Eliminate used games, lower prices, make more money

Study: Killing Used Games Could Be Profitable, or Suicide | Game|Life | Wired.com:

The study found that if the used game market were to be eliminated and nothing else changed, game publishers’ profits per game would drop by about 10 percent. However, it found that if game publishers were to adjust the prices of new games to optimal levels, they could expect profits per game to rise by about 19 percent.

“We find that the optimal price would be on average about 33% lower than the current price level, if the used game market were eliminated,” said Ishihara in an email. “So roughly speaking, in the US, game prices should go down to about $40.”

I’ve only purchased one game at $60 in recent memory, and that was SimCity (a decision I’d regret if I hadn’t gotten Mass Effect 3 for free – the multiplayer is addicting). At $40, I definitely wouldn’t feel bad about buying a new game every month or two.