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£55 Not Enough? Try £70

If you thought Activision's near 25% increase was bad, how does 55% sound?

My inbox is usually entertaining and informative; friends send me amusing time wasting emails, I find out where to get cheap blue pills should the need arise and I’ve even won the Nigerian lottery an incredible 27 times this year alone, although I’m still waiting for the funds to clear. This morning however one particular email actually annoyed me.

Former President of Sony Europe, Chris Deering, who is currently on the board of Codemasters has said that triple-A rated new titles should be priced at £70 so that the industry can remain sustainable. Recently here at TheSixthAxis we’ve talked about pricing in several posts after news broke thatat Activision would put a £55 suggested retail price on Modern Warfare 2. The news was made more depressing when we found out that other publishers are also hiking the SRP of a variety of games by £10. Of course this doesn’t mean that this is the actual price you will end up paying, as the current trend for games is that they are on sale for around £10 less than the SRP,

Deering goes on to say “In order to price the games at a level where they would support an industry like they did ten years ago, they’d have to be sold at £70.” explaining that the cost of development is now ten times higher than it was for the PS2 and 20 to 50 times higher compared to making games for the original PlayStation.

Personally I fear that a rise in software price will lead to even fewer game sales, which isn’t great news as game sales are already massively down on the same period last year, on the PS3 alone there has been a 35% drop in sales from 22.8m to 14.8 versus the same period last year.

I wonder if Deering, Activision and the other publishers who are putting their prices up, have ever seen a previous situation in the world of commerce where sales have dropped by over a third and the answer has been to put the price up by 20-25%? Taking this further to use Activision’s reasoning that the PS3 needs cutting in price, is there a case for the price of games to actually come down rather than be increased?

Since last October our ‘Cheap Games and Great Deals’ thread in our forums has been a place where people can post any gaming bargains and special offers they find, be sure to check it out before you make your next purchase, and maybe share the love by returning the favour if you see anything that others may find useful.

Source: Digital Spy, Thanks Tuffcub.

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