Tesco Ends Used Game Trial
AUG. 20, 2010 • Retail giant Tesco ended its used game trial and extended the service to each of its stores in the United Kingdom. At least 60 locations are accepting pre-owned games in their entertainment departments. The retailer took out newspaper advertisements offering £12 ($19) for 2010 FIFA World Cup on PS3, £17 ($26) for Mario Kart Wii and £19 ($30) for the 360 version of Red Dead Redemption. Tesco has been testing used game sales since late in 2009.
Impact: Among many other things, the industry has a right to be concerned about used game sales. Given that there are no major new console systems on the horizon, consumers are likely to be looking at the large back catalog of games for the current systems. This usually means consumers gravitate towards used games. The impact of this trend is why DFC has forecasted a steady decline in console game sales over the next few years. Tesco, is of course, an important retailer, but the overall impact of their action will have little actual impact on the overall industry. Instead, Tesco’s actions are mainly important as another sign of the times.