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Game Retailers Facing Digital Distribution Transition

This editorial at Eurogamer examines how the games industry is dealing with the growth of digital distribution — a transition they're handling better than other entertainment industries, but not without a few stumbling blocks of their own. "The examples from other industries undergoing this transition are not promising, since they tend largely to focus on metaphors involving creeks and a distinct lack of paddles. Bricks-and-mortar retailers of music and movies have largely sat back and grumbled while their businesses were hijacked, first by online retailers of physical product and then by digital distribution services. ... Specialist games retailers who follow that model face little more than a decline into insolvency in their medium-term futures. Worse again, they face competing with far bigger companies to retain their slice of an already shrinking pie — as boxed game retail sales fall off in favor of digital distribution, supermarket chains are increasingly seeing high profile games as a worthwhile loss-leaders."

8 of 155 comments (clear)

  1. Re:Why are there still game retailers? by Blue+Stone · · Score: 2, Informative

    >Why should game stores stick around?

    Well with the European Parliament being bought off by the large music and movie cartels, such that somone who is caught downloading a few dodgy torrents is kicked off the internet, and can no longer spend ANY money online, I'd say all those bricks & mortar distribution points may well see a resurgence in use!

    Nice to see those large monopolistic bastards and their political bitches doing something for the little people, no?

    --
    Corporation, n. An ingenious device for obtaining individual profit without individual responsibility. - Ambrose Bierce
  2. Re:If I can't sell if used on Ebay... by Junior+J.+Junior+III · · Score: 2, Informative

    If you wait about a year or so, or sometimes longer, depending, games come down in price. Buying immediately at full retail when they're released is foolish unless you've got a ton of disposable cash.

    As an example, when Half-Life 2 first came out, I waited, because my PC's hardware wouldn't have been up to running it, and I didn't want to spend $1000 or so just to upgrade to a new box so I could play one game. Within about two years, I built a PC that exceeded the high end specs from back then, for about $400, and took advantage of a deal where I got the Platinum Edition of HL2 for $5 on clearance at Best Buy.

    I generally buy games "behind the curve", after they've come down in price, and after enough time for the hype to wear off, and for it to become common knowledge whether the game is actually that awesome or not.

    --
    You see? You see? Your stupid minds! Stupid! Stupid!
  3. Re:One thing though by Narpak · · Score: 4, Informative

    I have a 12mb line and always seem to get a nice 1.2mb/s download rate from Steam. Also I find using Steam for the majority of my computer game purchases very handy, I can buy it from home, set it to install (and it does relatively quickly with my line), have it automatically update to the latest patch, and during those rare moments when I lose my DSL connection (happened twice last year, both lasting about two days) I can set it in offline mode and continue enjoying my games. Visiting my parents I installed steam, logged on my account, installed one of my smaller games (their computer is getting on in years), played it until I left and un-installed. Everything worked without no fuss. Considering that, for me, a computer game only have a few years (at best) expiration date this system suits me fine; and it is so convenient that I now buy more games than I did the years before I started using steam.

  4. Re:And the hardware? by sopssa · · Score: 2, Informative

    Games are computer software, and usually you pay for a license with them too (be it Photoshop, Windows or Visual Studio). Just because they're entertainment it doesn't change the fact.

  5. Re:NO!NO!NO! by MetalPhalanx · · Score: 4, Informative

    The tl;dr version: Steam Support can really suck and that is the reason that many people hate it. See below for an example.

    In my experience, there are three camps for Steam. Those rabidly against it due to the rights management, those who love it, and those who have had an experience with Steam "Support" and now loathe it. I'll give personal experience as an (anecdotal) example for you:

    I bought Champions Online off of Steam on Sept. 7th.
    To my dismay, when I attempted to activate my CD key, it was already activated. I called Cryptic for support, and after speaking to a couple of employees, was told that since Steam was my distributor, I needed to contact Steam to get a new CD key. i.e. it was Steam's fault. I submitted a support ticket with the requested information within an hour of buying the game. I received the confirmation email and a ticket number from Steam Support, everything to verify that they actually did receive my support ticket. Researching their average response time, I gleaned a community accepted value of "3 to 5 days".

    Fast forward about 4 weeks (October 9th).
    After weeks of checking, my ticket was closed with no reply. I logged in to check it, and status was set to closed. There was no indication that anyone had even looked at the ticket. I re-opened the ticket, left a polite but firmly displeased message about the quality of the support and restated my request to get this resolved.

    Fast forward another 2 weeks (October 23rd, this past Friday).
    I FINALLY receive my first reply from Steam support. It's a one liner asking me to paste my conversation with Champions Online support into Steam. Since I talked on the phone, I can't do that. I sent a note explaining this, and have yet to receive another message back.

    The situation as it stands now, is that the close group of friends I bought Champions Online to play with spent about 5 weeks intensively playing it, and have since moved on to other games (Our usual schedule for many games). I'm now left paying $50 for a game I never got to play, and by the time their glacial support gets around to solving it, I've lost all desire to play.

    I'm now a wary customer as well. I've been burnt and am now much more reluctant to deal through Steam, with their lack of phone support and awful online support. Given that my friends and I tend to consume at least one new game a month or so, they've lost a pretty regular customer. Due to my experience, some of my friends are also starting to buy games elsewhere as well.

  6. Re:NO!NO!NO! by MetalPhalanx · · Score: 4, Informative

    If you chargeback they suspend your account, removing access to all the games you have ever bought.

    I looked into it and discovered that little gem. It seems almost criminal.

  7. Re:Steam As An Example... by sapphire+wyvern · · Score: 2, Informative

    Your point 2 on non-portability is incorrect. Right-click on the game you want to back up and select "Back up game files", and there's a wizard that will step through the creation of a back-up archive that you can easily burn to DVD. The back-up archive includes a reinstallation utility that puts the games back into Steam without any messing around, and the wizard includes the choice of whether you want CD-sized volumes, DVD-sized volumes, or larger, and they're just standard Windows files so you can burn them onto whatever media you like using whatever program you want.

    I keep backups of all my Steam games on my file server so that I can keep current games on my laptop's hard drive and store other games elsewhere, and so that I can migrate the games onto alternative devices without re-downloading, and it works well.

  8. Re:NO!NO!NO! by Alpha830RulZ · · Score: 3, Informative

    If they do that, report it to the card issuer (VISA/MC) . The card issuers are quite firm about how the people who use their cards are treated. Retaliatory behavior not supported by a court judgement could result in the vendor losing their capability to take credit cards. That's a healthy sized hammer.

    --
    I was taught to respect my elders. The trouble is, it's getting harder and harder to find some.