All purpose sales and sales rumors/anecdotes thread next gen+

[Rangers]

Amazon was price matching so they could lose money? It's not even an advertised price, you can't see the $449 number until checkout.

Huh? No, Amazon was price matching because that's pretty much what they do. Any major sale on electronics Amazon usually matches IIRC. If Wal Mart has an iPad sale, they match for example.

But yeah, the code thing kinda suggests to me Amazon's heart isn't all the way in this match. And, all the retailers make you put the xbox in your cart to see the $449 price. One of those "not allowed to publicly undercut MSRP policies".

Anyways I did a random PS4 brick and mortar online store inventory stock check for PS4 of my local area. From what I know store inventory info from at least Wal Mart and Target is not known for being 100% reliable, but we'll go with it. This is for the $399 bare SKU only, no bundles. Results:

Best Buy: in stock on website, stores within 100 mile radius or so seem about 50-50 whether they have PS4 in stock.

Target: Unavailable online, but to my surprise mostly available in area stores.

Amazon: Obviously available online.

Wal Mart: Unavailable online or in any area stores. Completely dry in stores.

Gamestop: Unavailable online but mostly available in local stores.

The overall picture seems that PS4 is becoming a lot more available, but isn't into full supply yet.

 

[DrJay24]

I read the $450 price is on the MS store, can't really be a store thing then.

 

[Rangers]

I read the $450 price is on the MS store, can't really be a store thing then.

Why not?

 

[DrJay24]

Why not?

BB, Walmart, Amazon and MS are price matching each other in a race to lose money the fastest? I think it is MS testing the waters with a temporary retail chain rebate.

Ouya beating TF bundle on Amazon tonight..

 

[AlphaWolf]

BB, Walmart, Amazon and MS are price matching each other in a race to lose money the fastest? I think it is MS testing the waters with a temporary retail chain rebate.

Ouya beating TF bundle on Amazon tonight..

Best Buy and Walmart price match by default, even if they don't advertise the lower price, they'll give it in store. And are you certain they lose money at that price point?

 

[Rangers]

Best Buy and Walmart price match by default, even if they don't advertise the lower price, they'll give it in store. And are you certain they lose money at that price point?

They should. I have experience in supply chain and it's likely XO wholesales for 470-480 for a 499 final price.

At least, 360 and PS3 were typically wholesaled for $10-$18 less than MSRP. I'm guessing it may be a little more margin for such a high priced console as XO.

Ouya beating TF bundle on Amazon tonight..

And gunning for PS4 which has fallen all the way to #7. Only two spots below.

Hard to judge on PS4 since it appears only points cards and sales items so far trump it. But it's going to be pretty hard to sell out on Amazon I think if demand is soft enough now to fall to #7.

 

[Shifty Geezer]

They should. I have experience in supply chain and it's likely XO wholesales for 470-480 for a 499 final price.

That's the conventional economics, but I'm not convinced this generation is running according to conventional economics, and we may have higher margins than ever at launch. This is because last gen showed a higher price can be maintained, while the gubbins in these boxes isn't the bank-breaking expense of traditional consoles. We also have Patsu saying he knows a guy who knows a guy who's dog's trainer's boyfriend's cousin said PS4 was going to launch cheaper before XB1 price was released. So if PS4 is operating with higher margins, and XB1 is similar tech, we're looking at a potential higher margin for XB1.

The CE landscape has changed dramatically since any other console. Margins on electronics, certainly computing device, probably have to be larger to offset online software sales. A shop may be able to peddle high-margin accessories when someone buys a low/zero margin mobile device, but there are limited options for that on consoles. So I consider it a possibility that margins are there for retailers with these new machines.

 

[London Geezer]

These gaming shops make a lot more money from cables, Pokemon/beyblade/ any toys, accessories and anything else than on consoles.

 

[Shortbread]

Go Vita, get busy... lol

PS4+Vita+Remote Play = a winning combo.

http://www.mcvuk.com/news/read/ps4-sales-up-but-vita-wins-weekly-hardware-race-in-japan/0130182

Sales of the PS4 were up 15 per cent but it’s the Vita that has claimed the weekly Japanese hardware sales crown, Famitsu sales data has revealed.

PS4 sales climbed from 28,864 to 33,341, thanks in no small part to Konami’s Metal Gear Solid V: Ground Zeroes.

Here are the hardware charts for the week ending March 23rd:

1. PS Vita – 36,533
2. PS4 – 33,341
3. Nintendo 3DS LL – 25,698
4. PS3 – 15,030
5. Wii U – 9,504
6. Nintendo 3DS – 9,130
7. PSP – 2,786
8. PS Vita TV – 1,371
9. Xbox 360 – 254

And here are the Top Ten games:

1. Metal Gear Solid V: Ground Zeroes (Konami) PS3 – 151,300
2. Samurai Warriors 4 (Tecmo Koei) PS3 – 149,068
3. Mario Party Island Tour (Nintendo) 3DS – 135,419
4. J Stars Victory Versus (Namco Bandai) PS3 – 118,737
5. Metal Gear Solid V: Ground Zeroes (Konami) PS4 – 100,278
6. J Stars Victory Versus (Namco Bandai) Vita – 90,907
7. Professional Baseball Spirits 2014 (Konami) PS3 – 70,208
8. Youkai Watch (Level 5) 3DS – 49,799
9. Samurai Warriors 4 (Tecmo Koei) Vita – 43,545
10. Dark Souls II (From Software) PS3 – 36,367

 

[DrJay24]

Best Buy and Walmart price match by default, even if they don't advertise the lower price, they'll give it in store. And are you certain they lose money at that price point?

They can't price match unless it is advertised. None of these places advertised the price and would not show the final price until checkout. It looked more like a carefully orchestrated test price with all major retailers. They all did the "secret" price thing at the same time. If you really want to steal sales and don't care about loss, just put it on page 1 of your flyer and let the world know.

 

[3dilettante]

According to the following, the unadvertised discount is a result of the MSRP not dropping.

While console makers can't officially "fix" the price retailers charge for their hardware, they can impose penalties on retailers that advertise prices lower than what they suggest.

http://arstechnica.com/gaming/2014/03/xbox-one-price-cut-expands-to-microsoft-store-other-retailers/

 

[Shortbread]

According to the following, the unadvertised discount is a result of the MSRP not dropping.



http://arstechnica.com/gaming/2014/03/xbox-one-price-cut-expands-to-microsoft-store-other-retailers/

Which I seriously doubt MS is doing (imposing penalties). The vendors (channels) are more likely pushing retailers on making these deals/discounts, for a host of reasons, one of them being pushing out overstocked warehousing product. Seems to be working from what I hear...

 

[betan]

Below MSRP deals are great for MS. Unofficial price cut lets you sell your product without the negative consequences of an early price drop.

 

[3dilettante]

Which I seriously doubt MS is doing (imposing penalties).

As long as the stores don't advertise the drop, there wouldn't be penalties.

 

[Globalisateur]

I think most of you have it all backwards.

Microsoft kown that price cuts are bad for marketing long term purposes so they do a 90$ price cut (free game + 50$ retailer special promotion) but say

This is not a price drop on Xbox One.

I am confident it's an unofficial Microsoft price cut (maybe temporary) to counter Infamous release. Come on. All those big retailers apply simultaneously a 50$ price cut? And Microsoft then do it just after like if they said "it's a good idea guys, why not?"

On Amazon.fr they even mention a period for this price cut: from 21 march 2014 18h30 to 07 april 2014. Seriously, the 21st of march, the release date of Infamous? And Amazon.fr would then have decided to counter Infamous release with the titanfall bundle?

We'll learn more with time, but I am fairly convinced it's all planned by Microsoft. It's a price cut smartly hidden behind "free game" and "retailer promotion" semantics.

 

[Rangers]

Microsoft kown that price cuts are bad for marketing long term purposes so they do a 90$ price cut (free game + 50$ retailer special promotion)

Why do some people keep saying this is a $90 price cut? It's a $50 price cut. Added software != price cut.

Also, why arbitrarily value the game at $40 anyway? Games cost $60, so at least be consistent and call it a $110 price cut

Anyways, Microsoft's statement to Ars about whether the cut is official

[UPDATE: A Microsoft spokesperson provided Ars Technica with the following statement:

This is not a price drop on Xbox One. The Microsoft retail stores often set prices and run promotions in line with the rest of the retail industry, ensuring that its customers always get a good value for the devices and services purchased from the stores. The current online and physical Microsoft retail store price is not reflective of an MSRP price drop on Xbox One, which is still priced at $499 USD.]

If they are testing the results a price cut has, I think they are probably pleased. The impressions I get is XO is selling very well. Of course we'll know more at March NPD's, which unfortunately are still just over 3 weeks from release (should be released on April 17).

I also think Titanfall did it's job. Just intuitively, I feel like it's a compelling title that people desire. Xbox One with free Titanfall is much more compelling than Xbox One with free Forza.

It all just goes back to the expected, in a douopoly, both sides will do what is necessary to stay in the game. MS has taken effective measures recently in boosting XO's flagging fortunes. They are not long term fixes (the long term fix is an official permanent price cut to $399), but those will come eventually too.

 

[djskribbles]

Also, I discovered a new sales source I had never noticed before, BestBuy.com bestsellers. Capped it

http://www.bestbuy.com/site/Electro...ic/pcmcat311300050017.c?id=pcmcat311300050017

It has Infamous #1, but XO Titanfall bundle in #2 ahead of PS4.

Is this hourly, daily or monthly? The XB1 was first yesterday but the PS4 is ahead now (2 and 3 respectively).

 

[Arwin]

Colleague of mine is starting to want a PS4 (though he barely has time to play so he shouldn't be in a hurry), but the last few times he's looked, it was still sold out here.

 

[DrJay24]

I also think Titanfall did it's job. Just intuitively, I feel like it's a compelling title that people desire. Xbox One with free Titanfall is much more compelling than Xbox One with free Forza.
.

I think it did not so its job, hence the price reductions and bundling. MS should not need to take $50 off the console in its two largest markets and bundle its biggest title if the standalone game sold the console for them at MSRP. The bundle alone did not set charts on file, TF bundle was languishing out of the top ten on Amazon for weeks before the $50 deal pushed it a few spots lower.

What MS really wanted was everyone to buy a $500 XB1 and while they bought their $60 TF game. That's a $560 purchase, not a $450 purchase. Sony meanwhile is selling plenty of Infamous bundles in the EU, but they are more than the standalone PS4, not less.

Currently at Amazon for March. (TF bundle at #12).

In the UK, where the $50 drop is official, the TF bundle is #30 while the PS4 is at #19 (non-bundle) and #13 (Infamous) for March. Infamous bundle has been out for five days and is the top selling console for March. The infamous bundle also cost 30 pounds more than the TF bundle.

 

[Rangers]

Is this hourly, daily or monthly? The XB1 was first yesterday but the PS4 is ahead now (2 and 3 respectively).

No clue. I'm taking a guess it's updated less frequently than Amazon. Maybe daily?

Some Diablo 3 thing #1 now, PS4 2, XO 3.