Before we even think about what kind of game it is, let's think about our wallets! COD: Modern Warfare 3 for $60 (including the cost it takes to play the game on a console or PC) , or a fun app of Angry Birds for $0.99 you can download in seconds on a smart phones, tablets, and other electronics the majority of the nation has?

Let's face it. People aren't buying video games as much as they used to these days. According to The NPD Group, physical content sales were down 8% in 2011. It's not a new fact that new video games are costly. So why are new video games pricey?

  1. - Psychologically, $60 just sounds expensive.
  2. - People are having fun playing more affordable games. The choice and product quality at the bottom end of the pricing scale -- anything under $15 or so -- has grown tremendously in a relatively short period of time. Games like Draw Something, Angry Birds, and Infinity Blade aren't only played by 'casual' gamers.

With that being said, series such as Halo, Elder Scroll, and Battlefield aren't going to leave anytime soon. However, "must have" games are probably going to be the only things strong enough to strive on such prices. Facebook and smartphones aren't stealing away the gaming crowd, the PSN and XBL Marketplace are trying to live on their arcade and indie games that are on a lower price range. 

"If the Old Guard would just drop the charade that $60 is the only feasible price point, they might find an unexpectedly higher volume of purchasers to mitigate the reduced revenue per gamer. I realize that the $60 Call of Duty costs some tens of millions more to develop, market, and distribute than the $1 Angry Birds, but is there really a $59 differential there? Someone wiser than me in economics can surely model up a theory that finds a middle ground." - yahoo

[source:yahoo]

- Rizumi/Rabbit
 


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