Gamestop Thriving Despite Advent of DLC Codes

Paul Lilly

It's no secret that game publishers aren't particularly fond of Gamestop, which thrives on pre-owned game sales. At the same time, publishers found a way to cash in on Gamestop's used game business, and that's by charging second hand buyers an additional fee to access online content. Some predicted that these DLC codes would cut into Gamestop's lucrative business, but according to U.S. analyst Michael Pachter, that hasn't been the case.

"The company has not seen a negative impact on used software sales from first-use codes or new competitors in the space," Pachter said in his post-financials report on Gamestop. "The company estimates that only 25 percent of used game buyers play online."

It should be noted that most of these DLC codes target multiplayer, and so far, there's only been a handful of titles from EA and THQ that have adopted them. With titles like Madden 2011 on the horizon, however, and other big names to follow, Pacther's assessment might prove a little premature.

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