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Why would you buy full priced games for $59.99?

#81SheepinatorPosted 12/17/2012 11:04:19 AM
TheBlueStig posted...
The majority of game retailers can't send games back to the distributors, so they're taking 100% of the hit for a price cut to move stock off the shelves, otherwise it's the distributors who take the hit from mega-retailers like GameStop that DO have the ability to send games back.

Are you incapable of reading my explanation above, or did you read it but not understand it? For someone who supposedly spent a decade working with this stuff, I'd have thought you'd be able to follow.

Let me just post Take Two's comments from their 10-K annual report SEC filing:

We are exposed to the risk of product returns and price concessions with respect to our customers. Our distribution arrangements with customers generally do not give them the right to return titles to us or to cancel firm orders. However, we sometimes accept product returns from our distribution customers for stock balancing and negotiate accommodations for customers, which include credits and returns, when demand for specific products falls below expectations. We accept returns and grant price concessions in connection with our publishing arrangements and revenue is recognized after deducting estimated reserves for returns and price concessions. While we believe that we can reliably estimate future returns and price concessions, if return rates and price concessions for our products exceed our reserves, our revenue could decline.
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#82DolemiteXPPosted 12/17/2012 11:05:55 AM
$60 stopped being a big deal to me a long time ago...lol
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#83SheepinatorPosted 12/17/2012 11:07:48 AM
Consideration Given to Customers and Received from Vendors

We have various marketing arrangements with retailers and distributors of our products that provide for cooperative advertising and market development funds, among others, which are generally based on single exchange transactions. Such amounts are accrued as a reduction to revenue at the later of: (1) the date at which the related revenue is recognized by us, or (2) the date at which the sales incentive is offered, except for cooperative advertising which is included in selling and marketing expense if there is a separate identifiable benefit and the benefit's fair value can be established.
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My mad face and my happy face are the same.
#84TheBlueStigPosted 12/17/2012 11:19:23 AM
Sheepinator posted...
Let me just post Take Two's comments from their 10-K annual report SEC filing:

We are exposed to the risk of product returns and price concessions with respect to our customers. Our distribution arrangements with customers generally do not give them the right to return titles to us or to cancel firm orders.


The "customers" they talk about are DISTRIBUTORS, not retailers.

No developer or publisher deals directly with retailers, that's never been how it works and never will be. It's a very specific chain and hasn't varied in 40+ years of videogame retail.

Some retailers have the ability to send games back to distributors, but distributors rarely if ever have the ability to send games back to the publishers.
#85darealest47Posted 12/17/2012 11:26:06 AM
cloudrivera posted...
All you people saying to get a job just don't know how to be patient or know where to look Just on Newegg alone you can get all new releases for $48 through preordering. This week you can get Halo 4 for $39.99. Forza Horizon was just $15 a few weeks after release. Developers mostly get money from suppliers buying their products in shipments, so usually it doesn't matter whether you bought the game for $59.99 or $29.99 as they will still get paid for any additional shipments plus the initial shipment they already got paid for.

Just because people are smart with their money doesn't mean they don't have jobs. Will you guys buy everything else full price without looking at alternatives? Yes it's your money and you can do whatever you want with it, but if you can clearly buy things cheaper I don't see why you wouldn't do it. People take advantage of Steam sales all the time, and other people complain when Xbox Live doesn't have any good deals at all.


Blah blah blah
Get a job.
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#86Da7thsignPosted 12/17/2012 11:27:15 AM
I buy some games on release if I've been reading and researching on them. Some games are more impulse buys so I wait up for sales.
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#87SheepinatorPosted 12/17/2012 11:33:27 AM
TheBlueStig posted...
Sheepinator posted...
Let me just post Take Two's comments from their 10-K annual report SEC filing:

We are exposed to the risk of product returns and price concessions with respect to our customers. Our distribution arrangements with customers generally do not give them the right to return titles to us or to cancel firm orders.

The "customers" they talk about are DISTRIBUTORS, not retailers.

No developer or publisher deals directly with retailers, that's never been how it works and never will be. It's a very specific chain and hasn't varied in 40+ years of videogame retail.

First of all, not only are you wrong again, and we'll get to that in a second, but you've completely missed the point. That is, that when a publisher sells X million units of something and if that game sees heavy discounting, the publishers revenue can be reduced and they already attempt to forecast for this via their reserves. So the original argument of, "They got paid when it shipped. The end.", is an over-simplification. That revenue can be reduced later.

Again from Take Two:

We sell software titles to retail outlets in North America, Europe and Asia through direct relationships with large retail customers and third-party distributors. Our customers in North America include leading mass merchandisers such as Wal-Mart; specialty retailers such as GameStop; electronics stores such as Best Buy; toy stores such as Toys "R" Us; national and regional drug stores; rental outlets; and supermarket and discount store chains. Our European customers include Game, GameStop, GEM Distribution and Media Markt. We are dependent on a limited number of customers that account for a significant portion of our sales. Sales to our five largest customers during the fiscal year ended March 31, 2012 accounted for approximately 43.9% of our net revenue, with GameStop and Wal-Mart accounting for 19.0% and 10.7%, respectively.

(So according to their SEC filing, these sales to retailers are hundreds of millions of dollars of revenue, which again their executives can go to jail for if there is fraud, yet TheBlueStig claims they don't sell to retailers. Hmmm, whom to believe?)
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My mad face and my happy face are the same.
#88GrandMast3rPosted 12/17/2012 12:01:43 PM
This year I've done my game shopping more respectfully towards my wallet / bank account. I only buy games with discounted promo codes if I'm desperate for launch release or just wait a few weeks and buy them online. Completely stopped going to stores for games, go screw yourself Gamestop.
#89GeistPosted 12/17/2012 12:06:41 PM
You can always tell when the younger crowd is posting

"Oh my GOD! 60$ is soooo much MONEY!!!"

It's too cute.
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#90cloudriveraPosted 12/17/2012 12:10:13 PM
darealest47 posted...
cloudrivera posted...
All you people saying to get a job just don't know how to be patient or know where to look Just on Newegg alone you can get all new releases for $48 through preordering. This week you can get Halo 4 for $39.99. Forza Horizon was just $15 a few weeks after release. Developers mostly get money from suppliers buying their products in shipments, so usually it doesn't matter whether you bought the game for $59.99 or $29.99 as they will still get paid for any additional shipments plus the initial shipment they already got paid for.

Just because people are smart with their money doesn't mean they don't have jobs. Will you guys buy everything else full price without looking at alternatives? Yes it's your money and you can do whatever you want with it, but if you can clearly buy things cheaper I don't see why you wouldn't do it. People take advantage of Steam sales all the time, and other people complain when Xbox Live doesn't have any good deals at all.


Blah blah blah
Get a job.


Blah blah blah
I already do
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