Digital Trends
http://atu.ca/8261
Online mega-retailer Amazon.com is taking on leading games
retailer GameStop by launching a game trade-in program
http://atu.ca/TradeIn Under the deal, gamers can pack up
unwanted titles in good condition and mail them to Amazon;
in return, Amazon will give the gamers credit they can use
to buy other goods from Amazon—including a 10 percent bonus
towards purchases from Amazon's video games store.
Amazon's move opens a new front of competition with leading
games retailer GameStop, which has long held a strong lock
on the used game business. Gamers can bring unwanted titles
to GameStop and receive a portion of the retail price in
cash or store credit; GameStop then turns around and
resells the used games at profit margins that are actually
higher than new releases. The business has proven to be a
profit center for GameStop, which has built up a strong
selection of titles across its large number of retail
locations.
Other brick-and-mortar retailers like Best Buy have tried
to get into the used game business, albeit with
considerably less success; industry reports have Toys'R'Us
also looking at the used game market.
Video game industry watchers generally don't think Amazon's
entry into the used game market poses an immediate threat
to GameStop's retail used games business, but, then again,
nobody thought mail-order DVD rental king Netflix would
pose a significant threat to brick-and-mortar Blockbuster
when it started out, either.