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 :

Shout box

You're not permitted to post shouts.
prh99Steam has added a curator system. You can follow your favorites and see their recommendations http://store.steampowered.com/curators/09/22/2014 - 9:07pm
MaskedPixelantePlus there's the whole "we don't use accounts" thing that means if you lose your 3DS and have to get a new one, you have to deal with Nintendo customer service to get your downloads back instead of, you know, logging in and downloading them.09/22/2014 - 8:39pm
MonteIndeed. Their wallet system, the lack of sales, applying tax, the lack of price cuts, the eshop is pretty terrible. Only use it for indie games.09/22/2014 - 8:29pm
Andrew EisenThat's the one I'm eyeballing. Really dug the demo. Didn't care as much for EOIV though.09/22/2014 - 8:19pm
MaskedPixelanteOoh, an Atlus sale, it must be a day that ends in "y". I'd much rather get physical 3DS games because of Nintendo's outdated digital distribution policies, but EOU is near impossible to find anywhere nowadays... conflicted.09/22/2014 - 7:48pm
Andrew EisenOooh, Atlus sale in the 3DS eShop. I might have to bust open my piggy bank. http://www.siliconera.com/2014/09/22/shin-megami-tensei-iv-atlus-games-sale/09/22/2014 - 7:21pm
Matthew Wilsonhttp://www.pcgamer.com/2014/09/23/steam-update/ steam finally adds content Curation. I like that the user can pick which peoples recommendations they want to see.09/22/2014 - 7:16pm
MaskedPixelanteNintendo put three dual-gendered characters in Smash Bros 4.09/22/2014 - 7:13pm
Andrew EisenWhat did Nintendo do thrice in one game?09/22/2014 - 6:48pm
MaskedPixelanteYou know it's a bogus defense when Nintendo of all companies does it THREE TIMES in one game.09/22/2014 - 6:29pm
E. Zachary KnightIt is stupid that they went with the "It would be too much work to add a woman assassin" defense rather than just being honest and admiting they didn't think about it until it was brought up.09/22/2014 - 6:06pm
E. Zachary KnightYeah, this is a different game and it is not out of the ordinary for them. THey did the same for the pirate one.09/22/2014 - 6:05pm
MaskedPixelanteTurns out it's less "impossible", more "part of the season pass, but only in an exclusive game that's separate from ACU proper".09/22/2014 - 6:01pm
MaskedPixelantehttp://www.joystiq.com/2014/09/22/assassins-creed-unitys-season-pass-includes-game-set-in-china/ Remember how Ubisoft said it was impossible to have playable females in Assassin's Creed Unity?09/22/2014 - 5:59pm
ZippyDSMleeIf publishers didn't play the region lock game then it would not be an issue.Tho I have seen more russian/chec games than asia ones on ebay.If they do not like it then mabye lower thier region prices to make alitte vrs none.09/22/2014 - 9:54am
MaskedPixelantehttp://hexus.net/gaming/news/industry/74981-pc-game-code-stripping-widespread-says-report/ Thievery, or perhaps the very idea of capitalism? You decide!09/22/2014 - 9:47am
MaskedPixelantehttps://www.youtube.com/watch?v=oDPCmmZifE8 John Oliver exposes Miss America.09/22/2014 - 9:00am
james_fudgeI reiterate now - not one email to-date.09/22/2014 - 8:37am
james_fudgeAnd this: https://archive.today/uIjwE09/22/2014 - 8:37am
james_fudgeLet me put this here: https://archive.today/hbtQJ09/22/2014 - 8:35am
 

Be Heard - Contact Your Politician