As reported by Game Daily, Eric Villain of research firm OTX made his remarks at the MI6 conference in San Francisco this week. From Game Daily’s account of Villain’s talk:
We spoke to 2,000 gamers from March 14th to 17th. Is it good or is it bad? For now, it’s actually a good thing. And actually fuels new game sales. Used games are only a fraction of the market.
Gamestop has a phenomenal share of market – again, not a big surprise. We felt really good that a conservative estimate [of the used game market] is about 1.3 billion dollars in 2007.
Every game has different [trade-in] curve… Sellers are guys. The buyers are more evenly split, fifty-fifty… What’s driving the retail market is people who are buying action-shooter games – RPGs as well… What we also expect is growth in the market for 2008. A lot more than a year ago. In the midst of an economic downturn, I expect more buyers.
According to Game Daily, OTX noted that used game sales create additional opportunites for in-game advertising, since multiple owners may use a single copy of a game. The practice also increases the value of some game brands.
Nearly two-thirds of gamers surveyed told OTX that they purchase both new and used games.