It’s time for the beginning of the year TVGB economics lesson. This time we will look at how used games’ prices fared in 2008 in comparison to 2007. The point of all this is to show how the economic recession in the United States is affecting everything like the T-virus. Even our beloved videogames could not escape the onslaught. Videogame Price Charts made a post complete with graphs illustrating how used game prices dropped more during the second half of 2008.
We may not be the smartest people in the cosmos, but we can read squiggly lines pretty well around here. The average game resale price in January of 2008 was just over $12.50. In the months to come, there was a steady decline in prices with an occasional increase in some months. November of 2008 showed the lowest price in used game prices which was lower than the prices in November 2007. From there the holiday prices increased by only 13% in 2008 compared to and increase of 26.6% in 2007. The prices from those two years were basically cut in half.
In theory, the new game market would be affected just as bad if not worse than the used game market according to these trends because if consumers are spending less on used games, they probably aren’t paying even more money for a brand new game. The growing number of layoffs from the likes of Free Radical, EA and the potential closing of Factor 5 are just more evidence that no one is safe from the recession. One word of advice — buy games on November 3 as that’s when the lowest prices tend to be available.