I used to be hardcore CDs and DVDs only, no digital crap, only physical! Then STEAM came along and showed me the light, they make life so easy to download and they do AMAZING deals constantly. I've nabbed up so many games from their deals! Now, granted, STEAM is the ONLY company I'll buy digital copies from. No EA Downloader, D2D, or Impulse. It's kinda sad there are some games I can't get, Demigod being an example, but I don't want to run a bunch of different programs for me games and STEAM keeps a nice neat library of my digital collection.
They CAN drop the ball at times, IE the BFBC2 release there was no preload, which really sucks, you wait all day for a game to release and then you have to fight with thousands of other users to download and for bandwidth, which results in very slow downloads and frustration. But if you get a sweet weekend deal normally everything flies and you have your game very quickly.
I still will get a hardcopy of a game but it's more rare and I'll actually cancel a preload if I find out it's on STEAM (Bad Company 2 is an example of this) The only time I'll get a physical copy nowadays is if there's a really awsome preorder bonus or collectors item in it. Something like uhm..... say TES4 Oblivion Collectors edition (didn't have a prerelease on STEAM, just using as an example), that I'd want to order from GameStop/online retailer(GoGamer.com is a great one, just throwing that out there for) instead of STEAM.
Also, as a side note, I'd love to point out the excellence of Amazon customer service in a recent transaction of mine. I was having problems with my CD keys being in use when I went to register for the Veteran status in Battlefield. I rebought a BF collection series and found those CD Keys in use as well, I reported the problem to Amazon and they overnighted me a replacement copy (my purchase was only $10) and paid for the return shipping on the previous item. Awesome on Amazons part I think, but I still had issues with the CD keys and had to spend 2 1/2 hours trying to get on the phone with somebody at EA, just to still not have my issue resolved.... but in the end, to wrap the story up, I got everything taken care of