Microsoft Says DLC Will "Defend Against Used Games"

[Andy Chalk]

Microsoft Says DLC Will "Defend Against Used Games"

Microsoft [http://www.microsoft.com] says the addition of premium downloadable content for videogames can help "defend against the used games market," ensuring more money for them and less money for you.

Gamefest [http://www.xbox.com/en-US/live/marketplace/] in Seattle, Gendrano said DLC discourages gamers from trading in their games for new releases.

"PDLC [premium downloadable content] helps defend against the used games market and helps maintain your games' prices in the marketplace," he said. "Everyone is aware of the problems with used games. These are dollars which come out of gamers' wallets and don't go back into helping us build better games and tools."

"The longer players play your game, the lower the chance there is that they will trade them in," he added.

Gendrano also pointed out that the addition of DLC significantly increases the revenue generated per game unit sold, claiming the top ten games with premium DLC have earned an extra $18 for each copy sold. "That's significant additional revenue potential through DLC that you can unlock," he said.

Of course, Gendrano's comments might ring a bit hollow for people who don't happen to believe the used games market represents any kind of problem at all (say, for instance, this guy here [http://www.escapistmagazine.com/articles/view/editorials/op-ed/1384-Psychonauts-and-the-Tragedy-of-Used-Games]) but surely Microsoft wouldn't put its own self-interests ahead of a stronger and more vibrant gaming market. Would it?


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[Sylocat]

If I was watching a movie and a fictional corporation pulled half the stuff that Microsoft gets away with on a regular basis, I would say something like, "The movie makes its cliched anti-corporation message with a sledgehammer."

 

[fix-the-spade]

Any minute now they'll try and stop you buying their games altogether. Because buying is the first stage of piracy dont'cha know...

 

[Jhereg42]

He's not saying anything new. He's just saying that if you create DLC, people will play the game longer because the DLC extends adds longevity to the game. They can also charge "expansion" prices for it and get a little extra money in addition to giving us a reason to keep a game longer. The secondary market is scary for developers.

What he is saying is a good thing, in a way. I'd love to see more DLC like "Bringing Down the Sky" for Mass Effect in the future.

In cases of premium contect, like the extra armors you get when preordering Too Human, those items could be sold as secondary content after they are released. After all, they are there to provide a gamer with a reason to pre order first. After they finish that, there is nothing wrong with selling the formerly "free" items for an extra $3 to $5. Even if the units are bought on the secondary market, the developer has a way of earning a little cash from the resale of the DLC.

 

[Andy Chalk]

It's not the DLC that's the issue, it's Microsoft's heavy-handed efforts to crush the pre-owned games market that's troublesome.

 

[Jhereg42]

I have a firm dislike of Microsoft for a lot of different reasons. They are heavy handed and ruthless, the true evil empire of electronics as it were.

In this case, however, I don't see anything wrong with the comments. Create a good game, support it with good premium and extended contect, and you will 'defend' against gamers wanting to trade in and return the game into circulation without the developers seeing any profits.

I know that Windows copy protection and the like has dampened the PC market heavily, and Microsoft shoulders a lot of blame there. In this case, however, the used game market cannot be fought directly because to do so would violate our rights as an enduser. If they are going to 'combat' the market by providing us with reasons not to trade in our games, I'm perfectly alright with that. Nothing is stopping your from trading them in.

In other words, unless they limit the DLC to one lifetime purchase per game serial number this is the correct way for devs to try and increase their profits and increase their overall sales.

 

[Lord Burn]

The way to combat that is simple. Don't buy the game. I rent, (working in a rental store induces this,) and if a game is half-assed, there's no way in hell I'm buying the game, let alone the DLC for it. If you buy a half-assed game, its your own fault.

The only DLC I've bought is the Heroic and Legendary map packs for Halo 3, and that's only to play them with my friends.

 

[BlazeTheVampire]

Well Microsoft... Gamestop hates you too.

What upsets me about this is that they want to curtail the market of Used games at all. Used games are how Gamestop, one of the biggest game retailers, makes their money, because new games don't give them a very high percentage. Microsoft gets a hell of a lot of money through Gamestop with its new releases. It seems really stupid to me that they're trying to do what essentially could lead to Gamestop losing a lot of money and going out of business. It'd be like cutting off a limb for Microsoft.

 

[Andy Chalk]

Microsoft isn't alone in wanting to put the kibosh on the used games markets. It's actually a pretty common fantasy among the industry big boys. I happen to think it's also remarkably short-sighted, a desire for a quick cash-grab in exchange for the loss of a potentially brilliant marketing tool and, as Blaze pointed out, probably irreversible damage to Gamestop (and other retailers in the pre-owned game) which - hey guys, are you paying attention? - is the largest retail channel for games from Microsoft, Sony, etc., on the continent. Which doesn't even take into account the deep feelings of resentment the elimination of used game sales would foster in gamers.

Used game sales are good for gamers, they're good for retailers, and they have the potential to be good for developers. Why Microsoft apparently has such a hard time grasping this is really beyond me.

 

[ElArabDeMagnifico]

half of game stores income is from used games, they are crazy for even thinking that this will even make a dent into the used games market.

 

[Gamer137]

Before you know it, all games will be downloaded and never again put on discs, ending the used game market almost 100%(or at least Microsoft will try and pull an EA move and make you download rights to use there discs so they cant be used on different console.)

 

[PEWPEWGreenLaser]

Before you know it, all games will be downloaded and never again put on discs, ending the used game market almost 100%(or at least Microsoft will try and pull an EA move and make you download rights to use there discs so they cant be used on different console.)

Something like this would make me never ever ever buy a 360 ( or another microsoft gaming product). Ever.

 

[Lord_Jaroh]

I think that GM and Ford and all motor vehicle companies should put the kibosh on all used car sales. I think that all car sales from now on should be from reputable dealers. Of course a baseline car doesn't come with a windshield, but for a small extra fee, we can include that, as well as paint, hubcaps, lights, etc. etc.

Video Game companies are getting too big for their britches, and I am going to laugh and cry when (yes, I said when not if) the market in it's current form crashes hard. It's a good thing that I have a lot of games to play from these past few generations to tide me over during the recovery.

 

[stompy]

Yeh, developers have never really liked used games, but then, it's needed by retailers to survive, what with the majority of their profits coming from the sales of used games.

My main concern is that if the developers get their wish and the sale of used games falls out of practice, then I'm stuck downloading games which will waste my bandwidth and opens up the possibility that a dev could do a half-arsed job and just release patches (like they already do, but worse).