In an echo to something I was saying just the other day, it seems that Valve is claiming that games are over-priced. Gabe Newell recently gave a talk at DICE on Wednesday, giving some impressive numbers about Steam, and showing where game companies are currently missing the mark with retail.
In particular, he notes the promotional offers that companies run for their games on Steam. His main example was Left 4 Dead, which was half price this last weekend. How did it affect sales, you ask? They rose. By how much? Three thousand percent. Yes, you read that right.
Newell went on to outline other games that ran promotions, and showing that they drastically rose in sales as the percentage of the price went down. Basically, it seems that game studios can more than recoup the costs of their games by selling more in volume rather than making more off of each sale. Talk about duh.
I don’t know why more game companies haven’t picked up on this, especially with the money you save by delivering through an online platform. Call of Duty World at War was one of the highest grossing games of the fall, and I’m guessing a lot of that had to do with its $50 price point come Christmas. So what do you guys think about this? Also, how much does Valve continue to rule?
Source- Edge Online