Thanks for such an honest and detailed answer! Now it makes sense. Maybe I'm a little old school, but when I buy a game or other software, I like to have a physical, tangible copy of it.
I partially agree with the statement about not remembering the last time you bought a CD or DVD as most of the software I use is downloaded freeware: Open Office, Paint.Net, Notepad++ to name a few. Most of the games are on disc. However, I find I'm buying games more for my Xbox lately. There's something to be said for just popping in a new game and having it work the first time without finagling drivers or upgrading hardware...
While I'm on the topic of doing away with discs, I'd like to recommend a freeware program I have found useful for doing just that: Virtual Clone Drive. It runs in the background and allows you to mount an ISO file just like it were a physical disc. Once the ISO file is mounted, a new optical drive with its own letter appears in My Computer. This is awesome for a media center PC.
Here is the link to the download page:http://www.slysoft.com/en/download.html