PostalGamer.com Aims to Revolutionize Used Game Market

[Hevva]

PostalGamer.com Aims to Revolutionize Used Game Market

A new online store set to launch this this fall aims to give publishers access to a share of the $2 billion used game market - and put an end to the existence of one-use codes.


PostalGamer.com has the revolution of an industry in its sights. The site intends to allow gamers to trade in their old games and buy new ones via pre-paid envelope much like Netflix, but with one crucial difference: If games publishers sign on to the scheme, they could stand to make 10% of the profits earned from second-hand sales of their games, money which could mean that they no longer need to use "online passes" [http://www.escapistmagazine.com/news/view/111500-Sony-Gets-in-on-Online-Pass-Action] or similar restrictions to ensure profit from second-hand sales. In order to receive revenue from the site, publishers would have to start packaging PostalGamer envelopes with their new releases.

"Right now, gamers are kind of at war with publishers," said Mike Kennedy, co-founder of PostalGamer. "It really shouldn't be that way." He also insists that because of their lower operating costs, the site will be able to offer gamers a better deal than they can find at Gamestop or other retailers.

As neat as the idea seems, some industry analysts are worried that publishers can make enough money from one-use codes to not have to bother with PostalGamer; Kennedy himself has admitted that nobody has signed on yet, though he has had "fruitful" conversations with some of the bigger companies. Regardless, the idea stands as an amicable solution to the dispute over second-hand profit and one-use codes, one that offers gamers the chance to buy a game second-hand while still reimbursing the developer - and if it succeeds, it could change everything about the market.


Source: Wired [http://www.wired.com/gamelife/2011/08/postal-gamer-used-games/#more-37925]


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[Riff Moonraker]

This could be something big! I will be keeping an eye on this, for sure.

 

[Jake Martinez]

Worst business idea ever. Publisher are actively trying to stop the game resale market and since they control distribution, they will win this fight eventually and on their terms, which will include not sharing any of the profit with anyone else.

 

[intheweeds]

YAY! Oh wow who was that guy who made a thread suggesting this not two days ago!

If this is open to Canadians, I am all over this.

 

[Strixvaliano]

It's a service I'd probably never use but I hope his company does manage to get some game companies to sign on, it's a great idea if executed properly. Then again I don't foresee the publishers wanting to do this since they seem to want to control every aspect of the software they release... when you can play, how you can play, trying to stop/curb resale of the goods, etc.

 

[Irridium]

Look Publishers, here is a way for you to finally get some money from used games.

If none of them sign on, and continue to complain about used games, I will forever lambast them for it. Here is chance to actually do something that doesn't involve screwing over any kind of consumer.

If they pass this up, then publishers have no damn right to ***** about used sales anymore.

 

[Irridium]

They should probably rethink the company name. I'm not sure that the word postal evokes the right sort of image.

What? A postal service?

What's wrong with postal services?

 

[fanklok]

Why would Publishers want to have 10% of the profits if they can have 80-90% doing Digital Distribution or 40% using Retail? If this takes off it'll just decrease the time period it takes for them to implement one-use keys in all their games.

10% of used games sales which they currently get 0% of. The reason those one time codes are being used is because publishers are getting pissy over not getting any money from the second hand market and need to make buying first hand "better". Right now they get $25 from retail once per copy, with this they'll get that 25 plus a portion of the second hand sales which could reasonably mean one copy could make them enough revenue to equal 5 copies.

 

[S14]

I REALLY want to see this succeed then publishers can drop all this online pass rubbish. But the cynic in me (I'm British go figure) says it wont happen.

 

[dropZero]

Worst business idea ever. Publisher are actively trying to stop the game resale market and since they control distribution, they will win this fight eventually and on their terms, which will include not sharing any of the profit with anyone else.

The only way publishers would be able to win the fight would be to abolish retail and take the entire industry digital. Which I am all for, by the way. But not everyone is quite ready for that to happen, and it might not happen in a way that's pleasing to digital distribution supporters. There is the potential for great frustration and alienation of fans if every greedy publisher tries to open its own digital download service in the never-ending quest for deeper pockets lined with gold. // Fingers pointed directly at EA with copious amounts of hostility.

 

[Micalas]

They should probably rethink the company name. I'm not sure that the word postal evokes the right sort of image.

What? A postal service?

What's wrong with postal services?

Don't give me that. You can't tell me the name didn't evoke images of gamers going postal. Especially with all the violent videogames = violent people coverage that goes around.

 

[GiantRaven]

So let me get this right...send in used games and get new games? Where do the used games go?

Am I missing something here?

 

[bombadilillo]

Whats to stop companies from signing on to this and still using onetime codes? Until this thing blows up more then the conveniece of a local Gamestop, then it wount affect anything. I like the direction however so well done.

But seriously. I want to sell my game, I go online, order an envelope, wait a day or 2, mail it 1 day, wait a day or 2 for them to verify the game I turned in isnt scratched/empty box. I get credit to order a game and wait a few days to get a game back...

Thats a week turn around at least compared to driving to the local stripmall. Not leaving your house is convenient, waiting a week is not.

 

[bombadilillo]

So let me get this right...send in used games and get new games? Where do the used games go?

Am I missing something here?

New as in "New" to you. Or actual new games like you can buy with used game credit at any other store like this.

 

[Irridium]

So let me get this right...send in used games and get new games? Where do the used games go?

Am I missing something here?

The used games go to a warehouse, where they stay until someone buys them using the the PostalGamer website.

And you send in used games, so you can save up enough money to buy new games. Kind of like what people do by selling to Gamestop.

 

[weirdee]

Considering that to publishers, "winning the fight" would effectively destroy the business of the largest distributor Gamestop, I don't think that's something they would be doing any time soon.

 

[Jake Martinez]

Considering that to publishers, "winning the fight" would effectively destroy the business of the largest distributor Gamestop, I don't think that's something they would be doing any time soon.

Are you joking? What company wouldn't put the stake in the heart of a retailer when they are sharing the revenue from the sales 40/60 with them?

In the future digital distribution (download or streaming) is going to be the only way to get a game aside from ordering a physical copy direct from the publisher. They have all the incentive in the world to do this and the moment the digital sales surpass the physical sales is the moment we can start tipping our 40oz's out for Gamestop.

 

[ryo02]

this Im on board with hopefully the end of drm and pre order bonuses.
unless they get greedy and decide to keep using the online passes anyway .... if they do ... fuck em.


quick someone tell ID to do this instead of locking out parts of the single player.