why they pay more.
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#25rpgianPosted 3/11/2014 4:57:40 PM
No expense to justify digital. Only habit of charging Australians and such a crap ton. Customers know that and don't like paying more. If it hurts physical copies sales so be it. Why pander to middle men when you can deal yourself and get it all.

I often wonder with so many areas of products dying out in physical retail and prospering online why the manufacturers don't just sell it to the customer themselves and take the whole pie. Sure it will hurt jobs and cause some disturbance to the overall health but when has that ever stopped money from flowing to the easiest place to tap it.
#26Tasty_NinjaPosted 3/11/2014 4:59:12 PM
Well, if gog is going to have to be paying out of its own pocket, I guess we can't count on DRM-free penetrating new games any time soon. I can't see them paying the 20% difference to cover the difference in price between what the publisher wants (and will refuse to risk, since they can always go to one of the major digital retailers) and the flat price on most games.

SonyHoundDawg posted...
While it is logical to think digital games should cost less, its not really true.

When manufacturing a video game, especially a popular one and are printing millions of copies, the cost of a cd, box and manual (lol if these still exist) are very very low. Prolly like 2 bucks tops. Anyways if your doing it right, you should even be getting at least 15%-20% off new games through pre ordering or something If you were planning on getting at launch.


You're right, physical manufacturing is the least of what you are paying for. You are also paying for shipping, but even more than that, you are paying for a retailer to warehouse and display.