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UK Games Retailers Threaten Boycott of Steam Games

RogueyWon writes "Games industry trade site MCV is reporting that two major UK video games retailers are threatening to ban Steam-enabled PC games from their stores. The as-yet-unnamed retailers are apparently concerned that by selling Steam games, they are pointing their customers towards a competitor and will by trying to bring pressure upon publishers to strip Steam functionality from their games. This could prove an interesting test of where the real power lies at the retail end of PC gaming."

15 of 443 comments (clear)

  1. Okay... by Monkeedude1212 · · Score: 4, Insightful

    More sales for Steam then?

    1. Re:Okay... by kungfugleek · · Score: 4, Insightful

      and make every "purchase" nothing more than a really expensive rental.

      Almost every game I've purchased on Steam was under $5. Some even less. Never more than $10. Not that expensive as far as a "rental" goes.

    2. Re:Okay... by RapmasterT · · Score: 4, Insightful

      As someone who works at a second-hand store, this is a very rude thing to do,..

      Frankly, and without trying to be insulting to you personally, but second hand stores can take that attitude and cram it right up wherever your species traditionally crams things.

      As someone who used to manage a retail software store, I can tell you that 8% margins are pretty typical for software and game sales. Second hand stores operate on a 200 - 300% margin because they pay pennies on the dollar for the buyback, then resell for a small discount off new retail. This kid of "poached" transaction may be considered rude by the second hand stores, but it's OBVIOUS and INEVITABLE because you're offering so far below market value for it.

    3. Re:Okay... by wjousts · · Score: 4, Insightful

      Now, if it'd been offered in Steam and the DRM (which you cry so hard about) keeps the piracy numbers way down -- ultimately the company makes money and piracy is much lower.

      I assume you have a source to cite that proves piracy is much lower on Steam DRM'ed games? Because I'm pretty sure everything on Steam is out on the torrents somewhere...

  2. Structural Unemployment for Middle Men by eldavojohn · · Score: 5, Insightful
    The boss of the UK game retailers said:

    Publishers are creating a monster – we are telling suppliers to stop using Steam in their games.

    No, publishers are finding new innovative revenue streams that cater to the customer. The only reason it's a 'monster' is because you perceive it to be a threat to your business model and, surprise surprise, you're not a part of that revenue stream so it's the devil. And you don't understand it, that is painfully evident by the 'stop using Steam in their games' part of your statement. They don't use Steam in their games anymore than they use Wal-Mart in their games.

    If you understood that this is increasing revenue and profits to the publishers, you might also start to see that it increases the number of copies sold. Now, if more people are buying the game it is possible that Steam will expand this market and leave some of the sales to the brick and mortar stores. It is, however, a possibility that you are correct in that your model will become obsolete -- such is the nature of business. You can either respond by being a jerk about it (although you're holding aces backed with eights as a large middle man), you can attempt to become part of that distribution model (have you thought about selling steam gift cards?) or you can do nothing. If you lose your business, well that's just some good old structural unemployment where the hostile market of capitalism violently guides you to better serve the consumer in a new and -- here's the scary word -- innovative ways. Seriously though, when is the last time you did something new and interesting aside from unboxing the latest game and paying some high school student minimum wage to set up the Halo display and cardboard cutouts?

    Hey man, if you want to make me pick between you, the distributor, and the publishers that actually make the games I cherish ... you aren't going to get very far in my book. I mean, Steam has DRM but it saves me gas and money and puts me a little closer to that little developer that spends countless nights slaving away over code. That's where I want the bulk of my money to go when I purchase a game -- to that guy.

    --
    My work here is dung.
    1. Re:Structural Unemployment for Middle Men by Beyond_GoodandEvil · · Score: 5, Insightful

      Having recently purchased Fallout:New Vegas, and discovering Steam needed to be installed, I've yet to see the value added proposition that Steam brings to New Vegas. Did I miss the button I'm supposed to press and someone from Steam will arrive with a pizza or some other form of bribe so I'll run around proclaiming Steam the greatest thing since bread came in a slice? I only ask since I'd manage to avoid Steam for so long while still purchasing PC games.

      --
      I laughed at the weak who considered themselves good because they lacked claws.
    2. Re:Structural Unemployment for Middle Men by Antisyzygy · · Score: 4, Insightful

      Its ridiculous. One major hypocrisy here in the US is "We believe in capitalism, so long as it benefits us". They are complaining they aren't making money and want to restrict the market, all at the same time having the benefits of a capitalist society, i.e. the ability to innovate and try to out compete without being interfered with by the government. Maybe they should try including some service along with the game Steam does not supply, or maybe they should target the DRM nature of Steam and sell only Non-DRM software, or maybe they should give everyone that comes in the store a free hot dog and a coupon to save on gas. Its simply a case of eating your cake and expecting to have it afterwards.

      --
      That brings me to an interesting point, / . is just "the ramblings of socially-inept, technology-literate news-mongers".
    3. Re:Structural Unemployment for Middle Men by Dr_Barnowl · · Score: 3, Insightful

      The value added is for the publisher ; by locking your game to a Steam account, it's now not resaleable. Which is what this fuss is all about - most of the revenue in these stores comes from second-hand games trading.

      I suppose you do also get some other benefits - if you lose the media, you'll still be able to reinstall the game from the content network.

    4. Re:Structural Unemployment for Middle Men by Aceticon · · Score: 4, Insightful

      No, publishers are finding new innovative revenue streams that cater to the customer. The only reason it's a 'monster' is because you perceive it to be a threat to your business model and, surprise surprise, you're not a part of that revenue stream so it's the devil. And you don't understand it, that is painfully evident by the 'stop using Steam in their games' part of your statement. They don't use Steam in their games anymore than they use Wal-Mart in their games.

      WTF?

      Ever tried to return a digital download game in the UK?
      You can't. Even if the game doesn't work at all in your PC and you are per-UK consumer regulations entitled to a refund (since it's not "fit for purpose"). The digital download company is based in a location with little or no consumer rights (*cough* US *cough*) and they'll basically laugh in your face.

      Ever tried to return a store bought game in the UK?
      They sometimes bitch and moan a bit, then you say the magic words ("Not fit for purpose" and "Trading Standards") and lo-and-behold - you get your money back.

      I for one am pretty damn scared of the rise of Digital Downloads for games and it's associated importing of minimum common-denominator consumer protection laws and do want the option of returning non-functional games that a bricks-and-mortar store gives me. From my point of view, anything that allows those stores to survive is a good thing.

      In fact I have been boycotting all games that use Steam for that reason (and because they cannot be given, lent, traded or resold; because they do not work on machines without an Internet connection; because I would like the option to install them in 10 years time if I feel like it; because I do not want that the distributor of the game has the option to remotelly disable my game at will). It's just too bad that most game buyers out there are more than willing to bend-over and pull their pants down in exchange for prettier graphics.

      The way I see it, in this sea of ignorant, self-deluded and low IQ consumers, the only chance that the few of us with more than 2 neurons have of, in 20 years time, still being able to return faulty games is if bricks-and-mortars manage to survive.

    5. Re:Structural Unemployment for Middle Men by RsG · · Score: 4, Insightful

      Regardless of what the numbers are for the cut Steam takes, they're going to undercut Gamestop in the long haul. They don't have the attendant costs of a brick-and-mortar.

      Really, Steam may not be perfect (I really wish more online stores were DRM free), but compared to Gamestop and company, they're practically saints. I know which side I'm rooting for.

      And as a final thought: How many games actually need to have Steam if they're being sold as physical copies? Wouldn't it be preferable for the gamers if the game disc just installed single player mode without requiring the user has Steam, with the understanding that they can register their key/install Steam for multiplayer?

      --
      Erotic is when you use a feather. Exotic is when you use the whole chicken.
    6. Re:Structural Unemployment for Middle Men by __aailob1448 · · Score: 4, Insightful

      Steam uses DRM, which is evil, and does not provide a way for customers to resell their games, which is also evil. In addition, it strangles LAN play by requiring an unnecessary internet connection, which adds some more evil to the mix.

      I am saddened by the popularity of steam and deeply disappointed by the decisions Valve made regarding their customers' rights and privileges.

    7. Re:Structural Unemployment for Middle Men by ADRA · · Score: 3, Insightful

      "In fact I have been boycotting all games that use Steam for that reason (and because they cannot be given, lent, traded or resold"
      Yup, unless the game publisher wanted to allow it (I'm sure Valve would allow it if the pub wanted it)

      "because they do not work on machines without an Internet connection"
      Apparently there is offline mode. I've never used it because I have the internet on my PC, but whatever

      "because I would like the option to install them in 10 years time if I feel like it"
      Anyone else see games pulled over time? I haven't. Half-life 2 came out in 2004 and I can still download and play it on any machine I'm logged into steam on.

      "because I do not want that the distributor of the game has the option to remotelly disable my game at will"
      Hypothetically possible, but I don't see any publisher being self-suicidal

      "It's just too bad that most game buyers out there are more than willing to bend-over and pull their pants down in exchange for prettier graphics"
      Vs. what exactly? The games that I buy on Steam are good games, and quite often the same or cheaper than boxed copies of the same thing. I find value in not needing to have boxed copies of software that end up gathering dust 90% of the time.

      I think some of the things you listed -could- happen eventually, but not nearly as nefarious as you propose. Steam like many services are in an industry of trust. If we stop trusting Steam, more people will simply stop using it and force developers to stop using it through lack of sales like you seem to be so firm on doing. Developers and publishers hate (real) boycotts. If Steam ever becomes evil I'll stop using them. If you pulled your head out of your butt, you may start to see that the service works just fine as it is.

      --
      Bye!
  3. A store? What's that? by ledow · · Score: 4, Insightful

    I haven't bought anything in a real store for ages, PC-games-wise. Why bother? All they stock is the expensive shit and anything older than 3 months is in the "Pre-owned", scratched-to-death pile and still costs 2/3rds of its original price. Plus a lot of PC gear can't be played second-hand anyway (and not because of Steam but because of other DRM) so there is no "cheap" game available in those shops.

    I just order a retail box online (rare anyway) or I just buy from Steam or GOG. Stop charging me £60+ for a game that'll last a couple of hours and start stocking things that sell. Steam make a killing by selling things like PopCap games, World of Goo, Altitude, etc. - I never, ever see those in the shops and if I do, it's on a shelf in a big department store, not in the "games" store. You aren't complaining about XBox Live or PSN, so you can't really complain about Steam either. The fact is, though, that anything you do stock in my price range I'm more likely to be buying it online - quicker, cheaper, easier.

    Give it up - either charge sensible prices, increase your stock range to appeal to customers or damn well concentrate on games console where you make an absolute FORTUNE.

  4. Irony...given the used game article by Maxo-Texas · · Score: 4, Insightful

    A couple months ago we heard how game stores were using used games to cut the publishers out of the revenue stream for a game. They were buying back games for $10 and reselling them for $45 and pocketing 100% of the $35.

    There was a great brouhaha.

    Now the return shot. Game publishers intent to cut game stores out of the first sale AND not publish any physical copies to resale.

    --
    She was like chocolate when she drank... semi-sweet at first and then increasingly bitter.
  5. All the wrong reason by wjousts · · Score: 5, Insightful

    Although they are doing it for all the wrong reasons, I applaud any effort to stop this Steam juggernaut from becoming the de facto DRM monopoly and the single point-of-failure for entire game collections. It's just not healthy.

    One day Steam will go dark, and then you won't be able to reinstall any of those games.

    Footnote: "blah, blah, blah,...but they said they'd release a patch....blah, blah, blah". Please show me the legally binding clause in the Steam TOS that guarantees that.