X-One used games policy detailed - private sales impossible

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Segatarious1
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X-One used games policy detailed - private sales impossible

Postby Segatarious1 » May 24th, 2013, 8:01 am

  http://www.mcvuk.com/news/read/publishers-to-receive-cut-of-xbox-one-pre-owned-sales-at-retail/0116137

A gamer walks into a retailer and hands over the game they wish to sell. This will only be possible at retailers who have agreed to Microsoft’s T&Cs and more importantly integrated Microsoft’s cloud-based Azure pre-owned system into its own.

The game is then registered as having been traded-in on Microsoft’s system. The consumer who handed it over will subsequently see the game wiped from their account – hence the until now ambiguous claim from Phil Harrison that the Xbox One would have to ‘check in’ to Microsoft’s servers every 24 hours.

The retailer can then sell the pre-owned game at whatever price they like, although as part of the system the publisher of the title in question will automatically receive a percentage cut of the sale. As will Microsoft. The retailer will pocket the rest.

Unconfirmed reports on ConsoleDeals.co.uk suggest that retail’s slice will be as little as ten per cent. That’s a significant cut from what it has become accustomed to from pre-owned sales and more in line with what they would receive from the sale of a new game – hence, the value of the pre-owned market to the retailer is effectively destroyed.


These same unconfirmed reports also suggest that the activation cost for consumers buying or borrowing pre-owned software will be £35.


I have no pity for places like Gamestop, but then they are still getting some business, it's the private buyer making the whole thing go that loses out entirely. This new way of doing things is going to create some very negative feedback from the buyers of Xone who go into this blind.


darkrage61
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X-One used games policy detailed - private sales impossible

Postby darkrage61 » May 24th, 2013, 12:40 pm

Well it's good to know you can still trade in at retail, but i'll bet Gamestop is going to play hardball over this, demanding a higher cut from sales or they won't sell the system or any of it's games period.

Atarifever1
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X-One used games policy detailed - private sales impossible

Postby Atarifever1 » May 24th, 2013, 3:30 pm

I like the idea of publishers getting in on the market, as that implies they will stick with physical, as they can control it, sell it twice or three times without hearing price complaints like they do for downloads, still package overpriced special editions, and get a return on the resale without even having to do any work.  They'd be crazy not to put out physical discs that they could then overcharge for at every point. 

However:

I absolutely, positively hate the details we have just seen.  If the high activation fee is a real thing, that is going to really, really hurt everyone.  The entire industry.  Because, see, it is price fixing.  Plain and simple market disrupting price fixing.  The hardware makers and software publishers are fixing all minimum prices on used, which disrupts honest market prices for old games while taking away much of the capital customers use to fund further purchases in the market.  I'd be kind of okay with them saying Gamestop or whoever have to give them 50% of the sale price, and they are free to figure out for themselves what that price should be, and to leave the consumer out in any way other than passing on part of the final price at the counter.  That's still kind of mean, but if it would shut up the attack on used games, and would help keep physical games around, it'd be okay I guess.  Then the market would find the correct price that gave consumers the best deal, and Gamestop, MS, and publishers the most possible money.

Setting the minimum price kills all that.  Used games will go unsold, Gamestop will see their stock plummet, consumers will be asked to pay way too much, and the loss of the extra capital combined with high prices will finish off the console market. *slow clap*

Atarifever1
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X-One used games policy detailed - private sales impossible

Postby Atarifever1 » May 24th, 2013, 4:34 pm

Also, I was just thinking, is this the Wii U's killer app at this point?  If Sony follows MS, wouldn't it be in the best interest of a company with the marketing, shelf space, and money of Gamestop to try to entice as many buyers as possible toward the far less restrictive Wii U, which will let them continue business as usual?  And even without trying, won't their shelf space, of necessity, start to have a lot more Wii U games (given the used market still existing normally there) than anything else, making that the most visible system?  It doesn't guarantee the Wii U huge sales, but it certainly gives them a lot of help from a very powerful, and unlikely, ally. 

That is, unless the PS4 doesn't follow Microsoft into crazy land.  If Sony doesn't follow, which is unlikely but not impossible, MS is toast.  Gamestop will simply show MS the door and tell them to shag right off.  

The thing that works better for Nintendo than Sony in any case is that Nintendo is already used to publishers ignoring them, so it's not like the publishers can do a lot to force Nintendo's hand.  What's EA going to say? "We'll keep our no games for your system off of your system."  Still, if BOTH Nintendo and Sony said "no," and Gamestop made it clear who would get shelf space, special deals, and flyer space, publishers might find they have less power here than they would like to believe.  

Then there's Wal-Mart.  More "new" sales might look good for them, but I'm pretty sure they see this "install the disc, check with the servers, tie it to the cloud" thing for what it is, as regards pushing toward digital and cutting them out altogether.  I wonder what they'll do if MS finds itself stranded with this strategy.  It'd be pretty easy for places like Wal-Mart and Target to make an example of a MS that exposed itself all alone like that; just to make sure no one else got any uppity ideas about cutting out retailers.  And it could pick and choose with the games then too, to make sure no publishers forgot themselves again either. 

I have to admit, I really, really hope MS finds itself alone here, and it and its publishing allies find themselves so badly beaten they set digital console distribution back a decade. 

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X-One used games policy detailed - private sales impossible

Postby VideoGameCritic » May 24th, 2013, 5:26 pm

This article doesn't make me feel any better.  It's not as much the cost as it is the fact that you never have ownership of the physically media you spent real money on.  

You are at Microsoft's mercy - and possibly the publisher.  They can set the "trade" price to whatever they want.  Raise it at any time with zero notice.  Or they can deny the trade.  

And once their servers go down in the years ahead, those discs will turn into worthless coasters.

Do NOT let them fool you into thinking this is a reasonable system.

Shogun1
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X-One used games policy detailed - private sales impossible

Postby Shogun1 » May 24th, 2013, 5:57 pm

Just goes to show you that we are seeing a game industry that cares more about what they want to do than the customer. Third parties are on board with this. PC Gaming is already like this. Steam entices you with big markdowns on games but you are only licensed the game, you don't own it and are at the mercy of Steam. The only difference is that XBone might not have the temptation of big markdowns on games but I'm sure when all this blows up in Microsoft's face that they will try this. PC Gaming was the guinea pig and now it is coming to console gaming. I'll buy an Apple PiPPin before I buy a console that doesn't let me own the games I spent money on.

darkrage61
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X-One used games policy detailed - private sales impossible

Postby darkrage61 » May 24th, 2013, 9:18 pm

Well I think it sounds reasonable enough as I don't particularly care all that much about physically "owning" a game like some, as long I get to play it, i'm fine with it, i'm not being "fooled" or anything.  I'm not a collector like most people on here, so I don't plan on keeping the One after it's shelf life expires.

Rev1
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X-One used games policy detailed - private sales impossible

Postby Rev1 » May 24th, 2013, 10:47 pm

I dunno, there is always a game or two each generation which I replay over and over again and knowing that, that game's life is on an expiration date kind of ruins the whole appeal of collecting.

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X-One used games policy detailed - private sales impossible

Postby VideoGameCritic » May 25th, 2013, 12:13 am

[QUOTE=darkrage6]Well I think it sounds reasonable enough as I don't particularly care all that much about physically "owning" a game like some, as long I get to play it, i'm fine with it, i'm not being "fooled" or anything.  I'm not a collector like most people on here, so I don't plan on keeping the One after it's shelf life expires.[/QUOTE]

I respect your opinion and I think it's important that we have people like you to present different sides of the argument.  I think a lot of people think the same we you do.    You play the latest game and then move on.  I had this mindset for a long time (20+ years).  Who would want to play an old game?

In retrospect I REALLY wish I had kept all the games I originally bought.  

Some time in the future you might look back fondly at some old game you bought 10 years before.  And when you realize you can no longer play it, you might realize why people like me "put up a fight".  

Then again, maybe you won't.  Everybody's different.


Irenicus1
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X-One used games policy detailed - private sales impossible

Postby Irenicus1 » May 25th, 2013, 12:20 am

As already stated lack of ownership and collecting really makes this policy undesirable. I have something else to add; that is the hassle involved with all of this.

One of the reasons I don't want my consoles online is that I don't want updates or extra menus. Discs take long enough to load as it is. Now anytime you buy a game new or used you're going to have to verify it online. What a total pain in the butt. I thought the passwords from the NES were bad.

No way am I doing this. Remember when you could look under your cap and it would say "Instant Winner" & you could take it to the cashier and they'd grudgingly give you another Coke? Now you get some lame password that you can barely read. I've never redeemed any of those lame passwords. By not redeeming those passwords I've probably missed out on a lot of free colas & ya know what?.......They just weren't worth it.


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