Buying games online is a risky business, because you will never know when MS (or sony) will decide to shut down its services. And considering the fact that new consoles are here, it may be sooner than you may think. So you can end up losing yer games. Unless they give you an option to back them up (unlikely). Xbone isn't backward compatible. Physical copies all the way for me. The only thing I bought were couple of DLCs when they were dirt cheap for Bioshock 2 and Dishonored. It's just not a secure investment. The only digital distribution I trust is Steam because for one its hugely popular and provides services to developers like sales and DRM. So it won't be going anywhere anytime soon.
Most of my games are digital. I decided to do it that way after I kept trading stuff in during sales. It's more convenient and I end up being able to keep my games. I keep Halo in the disc drive and play GoD when I'm not online with Halo.
and to think we created this monster. crawling in and walking out on us