- The used games market has always been something of a problem for games publishers and developers as there is a certain belief that the respective market undervalues their work.
However, Bob McKenzie
of GameStop has trashed such thoughts. He admits that used games are a very profitable part of GameStop's business, but there is a benefit for the publisher in what they call the "circle of life."
The reason being is that the trade-ins GameStop get help to drive and accelerate sales for new games as well. To quote:
Multiplayer: Sales of used games are a big part of GameStop's business. What do you say to people who say that selling used games undermines the value of the work done by publishers and developers?
McKenzie: The used games, as reported in our financials, are a very profitable part of our business. The major benefit, not only for us but for the publishers as well, is what we call a "circle of life." The trade-ins we get from used games help to drive and accelerate sales for new games as well.
I've got an eight-year-old boy who's very much into gaming on all formats. [The used game trade-in option is] really neat. It's not just teaching him some economic lessons hopefully at a young age but it's really about having a broader assortment of...