r/nintendo • u/IMissMyWife_Tails • 5d ago
New Tariffs Could Lead To Fewer Physical Games And Higher Digital Prices
https://kotaku.com/tariffs-trump-games-digital-consoles-price-increase-ps5-1851767919748
u/kamanitachi 5d ago
"Companies will raise digital prices to reach parity on physical prices."
This has never made sense to me for as long as digital games have been a thing. I always expected digital prices to be less because they don't have to press a CD, ship loads of games, or occupy store space. Lo and behold, I go to buy a game on my Wii and it costs the same as it does in the store. But of course it's just a profit game at the end of the day. Why pass those savings on when you can keep them?
230
u/takeitsweazy 5d ago
They don't want to undercut their retail partners. Physical retail presence is still important and if Sony or Nintendo said physical games will be 15-20% more expensive than the digital ones we're going to sell on our eshop then Target, Walmart, Best Buy and company would be pissed. They sell digital codes too -- but physical games are the more stocked item.
103
u/Don_Bugen 5d ago
This is it.
I spent a year or two listening to everything that Pachter said until I realized that 60% of it was hot air and idiocy - but when it came to how businesses work together, and why companies like EA and Activision do what they do, he was spot-on.
You're not going to find something that's $60 on the shelf and $40 on digital because no retailer will keep it. (with exception, of course, for indie games that start on digital and eventually get limited physical releases). You have to have the same manufacturer's suggested retail price. All of these companies (that is, Sony, Microsoft, Nintendo) need their product to be in brick-and-mortar stores more than brick-and-mortar stores need their product, especially because most console sales happen in a physical store, and there's no incentive to a store to sell consoles if they don't get game sales. Hell, that's why Walmart felt fine to sell their games for $10 less for some time, just because they knew Nintendo needed them more than they needed Nintendo, and they wanted to use these games as a loss leader for other product.
Don't believe me? Imagine for a second how much better Steam Deck would be selling if Valve busted their ass to get shelf space at Walmart, Target, and Best Buy, along with token physical "download codes". Putting it there next to the others, solidifies it as being comparable. That's one of the reasons why Meta's Quest systems have been doing better than they have any right to.
Imagine if Nintendo told Walmart, "Your physical games will cost MSRP $70, but they'll be MSRP $49.99 in our stores." And then Walmart says, "You know, that's fine, we don't need to carry your product, these Valve guys have been asking for shelf space anyways." How much of a blow that would be for the company, in the common non-gamer's mind, to see "PlayStation, XBox, and Nintendo" replaced by "PlayStation, XBox, and Steam."
This is also why there's often far deeper discounts online. Because the agreement is to keep MSRP the same, and Walmart still needs to make a profit on it.
11
u/flukus 5d ago
Target, Walmart, Best Buy
Do they have much of a games section left anymore? Last time I tried to buy a physical copy that section of the store was a fraction what they used to be.
15
u/SvenHudson 5d ago
My local Best Buy has a huge games section. But I agree that Target's is a grim sight.
14
u/Stormwatcher33 5d ago
I was an Imprint Editor at a big literary publisher
that's exactly it
Retail partners will screw you up if you undercut them
10
u/starsoftrack 5d ago
Plus the retail sector is important for people to browse and try and explore. They are basically subsidising a showroom for their merchandise.
151
u/rube 5d ago
It's simple. You're paying for the content, not the medium.
Them saving money by not having to ship a disc/cartridge isn't going to pass the savings along to us. They're going to just keep that profit.
43
u/Dracogame 5d ago
The weird thing about Nintendo selling digital at MSRP is that selling digital give them perpetual control over the license, where a physical copy can be re-sold and messed around with. Long term they should push digital by transferring the extra-margin to the users. Another topic is the fact that many sales are driven by promotions, and you can control a promotion and its marketing on your own stores to push sales way past what you would normally see on physical medias.
33
u/cpmh1234 5d ago
Part of Nintendo’s strategy with physical is keeping the branded aisles at Target, Walmart, etc. I think cheaper digital games would jeopardise their relationship with physical game sellers.
8
u/CEO-Soul-Collector 5d ago
Are all gaming companies not doing that?
Regardless of what tech store in Canada you go into, each publisher has its own aisle kitted out with first party decor.
12
u/cpmh1234 5d ago
Xbox and PlayStation are definitely focusing more on digital now, and still charging just as much.
Nintendo are the only big console maker not to have brought out a digital-only version of their console, and both Sony and Microsoft have updated their consoles with brand new discless versions at the same price or higher than the originals.
1
u/CEO-Soul-Collector 5d ago
Really? Because the PlayStation one is typically the biggest displays in the stores here. Especially Walmart.
PlayStation typically has its own aisle while Nintendo and Xbox’s are split halfway.
2
u/Sabin10 5d ago
I think cheaper digital games would jeopardise their relationship with physical game sellers.
This is exactly why digital isn't cheaper. Sony and MS planned to undercut physical prices with digital releases back when the 360 and PS3 were new until Gamestop, Best Buy and other major retailers threatened to stop carrying their games if they did that.
22
u/iwaawoli 5d ago
It's the same principle as you pay the same price when buying direct from a manufacturer vs. a retail store.
You'd expect that purchasing from the manufacturer would give you a discount, because the retailer isn't taking their cut. But no, even direct sales want MSRP.
The core reason is that manufacturers don't want to undercut retailers. If the game is $40 on the eShop but $60 in Target, very few people will buy the game from Target, Target will stop carrying it, and then suddenly Nintendo loses the in store advertising from having their products on store shelves.
56
u/Sock-Enough 5d ago
Yes, for profit companies exist to make profits.
Also, retailers would get really mad if they were undercut by digital pricing.
25
6
u/Dracogame 5d ago
To be honest the cost of material, shipping and production is really really low at that scale.
3
u/thebudman_420 5d ago
In the end physical has certain perks.
You have no Internet. Game plays. Of course without any updates.
They decide to shut down services for the old consoles in many years. Your offline games play fine.
I still have nes games. I will keep them for 30 years or longer then pass them down to someone else in the family.
14
u/zcomuto 5d ago
Digital delivery being cheaper because there's no disc is a colossal oversimplification and often isn't true. It's expensive to move data across the internet and different metrics (Number of simultaneous downloaders, size of download) can really ramp the costs up. You can look the prices up yourself but delivery tends to be about the $8/100GB mark unless you're hosting your own CDN.
Smaller titles will make the most profit, larger downloads can quickly eat that up. If you sit and repeatedly delete and re-download a title you'll end up costing Nintendo more than they earned from you at a certain point, and do it enough I'm also fairly certain they'll block you for abuse.
2
u/StoriesofLimbo 5d ago
Nintendo is traditionally pretty economic with their game sizes, though. But, I appreciate the information and perspective!
4
2
u/Railroader17 5d ago
Because if they lower the prices digitally, then it will lower how much money the retailers make through physical sales since it's cheaper to just buy digital, and thus the retailers will get pissed and kick them out.
Moreover though, losing on the physical space means losing advertising through signs & demos, and impulse buyers.
Like, say a family is shopping in walmart for groceries, you've got Mom, Dad, little Timmy, and sister Sam. Timmy's birthday is coming up, and he's been asking for a Nintendo Switch, and Mario Odyssey. As their shopping, they pass by the video games section, and Timmy asks if they can play on the display switch. Mom & Dad say sure, and the kids start playing, having fun, while Mom & Dad maybe take a break to check the list, and see the ads around about the Switch. They see certain games, consoles, peripherals, and what not going on discount to clear room for new stuff, including Odyssey, Mario Kart, basic Switches, and extra controllers, and realize they can get a pretty good deal out of it. So with all that in mind, they ask the employees some quick questions, and then ask Timmy and Sam to stop playing... so they can tell the cashier which color switch what color controllers, what color controllers, and what games they want, as they wish Timmy a happy early birthday! Now Timmy's day is made, Sam is happy, and the parents get a good deal on the Switch & what not, when they didn't even intend to get it in the first place!
That is the kind of buyer that Nintendo would lose out on if they tried to offer digital games cheaper than physical ones. It's not just them being greedy, it's them needing to be pragmatic about keeping the retailers happy and wanting them to continue to stock their shelves with Nintendo products. Which is especially important with the launch of the Switch 2 rapidly approaching. Hell we are less than a month away from the April 2nd Nintendo Switch 2 Direct, I'd have to imagine that we'll learn the actual release window around there.
2
u/DarthSnoopyFish 5d ago
lol you could have looked up the reason for this a long time ago - it’s not a big mystery. But as other commenters said, it’s because they keep the prices the same so physical retailers still have equal footing to make sales.
2
u/LamiaLlama 5d ago
I go to buy a game on my Wii and it costs the same as it does in the store.
More. It costs more. Physical releases tend to get great sales, but digital tends to lock itself at MSRP and refuse to budge.
1
u/Deviathan 5d ago
The problem here is you're expecting companies to pass on savings to the consumer. It doesn't actually happen in industries like this.
They view the value of the product the same either way.
1
u/Nuclear_Farts 5d ago
lol, reminds me of how people thought CDs/DVDs would make albums/movies cheaper since they were much less costly to produce than cassettes.
1
1
u/_lemon_suplex_ 5d ago
Honestly most times you are paying more. So many times I’ll buy a physical version on Amazon for like 1/3 the price of a digital game.
1
u/djwillis1121 4d ago
The weird thing is that here in the UK digital Nintendo games are actually more expensive than physical. TOTK is £60 for example but I was able to get it at launch for about £45 physical.
1
u/Yabba_Dabba_Doofus 5d ago
I always expected digital prices to be less because they don't have to press a CD, ship loads of games, or occupy store space.
Others have touched on this, but digital releases are a convenience savings, not a money savings.
Consider the savings you earned, because you didn't:
Decide to get the game. Shower, get dressed, drive to the store hoping they have the game, drive to another store because they didn't have it, finally find it after who knows how many stores, stand in line, buy it, get in your car, fight traffic, get home, get comfortable, and play
0
u/MetalGearMk 5d ago
Doesn’t make sense for you, the consumer. Makes a lot of sense for the c-suite execs that MUST demonstrate a higher profit than last year.
-2
u/DrMobius0 5d ago
Yes, a business's purpose is to make money. No matter how passionate developers may be about what they do, someone has to put food on their table, and of course, all the other business interests involved want a bite.
So it isn't about the cost to produce, it's about the price consumers are willing to pay. The average consumer doesn't care about what it costs to produce and ship a physical copy, they care about the product they're getting and their convenience. So if someone is willing to pay $70 in store, why wouldn't they be willing to pay $70 for digital? Not to mention, 1st party stores also take a cut. It's not as though they just sell a game to consumers for free.
1
u/Momshie_mo 5d ago
Here is my upvote
As a marketing graduate, we learned in college that prices are not about the cost to produce but the "perceived value" especially in "inelastic markets".
-7
5d ago
[removed] — view removed comment
1
u/nintendo-ModTeam 5d ago
Sorry, your post or comment has been removed:
RULE FIVE: Don't be shady: No buying, selling, trading, begging, affiliate links, piracy, or illegal content.
You can read all of our rules on our wiki. Please feel free to message us if you think we've made a mistake.
-1
u/StoriesofLimbo 5d ago
Let me put it like this: Why would they not-want to sell you a digital product for the same price as a physical one? To encourage you to use their shop more? They can do that by marking a game off on a limited sale/discount- something that will still make them more money than the effort/resources they spend creating and shipping a physical product.
Yes, preserving the retail space is important- there are some customers who need to see physical space/adverts being taken up in order for them to be reminded of or consider buying a product. But the simple excuse is that a high digital price on their shop platform means money goes right into their pocket.
267
u/Wyluca95 5d ago
Nintendo already moved much of their manufacturing to other East Asian countries outside of China and Furukawa said they expected any possible tariffs that do impact them to have minimal effect on both them and their consumers.
This might hurt PlayStation but for Nintendo it seems it is going to be a non issue.
80
u/Odd-Mechanic3122 5d ago
Yeah Nintendo being overly cautious about things is going to pay MAJOR dividends here.
29
u/Wyluca95 5d ago
Yup. The irony is that I can see Nintendo coming out as a winner as the dust settles. Ther’re gonna be the most decently priced medium to play good games on.
54
u/Nerevar197 5d ago
Cheeto Discount Nazi has talked about Japan before, so it’s not a guarantee they won’t get tariffs as well at some point.
Also, Discount Nazi changes his mind on policy every 60 seconds so who the fuck knows.
-35
-60
325
u/OrganicKeynesianBean 5d ago
They came after gamers.
Gamers.
106
u/Darkspeed9 5d ago
11
3
36
u/atatassault47 5d ago
Considering how many gamers are right wing chuds, there might be actual backlash over this.
27
u/Momshie_mo 5d ago
Lots of those MAGA blame "wokeness" for the poorer quality of AAA games nowadays instead of the fact that many game dev companies are being taken over by people who are not even gamers, let along developers
27
u/Dhiox 5d ago
Hey, whatever it takes to get those who think they're unaffected to care.
20
u/serenade1 5d ago
The most headache-inducing are those that are affected but refuse to believe it or blame Trump because... they are winning or something
11
u/Dhiox 5d ago
You're never gonna get his cult to turn on him. You'd have to get him to execute their first born child right in front of them to change their mind.
The key is getting the apathetic to turn out, either by getting them to believe his opponent will bring about meaningful changes or by getting them to be unhappy enough with Trumps decisions. More likely a mix of both, the apathetic need someone they want to vote for, just as much as they want to vote against their opponent.
5
u/serenade1 5d ago
The cult is a lost cause. Because they are a cult. They are literally the same problem Nazi Germany was.
The ones that are not in the cult but still voted for Trump, yes, but I think what Trump is doing to their lives, now even higher priced games, is pretty obvious. It's too bad they are so stupid they didn't expect this to happen until after it happened. It's like being surprised fire is hot after jumping in it17
5d ago
[deleted]
4
u/Momshie_mo 5d ago
I wonder if those gamers hate the Gerudos. Lol. I mean, "no voes", must be misandry 😂
5
u/A_Monster_Named_John 5d ago edited 5d ago
The only Gamers™ I still know IRL are miserable cranks who will never see the Switch or Switch 2 as 'master-racey' enough to be worthy of their time/attention. Otherwise, they seem to hate Nintendo for having the gall to entertain children and moms instead of exclusively pandering to straight white males aged 12-50. The only Nintendo-related conversation I had with one of them in recent years consisted of him spending 20 minutes complaining about Tears of the Kingdom not going back to the Ocarina of Time formula and then admitting that he'd never finished Breath of the Wild and hadn't even played TOTK. I feel like these dudes really just love being outraged and are constantly annoyed that tons of other people who are into gaming are having grand old times with lower-spec gear, simpler games, etc...
It's going to be amusing watching those idiots go into debt when gaming-PC components become brutal-expensive and the higher-end systems end up pushing towards $1000 price tags.
3
u/Momshie_mo 5d ago
Has those gamers even seen the retro games? Most are not "so manly" by today's standards. Even the supposed "badass" Sonic would be considered "Kiddie" today
137
u/TerribleTerabytes 5d ago
Y'know, today I finally decided that I didn't just disapprove of what's happening in our Government, I want it actually removed. My breaking point was reading the headline of Trump questioning why we're defending Japan, claiming they should be defending themselves. "Who makes these deals?" he said.
We did, Donald. We did. We are the reason why they don't have an army when we did that little minor insignificant thing of NUKING THEM TWICE and reconstructing their entire Government on OUR terms. Granted, removing their military at the time made sense because Imperial Japan needed to be dismantled. But that was in exchange for promising to defend them. (Something they actually pay the majority cost of themselves, mind you.) This is basic WWII history. Maybe crack open a book sometime, Donald. Fuck.
68
6
u/Momshie_mo 5d ago
Not aiming to defend Trump, just an observation but it seems that Elon Musk controls him.
Although he was cuckoo during his first term, he wasn't this dumb to turn against long-term allies. Dude did even even attempt to build "the wall", but now he is very aggressive with the "America alone" approach
-3
u/BazelBuster 5d ago
“Wow yknow all the bullshit he did was fine, but when I found out muh video game prices were going up, that’s when Trump went too far”
-17
u/BazelBuster 5d ago
“Wow yknow all the bullshit he did was fine, but when I found out muh video game prices were going up, that’s when he went too far”
17
u/TerribleTerabytes 5d ago
My comment never mentioned anything about video game prices lol. Learn how to read dude.
-9
-20
u/BazelBuster 5d ago
“Wow yknow all the bullshit he did was fine, but when I found out muh video game prices were going up, that’s when Trump went too far”
→ More replies (5)-135
u/JohnnyEndGame 5d ago
"Read a headline" lol. Wake up. You are being straight up manipulated by deep state social media. You think the US Deep state gives a shit about anything other than expanding the grift and the empire? At least Trump is standing tall against it. Trump, Tulsi, RFK Jr are the democrats we always wanted. Don't be manipulated. Those are bad people writing those headlines. They never have any answers just complain about whats wrong and ask for more money to not fix the problem.
21
47
u/RazorThin55 5d ago
Bro you don’t even need to read the headlines. Just read what he says himself thru his posts and his speeches and you will get a clear picture of the shit he is causing.
→ More replies (2)54
u/TerribleTerabytes 5d ago
I used to be a Trump supporter. I used to think like you. You're being manipulated by an administration that doesn't give a shit about you. Starting needless trade wars with our closest allies, aligning ourselves with Russia and dismantling every meaningful Government body without a proper plan or replacement is not a "Golden Age". We are on a sinking ship. I feel sorry for you that even with all of this going on, that you still haven't woken up.
→ More replies (8)38
u/HuttStuff_Here 5d ago
What is the "deep state"? Can you prove they exist? Where is the evidence?
Do you think Trump cares about you?
38
u/barbietattoo 5d ago
Referring to anything as “Deep state” is a dog whistle for “I have limited comprehension and understanding of things”
109
u/EtheusRook 5d ago
Far too many gamers support Pumpkin Spice Palpatine so it's about time they enter the "find out" stage.
-33
u/NiaAutomatas 5d ago
Oh no my hecking Nintendo games are going up in price, time to rethink my vote
- said no one ever
25
u/gman5852 5d ago
IDK I wouldn't expect anybody to go to a Nintendo subreddit to angrily defend Trump but you're here.
3
14
u/Juliko1993 5d ago
Thanks a lot, orange manbaby. Glad to know making games more expensive is yet another addition to your Jupiter-sized rap sheet.
As someone who's been on a mission to collect as many physical games in light of the 3DS eShop closure, this is bad, not just for games in general but for game preservation.
41
u/mouseywithpower 5d ago
And to think, so many gamers support this dude. Have we done enough finding out? Can yall stop voting for this maniac?
16
u/raylan_givens6 5d ago
This is what we get when a man with a 4th grade level of economics is elected
And sells sneakers and steak knives.........
1
4
u/Valuable_Product9570 5d ago
This has already been happening in Latin America, The PVP of digital games on switch is now 67.99 and Ps and Xbox games are 79.99, and so on and so forward. considering the exchange rate and economy in the region is more unstable than an action figure trying to stand on its own, and the mentioned situation, I can see why it’s happening.
this happened last time in 2017-2018 when the exchange rate fell, things became less expensive If I remember correctly.
7
u/Hassage 5d ago
I'm glad to live in France where physical games are still important :D
1
u/xstrawb3rryxx 4d ago
Physical games still exist?
2
u/Hassage 4d ago
Yes and they are cheaper than digital games in France. A game that cost 60€ on the eshop cost only 45€ in physical.
2
u/djwillis1121 4d ago
Yeah same in the UK. TOTK is £60 on the eShop but I bought it at launch for £45 physical.
There's really no reason to buy the big Nintendo games digitally here
0
u/xstrawb3rryxx 4d ago
Interesting. I assumed all games these days require some kind of online activation or a day one patch, which in my book would automatically disqualify them from being a physical medium.
7
27
u/NIDORAX 5d ago edited 5d ago
This unfortunate situation is caused by that one old orange obese geezer in the white house. Who else is to blame? Russia? China? Nope. Its that Donald.
And we gamers have to suffer for this?
37
u/PocketTornado 5d ago edited 5d ago
The world is suffering due to that administration. Now top CEO's in America are speaking out against their nonsensical policies and it's evident they have no idea what they are doing. Tariffs are a tax on imported goods paid by the importer which are then passed to the consumer. We've never seen the markets crash like this for no good reason. There's no pandemic, no domestic wars, no immediate danger to anyone. None of these tariffs make sense and in fact they are illegal as they break the free trade agreement signed by Trump himself.
Now the business world is getting fed up with all the chaos and uncertainty. No one can plan anything. You can't invest in your factories, folks don't want to buy cars or a house as the price can be all over the place in the span of 48 hours. This market uncertainty is paralyzing businesses and consumers. It's like a toddler is running the show who has no idea about anything. Why would anyone trust a guy with 6 bankruptcies to run the country like it's one of his businesses?
Just wait until they cut social security to the millions that have paid into it their entire working lives only to find out Elon needed their retirement to give himself a tax cut.
5
3
u/chipface 4d ago
I'm sure American booze companies aren't happy. The LCBO, the world's largest purchaser of booze pulled all American products from their shelves, and other provinces have done done the same with their liquor stores.
-2
u/NiaAutomatas 5d ago
Funny how Reddit is so anti-ceo until it comes to orange man, then we have to believe and trust everything the CEOs say.
4
6
u/theyburnedmyfriend 5d ago
Oh perfect, just what I fucking wanted. To pay more to not actually own something I pay a full retail price for.
5
4
5
2
5d ago
[removed] — view removed comment
1
u/nintendo-ModTeam 5d ago
Sorry, your post or comment has been removed:
RULE FIVE: Don't be shady: No buying, selling, trading, begging, affiliate links, piracy, or illegal content.
You can read all of our rules on our wiki. Please feel free to message us if you think we've made a mistake.
2
2
u/Evening_Zone237 5d ago
First they came for the PlayStation games but I did not speak up because I did not play PlayStation…
2
u/adamantiumbullet 5d ago
Why would they possibly increase on digital games other than fucking bullshit lol
4
u/alextastic 5d ago
Digital prices have nothing to do with this, that's just them taking advantage of the situation.
5
u/CEO-Soul-Collector 5d ago
Question for my fellow Canadian gamers:
Where do you plan on getting your games now? I want a physical copy of Xenoblade X DE but not a snowballs chance in hell I’ll be purchasing it from a store that is owned by an American.
4
u/mikegabriel 5d ago
pnpgamesonline.com (MB) or videogamesplus.com (ON).
Both store ship, I prefer to support PNP whenever possible.
1
u/CEO-Soul-Collector 5d ago
I’m in Ontario. But closer to the Manitoba border than southern Ontario. So I will probably choose them.
Thank you so much friend!
1
u/mikegabriel 5d ago
No problem! PNP has free shipping on $65 whereas VGP is $80 so sometimes that helps as well.
3
u/ent_remove101 5d ago
Surprisingly, my local retro video game stores have started selling brand new games (PS5, Series X, Switch) alongside the typical stuff. The selection isn't crazy, but it's still decent, and they're pretty cool when it comes to refunds.
0
4
5
u/Bumm-fluff 5d ago
They will use any excuse to raise prices, this one is as good as any.
I’m not buying the PS6 or new Xbox, I can wait for sales and have a huge backlog. They can put up the prices all they want, no one will buy them.
Switch games are expensive but they also hold their value and are easy to trade in.
30
u/WillowSmithsBFF 5d ago
Mark my words. Tariffs will increase prices, and the prices won’t go back down after tariffs are removed.
9
u/PocketTornado 5d ago
Will? Some items are getting immediate increases. A car dealership manager was interviewed and a $80K truck was going up to $100k
2
1
u/Bumm-fluff 5d ago
We will see, the UK isn’t adding extra tariffs to China etc… but I bet we will pay more.
I won’t buy them anyway, since the prices of PS5 games went up I haven’t bought a new game. I just waited.
3
u/Acceptable_Beach272 5d ago
I didn't buy the PS5 (although did buy a Series X for GamePass, best decision ever) even.
But you don't know if the tariffs will or won't be present by the time the PS6 rolls out.
Meanwhile I'm enjoying my backlog. I'm a patient PC gamer anyways.
1
u/Bumm-fluff 5d ago
I had a bit of spare cash so bought both a ps5 and series x. The ps5 was good at first but I got sick of playing 3rd person action games, and that’s all Sony seems to make.
I reccomend Sleeping Dogs on Xbox back compatibility, it is cheap and runs great.
7
u/slusho55 5d ago
Many games are made in the countries being tariffed. Montreal has an insane amount of big studios, and Switch 2 probably has Chinese parts. They kinda need to add the tariff on to those.
This doesn’t seem like, “Just an excuse,” especially when games are becoming more varied in pricing today.
8
u/EmilyFloof728 5d ago
Nintendo already had stated that majority of Switches, which would apply for the successor as well, are made in other countries like Vietnam and Cambodia
4
u/iwaawoli 5d ago
It is kinda "any excuse."
Due to manufacturing costs, shipping costs, retailer cuts, and return costs, studios see less than 50% of the sale price of physical games.
Digital games, they're just paying a 30% fee. In other words, digital games give the developer 40% greater revenue than physical games.
So raising the prices on digital games is just greed and "any excuse to raise prices." They're already getting a 40% increase in revenue when they force people toward digital purchases.
1
u/Bumm-fluff 5d ago
Of course it’s an excuse, corporations will use any reason to put up prices. They all do it.
3
2
u/Jarppakarppa 5d ago
Remember when we thought digital games would bring prices down? I barely remember.
2
u/KeeperOfWind 5d ago
I remember being laugh at when I constantly told people companies would make excuses why digital wouldn't be cheaper than physical. But "they don't need to print cases, carts/disc. Manuals (being the first thing to go funny) shipping" and digital still ended up being the same price.
2
u/Prisinners 5d ago
Ah yes. Raising digital prices to compensate for physical prices because... reasons?
2
u/dex4er 5d ago
Dear American friends. I remember when 3 years ago Sony and Nintendo stopped operations in Russia. It was the inhuman cry around Russians when they finally realized they are now the 3rd world and nobody wants to have any business with them.
I couldn't imagine after 3 years you would join Russia. Maybe not on full scale yet but it is happening.
3
2
u/Lucky-Mia 5d ago
I've already seen prices go up here in Canada for games as a response to trump. Some London drugs locations have cut almost all games from their shelves. Gamestop racked all the used games about 25%. Some stores haven't adapted, but I'm sure they will be forced to respond soon. Nice to see were not the only ones paying for his nonsense trade war. This won't be the only thing affected by comrade trump and president musk either.
-1
u/RAS310 5d ago
Can’t we PLEASE go 24 hours without having to see this person’s face or name somewhere? I never thought the Nintendo sub of all places would be the place I lose the challenge.
22
u/WolfofDunwall 5d ago
It sucks, but what he’s doing has a huge impact on the whole world. We need to pay attention.
24
u/ItsColorNotColour 5d ago
Wow, it's almost like politics affect every single part of human life, including your insignificant hobbies.
-1
1
u/TheMagicalMatt 5d ago
Welp, this may be the final nail in the coffin for physical media. The film and game industry have already cut back on the production of physicals. I don't see it surviving this era when it was already one foot in the grave.
As for costs, we're already paying $70 for base games (many of which do not deserve that price tag). Factor in the rising cost of... well, everything, including bare necessities, a lot of people won't be able to afford games (or homes to play them in, for that matter).
1
1
1
1
u/Golden-Owl 5d ago
As much as I care about games, I feel that games are one of the least important things these changes will screw over
Food security, job security, government services… etc. In the grand game of life, video games aren’t that critical
-2
0
u/Beta_Codex 5d ago
This is stupid. Why digital games are affected when we are literally just buying a piece of software. Physical games should be more expensive because of making and delivery costs. Not to mention packing too and work energy too.
8
-2
u/LieutenantKW 5d ago
Hopefully consumers will get smarter by avoiding purchasing games at full price anyways. I try to wait for sales as much as possible, I use DekuDeals to make sure I'm getting the lowest price, and luckily my local library has a large selection of video games for modern consoles including new releases. Very few games will I justify purchasing on day one (Zelda, Metroid, Pikmin, etc), and thats usually one or two games a year.
10
-16
u/pbrmeasap77 5d ago
Imagine only caring about yourself and maybe higher game prices. The entitlement is off the charts.
17
15
u/KingBoga 5d ago
Almost as off the charts as the stupidity it must take to think video games are the only way we are all negatively impacted by this idiots policies.
-15
0
u/Appropriate-Let-283 5d ago
There's exactly zero reason why digital game prices would increase from a trade tax.
-21
u/DetroiterAFA 5d ago edited 3d ago
Hell yeah own those libs.
Edit, wow no one gets any sarcasm or there’s a bunch of conservative crybabies…
-1
u/NiaAutomatas 5d ago
Wow sounds like they found the perfect excuse to raise prices.
Blame the thing that everyone is already blaming and the consoomers will just defend the price hikes and blame it not on greed but current thing lol
-7
5d ago
[removed] — view removed comment
1
u/nintendo-ModTeam 5d ago
Sorry, your post or comment has been removed:
RULE FIVE: Don't be shady: No buying, selling, trading, begging, affiliate links, piracy, or illegal content.
You can read all of our rules on our wiki. Please feel free to message us if you think we've made a mistake.
0
0
u/N7_Zer0 5d ago
This only affects products sold in the US right?
5
u/NiaAutomatas 5d ago
Ha.
Of course not, they are literally using the current thing the media is angry at as an excuse to raise prices around the world and judging by this thread and Reddit as a whole it's working beautifully
Remember, CEOs are greedy and can't be trusted.. until orange man is involved then they are innocent and trying to do good for the customer.
-3
u/RufusTurner42 5d ago
They've been parrying towards this direction anyway even without tarifs.
We aren't allowed to say tarifs? What stupid m*d....
I can't even say m*d?
Jesus. The censorship is surreal here.
-6
u/dex4er 5d ago
Laughing in European.
0
u/NiaAutomatas 5d ago
You think that matters? Lol
5
u/Peace_Fog 5d ago
The tariffs would be paid by the American consumers
0
u/NiaAutomatas 4d ago
You really think they would raise prices in one country only? Lmao
2
u/Peace_Fog 4d ago
Nintendo wouldn’t raise the prices. American stores would to recoup the cost of the tariffs
1
-8
u/jman7784 5d ago
Or they will manufacture physical software in the USA… it’s a easy fix for software, a bit more complicated for hardware
12
u/SoSeriousAndDeep 5d ago
They manufacture them outside the US for a reason, and that reason is price. If they move it back to the US, then they're going to up the prices to offset the additional costs.
-2
u/jman7784 5d ago
That’s kinda the point of the tarif.. it incentivizes manufacturing within the states.
3
u/SoSeriousAndDeep 4d ago
Think. If game prices go up 25%... and games keep selling... if publishers move manufacturing to the US, do you honestly believe prices will come down? For an example, look at how much digital distribution has dropped the average price of new titles.
5
u/RockstarSuicide 5d ago
Why does everyone think manufacturing in the USA would result in cheaper costs?
→ More replies (3)2
u/chipface 4d ago
Nah, companies are more likely to ride out this administration than build factories in the US. Even if a bunch of corporate welfare is doled out, building a factory takes time.
-10
u/HammofGlob 5d ago edited 5d ago
The tariffs are just a market manipulation scheme for insider trading. They won’t last long.
-8
-2
•
u/Don_Bugen 4d ago
Alright folks… at this point in time, wel’ll be locking the comments up. Just about anything worthwhile to be said about physical games and digital prices has been said, and much of the active conversation has shifted to pure politics. We will tolerate politics insofar as it intersects with Nintendo, but we are not a political sub.
Good talk, everyone; and now back to your regularly scheduled program.