Can anyone tell me why flexible pricing is good in every industry except videogames?

Because higher price doesn't mean a better game ?

I am ok with higher price hardware that brings something to the experience.

A triple A full price game will not necessarily better than a smaller and cheaper Indie title.
FREE rant on Mario : Nintendo is just once again dropping the same Mario kart game they have for years, price it higher than any other game. They just want money, not push further the media.

I see your point about what you mean about pushing the industry with higher price, but it shouldn't apply to the software. But to the hardware.
 
I see your point about what you mean about pushing the industry with higher price, but it shouldn't apply to the software. But to the hardware.
I don't value hardware at nearly the rate I do software. My PS5 is unappreciably better than my PS4. It was a terrible value from my perspective.

The value I derive from Fortnite is exponentially greater than the value I derive from Resident Evil 2 Remake...I game I foolishly bought for $9.99.

The plastic box is all but dead imo.
 
when you can see the quality of the materials in luxury brands that include great tech, great aesthetics you can attest the product is worth the extra premium price. You mentioned trek and Mercedes Benz. Those are high quality products with innovating tech. If you can afford them you buy them.

But when any company wants to charge premium prices just because it comes from their balls and the product doesn't include the high quality materials nor the great tech, People even if they can afford
It they aren't going to play ball unless they are dumb.

Nintendo is crazy for trying to charge that much, people enjoy their games but they are not stupid, they are realizing that they are not that great. And are not willing to pay that much for Nintendo quality standards and old ass game technology.

Crazy greedy bastards. 80/90 dollar games.
 
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Actual footage of the topic creator at home

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The value I derive from Fortnite is exponentially greater than the value I derive from Resident Evil 2 Remake...I game I foolishly bought for $9.99.
But I get way more value with REmake 2 than Fortnite. Values of games is subjective. So the pricing should be a reflection of their value.

Hardware is more objectively quantifiable
 
Why aren't we seeing higher prices in games?

You're asking this question when Nintendo is company non grata this week? Seriously?
Yes, I'm asking why *you* think the 'luxury pricing' model you are suggesting (pricing akin to a Ferrari in the car market) isn't already used in the video game market?

Is it really your view that multinational companies have eschewed a more profitable business model / an entire 'luxury game' segment for decades because some people might be mean about them doing it?

Is it not slightly more rational to believe that the absence of $200, $500, $1000 price point 'luxury games' suggests that there is in fact no profitable (or 'more profitable') market for them?
 
Nintendo's best games were 60€. Now Mario Kart World is 90€. When you charge +50% (PLUS FIFTY PERCENT) in one go, your customers aren't going happy. It's that simple.
Also video games have already "flexible pricing" : go on Steam or PS Store and you'll see games from 5€ to 100€, and that's not the problem.
 
The fact is, if you take a neutral look at things, the inflation that ravaged the USA in 2021-2023 largely avoided the videogame industry. The game consoles launched in 2020 and the companies held prices steady here (but did raise prices in Europe). They installed a price increase for games to $70 but did not go further. The first two consoles we have gotten since then were the PS5 Pro and the Switch 2 and no surprise they are a massive price increase over the old ones. PC gaming hardware is practically unaffordable at this point. This is what has happened across the entire economy. It's why everyone hates inflation so much.

Nintendo is crazy for trying to charge that much, people enjoy their games but they are not stupid, they are realizing that they are not that great. And are not willing to pay that much for Nintendo quality standards and old ass game technology.
This is ridiculous. The Switch 2 isn't for sale yet. All we know so far is that there are screeching whiners on the internet. We simply have no idea if this is going to translate to lack of demand for Switch 2. In fact, I would argue a lot of the screeching whiners are going to buy the Switch 2.
 
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I think this is the difference between different types of durable goods. A good Mountain bike that is well maintained can keep its value longer than a video game. Much of a games value revolves around hype. I guess a games value and a bikes value can relate in terms of craftsmanship and and development time. A well made bike has more value than mass market bike. Maybe you could charge more for a well made game. But market forces and research tell the companies that the price should be X. Nintendo clearly thinks the time is right to charge more and market forces can bare it. We will see.

$100 GTA should be an interesting marketing blitz.
 
Can you address how the industries in the OP would benefit from a low standardized pricing structure?
I don't know what you are trying to prove or argue about - flexible pricing (aka towards the top, not the bottom) could indeed be beneficial if it drove innovation. How did that work for videogame industry?

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Here's a game that shits on all of the enemy AI in a AAA product nowadays:

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It came out 20 years ago. Can you tell me where did all these increased budgets go and likely you think they will go if the price is pushed even further?

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Except it won't, because huge portion of the market are home consoles not running 5090. Hell, you indirectly used Nintendo as a catalyst for this thread:

I don't understand the pushback against higher prices in games.

A company that sees high-end graphics as anathema. As you can see Nintendo is not charging you $90 for 4K/120FPS Mario Kart, it's charging you $90 to increase their profit margin.
 
This is ridiculous. The Switch 2 isn't for sale yet. All we know so far is that there are screeching whiners on the internet. We simply have no idea if this is going to translate to lack of demand for Switch 2. In fact, I would argue a lot of the screeching whiners are going to buy the Switch 2.
I am not talking about the console, I am referring to 80/90 dollars games, if that was not clear, I should have been clearer.
People is not complaining about the sw2 price, they are mad because the game prices and all the expensive shit around it.
 
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But I get way more value with REmake 2 than Fortnite. Values of games is subjective. So the pricing should be a reflection of their value.
You're only halfway through the point of the OP. You, I presume, would bualk at the idea of the new Resident Evil being $90 or $120 dollars. I want Marathon to charge for Runners because I know the equation. My appreciation of Marathon will likely be far greater than your appreciation for the next Resident Evil. I'd be willing to pay more because I naturally vote with my wallet. I also know that these companies will produce better games if they can extract more money from the market.

Capcom looks at you as an annoying problem to solve. You're not willing to pay more for the games you like.

Bungie looks at players like me as a wonderful opportunity. I'm willing to support the games I like.

This is your dilemma, not mine.

Hardware is more objectively quantifiable
While true, it's meaningless. We don't derive pleasure or value from things that are objectively quantifiable.
 
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You haven't addressed how the enthusiast industries listed in the OP would benefit from an low standardized pricing structure.

It's almost like people are avoiding the premise of this very thread because they can't formulate a counter argument.
Ah sorry.
It's because games don't matter at all.

I was trying to make the point the vehicle industry matters a vast amount to the world industrys where as gaming has no effect on anything.
That's why I belive game industries need to be very careful about it's pricing.
 
Yes, I'm asking why *you* think the 'luxury pricing' model you are suggesting (pricing akin to a Ferrari in the car market) isn't already used in the video game market?
I do think it's being used. I just don't have a problem with it because I do very basic economics with every game purchase. How much value will this product give me and how much am I willing to spend.
Is it really your view that multinational companies have eschewed a more profitable business model / an entire 'luxury game' segment for decades because some people might be mean about them doing it?
You misunderstand. I don't care about the "meanness". I care about the logic of the consumer. I'm not trying to contact big multinational companies and comfort them because I don't care about their feelings. I care about gamers illogical view of a very basic equation. I'm trying to understand YOUR viewpoint, not Tencents. I understand the logic behind Tencents decisions because they're logical.

Is it not slightly more rational to believe that the absence of $200, $500, $1000 price point 'luxury games' suggests that there is in fact no profitable (or 'more profitable') market for them?
I believe gaming is still a nascent medium and is leaving a lot of money on the table. I believe old mentalities like those found on NeoGAF are slowing industry innovation and creativity because most of you only want what's already been done.

That said, I do think the train of progress has built up too much steam at this point and the old mentality will continue to fade year after year.
 
I believe gaming is still a nascent medium and is leaving a lot of money on the table. I believe old mentalities like those found on NeoGAF are slowing industry innovation and creativity because most of you only want what's already been done.
50-year old industry with billion dollar companies is not nascent.
 
It's because games don't matter at all.
None of the enthusiast industries listed in the OP matter at all.

Ferrari doesn't make the world a better place. They are uncomfortable, unreliable cars that have very low utility. They're an enthusiast vehicle just as games are an enthusiast entertainment medium.
 
As others have mentioned there's a difference between:

- Well engineered products, built to last with quality parts. I mean just look at mountain boots. You can save money right now by buying a cheap & shitty boot. Or you can save a lot of money in the long run by buying quality boots that will last for-fucking-ever with a bit of maintenance...and give a superior experience to boot. (puntastic mofo)

and

- The entertainment business at large and creativity specifically. Where production cost does not correlate to quality in any shape or form. Where trend-chasing and over-produced graphics run rampant. And with rising cost the more important it becomes to hit mainstream for the publisher, aka you get slop produced by committee. Some exceptions exists of course, spearheaded by passionate, talented, people. But they are a rare breed and never more then one perceived flop away from losing any pull they have.

Ahem...lost my own point a bit there in my rambling. Sorry. 😅

But in essence, in a world where we could trust this industry with claming AAAA quality for AAAA prices I would agree with you for sure.
 
None of the enthusiast industries listed in the OP matter at all.

Ferrari doesn't make the world a better place. They are uncomfortable, unreliable cars that have very low utility. They're an enthusiast vehicle just as games are an enthusiast entertainment medium.
Ferrari have created many things that have contributed to the wider society.
They invented the semi automatic gear box which is somthing massive in the transport industry and everyday life for people.

Also: Ferrari doesn't represent the entire vehicle industry just as Nintendo doesn't for gaming.
 
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Ferrari have created many things that have contributed to the wider society.
They invented the semi automatic gear box which is somthing massive in the transport industry and everyday life for people.

Also: Ferrari doesn't represent the entire vehicle industry just as Nintendo doesn't for gaming.

Well I guess online multiplayer games help keep friend groups together post high school / college as well. So they both seem to have benefits on society.
 
To the fruit fly, 12 hours is half a lifetime.

Game design is still an infant.

Let's say a game publisher wants to take on your idea. They want to build a luxury video game that will sell at a premium price.

How do you go about this. What does the game look like? How do you market such a game?
 
Let's say a game publisher wants to take on your idea. They want to build a luxury video game that will sell at a premium price.

How do you go about this. What does the game look like? How do you market such a game?
Marathon at $40 dollars per Runner.
Star Citizen at $500 dollars per ship.

You market these games by getting people to say "This looks awesome. I can't wait to jump into that world. What are my options?"

I don't see how single player can do it. The best thing single player can do is charge an extra $50 dollars (or whatever amount) for a week of early access and a comic book. Not saying it's impossible, but the path isn't clear like it is for MP.
 
You're only halfway through the point of the OP. You, I presume, would bualk at the idea of the new Resident Evil being $90 or $120 dollars. I want Marathon to charge for Runners because I know the equation. My appreciation of Marathon will likely be far greater than your appreciation for the next Resident Evil. I'd be willing to pay more because I naturally vote with my wallet. I also know that these companies will produce better games if they can extract more money from the market.

Capcom looks at you as an annoying problem to solve. You're not willing to pay more for the games you like.

Bungie looks at players like me as a wonderful opportunity. I'm willing to support the games I like.

This is your dilemma, not mine.


While true, it's meaningless. We don't derive pleasure or value from things that are objectively quantifiable.
I am willing to pay way more for games I appreciate.

For me more money will not mean necessarily better game. We see with all the big AAA of recent year which are just stagnating (again for me because it's subjective).

I preorder Clair Obscur Expedition 33 because I know I will enjoy it and I would have likely to pay more to reward the developer.
Same for SilkSong. I don't the price but I wouldn't have a problem to pay more for it because the first one surpass all the big games from modern years for me.

I also buy some additional content for Helldivers 2 to support them.(thing I almost never do for other games)

I am all for rewarding dev that make good games (for me).

But when I see a mediocre game (in my eyes) being priced above others games, I don't want to support it.

Also I don't know why I assume a lot of things about my way to buy game while you don't know me at all.
 
Marathon at $40 dollars per Runner.
Star Citizen at $500 dollars per ship.

You market these games by getting people to say "This looks awesome. I can't wait to jump into that world. What are my options?"

I don't see how single player can do it. The best thing single player can do is charge an extra $50 dollars (or whatever amount) for a week of early access and a comic book. Not saying it's impossible, but the path isn't clear like it is for MP.

So we're talking about online games only.

Games that already a vast number of ways to squeeze money out players.

IIRC, Star Citizen already sells ships at crazy prices, but they're optional.

Marathon will most likely be a dud anyway, but 40 for a runner? If you can just pick one runner and play the whole game with that single choice then that's probably not so bad. It wouldn't be unheard of. It's certainly not like buying a luxury car.
 
When they move from physical to digital games, they didn't reduce the price of the game.
When they start to remove features from the base game and put it in DLC, they didn't reduce the price of the game.
When they start to charge us for online game, they didn't reduce the price of multiplayer games.
So I don't really care what's going on behind. They are really just looking how much they can charge before people give up.
 
OP is now saying that my shit box Toyota Corolla would have been a luxury car if I had received it one week sooner by paying extra.

Genius.

I don't know where this thread is going anymore.
 
I am not talking about the console, I am referring to 80/90 dollars games, if that was not clear, I should have been clearer.
People is not complaining about the sw2 price, they are mad because the game prices and all the expensive shit around it.
Okay, well, the only thing I will say is that people are already paying $80/$90 for games, it's just hidden behind timed walls ("deluxe edition to play 3 days early!"), DLC, battle passes, etc. You buy a new game for $70 today and you aren't getting the full game more often than not.
 
OP is now saying that my shit box Toyota Corolla would have been a luxury car if I had received it one week sooner by paying extra.

Genius.

I don't know where this thread is going anymore.
I mean it's all about perspective.
OP might only have a shitty pushbike.
So you can see his point....
 
is this because of the nintendo little drama?

well, Mario kart should cost $40.

if they are selling it at $80, every Sony AAA game should cost like $150 and GTA6 $300.
 
Variable pricing as per the quality of the product should exist, in an ideal world only.
You give these guys your hand and they will eat the entire arm. Simple. Nobody is playing fair here except the paying customer.

I always boil this down to, Gaming is as close to legal gambling you could be and is a entertainment product much more influential than movies and TV shows on how it affects your brain deeply. Much more easier to exploit so you gotta take any victory you can get.
 
Variable pricing should be like variable shaders, it should go down from the max/full price, in this case 70usd/ industry standard, if game isnt top of the top budget/graphic fidelity wise, aka switch2 games, it shouldnt go up xD
 
How much would you sell GTA VI for?
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I lack the necessary information to make an informed judgment. As a SP product probably $80 with an early access special edition to milk the whales.

What percentage of their revenue comes from GTA Online? How will that be priced and when will it release?

SP gamers are more difficult to monetize more.
 
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I lack the necessary information to make an informed judgment. As a SP product probably $80 with an early access special edition to milk the whales.

What percentage of their revenue comes from GTA Online? How will that be priced and when will it release?

SP gamers are more difficult to monetize more.

80? That's probably what people are expecting anyway.

Varied pricing already exists in games. Brand new first party Sony titles can sell for £70. Some games are cheaper. Depends on the game. It's been like this for years and years. Games are priced at what publishers believe people will pay. If GTA VI sold for £150 then it would tank in sales. People aren't prepared to pay that much for a video game.

I thought you wanted high grade luxury priced games, like 150 a pop. It doesn't seem that you're suggesting anything new or revolutionary.
 
I don't mind flexible pricing if that also means some games are below standard pricing. Never made sense to me that a sports game cost $60-70 when very little changes. Some shorter games would be fantastic at $50 rather than $70. If some are also more pricey, it would be fine if it was justified. If not, then they can fail.
 
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Because games are attached to hardware. They work for one hardware and one hardware only. I presumably, can't transfer the license I have of playing games in one console to the other. And plenty of games from Nintendo goes beyond the 60$ price tag, but guess what: they come with toy car, mounting kits, accessories, etc. Nobody complained because it added value.

Nintendo is offering the same games that look basically for 50% higher prices. If want premium price, do premium work.
 
Its this mentality in gaming that gets us boned.
Movies cost alot to also make - blurays get released. I can rewatch a movie more times than i play a certain game. Disposable entertainment
There is no need for variable there.
 
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You haven't addressed how the enthusiast industries listed in the OP would benefit from an low standardized pricing structure.
None of the industries you offered as examples are comparable.

If you want the demand for 'luxury product' to be met in an industry (all of your examples) with a high variable unit cost, the sale price has to be at least that high.

If you want the demand for 'luxury product' to be met in an industry with ~0 variable unit cost, the sale price does not have to be high and making it high may not be optimal. The reward for making a luxury product (compared to a lower quality one) can instead be greater from selling more units than from significantly raising the price.

Your logic is 'this approach would not benefit these other industries, therefore it cannot be the right one for the games industry'. It is a flawed conclusion because it ignores that they are fundamentally different businesses (see above). I'm sure many of your examples would love to sell the exact same quality product at half the price and subsequently sell 5x as many units while incurring negligible extra cost, but until they figure out how to ctrl-v unlimited bikes/cars/guitars out of thin air they don't have that option.

I would think if we were to see a game priced multiples higher than we are used to, it would be for something very niche (a small sales cap no matter how good it is) rather than something with mass appeal but just 'better' or longer.
 
I think it's a good idea, but a huge percentage of gamers are complete broke-asses who bitch about literally everything so the industry has largely stayed away from it. It's the reason nobody can make money in this industry and players that could be major (like apple) have stayed away.
 
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