Recently, there were significant clearance sales on physical video games by GameStop, Amazon, Best Buy, and Walmart. However, this early clearance season is seen as a concerning sign for the future of physical software by Mat Piscatella, Executive Director & Video Game Industry Analyst at Circana. Additionally, Best Buy’s announcement that they will stop selling film and TV DVDs and Blu-rays by 2024 adds to the notion that physical games media may be on a slow decline.
But, perhaps there is still hope for physical games media. The K-pop industry has managed to not just survive but thrive for over a decade, and the video game industry can learn from their success. While physical video games are experiencing a decline similar to CDs in the US, CD album sales in South Korea tell a different story. In 2021, over 57 million physical albums were sold by K-pop artists, and in 2022, sales reached around 80 million. South Korea surpasses the United States in physical album sales.
To ensure the survival and prosperity of physical games media, it needs to evolve into an experience similar to what the K-pop industry offers. Physical games should offer exciting incentives that make each game a unique and thrilling possession. This means reimagining collector’s editions, which currently target a niche audience. In the K-pop industry, even standard editions of albums are collector’s editions, providing a lavish experience. Physical games need to offer similar immersive experiences, with elaborate packaging, exclusive artwork, bonus content, and other exciting extras that make them worth a premium price. Publishers should tap into what fans truly desire and create packages that cater explicitly to their preferences.
For example, Nintendo’s Fire Emblem 30th Anniversary Edition, released in 2020, offered a variety of exclusive items like a physical NES box, an art book, an instruction manual, and a collectible. Despite not being a fan of Fire Emblem, many people were compelled to purchase this collector’s edition because it catered to their nostalgia and interests.
Publishers could even take inspiration from the K-pop approach of releasing multiple versions of the same physical release. These versions would have different packaging designs and bonuses at the same price point, encouraging fans to collect them all. By adding randomized bonuses, publishers can further incentivize the hardcore audience to purchase multiple copies.
While physical games media may not be able to replicate the level of fanaticism found in the K-pop industry, it can still create a new level of excitement and engagement among its audience. However, it is essential for publishers to strike a balance between meeting fan desires and avoiding predatory practices. Physical games media has the potential to thrive if it can offer unique, immersive experiences that fans are willing to invest in.
