For now, I"ll take my physical media all day long. Why? Because if the game turns out to be a dud, I finish it, or just no longer want it then it is still worth something. Heck, just look at the frenzy for NES and SNES games on eBay. They are collected like comic books. Guys buying Mega Man 4 just so they can round out the collection even though they will never play it.
What the hell am I supposed to do with a digital download when I'm done with it?