THQ needs to "capture that value chain" because of what they pour into videogame projects. Money from 2nd hand online fees show big used market.
"We work with all of our retailers and we understand their business models,” said THQ boss Farrell. EA's Online Pass has started a new trend.“Our point is that we are making these huge investments in project developments, sometimes in licences and marketing, and we need to make sure we capture that value chain."
"Retail is now thinking about ways they can participate in DLC and some of these second user charges that we’re doing. We are not trying to push retail aside. We are saying we need to monetise as well because it is our investment. We will work with our retailers but it needs to be more of a give and take," he continued.
THQ included a one-off charge for those who bought UFC 2010 2nd-hand, meaning unless you pay the small fee then online activities are kept disabled for your game copy. Money generated from this initiative proves to THQ how big the used game market is out there.
"What we saw when we did the online charge for the second purchaser of UFC, we found a pretty good attach rate – it confirmed out suspicion that there are a lot of people participating in used games,” he said.
“We would like to find a way to reward gamers for purchasing first. We need to think of our customers and not be punitive to people who buy second-hand." This is an issue that is going to long dog the industry before it's concluded one way or another.
EA says there's been no "significant push-back from the consumer" with Online Pass, noting that gamers know bandwidth isn't free so these fees are "not viewed to be unreasonable" on EA's part. Do you agree, videogamer?