I tend to buy physical copies of games. my internet is so slow and expensive it would cost more to download a game than the game costs itself as a physical copy. I havn't played skyrim since that 3 gig update patch for that same reason.
I think its going ok. I live in a small coastal town and the difficulty of business here is readily apparent. all the time you see opening soon signs in empty shops, grand openings then discount sales, everything must go sales, closing down sales, empty shop again. there is at least 4 empty shops on every block (6 block strip). It's a little sad to see and I feel worried for the excited people setting up shop.
The computer game store has been going strong for the whole time I have lived here. they even have 2 or three people behind the desk, which for the size of the place is bazaar.
it will be interesting to see if this changes as internet becomes cheaper.
Sometimes I like to use words out of contents