Analyst Pegs U.S. Used Games Business at Nearly $2B

October 15, 2010 -

The Street is running a three part series on the popularity of second-hand goods in a down economy and, in the second part of the series, which focuses on the used videogames market, Wedbush analyst Ed Woo pegged 2009’s used videogame market at “close to $2 billion.”

Woo said that figure represented 10 percent growth and added that he expects the sector to grow again in 2010. The article further claims that GameStop, which does not break out used videogame sales in its financial results, “bases nearly 80% of its bricks-and-mortar business on trade-ins.”

The used games market, in a statement attributed to Scott Steinberg, CEO of the Tech Savvy Global consulting firm, “is costing game developers billions of dollars each year.”  Steinberg added that, “The pressure is so crippling, many publishers are trying to find ancillary means and testing out pilot programs that can generate revenue.”

Economist Dian Chu was asked if the prolonged “thrifty behavior” of Americans could have a significant impact on the economy. Chu replied, “We're spenders. I don't believe that saving behavior will change or last long enough to have a significant impact on our economy.”

Of course, the article also claims that the Lord of the Rings Online operates under a monthly subscription model; the game went free-to-play on September 10.

In related news, the website of Fox’s Dallas affiliate features a story on a pair of twin brothers who started a used game business while still in college. The home-based business generated $300,000 in sales last year and the brothers are expecting to hit $500,000 this year.


Comments

Re: Analyst Pegs U.S. Used Games Business at Nearly $2B

And Gamestop probably have at lease 80%of all that money.

http://www.magicinkgaming.com/

 
Forgot your password?
Username :
Password :

Poll

Which group is more ethically challenged?:

Shout box

You're not permitted to post shouts.
InfophileOther features to become standard: The ability to remap controls however the hell I want. Quicksave at any time (especially for handheld and mobile games). Plus everything Andrew said07/03/2015 - 10:43am
InfophileRegion-freeing becomes tricky for games with a strong online component though, especially when the servers are run by different branches in different regions.07/03/2015 - 10:41am
InfophileI'm in favor of getting rid of region-locking for any purchased games. I can understand an exception for free, ad-supported games, as many ads are only relevant in certain regions, and it's a ridiculous hassle to get ads for all regions.07/03/2015 - 10:40am
PHX Corphttp://kotaku.com/payday-2-has-been-broken-on-xbox-one-for-three-weeks-1715384186 Payday 2 Has Been Broken On Xbox One For Three Weeks07/03/2015 - 8:44am
Matthew Wilsonhttps://www.reddit.com/r/OutOfTheLoop/comments/3bxduw/why_was_riama_along_with_a_number_of_other_large/ here is a more complete acount of whats going on.07/03/2015 - 1:32am
Matthew Wilsonredit is on fire right now. most subreddits have been set to private.07/03/2015 - 1:24am
MattsworknameYou know andrew, those are actualy rock solid ideas, I woudl like those features a bunch ,especially with games that a cut scene heavly. looking at you kojima!07/03/2015 - 1:18am
Andrew EisenActually, "things I'd like to see become standard in video games" ain't a bad idea for one of my future YouTube videos.07/03/2015 - 1:05am
Andrew EisenYou know what I'd really like to see become standard? The ability to pause cutscenes. Rewind and skip (with "Are you sure?") would be nice too. Oh, and maybe display the duration of the cutscene when it's paused.07/03/2015 - 1:03am
Mattsworknameonly reason to do region locking now is to be dicks your consumer base. Granted, we see that ALOT these days07/03/2015 - 12:48am
MattsworknameI understand the concerns about the region locking thing, I just thing that if you buy a game legitimately, no matter where it's from or what langauge it's in, you should be allowed to play it. the argument about piracy was proven false years ago, the07/03/2015 - 12:47am
Matthew Wilsonhttp://www.theverge.com/culture/2015/7/2/8888243/reddit-subreddits-private-after-ama-victoria-taylor-fired bad optics by Reddit.07/03/2015 - 12:33am
Goth_SkunkI'm in full agreement on the subtitles issue. I also believe that every game should come with a single-player component, and be playable without an internet connection. Except MMOs.07/02/2015 - 10:51pm
TechnogeekRegion locking bans seem like something that'll be very difficult to pass into law. I'm fully on board with the subtitle requirement, though.07/02/2015 - 10:00pm
MattsworknameFor example, all games with any for form of spoken dialoge should be i subtitled, and region locking in any form should be illegal07/02/2015 - 9:03pm
MattsworknameDoes anyone feel that there should be a set standard for all games in terms of certain basic features. Ie subtitles, region lock, etc07/02/2015 - 9:01pm
MattsworknameSo, now that the Article stuff is over, I want to bring up another subject07/02/2015 - 9:01pm
PHX Corphttps://trustygem.wordpress.com/2015/07/02/windows-10-insider-preview-phase-3/ My Thoughts on Windows 10 Insider Preview07/02/2015 - 6:17pm
Matthew Wilsonhttps://www.youtube.com/watch?t=18&v=CbGmrySQLIg looks like Inafune is giving capcom the middle finger.07/02/2015 - 5:05pm
TechnogeekUnfortunately, the shoutbox moves fast enough that I can't find why I got that impression, so if was indeed erroneous I do apologize.07/02/2015 - 4:34pm
 

Be Heard - Contact Your Politician