Gamestop: Digital distribution not a threat for another five years
by Majed Athab 
{ Jun 22nd 2009 at 6:30PM }
Although Gamestop's study might sound like it's trying to combat digital distribution, Bhatia states it's not about competition but more on adaptation and learning how to profit from the changing distribution channels. We can already see retailers taking a slice, stocking network prepaid cards in stores and offering DLC and full game codes stuffed inside retail boxes. If this is how digital distribution is already affecting retailers, how much moreso in 2014?
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Reader Comments (Page 1 of 2)
Donald @ Jun 22nd 2009 6:34PM
I hope, for all of our sakes, he's wrong on the early end.
roger @ Jun 22nd 2009 9:04PM
Speak for yourself, I think the general consensus on this board is in favor of keeping hard copies around. Also the NEW general gaming population as a whole is a lot less tech savy than those that attended Joystiq so he's probably dead on.
Wes @ Jun 23rd 2009 1:43AM
In other news, Pratcher expects Gamestop shares to fall significantly in five years time and continue dropping over the following decade till eventually GS is worth as much as GM.
Bigg Bozz @ Jun 24th 2009 12:43AM
I'm not buying any game online because it gives Microsoft and Sony more incentive to move toward digital distribution and make disc games obsolete. If that happens then us gamers get shafted because we wouldn't be able to trade games or resell them on ebay. And it also guarantees ISP's placing bandwidth caps. Don't know about you guys but when I buy something I don't want Microsoft or Sony limiting my options on a property I own.
Cosmo (formerly Chin-Poh) @ Jun 22nd 2009 6:35PM
I'm mainly worried about the bandwidth caps the big assholic American ISPs are putting on us. That kills piracy, but also legitimate digital distribution.
Cosmo (formerly Chin-Poh) @ Jun 22nd 2009 6:37PM
What is the situation on Time Warner's bandwidth caps? I hear they were planning the worst caps by far, such as $50 for only 40gb a month and even a plan for $15 for 1gb a month, one fucking gigabyte.
Michelobius @ Jun 22nd 2009 10:52PM
They scrapped it due to harsh backlash from consumers who rightfully thought it was an incredibly shitty idea.
Dan @ Jun 23rd 2009 9:23AM
They are, unfortunately, still testing this in a couple regions so don't count it out just yet. Just help us continue the backlash!
coffins outside the door @ Jun 22nd 2009 6:39PM
June 22, 2014 all physical media will turn to dust.
cmo4ever @ Jun 22nd 2009 6:42PM
On June 23, 2014, at 12:01 AM Gamespot becomes self-aware. In an attempt to disable it it's controllers pull the plug.
Gamespot fights back.
Within minutes all other game retailers are rendered ash by Gamespots nuclear arsenal.
Your Mom @ Jun 22nd 2009 6:46PM
GameStop, not GameSpot.
cmo4ever @ Jun 22nd 2009 6:48PM
Sigh, I mix them all the time. Stupid lack of edit option.
dagamer43 @ Jun 22nd 2009 6:41PM
I'm imagining being able to buy games from a kiosk in a Gamestop. It's quicker to copy data from a local source that it will be to download from a server if we're talking about 10GB+ games.
gib @ Jun 22nd 2009 7:57PM
A RedBox for Xbox?
tmacairjordan87 @ Jun 22nd 2009 6:47PM
He's right because as we see with downloads, they don't bring in huge numbers. I'm convinced the majority of people stll think consoles are just plug in and play, and either don't know or don't care that it has a gamestore.
Again, it's the whole "people being stupid" thing that's going to hold us back for a while longer.
Bubbameister33 @ Jun 22nd 2009 6:59PM
Let's make pamphlets.
NOT ME @ Jun 22nd 2009 8:21PM
I hope ur being sarcastic because as long as i can trade or resell my game after having beat it in 2 days ill always go for the hard copy being able to just dl a game doesnt really appeal to me but buying a used game or buy 2 get 1 free always come in handy or even trading shitty games for a controller or something if it goes all dl we can kiss all that goodbye so yea sorry for being stupid an holding u back.
tmacairjordan87 @ Jun 22nd 2009 8:24PM
I know you're trying to be sarcastic about the dumb thing, but having one massive run on sentence really doesn't help your case.
Doomtrain @ Jun 22nd 2009 6:49PM
2014, huh? I guess Gamestop isn't that worried then since the world will end in 2012.
DKiller79 @ Jun 22nd 2009 7:00PM
Bandwith cap is still a problem that XBL and PSN on selling games to download at huge size of GBs
Travis @ Jun 22nd 2009 7:06PM
Thats funny, because when I went to gamestop today I just heard the gamestop employees debating with each other about whether digital distribution is going to be the death to gamestop or not.
Jrinswand @ Jun 22nd 2009 7:12PM
As an employee of GameStop and a proponent of digital distribution, I honestly hope it will.
roger @ Jun 22nd 2009 9:11PM
@ Jrinswand Then quit and stop being a hypocritical douche bag. I hated working McDonalds back in HS so I quit, I work at Target now and no longer have fun so as soon as I take my Dental Boards next month I'm out. If you hate then quit and stop your whining and wishing that a company that employs thousands of people go out of business.
Jrinswand @ Jun 23rd 2009 1:04AM
Well you see Roger, I don't work at GameStop to have fun or because the pay is amazing. I work at GameStop because I know a fuckton about video games and because I have developed friendships with my other employees over the course of the past year or so that I've worked there. I also only work a dozen or so hours a week, so its not like its a big deal or anything.
Besides, I don't have to personally agree with a company's policies to work for them.
BPMOmega [GT,Steam] @ Jun 23rd 2009 3:47AM
In this day and age, you shouldn't be too picky about where you work. Just be glad you got some income.
ChomskyKnows @ Jun 22nd 2009 7:07PM
"in 2014, 25% of the population will have easy access to download technology".
100% of 360 users will have "easy access" to the Xbox Games on Demand service later this year...sure the HDD has to get bigger for some of us, but the "easy access" is only a few months away for the Xbox crowd, not 5 years.
and the PC folks have been using Steam for some time now...
Extinction @ Jun 22nd 2009 8:30PM
Idiot. Only 4% of the world has access to broadband right now. That's what he's talking about
ChomskyKnows @ Jun 22nd 2009 9:13PM
i'm talking about xbox users, not the world, grow up dude. what the hell is your problem?
w00ty @ Jun 23rd 2009 12:54AM
i'm sure that 90% of xbox 360 owners with shitty broadband connections will likely disagree. easy access means jack shit when the infrastructure is not there to support it.
chaos123x @ Jun 22nd 2009 7:08PM
I think the end of physical media is just ahead in the next console generation.
I mean look at the portables.
The only thing is, how much space will FF14 take up???
Cosmo (formerly Chin-Poh) @ Jun 22nd 2009 7:10PM
It would be a bitch to digitally distribute Blu-Ray sized games (though most games on the PS3 hardly use the space the disc has to offer).
chaos123x @ Jun 22nd 2009 7:24PM
What about Cloud computing? No downloads. Just streaming HD video of the game your playing on a server.
Adeese @ Jun 22nd 2009 7:52PM
OnLive says hello, and would like to sell you a subscription.
The Dark Wayne @ Jun 22nd 2009 8:52PM
feasibility called, he said FUCK YOU!
clanboru15 @ Jun 23rd 2009 11:40AM
feasibility isnt a very nice person...
:(
SoxFan13 @ Jun 22nd 2009 7:30PM
Someone's gotta sell the $120 hard drives to store the digital downloads.
Jovrick @ Jun 22nd 2009 7:42PM
If you think that digital distribution is the absolute total future of all media, then you’re grossly overestimating the intelligence of a pretty good chunk of the populace. The last time I was in a Gamestop I heard a woman asking the clerk if you could “download new songs for Guitar Hero Metallica without the internet.”
Remember when there was a retail map pack for Halo 2? I was in a Gamestop when that was out and this guy picked up a copy, looked directly at it, and started loudly calling to his friend across the store, claiming it was Halo 3 (Yo it gots helo tree!). He was looking straight at the box, and his brain translated the words “Map Pack for Halo 2” into “Halo 3.”
Those 2 people represent the largest portion of the consumer base. I know that because I see people like them every single time I set foot in a Gamestop. They are the real force who determines what stays in the market and what goes. They aren’t getting any smarter or more conscious of what they buy either. Retail isn’t going away in 5 years. I don’t think it’s going away in 80 years, to be perfectly honest.
The Dark Wayne @ Jun 22nd 2009 8:50PM
i remember some guy who was rummaging through the used games when he looked up and asked "Can regular xbox play 360 games?"
*facepalm*
Ignatius @ Jun 22nd 2009 9:14PM
I was working at a retail store before and I was asked if the Wii played Xbox 360 games...
Shmil @ Jun 22nd 2009 7:45PM
I guess he's waiting for an introduction.
Dirty do you have any thoughts?
Dirty @ Jun 22nd 2009 8:58PM
I like turtles.
AzzX @ Jun 22nd 2009 7:50PM
Tell That to Valve.
I would bet Steam accounts for nearly half of all PC games sold these days. It is simply the better way.
Eh @ Jun 22nd 2009 7:56PM
Youd have to be a huge dumbass to go to the store to buy a download code for yourself. Huge.
deanb @ Jun 22nd 2009 8:09PM
But if digital distribution takes over it'd b the only way you'd be able to buy your kids new games. Kinda sucky to get an envelope full of codes for Xmas that you have to input then download instead of a chunky pile of games you can play almost straight away.
SaltyGary @ Jun 22nd 2009 8:16PM
Maybe Gamestop should ask companies like Tower Records about the threat of digital distribution.
R. Kasahara @ Jun 23rd 2009 5:47AM
The dead/dying US divisions of HMV and Virgin Megastore, too (both of which were always overpriced. I do miss Tower, though).
Jesse Thoresen @ Jun 22nd 2009 8:33PM
I hope digital distribution never become the mainstream for video games.
Think about it.
Never having the choice to sell back your old games, trade in games, trade games with friends, buy used games, getting games at a discount.
mycbrad @ Jun 22nd 2009 8:39PM
At least they had the foresight a few years ago to create content in other avenues that can't become obsolete easily. Take Game Informer for...in...sta...nce...?!?!?
ducttapeBigSexy @ Jun 22nd 2009 8:38PM
I find it rather ironic that people scream bloody murder when game companies say they want a cut of used games sales, but get on their knees when game companies propose a solution to completely get rid of the used game market (namely, digital distribution).
The Dark Wayne @ Jun 22nd 2009 8:49PM
what? that isnt ironic. Both of those things are completely linline with each other