A lot of people seem to think that with the move to digital distribution, systems that retail game sales will completely dry up and disappear overnight. That when we no longer need physical discs and that Best Buy, Wal Mart, and Target will just convert their gaming areas into extensions of their TV department.
As much as I’d like to see games go completely digital, it’s foolish to think that just because you can download games straight to your console, retail game sales are going to disappear. Even if we go completely discless with the next generation of consoles, retail stores will continue to play an important part of the gaming ecosystem.
Why you ask? Well because there are at two major factors that I think plays an important role in keeping the retailers in the game.
The first is that retailers aren’t just going to let Microsoft, Sony, and Nintendo create a new ecosystem where they don’t get a cut of the pie. Retailers are important because console makers need a place to sell their hardware and accessories. Given the small margin on hardware, they are going to leverage the various console makers into providing at least some mechanism for people to buy games at retail.What is the future of Video Game retail packaging Continued »