It's actually sad that people prefer digital. There are games on these online stores that are still $80 which have been out for years that you can get in store for a fraction of the price. But I guess people would rather get bent over because it's more convenient. Sony really needs to do something to make buying digital worthwhile. The sales they offer are always garbage too, can't count how many times I've seen Assassin's Creed and Tom Clancy games on them and there's never usually anything better than that. Online is really terrible if anyone bothered to look past the convenience factor.
Digital is very convenient for both parties.
Sales are fewer and further between, and we don't get any pricing incentive to switch though, that is true. Back when it was first getting popular, I expected digital sales would be reduced to incentivize people to save publishers on distribution costs, but I was wrong. On the bright side: when the sales do happen, they are easier to get to than scrounging through bargain bins.
I play most of games on PC these days, so physical copies were forced away from me. On the Switch thus far I'm about 50/50, mostly due to a rare eShop sale. To be fair, Nintendo seems to rarely have sales physical or digital.