Tough economic times mean families are shortening holiday lists, but the gift least likely to be scratched off is a video game.
The Williams of Oxford, Conn., are shopping and eating out less and going to fewer movies, but games remain in the budget.
"Once you buy it, there is really no additional cost," says Robert Williams, 42, who plays Xbox 360 games with his son Tyler, 15. "We play a lot after a purchase of a game; both my son and I have friends online we play with. ... We'll probably buy two or three games for Christmas, but we're being frugal for a lot of other things."
Ali Lipton of Woodbridge, Va., says that compared with other toys, "video games are more reliable in terms of quality and performance and how much the kids use them." She is looking at "Wii Fit" as a gift for son Jake, 9, daughter Caroline, 6, and the rest of the family.
Still, more than one-fourth of shoppers are expected to spend less than in 2007, according to NPD Group.
Most retailers are braced for flat or lower sales but are optimistic. Video games are a "great value in a down economy," says Paul Raines, chief operating officer for retailer GameStop.
Nearly all teens (97 percent), play video games regularly, according to a recent Pew Internet and American Life Project study. Nine out of 10 children ages 8 to 17 plan to ask for at least one game this year, according to a survey of 1,000 conducted by Weekly Reader Research for the Game Crazy retail chain.
Video games remain on pace to surpass 2007's record-setting $17.9 billion in sales, which broke 2006's record of $12.5 billion.
But lately, analysts and executives have stepped back a bit from the industry's "recession-proof" label.
Analyst Edward S. Williams of BMO Capital Markets says, "This holiday season should be good for software," but "hardware sales could be higher if the economy were stronger."
Video games sit at the pricing sweet spot.
"A video game is really probably closer to an average Christmas purchase and certainly at the average or low-end for upper-middle income people," says Wedbush Morgan Securities analyst Michael Pachter.
"They will make trade-offs, but with the hours of play that video games give you, it's a very cost-effective purchase."
The Nintendo Wii remains tough to get as does the "Wii Fit" exercise program, which has been out since May.
Smart shoppers can find some great games for less than $10 buried in the "bargain bin" pile at stores; these might be older than the chart-topping discs, but they're well worth your time and money. Five quick suggestions (all for PC), and where we found them:
Madden NFL 08
EA Sports, $9.82 at Wal-mart; rated E. » High-definition graphics, online support for head-to-head matches and a game play feature called "weapons," special skills assigned to elite players in the NFL.
BioShock
2K Games; $9.99 at Circuit City and Consumerdepot.com; rated M. » A survivor of a plane crash in the North Atlantic stumbles upon a hidden underwater city, Rapture, populated by mutated citizens, robotic enforcers and little girls who steal life-giving fluid.
DiRT
Codemasters, $7.99 at EB Games; rated E. » NASCAR nuts and F1 enthusiasts willing to get a little dusty with off-road racing won't find a better white-knuckle game experience, inspired by the late Colin McRae. More than 45 officially licensed cars (and prototypes), each featuring realistic handling.
Battlefield 1942 Complete Collection
EA, $9.99 at Best Buy; rated T. » This collection of gripping war-based shooters drops you and your teammates into the middle of all four theaters of WWII and through Vietnam. With authentic locations, weaponry and vehicles, and online support for intense battles, you won't find more "bang" for your buck.
Grand Theft Auto: San Andreas
Rockstar, $9.99 at EB Games; rated M. » This well-crafted adventure for adult players once again lets you run, gun and drive through interactive environments -- this time in three huge cities, and all points in between -- to accomplish dangerous missions.
