Why do they offer free games with video cards?

jonjonjon

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maybe its just me but i would rather have them charge less money then include free games. i don't see how amd/nvidia could possible get the games for free so they must be paying the publisher something. wouldn't it make more sense to just subtract whatever they are paying for the games off the cost of the card? notice how amd could only get 20% off for a horrible game from greedy ea. i couldn't find it anywhere but i would be curious how much they are paying for the games. yes, you can sell the codes on ebay but that's just like mail in rebates. you still have to pay with money out of your pocket and hope that you get it back later.

i read a newegg review where someone said they tried returning a 7950 but the video card manufacturer wanted to charge them $140 because they already redeemed the amd 3 free games code.
 
Because AMD and Nvidia have upped their game as of late. Both are trying to outdo each other for Christmas and one way to do so is with free game packages. The other way is through big performance driver updates, which both sides have done recently.

Also the cards haven't gone up in price since when the deals started happening. Chances are each company is only paying a small amount per game, no way they would be paying RRP for each one.

Also I think youl find the AMD Never Settle deal has more than just 20% off Medal of Honour.
 


Hi - It's actually a pretty effective Marketing maneuver. The newer games can run up to $60 at retail,
they pay the Publ a very small amount & offer a nice savings to the consumer.
Since the prices on the Video Cards have eroded since their release, the free games allows
them to stop the price decline during the busy Holiday season.

Tom
 


Hi - I presume they just pay the Publ invoice like they do
with any other vendor.

They aren't giving you the option right now of reduced price in lieu
of free games. My guess is, you will have to wait til mid January
for price deals. I purch my own GPU at really good
price before the free game promo's started, so i know
what you mean.
 

jonjonjon

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yea. im just curious because i don't see what the publishers get out of selling the games dirt cheap to amd/nvidia. the 4 games from amd retails for $161.96 so for example if they paid half price which i doubt they do that would be $80. i think they would sell way more 7950's if they dropped the price $80.

HitMan - $49.99
Far Cry 3 - $49.99
Sleeping Dogs - $49.99
Medal of Honor WarFighter - 20% $11.99
Total = $161.96

1/2 = $80.98
1/4 = $40.49
1/8 = $20.25

never mind according to newegg its worth $169.99.
http://www.newegg.com/Product/Product.aspx?Item=N82E16800995140
 

mrmez

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The game publishers would be selling the games at a huge discount. It works for them because:
A) They are 'selling' a comparatively small amount which won't cannibalise full price sales.
B) For ATI/Nv to effectively generate more sales from these promotions, they have to be... ummm... promoted. Seeing a bundle including Far Cry 3 may not cause you to buy the whole thing, but you could buy a full price copy of the game, and thats what they hope for.

It's cross promotion and both companies benefit.
 

jonjonjon

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i don't see how that benefits the publisher. the only thing they get out of it is guaranteed # of sales but for a lot less. it definitely could cannibalize sales. if someone is going to buy a 7950 they are most likely also going to buy some new games.
 

piggy321

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The publisher would benefit from it because they would be getting money from alot of people who would'nt even want the game/games and the publisher wouldnt lose anything because its digital copies. I dont know if I said that very clearly but you should get my view.
 

simmons33

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Alot of good free games do when the means to redeem them is complicated as hell. I got AC3 with my 660 and UBISOFT (Uplay Store) stuck me in an infinite loop of redeem and check out =/

Same with a few people I know
 

jonjonjon

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yea seems ubi and ea are having some trouble with their codes. i read some of the reviews on the newegg page and multiple people were complaining that they couldn't get the far cry 3 and medal of honor codes to work.

on a side note its pretty lame that you have to download origin, steam and uplay if you want to use all the free games from amd.
 

I didn't have half as much trouble as I thought I was going to have when I cashed in one of the codes I got for Borderlands 2, of course I got a bit of the runaround from Steam but it did work eventually and I've had a little try of it to make sure that works and its all good. :sol: Whilst it wasn't a selling point for me, if I was to take the price of the game off of one of the cards then it has sweetened the deal a bit. :)