Take-Two CEO suggests that not all next-generation titles will receive a price jump from the publisher; Don’t expect a lower demand
Take-Two CEO Strauss Zelnick has suggested that not all of the publisher’s next-gen titles will be more expensive than the games of the current generation.
During the publisher’s most recent financial earnings call, Zelnick was asked about the recently announced higher price for the next generation NBA 2K21 – a price jump that would be necessary due to soaring development costs and global inflation.
During the conversation with investors, the CEO was asked if the higher price applies to all upcoming Take-Two next-gen games. According to Zelnick, this will not necessarily be the case as pricing is determined by title.
“Yes, we are definitely announcing awards on a title by title basis”, Zelnick said. “I could only conclude that there has been no price hike in the frontline for a long time, although the costs have increased significantly. Most importantly, we believe that we deliver the highest quality titles in the business and that consumers remain more engaged than ever. Games are extremely playable and replayable and provide many, many hours of entertainment. We think it is a great value. We trust that we will continue to deliver great experiences and that is our strategy and our goal. ”
Later in the conversation, the CEO was also asked about the possibility that consumer demand would drop due to the higher price.
“In terms of the price point, this is a very modest price increase. Prices have been falling on a real dollar basis for almost 15 years. And we apply this price point in case we think the quality not only supports it, but demands it. Our production costs have soared. But above all, the consumer experience is more robust than ever before. And I am absolutely convinced that NBA 2K ’21 will be nothing short of extraordinary. So I don’t expect there to be any concerns. “
What do you think of the price hike for next-generation titles? Do you agree that an increase is needed? Do you still buy that many titles? Click on the comments below.