Shouldn't Digital Cost Less?

Before I make this post I'd just like to clarify that I am not a businessman and I know very little about business.  However this is something that has been bothering me for a long long while and I can't help but feel that there's a little bit of bullshit involved.

So, when I used to only buy hard copies of games a brand new game would set me back about £40.  For this £40 I would get the game, a box to keep it in and an instruction manual to tell me how to play.  Now, a brand new big title game on Steam will STILL cost £40 but all I get is a digital version of the game and nothing else.  Now I'm sorry but since I'm getting less stuff for my money shouldn't digital distribution cost less?!

When you're making a hard copy of a game you have to make the disc, make the box, print a manual, ship it to a retailer and a bunch of other shit that would be a cost to the people publishing game.  But with digital you aren't doing any of that so shouldn't the costs to the producer be less?  If that is the case shouldn't the cost of the game be less?  Why am I still being charged £40 just for the games data, it seems like a bit of a con.

I've even come across examples where the digital version of a game was MORE EXPENSIVE than the fucking hard copy.  Xenoblade X came out recently in Japan and if I go down to my local game store to pick up a copy it would set me back around 6000 yen.  However if I go on the Nintendo E-Shop it costs fucking 8000 yen!  What the fuck is that?!  where is that extra 2000 yen coming from?  I'm getting significantly less for significantly more money

Maybe there's something I'm missing and digital copies of games are actually more of a cost to a company than producing a hard copy.  I'm hoping that if this is the case then someone can explain it to me because right now I feel like I'm being fucking ripped off!

Won't stop me from buying digital though, it's just so damn convenient.....