Aerothorn on 8/8/2009 at 02:39
So I'm gonna be in Britain for a few months soon, and I fear game-purchasing there, because games seem to cost a lot more there (and, far as I can tell, most of Europe). But I can't figure out *why*.
At first I thought that it was because the average British made more money than the average American, and thus had more purchasing power - but it's apparently the opposite. I'm not great with economics and currency, so I'm probably missing something really elementary.
june gloom on 8/8/2009 at 03:19
Just FYI we Yanks only make a little more money than the Limeys. The 2007 median household income (2008 hasn't been tabulated yet I don't think) for the United States was $50,233, whereas England's was $39,000- the average exchange rate for that year appearing to be somewhere in the £19ks. I don't know the basics of England's economy, so I'll let someone who actually lives there figure out how far that kind of money would take you in a year.
And of course the economy is completely effed in the ay as of last year, so that kind of makes the whole thing slightly questionable.
Phatose on 8/8/2009 at 03:40
I kind of thought it was Yank corpers screaming that limeys are suckers.
Malf on 8/8/2009 at 09:21
I'm not sure if it's still the case in the States, but a lot of places I went to in the States when I was younger, tax wasn't included on the final price. All UK games prices include VAT (Value Added Tax), which is currently an additional 15% of the base price of the product.
For example, if something is priced at £100 excluding tax, that would be £115 including tax, and the price advertised would be £115.
june gloom on 8/8/2009 at 09:34
Yeah, we don't include tax in our prices. It's kind of a bait and switch- the customer is psychologically seeing the price be below a certain threshold (say, $49.99- and that .99 is a matter of some debate as well) and will buy it, whereas they wouldn't consider it if it was a full $10. By not including tax, they won't see the extra cost- which is usually anywhere between a couple of cents to a couple of dollars, depending on how much the initial cost is) until they go to pay for it.
Paz on 8/8/2009 at 12:22
Don't know about console games, but PC titles can usually be found well below RRP in the UK with a bit of shopping around (on and offline)
Amazon and Play.com had a price war over the pre-release of Left 4 Dead which left it at about £18 at one point (vs £40 on Steam), for example
Likewise if you keep an eye on Steam/GamersGate etc deals, you can also pick new-ish stuff up on the cheap
As for why the base prices are pretty high - I guess companies experimented with a few models and discovered they could sell at those rates and make enough money back. Pricing and value are so subjective; £40 looks like it might be fine for a game that gives you ten or fifteen times the hours of enjoyment that a film does - until you see that it costs £30-ish in the US
Satisfaction with pricing is heavily based on what a person is used to, and what similar items (and now, countries) they have to compare their purchase with
'Value' is largely decided by consensus ... I think. It's close to meaningless though - a mind game you play with yourself
Muzman on 8/8/2009 at 12:40
Quote Posted by Albert
These are just some of the things that make me think your nuts...
A person should only ever think their own nuts. Resist the temptaton to think other people's nuts. That way madness lies.
Chimpy Chompy on 8/8/2009 at 13:47
Don't most things cost more here anyway? [insert rip-off britain rant here]
I'm a cheapskate PC gamer and just buy older stuff off the 2-for-£15 or 3-for-£10 shelves anyway.
SubJeff on 8/8/2009 at 15:27
Word Chimpy.
The only time I get brand new is if the deal is very sweet or if the game is a must have. There aren't many of those these days imho.
