It seems that as the argument for buying games 2nd hand grows, so do the rumors of companies putting the brakes on the used market entirely. Will it happen? Yes, eventually it will, but my concern isn’t that I’ll no longer be able to trade in my games or get “discounts” on pre-owned software. Yea that sucks and all, however I can’t help but focus on what else we risk losing when companies focus more and more on defeating the competition without realizing that they may also be defeating the customers.

It was Summer, 1994. I was an optimistic 8 year old with $10 in my pocket and a copy of Robocop for NES that I’d failed to return to the community library. As I rode to the used game store my mind ran wild with thoughts of what awesome new Sega Genesis games waited for me on the shelves. How many games would I go home with? Had they ever seen as glorious a title as NES Robocop? I recall noting the still emptiness of the store. It was located in the center of a huge indoor flea market amongst cheesy airbrushed shirts and sports memorabilia shops. I approached the counter with my wares and browsed over some games in a glass case while I was waiting for the clerk. They were NES cartridges. Prices on the stickers ranged from $15-$30 and the word “used” was written across the titles in black sharpie. I imagined the library’s copy of Robocop sitting amongst these games with a $30 sticker on it. The clerk approached and I handed him the game and said I wanted to trade. After testing the game and flipping through a large 3 ring binder he returned with an offer. “I can give you $3 for a trade.” The words were a punch to the gut. What the hell was I going to to get for $13? My eyes drifted to a copy of Earthworm Jim that I had noticed upon entering the store. It was shiny and new. It was also $40. As far as my 8 year old mind could see I had 3 options. There’s was a copy of Sword of Vermilion for $10, a copy of Shining Force for $12, and a copy of NES Robocop that was nothing but incriminating evidence of library theft. Begrudgingly I picked up the copy of Shining force and set it on the counter. The clerk said something to the effect of, “nice choice,” which I only took as sarcasm. I had been defeated by the man, but the story doesn’t end there. Several weeks passed before I decided to give Shining Force a try. I was immediately hooked.

What I thought was a disaster, turned out to be one of my favorite games of all time. From that point until I finished college I purchased almost exclusively used games, but the moral of the story isn’t that buying pre-owned is somehow a better experience. It isn’t. It’s kind of a ripoff in most cases. I’ll get to the point of the story later in the article.

Companies view the used market as a competitor.

The argument for buying games used is becomingly exceedingly clear as companies release flawed products and gouge consumers with high priced, sometimes disappointing DLC. This is a problem for companies that still view their older titles as viable products. For a long time the strategy has been to price older titles at or just above the used market prices. How many times have you been at GameStop to pickup a used title but talked yourself into buying the new copy that’s only 2 or 3 bucks more? The strategy of being price competitive with the used market works to some extent, but the bottom line is that having both cheaper options only supports a larger group of consumers who are willing to wait to purchase until the product is cheaper. That brings us to the frequent rumors of doing away with used games altogether. As I said before it’s going to happen. There will come a day when new games, music, movies, etc, are only available through digital download, and that will signal the death of the used game market. The question isn’t if, but when. The recent resurgence of those rumors surrounding next gen consoles has me thinking two things:

1. Companies are putting out the rumors to test the waters individually. Get the dialogue started and see if the others will bite. Neither wants to produce the only console that’s blocking used games, but both would love to do so.

2. Mutual Corporate Collaboration: Companies agree to a particular action for the health of the market as a whole. All involved benefit/share negative consequences.

Without a used market to compete with, there’s less incentive to lower prices of games after release. Naturally prices will eventually drop as a game navigates it’s product life cycle, but the movement through that lifecycle will be slowed significantly without added competition from the used market. Gamers not only lose out on used games and sales to match those used prices, but the ones who are adamant on waiting will probably have to do so much longer before prices are reduced.

What the hell am I buying?

Aside from insurance and financial products, most consumer goods are physical possessions. You can keep them as long as you want and dispose of them as you wish. Imagine you go to buy a car. You find out before purchasing it that the key will only ever work for you. You can’t make a copy. You can’t trade it in because nobody else can drive it. Once you buy it the only value it has is the use you get out of it. Now cars and video games are wholly different types of products, but I think the analogy is fair. When used games are blocked, and digital downloads dominate, gamers will be paying for a product that only exists for them electronically. Essentially you just pay for your right to play which fundamentally changes the nature of the product.

I didn’t own many (if any) games prior to Shining Force. The Robocop NES cartridge I traded wasn’t even mine. As an 8 year old, I didn’t have a wealth of possessions. Toys were toys, but the first game I traded for was something real. It had value beyond the entertainment it provided, and I don’t see companies adjusting prices for that lost value when games go completely digital.