{"id":1233,"date":"2010-09-17T17:36:27","date_gmt":"2010-09-18T00:36:27","guid":{"rendered":"http:\/\/paulgalenetwork.com\/home\/?p=1233"},"modified":"2010-09-22T18:06:17","modified_gmt":"2010-09-23T01:06:17","slug":"a-look-at-how-used-game-sales-work-and-make-retailers-so-much-money","status":"publish","type":"post","link":"http:\/\/paulgalenetwork.com\/home\/2010\/09\/17\/a-look-at-how-used-game-sales-work-and-make-retailers-so-much-money\/","title":{"rendered":"A look at how used game sales work and why they make retailers so much money."},"content":{"rendered":"<p><img src=\"http:\/\/app.onlinephotofiler.com\/Img1\/A_0\/0\/5\/5\/5500\/62d8e961861c40e69c582f2d8d4cbb97.Large.jpg?u=572343c1-4617-45a5-a80a-b4953415067d\" alt=\"Used Games = Big Money\" \/><\/p>\n<p>How do used game sales work?  First a shopper picks up a game for say $50, and after playing it, simply doesn&#8217;t want it anymore.  A store that buys and sells used games, like <\/a><a href=\"http:\/\/www.gamestop.com\/\">GameStop<\/a>, will offer that person a figure far less than the original $50 they spent on the game (we&#8217;ll go with $20 for now), and though the person selling their game might be disappointed in losing some money, at least it&#8217;s not the full amount they put down in the first place.<\/p>\n<p>Now comes the used game sale.  The store is able to charge whatever they want for this title, because it being used, no longer has to follow the MSRP (Manufacturer&#8217;s Suggested Retail Price).  If the store wanted to, they could actually make the used game higher (which usually wouldn&#8217;t make sense, but sometimes happens in the case of highly collectible titles that aren&#8217;t available new anymore).<\/p>\n<p>The retail shop may realistically sell this once $50 game for $45.  This means that they made a $25 dollar profit off the game.  You multiply this times millions of gamers and millions of games, consoles, etc., and you quickly see how this business is a lucrative one.  You might ask though, &#8220;shouldn&#8217;t selling a new game for $50 bring in 50 bucks for the store?&#8221;  The answer is no, because if that was the case, how would <\/a><a href=\"http:\/\/www.nintendo.com\/\">Nintendo<\/a>, <\/a><a href=\"http:\/\/www.capcom.com\/\">Capcom<\/a>, and other video game developers, publishers, etc., make their money?  They wouldn&#8217;t.<\/p>\n<p>The truth is, when a game comes out for $50, you end up paying $54 (that extra portion is for tax), and of the first 50, maybe 47 dollars goes to the company that made it, and only 3 bucks to the store.  Now which would you rather make if you&#8217;re a store: 3 bucks for selling a new game or 25 for selling a used game?  The answer is obvious.<\/p>\n<p>If this whole process still doesn&#8217;t make sense, think of these stores that sell used games as your own garage sale.  You make the price whatever you want it to be, because it&#8217;s yours, and you don&#8217;t have to follow a price set up by the original group that made your belongings.  It&#8217;s because of this profitable model that <\/a><a href=\"http:\/\/www.toysrus.com\/shop\/index.jsp?categoryId=2255956\">Toys R US<\/a> is <\/a><a href=\"http:\/\/paulgalenetwork.com\/home\/?p=1236\">entering<\/a> the used game market.<\/p>\n<p><img src=\"http:\/\/app.onlinephotofiler.com\/Img1\/A_0\/0\/5\/5\/5500\/d4d7e3fcbd324edd8d759de523b0d325.JPG?u=fa292304-4e45-4e61-bff2-2c45d7df08fb\" alt=\"Toys R Us\" \/><br \/>\nIt looks like GameStop is getting some competition.<\/p>\n<p>As for me personally, unless the used game is far cheaper than its new counterpart (which doesn&#8217;t happen until a game has been out for a while most of the time), I always spend the $5 more and buy my games new, because I want to support the people that made it first and foremost&#8230;plus, I like my collection looking prestine.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>How do used game sales work? First a shopper picks up a game for say $50, and after playing it, simply doesn&#8217;t want it anymore. A store that buys and sells used games, like GameStop, will offer that person a figure far less than the original $50 they spent on the game (we&#8217;ll go with [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[165],"tags":[],"_links":{"self":[{"href":"http:\/\/paulgalenetwork.com\/home\/wp-json\/wp\/v2\/posts\/1233"}],"collection":[{"href":"http:\/\/paulgalenetwork.com\/home\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/paulgalenetwork.com\/home\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/paulgalenetwork.com\/home\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/paulgalenetwork.com\/home\/wp-json\/wp\/v2\/comments?post=1233"}],"version-history":[{"count":12,"href":"http:\/\/paulgalenetwork.com\/home\/wp-json\/wp\/v2\/posts\/1233\/revisions"}],"predecessor-version":[{"id":1335,"href":"http:\/\/paulgalenetwork.com\/home\/wp-json\/wp\/v2\/posts\/1233\/revisions\/1335"}],"wp:attachment":[{"href":"http:\/\/paulgalenetwork.com\/home\/wp-json\/wp\/v2\/media?parent=1233"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/paulgalenetwork.com\/home\/wp-json\/wp\/v2\/categories?post=1233"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/paulgalenetwork.com\/home\/wp-json\/wp\/v2\/tags?post=1233"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}