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Here's a Radical idea: just say no to used games photo

If you happen to be the type of person who prefers the used game market in lieu of paying full price for your next fix in what amounts to an already expensive hobby, then Free Radical's David Braben has a few choice words for you. While you might be saving yourself some change, David wants you to know that developers are ending up on the short end of the stick when it comes to the second-hand gaming market. While absurd to most of us, his logic behind this is simple. Developers only get paid once for every title released, while retailers get 100% of the profits for themselves, every time a used game changes hands.

“Clearly from the developer and publisher point of view, the second-hand market is a real problem. The shops are essentially defrauding the rest of the industry by this practice, whether they intend it or not. It also means that while newly released games do still sell well, it is only a matter of a month or so before pre-owned stock often saturates the channel – with a single copy rumored to go around the sale/return/sale loop ten or more times – amounting effectively, to rental.”

Now I'll be the first person to scoff at how these specialty stores sell used games for just under the price of a sealed copy while giving you pennies on the dollar for trade-ins, but the thought of giving a "cut" back to developer/publishers (which is more or less what is being alluded to) sounds more like something out a Mafia novel. Best of all, just who exactly is going to pay for the difference? The customer, of course.

This brings to mind a few interesting questions: Are we looking at a future where all games will go the way of the MMO and require individual keys to unlock them each time they change hands? Does this give more ammunition to electronic distribution, and does it hasten the death knell of the already fragile rental market? Most of all, is anybody stopping them from selling used games?  If this is such a big issue, then why not throw their hat in the mix, and offer us an incentive to sell our games back to them. 

[Via MCV]


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94 comments | showing # 51 to 94

LimeGuardian's Avatar - Comment posted on 10/29/2007 08:09
LimeGuardian
I try to buy new whenever possible (since I've never seen a used game that doesn't look like someone took their key to it) but some games you just can't find any other way.
Artadius's Avatar - Comment posted on 10/29/2007 08:09
Artadius
I guess these developers need to make sure they're making quality AAA titles to guarantee day one sales then. There's way too much sludge on the market now as it is.
Artadius's Avatar - Comment posted on 10/29/2007 08:11
Artadius
@Inexile: Please enlighten us on where you're finding almost brand new releases for $5.00
Anarpis's Avatar - Comment posted on 10/29/2007 08:18
Anarpis
eh, I only pick up used games if it's significantly cheaper or if its something hard to find
Sabreman's Avatar - Comment posted on 10/29/2007 08:20
Sabreman
As long as there's physical media second-hand is here to stay, and as people have pointed out it's going to be a fair while before -if- digital downloads become the norm. Another reason there's a thriving second-hand market: It may seem anathema to what you might call a 'hardcore gamer' (yikes!), but the vast majority of gamers - the people that make up the bulk of those 100+ million PS2 console owners among others - tend not to keep the games they buy. They don't eagerly await dozens of releases every year, they don't lovingly remove the shrinkwrap and keep the game in pristine condition while they replay it time and again over the years. They come in for the latest release because it's something to do, play through it - or play as much as they want to - and get rid of it. To a lot of people the idea of keeping most games they've finished doesn't register.

I'll echo some of the comments above about profit margins for new games. They're pretty much non-existent. A high street retailer typically makes about £5-10 on an EA-published game - and that's if they sell it at the RRP, which they usually don't because of price wars among other retailers. We usually make no money at all on EA sports titles, for example, we're nothing more than part of the delivery process to the consumer on those. If your local game store stopped dealing in second hand goods it wouldn't be there much longer.

Finally, there's the age-old problem of how the industry tackles its own history. Now we've got virtual console and XBLA, and Steam, but with a handful of releases each week how long it is going to take to build up any kind of impressive catalogue? You'd be pretty annoyed if it was no longer possible for you to hunt down a copy of Secret of Mana, or Mega Man 2, or whatever your retro choice is, and instead wait on tenterhooks for someone to get round to a digital release (if ever, in SquareEnix's case). I can walk into a large bookstore and buy a new printing of a novel I read 20 years ago, I can buy a reprint of pretty much any old favourite album I can think of, but I can't walk into a shop and buy a new copy of a SNES game I'm after - I have to scour the second-hand shelves for it in hope, or go to ebay.
MechaMonkey's Avatar - Comment posted on 10/29/2007 08:32
MechaMonkey
Solution: Pay only in Destructoid dollars.

michiyoyoshiku's Avatar - Comment posted on 10/29/2007 08:32
michiyoyoshiku
You know what I say to saying no to used games?

FUCK YOU I'll buy you and if you don't like it go fuck yourself.
realyst's Avatar - Comment posted on 10/29/2007 08:33
realyst
Of course I'll stop buying used games at EB. I mean they don't sell them much cheaper then the new ones after all and they generally are of worse shape then a rental copy that's been used and abused for decades.

Oh wait....you want me to stop buying them period???

HAHAHAHAHA! Oh wow, that's rich.
weedgan's Avatar - Comment posted on 10/29/2007 08:34
weedgan
I but most of my games new.


Or jsut wait till it goes to the platinum hits edition or something similar to taht.
Ron's Avatar - Comment posted on 10/29/2007 08:57
Ron
Q.Q, developers. Get over it. You design video games for a living, you're already making more money and have a better job than 99% of the gamers out there.
Wedge's Avatar - Comment posted on 10/29/2007 09:25
Wedge
God, you people are fucking retarded. Used games aren't helping anybody. Developers do not make a ton of money and their job is really fucking hard.

Please, I'm not kidding, if you can, pirate or trade with other people instead of buying used, if you're going to buy used. Gamestop needs to fucking burn like the pissant pawn shop it is.
B-Radicate's Avatar - Comment posted on 10/29/2007 09:41
B-Radicate
For the record, I buy new almost exclusively. As many have mentioned, I only buy used when a game is uber hard to find (like when I got my ICO).

Anywho, the developers really need to enact a better system with stores instead of whining about a used market which exists in all forms of retail. Games aren't special. They deserve a used market like EVERYTHING else ever sold.

I like the idea of contracts with retailers to force them to give more money to devs if they want the games on day one (or at all). Gamestop really does fuck the devs 10 times over by the time it's said and done. The devs may as well take all profits on the first sale and force the Gamestop-esque stores to make ALL their profits via resales. At least then they wouldn't get paid on the first sale AND get paid exclusively on all the sales thereafter.

Also, digital distribution will never fully supplant physical media. The common consumer does not generally purchase digital products that they do not have physical copies of. The only industry to have critical success (if by critical success you mean tanking the entire industry's profits and sales numbers for the past 5 years or so) in this manner is the music industry and that was only after being forced to pay for that digital content and only then it was because consumers could freely purchase fractions of the entire product as they saw fit (single tracks off albums) at a drastically discounted price (99 cents vs. $10-20).

For games to succeed on that level we would be nickled and dimed out the ass, being forced to pay a dollar here and a dollar there for individual levels (almost like microtransactions/DLC now) and we all know how much we all LOVE that. There is something inherently more comforting to the average consumer knowing they have a physical object they can call their own instead of an intangible form.

Right now there is no benefit to using Steam other than quicker attainment of the product. There is no cost reduction whatsoever. Where is the TRUE benefit to the consumer? There is none, other than getting the chance to kiss the developer's ass a little more.
gamesronlygames's Avatar - Comment posted on 10/29/2007 09:59
gamesronlygames
Until the law says otherwise, I very rarely buy a new game. If I can get it for $5 less-then use my gamestop card and get another $5 off-great. There is no moral or illegal dilemna here-just a disgruntled person.
crizz's Avatar - Comment posted on 10/29/2007 10:13
crizz
I buy mostly new games, and yes it sucks when you go into a Gamestop and see a used Gears of War going for 5 bucks less than the new. Because you know the person that turned it in got at least 20 bucks less in trade in. But that's the secondary market, I agree, go to ebay for better priced used games. The only thing Gamestop ever did was to capitalize on the secondary market.

In their defense, I like having Gamestop around because without a store dedicated to selling videogames, all you would really have is the big box retailers who run thier inventories in a half-assed manner. Case-in-point, I couldn't find a Guilty Gear Accent Core game anywhere but Gamestop, and not any of those big box guys knew what the hell I was talking about.

Yes, the markup on used games is ridiculous, but the profit margin on new games is next to nothing. So for a Gamestop to exist, they need to rip you off a bit here and there. That's capitalism.
Lord Raoh's Avatar - Comment posted on 10/29/2007 10:18
Lord Raoh
there wouldnt be any used games to buy if the games were actually that good that they are worth keeping

how about that for a concept?

a game worth keeping would mean no one would be trading in their games leaving no used games to buy..

Instead of developers asking us not to buy used games they should be having meetings discussing how they can make their games worthy of lifetime ownership...

there are about 10 games released a month, out of that usually 1 game is worth keeping, 1 is iffy, the other 8 are most likely rentals at best..


ask every developer what games they made that are worth keeping and not trading in.. and ask for valid points as to why we should..
wiiwillovercome's Avatar - Comment posted on 10/29/2007 10:29
wiiwillovercome
the best thing ever was working at EB, having someone bring in an old console or game, tell them that they get $2 store credit, and then offer them $10 cash from my wallet. I got my N64, Wavebird controller, Dreamcast, and many other things that way. It was the best.
Inexile's Avatar - Comment posted on 10/29/2007 10:34
Inexile
@Artadius Cash converters 4tehwin
Cowboy TTop's Avatar - Comment posted on 10/29/2007 10:39
Cowboy TTop
Well ever since the practice of trade ins came into the gaming sector, I haven't traded in anything and I don't plan to. Why? Cause I like to keep what I have.

If I see something 2nd hand that I need, and its in good condition then I'm gonna pick it up.

I can't stand the dodgy trade in prices so I tend to do most of my dealings via ebay. Cuts out the middle man and is the best way. Ebay goews that one miles further, because it allows me to shop globally for games, even in japan if needed. Game, Gamestop etc can't touch this.
decoyb's Avatar - Comment posted on 10/29/2007 10:58
decoyb
If you don't hate ebay or graigslist for turing console launches into a joke they're a much better option for selling games. You'll get a fair price for any used games that may be rare. I got $150 for panzer dragoon saga a couple of years ago.

But I guess my point is unless the game sucks or you suspect there will be a greatest hits version of released you're probably better off keeping it for awhile, you dont get crap for it by selling it to gamestop and it may end up becoming rare.
Velt's Avatar - Comment posted on 10/29/2007 11:26
Velt
I mean, come on, 60 usd for a new game. Like if 50 usd was cheap they hit with 60usd for a single new game...
WTF are we talking about: oil prices?

No, really, is just software, if you buy ten games a year they are 600 dollars in software only. And most of those games are just 16 hours of gameplay. So, developers and industry needs to get their costs down if they want to release new games into more people.
eudaimo's Avatar - Comment posted on 10/29/2007 11:36
eudaimo
What a silly, irrelevant request.

1. Games are MORE profitable than ever. Not less.
2. Creative Devs are finding ways to increase the number of revenue streams so that the sale of a copy of a game is just one of many factors: Downloadable content, in game ads, subscription fees. Any of those can be abused, but each of them can also be tastefully done and offer more services to the gamer. The used market incentivises devs to make their offerings to consumers more robust (Gears of War and Halo 3 are harder to find in the used bin than Peter Jackson's King Kong).

3. Money from sold used games rarely goes into the piggy bank, it goes back into my entertainment budget. How often do people sell off their old console and games so they can buy the new hardware and Halo 3?

4. Used games compete with rentals more than they compete with new games. If I really want to play Heavenly Sword (too short to buy for $60), I can rent it for $8 or buy it used for $30. Buying it new for $60 isn't an option.
SaraAB87's Avatar - Comment posted on 10/29/2007 11:43
SaraAB87
I buy mostly new games, however I wait for the price to drop, most games that I buy (Nintendo DS games) drop in price within 3-4 months of release and are non-online games so I prefer to save an extra 10$ per game and buy them at 19.99 instead of 29.99.

Waiting for the price to drop is also often cheaper than waiting for a used game via Gamestop, since gamestop only discounts their caseless, scratched up discs 5$ for buying the used copy. Gamestop also prides themselves on not stocking enough new copies in order to force customers to buy the used ones, for most games that are not huge releases they only stock 2-5 copies of each game and when those are gone thats it, your forced into buying the used game.

If American stores stocked more new games I think this would be less of a problem, most stores don't stock hardly any games less than a year old, its all about the latest and hottest release aimed at kids for retail stores. Try finding PSX or Saturn games at big box retail stores in America, not gonna happen. So what is a person to do if they want to buy older games, they either find a non-ripoff local shop (these are nearly impossible to find), or go to ebay, either of which are not really good alternatives. Most people don't bother with yard sales either. There just is no new market in the USA for older games.

I also like to hit game trading forums such as cheapassgamer.com, most of the time when you are done with a game you can trade it with someone who is looking for your finished game, but they have a game you want. There are a lot of gamers out there that are the same as you people, and we are taking to the internet to trade to avoid evil retailers such as Gamestop. Its a great way to recycle games and to avoid the cycle of trading in games and losing money just to purchase new ones. Since the people you trade with are most likely adult gamers, you can also avoid the horribly scratched games they try to sell you at gamestop for 45$ a pop.
liqideos's Avatar - Comment posted on 10/29/2007 11:48
liqideos
Here's a radical idea: Stop trying to make other people do what you say.
dreamdust's Avatar - Comment posted on 10/29/2007 11:52
dreamdust
This is a problem with the developer's business model. Nobody has the right to tell me what I can or cannot do with a product I have purchased and own as my own property. This is the concept behind private property.

Maybe the developers should start finding news ways to provide more value with their new games.

Wait, the developers have to think and come up with original concepts to sell games!? Oh noes! So much work!!!! Those poor video game developers, making so little an hour they can barely feed themselves.

Gimme a fuckin' break, whiners.
jordanlund's Avatar - Comment posted on 10/29/2007 12:05
jordanlund
I'd just like to see some honesty in the used game market.

Wayyyyyy back in the day my first job out of high school was selling comic books. If someone came in with a stack to sell us we would pay them 1/2 of what we could sell them for in cash or 60% in trade.

If I were to run a game store today I'd run the used game model the same way... except that I wouldn't be charging 90% retail for a freakin' used game.

New games - $60
Used games - $30
We buy used games for $15 cash or $18 trade.

For the $50 model it would be the same deal.
$50 new, $25 used. Buying games for $12.50 cash or $15 trade.

The reason for this is simple... Games drop in price pretty quick. God Of War II just recently dropped to $40 so in my hypothetical game shop the used price would drop from $25 to $20. That's OK though because any used copies I would have paid $12.50 for at worst so I'm still making money. The price cut would come out of my share because the customer is long since gone.

I'm sure there would be some people whining about paying $12.50 for "a game that just came out", but I'd be charging an honest price for used media and splitting the money 50/50 with the customer. Do you think Gamestop is going to do that?
akathatoneguy's Avatar - Comment posted on 10/29/2007 13:16
akathatoneguy
Re: Games Being Too Expensive

If you're that worried about saving $5, then it likely doesn't matter whether the game is $60 new or $30 new, you're going to buy used. Whether you get it used for $55 or $25, you save the same amount, and $5 off on a would-be $30 purchase is a substantially higher percentage discount. So I don't buy the whole "if games were cheaper I'd buy new" argument.

The problem here is Gamestop's pricing. As others have said, they're making money by essentially selling the same game several times, each time turning a nice profit (aside from the new copy, possibly). They can EASILY afford to sell used games for cheaper. They don't because there are obviously way too many people who will buy used for a very minor discount.

I like to buy new because the $5 off is just not enough for me to consider otherwise. If I was going to buy used or when I do decide to sell games, I buy/sell with normal folks over eBay, etc. so that we both get better deals than we would at GS/EB Games.

Also, depending on the title, I like to make sure the publisher/developer are seeing that people are supporting the title, if it's one I enjoy. Sure, there will be a million Halo sequels and off-shoots no matter what, but for a game with a smaller audience that is depending on word of mouth and every possible sale they can get, your purchasing decisions help shape the industry...as in, will there be a sequel? Will other developers feel empowered to break the mold instead of making Halo clones, etc.
Daak's Avatar - Comment posted on 10/29/2007 13:28
Daak
This must be a joke...

The price of a new game is often $60 and they want us to pay that everytime we want a game???

I stopped buying new games years ago and as a result am able to play tons of more games for little cost.

I don’t even know why people would buy a used game from from stores like gamestop. They are a rip-off and insult gamers with their "buy back" price. If you want games for cheap without doing anything illegal, trade games on the numerous trading sites or buy them on ebay/half. Pawn shops/yard sales are also a good deal - but don’t support brick and mortar stores like gamestop.
reverendmatrix's Avatar - Comment posted on 10/29/2007 14:29
reverendmatrix
I'm a game developer, and I can't afford all of the games I need to play for competitive research. It makes me remember what it was like in college, when I couldn't afford -any- games. I just hope that, one day, publishers (and, more importantly, first-party manufacturers) realize that the only way to compete with used game sales is lower prices, which would--ideally--lead to increased sales.
Sharpless's Avatar - Comment posted on 10/29/2007 15:01
Sharpless
I always buy used games, unless I know they're quality. I'm not wasting $20 (or more) on, say, a title like Incredible Hulk: Ultimate Destruction or The Bard's Tale. If it's Halo 3, or Gears, then I'll buy a new copy.
pogoli's Avatar - Comment posted on 10/29/2007 16:29
pogoli
As with any product, the sale and trade of used games is fair and something to be expected. However, the way it is being handled now by the retailers is not.

I always try to buy new games when they are only a few dollars more than used. That $4 savings is small in comparison to the loss for the publisher/developer and the undeserved gain to the retailer.

To add insult to injury EB retailers try to pressure you into buying their used copies. Everytime there is a used copy available and I am trying to buy a new one at an EB they ask if I want the used one instead. One time a clerk took the extra effort to argue with me when I declined the offer.

and furthermore...
To the posters that prices should be lower to begin with, you have no idea what goes in to the production of games these days. Newer, better, faster changing technologies coupled with high demand for newer, better, cooler graphics, sound, gameplay, etc lead to much higher development costs than just a few years ago.
akathatoneguy's Avatar - Comment posted on 10/29/2007 16:58
akathatoneguy
@ pogoli-

Exactly, and how are they supposed to lower prices without the sales to support them? They're just supposed to count on gamers to decide to buy new over used, and hope they'll actually do so while lowering their prices? As I said earlier, if you're worried about saving $5 on a game, you'll likely buy the used no matter what the new price is.

Everyone bitches about game prices, even though with multiplayer, longer campaigns, etc., you get more value from games than ever before. Especially considering that cartridge games for older systems were not much cheaper than games are now.
SaraAB87's Avatar - Comment posted on 10/29/2007 18:39
SaraAB87
I don't think we are bitching about game prices, more about gamestop's business model and how they set their prices. They essentially have a monopoly now on used games other than blockbuster, and most area's only have a gamestop for used games, hollywood video is going down so thats not a viable option for people anymore.

But unless America stops buying at Gamestop, which is not going to happen anytime soon, they will not be stopped unfortunately. Every time I go in there some person or kid is trading in games, or some soccer mom buying games for their kid. These people are willing to pay any price for games and they are too lazy to use ebay or too stupid, these are the people that keep gamestop alive, not the hardcore gamer, the hardcore gamer knows to use ebay and whatever trading forum they prefer to buy and sell games to avoid the Gamestop cycle of buying and selling used games.
AndyBloom's Avatar - Comment posted on 10/29/2007 22:35
AndyBloom
Yes what you are saying is very true: But if you change the way used games are sold you have to change the methods of selling anything else used. Books, dvds, tv's, computer parts, cars, etc.

Good point but there's no chance of a change.
p0windah's Avatar - Comment posted on 10/29/2007 23:11
p0windah
I'm going to chime in, which is not something I do very often.

I've been gaming for around 20 years now on assorted platforms.

The advent of services like Steam are absolutely wonderful, and although the pricing is not drastically cheaper than a retail box, they do provide additional service to the consumer. For myself, it is the ability to arbitrarily re-download any of my Steam games onto any machine I like, without needing to re-purchase my game or hunt around for lost or damaged CD/DVD's.

Before steam I always believed that music, game and movies, once purchased, should allow a customer to return a scratched CD/DVD and get a new one at a far cheaper price. Since I've already paid for the rights to the content, I just want a fresh DVD/CD.

This is something that Valve understands and offers to its users. When you buy something from them, yes it is hampered with DRM, but they do let you download it as many times, to as many PC's as you like.

And to specifically address David Braben's complaints; If you are releasing a product to the market that people simply do not want to pay full price for, then the market has spoken. End of story.

There are of course simple ways to increase the value proposition of a game, that will encourage people to buy new: include some quality artwork, produce a quality manual, a branded thumb-drive/mousepad/keychain/pen/sticker, you get the idea.

Basically, sell an alluring and attractive product, not some cheap piece of shit.

If the sum total of your product is a DVD case, a DVD and a printed copy of your EULA: you're providing a pretty bare bones product. I believe this is the core reason people are buying second hand products, because there is no functional difference between a brand new copy and the second hand one.

Clearly gaming consumers are becoming more savvy. They are picking and choosing which is worth 100% on day one and what is worth waiting awhile to get a good discount. Scolding them only highlights the disconnect between the product people want to buy and the products some vendors(David Braben) are providing.

My message to David and others who are like-minded is: "wake-up, get competitive, or change jobs".
erp's Avatar - Comment posted on 10/30/2007 13:04
erp
david braben doesn't work at free radical.
gcpolsen's Avatar - Comment posted on 10/30/2007 15:22
gcpolsen
If you don't like the way GameStop or other national chains do business, just look around for an independent store. Here in the Denver area we have Cool Stuff and those games that the chains sell for $54.99 used sell for $39.99 used. There have to be other independents out there doing a similar thing with their stuff. Anyone interested in checking us out, hit us up at coolstuffstores.net.
PetiePal's Avatar - Comment posted on 10/30/2007 23:34
PetiePal
Well there's no more FunCoLands...but who knows preowned games will always be around until everything is hard-drive based...which who knows if it will ever happen.
Holyetheline's Avatar - Comment posted on 11/01/2007 16:39
Holyetheline
Wow this article sure has sparked the active discussion. I am going to go ahead and agree that used games are crap. F it.
Ichigo Style's Avatar - Comment posted on 11/05/2007 07:59
Ichigo Style
You know what I see here? A bunch of cheep bastards, I say this as a college student who manages to pay for his own Apartment (albeit with 2 other people,) as well as car insurance. I think that you're all missing an important part here- the crazy profit margin that Gamestop or wherever MAKES on selling you a used game.

By principle, if something is opened, the value drops immensely in the "collectors" value, doesn't it? Why should that change with this here? Why SHOULD you pay three times what the store took the item in for? No one has stated a suitable answer except for "Lol, money".
Cyberxion's Avatar - Comment posted on 11/05/2007 08:47
Cyberxion
Stores like Gamstop sell used games for like, five bucks under retail for six months or so after their released (if not longer...), and I don't care about how great of a condition the games are in, that just reeks of bullshit to me. Especially when considered next to their low-ass trade-in values. I can get 12 bucks credit for a game that they'll turn around and sell for 45 bucks. Yeah, that's just wonderful.

Meh.
Fiat Mediocrity's Avatar - Comment posted on 11/06/2007 21:48
Fiat Mediocrity
I know I'm late on this, but as another former GameStop employee, I completely agree with him. They pay employees the least amount they can legally and then treat the employees like shit.

I always did my best to satisfy the needs of the customer because I was hired to be a Game Advisor. One day, a person from the nearest corporate office had come to the store to speak with the manager. She ended up talking to me with my manager because I wasn't pushing enough used games/consoles, replacement plans, magazine subscriptions or even extra merchandise on the customers. They told me that if my sales of those items didn't pick up, they would fire me. They kept a chart behind the counter that we had to mark for each sale of that nature. I always offered the options to customers, but never tried to persuade them to get what they didn't want.

After two years, I was fired right after Christmas that year.
Fiat Mediocrity's Avatar - Comment posted on 11/06/2007 21:49
Fiat Mediocrity
And by him, I mean Ichigo Style.
gunman2233's Avatar - Comment posted on 12/13/2007 19:58
gunman2233
Another good video game trading website is www.gametraderdirect.com They provide you with the envelopes to ship the games so you just pay for the games you receive and you don't pay to ship your games like those others. and there's no points like those other sites, buying points to get a game sucks just as bad as spending 40 bucks.
gunman2233's Avatar - Comment posted on 12/13/2007 20:02
gunman2233
and i don't wanna hear these developers who sell 5 million copies of a game for $60 bucks b#$&* about not making anything off the used game sales. Video games are a 5 billion dollar industry if not more. Everybody's greedy so i'll continue to try and get games for as cheaply as possible.
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