you can’t use straight 1:1 inflation to infer what the contemporary cost should be of digital products like video games, movies, tv shows, music etc. There is no physical asset to tie the individual product value to. There are of course production costs, but those are the same whether you make 50 copies or 50 million.
The reason inflation hasn’t hit video game prices is because the video game market has grown exponentially since the 90s. They make more money by selling low margin at higher volume, compared to high margin and low volume. It’s all about maximizing that total profit, not individual sales.
Publishers can try to charge more, but it’ll be up to consumers if that actually gets them any more money overall. only time will tell.
you can’t use straight 1:1 inflation to infer what the contemporary cost should be of digital products like video games, movies, tv shows, music etc. There is no physical asset to tie the individual product value to. There are of course production costs, but those are the same whether you make 50 copies or 50 million.
The reason inflation hasn’t hit video game prices is because the video game market has grown exponentially since the 90s. They make more money by selling low margin at higher volume, compared to high margin and low volume. It’s all about maximizing that total profit, not individual sales.
Publishers can try to charge more, but it’ll be up to consumers if that actually gets them any more money overall. only time will tell.