Today Take-Two Interactive Software hosted its quarterly financial conference call for investors and analysts and chief executive officer Strauss Zelnick was asked to comment on the $70 price point for the next-gen versions of NBA 2K21.
Interestingly, Zelnick clarified that the price is being announced on a “title-by-title basis,” possibly meaning that the next-gen tax might not apply to all future games by the publisher.
“We’re definitely announcing pricing on a title-by-title basis. I just observe there hasn’t been a frontline price increase for a very long time although costs have increased significantly.
But most importantly, we believe we’re delivering the highest quality titles in the business and consumers are staying more engaged than ever. Games have extraordinary playability and replayability and they offer many many hours of entertainment. We think it’s a great value.
It does rely on us continuing to deliver amazing experiences and that’s our strategy and our goal.”
Later in the call, Zelnick argued that the price point increase is “very modest.” He also doesn’t expect any issues with the higher price possibly causing a slip in demand.
“In terms of the price point, this is a very modest price increase. You know, pricing has been going down on a real dollar basis for the better part of 15 years, and we’re applying this price point in a case where we think the quality not only supports it but demands it.
Production costs have gone up greatly, but most importantly the consumer experience is more robust than ever before, and I’m utterly convinced that NBA 2K21 will be nothing short of extraordinary so I don’t expect that there will be any concerns. “
If you’re interested in Take-Two Interactive Software’s financial performance, you can read our dedicated article from earlier today.
During the same conference we also heard more about the publisher’s next-generation plans.