Maxwell M.:
Early this morning, Nintendo announced that it would be dropping the price of the Nintendo Wii in North America from $149 to $129. This is, presumably, to cash in on the bargain hunters during the holiday season and make way for the release of the Wii U on November 18th of this year. This was almost immediately followed by Microsoft's announcement that it would be dropping the price of its Xbox 360 bundles by $50, to $249.
Sony just cannot seem to catch a break. Nintendo has held the total market share in North America for the entire generation, while the 360 has been able to outpace the Playstation 3 console in North America for the last 21 months straight. While the worldwide total puts the 360 and the PS3 neck-and-neck, the PS3 is very far behind in North America. Sony saw an opportunity to release a new, slimmer SKU of the PS3 last month, bundled with the critically acclaimed Uncharted 3 for $269. Armed with a slew of first party exclusives due out this fall, Sony seemed set to take the Wii U head on, priced just under the cheaper of the two Wii U SKU's. But these price drops may prove to be detrimental.
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Certainly seems that at least MS is trying to outdo Sony on price this Christmas.
The Wii drop is debatable as it already was a lot cheaper than both 360 and PS3. Then again the Wii is just an overclocked Gamecube, and the Gamecube was dumped for 79 bucks when the Wii got on sale. Looking at how old the Wii's hardware is, it should be under 100 already, when it launched for 250 in 2006.
WiiU - Rated U for Upgrade
I'm not saying that it is not being dropped to compete with holiday prices. It would be stupid of Nintendo to disregard that aspect altogether. What I am saying is that Nintendo had a price drop on the DSs when the 3DS came out and then on the 3DS when the 3DS XL came out. I was pointing out the pattern that should be the norm in the industry. Consumers expect a price drop on the older system when a new one comes out. $20? That's perfect for Nintendo to offer some type of drop and still cash out a bit.
And on the price drop; they would have happened regardless of the PS3slim 2 because of the wiiu, slowing hardware sales and holiday season enticement. The new PS3 model Is just Sony's own version of this.
Wii u has potential to do wonderful things & no doubt it will (especially 1st party) but if PS/MS nx gen machines roll out before that happens, its going to be a repeat of this gen except that casuals & others wont go nuts over nintendo this time around..
Nintendo knows how to sell & theyre doing great right now moving in the right direction but 3rd party publishers are still hesitant with software.. Look at 3DS, all those sales but few core 3rd party games.. They struggle to sell on nintendo systems.. Except games like DQ & MH in japan..
I didn't say anything bad about Sony here. It is also hard to feel "threatened" by a game console.
When I point out "negative" sides in positive stories(which I wasn't aware this was one or the other) I am stating static truths and predictions based on those solid apparent fact. And it isn't just Sony; I am uncertain the wiiu will meet Nintendo's predictions(as I was with the launch of 3ds, though not as doubtful now as I was then), I believe Microsoft is becoming increasingly irrelevant to the gaming media and had lamented Nintendo's poor e3 showing.
But in my eyes, Sony just has more weighed against them, indicative of a company that has lost nearly 90% of itself in 10 years. (Although MS Xbox "irrelevancy" may be far more damming if they don't do something about it...)
Yeah isn't it great? We get consoles for so cheap, they must care about gamers rather than profit after all!
MS trying to actually COMPETE? it's not like they'd lose hope and let the Wii-U take all the sales it can, don't you think?
O-T
Title is wrong, new PS3 model is not a threat, looks like a more expensive downgrage compared to the V1 Slim, MS will try to keep getting the most sales it can, that's why they'll cut prices
Also Wii U.
Although the Wii's price drop is more likely to be a result of the new Wii U coming out.
At this point it isn't clear that either MS or Nintendo care about PS3 pricing. They're actually more interested in taking care of their own businesses.
Given the bundle-only distribution of the flip-top PS3 it isn't even clear the PS3 got a price cut at *all*.
just like Sony is trying to
Knock out the competition!
they're trying to, at least. Not doing a good job, though
why they close the huge gap of 9.2mil to 1.8mil ?
if u ask me sony is doing a great job
If you sell 100 ps3 systems....
And sell 100 360 systems...
You make more profit on the 360 systems....
Profit. That is why they haven't dropped the price of the new er slim model.
Why it is that the 360 has had a higher attach rate for this gen, especially early on, and the money MS makes off of xbl is amazing. It is profit. Who cares if they sell the exact same, MS is making more money from each sale.
Xbl and gold* not just xbl......
Nintendo is putting the Wii in retirement status and MSFT is trying to compete against Wii and Wii U. I don't think MSFT has ever really worried about the PS3 during the holidays in any strategically exclusive way.
Sony can't catch a break because the demand for PS3 has diminished and the brand recognition has eroded over the years getting worse as time goes on.
The new PS3 slim is a reaction to what MSFT and Nintendo is doing not the other way around. Wii U and Kinect.
Wii would obvilously drop in price regardless of what MSFT and Sony is doing. MSFT wants to detour cunsumers from the Wii U doing all they can to slow the adoption rate of the Wii U while they prepare for their own next gen console. I'd be surprised if MSFT is even factoring Sony in their positioning to beat Nintendo right now.
It was just bound to happen, especially if MS is intending to release a new Xbox. next year. Try to slow down the competition from getting a foot hold while you attack them with a new product.
Sounds like a genius move. If MS was threatened by Sony, it would have been last year when Sony had a price cut on the PS3. That price drop didn't do much....
As for the Wii price drop. I think that might bite Nintendo in the ass this holiday and get people buying the Wii instead of the Wii U.
"Come here friend! Are you looking for a brand new WiiU for your kids? Forget about it, you can buy our brand New PS3S! Fully compatible with all our older PS3 games!"
This holiday season for Sony ts about making a profit so maybe they won't sell crazy numbers but what they do sell will make a profit in return which they really need to do since they been in RED. On one hand people want to know why any is loosing money in the other it's why don't they drop prices? Are some of y'all fanboys who are writing these any doom articles stupid or dumb? Or maybe both?
Vita just launched and holiday season has a good lineup so why drop the price? And ps3 is now just making profit so they should drop the price why? Because a last gen non had wii console has done so? Or because MS who have been selling a $199 xbox360 for a while ow?
Make sense use your brain some it's there for a reason.
Sony is also one of the biggest publishers so they have a lot of software sales too so it's just not the consoles.
A500gb with AC3 for 300 means the console is $240 plus you getting extra hard drive space. Now casuals will buy wiiu since its new system but informed gamers will choose between xbox360 and ps3 depending on which bundle they like
Not saying wiiu is for casuals what I mean is a lot of parents buy gifts and stuff and they just buy what ever is new so in this case wiiu
Ps3 certainly has been outselling the 360 "almost" on a yearly basis...but your comment:
"I guess ps3 has failed even though it has outsold xbox360 since launch?"
Is completely false.
Between 2006-2007 the 360 outsold the PS3. We are ALL aware of the poor sales the PS3 had due to cost. So this isn't even up for debate.
From 2007-2008 the 360 once again outsold the PS3 AGAIN due to the PS3 still being over priced HOWEVER did cut into the 360's lead right after the first initial Sony Price Drop.
From 2009-2010 the PS3 outsold the 360 simply due to another price drop and the introduction of the new and sleeker PS3 Slim.
From 2010-2011 AGAIN the PS3 outsold the 360 with it's cheaper and sleeker PS3 Slim model AND the lack of a 360 price drop.
From 2011-2012 the 360 outsold the PS3 simply because of the record breaking sales for the peripheral Kinect selling 10 million units in a measly 5 months.
From 2012-2013 ??? Still up for grabs for either of the 2 major HD consoles.
http://www.vgchartz.com/too...
If you have a better source to track world wide records I would be more then happy to use it.
http://www.pcworld.com/arti...
There's nothing false about his comment...
"I guess ps3 has failed even though it has outsold xbox360 since launch?"
You are breaking it down into years. He's clearly not doing the same. He's talking about all years combined, which is just as valid a perspective as the yearly breakdown. And in that case, he is entirely accurate. PS3 has outsold the 360 since launch. That's why the gap between PS3 and 360 is smaller today than it was when PS3 launched. To argue with him is to argue with basic math. If he had said the PS3 outsold the 360 EVERY YEAR since launch, then that would be false, but he didn't say that.
You can break it down further into years if you want, but anyone could just as easily say what you said is false if we broke down your timeframes further.
PS3 outsold 360 for most of 2011. 360 only regained ground and passed PS3 in yearly sales during the final few months of the year.
PS3
Q1-3: 7.6
Q4: 6.5
Total: 14.1 million
360
Q1-3: 6.7
Q4: 8.2
Total: 14.9 million
http://www.geekwire.com/201...
A price cut for the Nintendo Wii entertainment system will give the platform a proper send off into the sunset for the remainder of the year. Delivering a fine push to the current generation finish line in the wake of release of the Nintendo Wii U entertainment system.
I see the Xbox 360 delivering strong sales as well with their own 50 dollar price cut. Especially combined with the soon to be released industry leading first person shooter exclusive HALO 4. And the highest rated racing simulator Forza makes a comeback as well to compliment the price cut.
Low affordable pricing strategy is key during the holiday season.
Rated E For Everyone
This is why we only saw bundles to begin with. It was a way of gaining some extra profit from those who could not resist, and it was also a motive for people to go out and grab the original slim before stocks were exhausted.
By removing the RRP, Sony have effectively removed a decipherable price point which makes it very difficult for both Microsoft and Nintendo to align their pricing. The blurriness of Sony strategy at the moment may well upset consumers, but it also confuses their rivals
We are already seeing cuts here in Europe, with the £159 PS3 at HMV and £158 PS3 at Amazon, and I doubt that's the sticking point going into Christmas. As retailers vie for those seasonal shoppers, they will cut away at that price and probably bring it below the £150 mark.
America is a given: The 360 and Nintendo rule Christmas over there, but Sony have been focusing on Europe for many years now and it's here that you will see the most significant PS3 sales. Sony won't outsell either console this Christmas ... they never do, but I have a feeling they'll do better this year than last.
Nintendo Likely does not care too much seeing that the Nintendo Wii U entertainment system is going to pretty much sell out arrival. They are just garnering extra sales from their older console before the end of this current generation. Which ends for Nintendo on November 28th. Nintendo at this point will offer the consumer a next generation platform, a current generation platform, and the industry leading handheld all at once this holiday season. I see no confusion as of right now.
Rated E For Everyone
Perhaps Sony wanted them to make their move first and the Slimmer has certainly done that. We'll see.
"By removing the RRP, Sony have effectively removed a decipherable price point which makes it very difficult for both Microsoft and Nintendo to align their pricing"
Can you please provide a source that states that Sony have not set an RRP for the new PS3? I know that they didn't in the UK, but from my understanding it is in fact illegal for companies to set an RRP on domestic electronical goods in the UK.
"Prohibition of recommended resale prices for specified goods
2. It shall be unlawful for a supplier, by publication or otherwise, to notify
to dealers prices recommended or suggested as appropriate to be charged
by those dealers for specified goods. "
Source: http://www.oft.gov.uk/share...
This is what a Sony representative had to say about not giving an RRP in the UK ONLY:
"Sony announced the price of both models for the Eurozone but not the UK. How does that work exactly? How do we settle on the prices we have here?
Fergal Gara: We find RRP means increasingly little in the UK. "
Source: http://www.eurogamer.net/ar...
Sony still very much do have a RRP in every other country:
http://us.playstation.com/p...
The official USA Sony site has "Price $299.00 MSRP"
http://www.jp.playstation.c...
The official Japan Sony site has "Suggested retail price 24,980 yen (tax included)"
Please do some research before suggesting such a blatantly incorrect "fact".
The thing is, even if there is an RRP for a product, which there is everywhere outside of the UK, that doesn't stop retailers selling things cheaper than the RRP.
Noted and filed away for future use. You are right, I should have done a little more research because it does appear to be the UK only. My theory is in tatters lol.
Why would they drop their prices while Sony raises theirs? It's obviously a reaction to the Wii U, and the 360 price cut is temporary only
Microsoft will be losing money by reducing their console, which is clear because of the fact it's only temporary. Sony could force them to hold fast on the new price 'after' Christmas too and so create loss for Microsoft. If Microsoft raise the price back to what it was before Christmas and that price is above that of the PS3 slimmer, then it could be detrimental to their 'after' Christmas sales figures.
Play their cards right and Sony could have a checkmate for 2013 (over the 360 at least anyway)
http://n4g.com/news/976706/...
If they dropped the price $100 they would still be making a profit. So a $50 price cut right now is not going to put them in any position of loss or close to it. Nintendo and Microsoft will continue to make profit on current generation hardware with or without a slash.
Not to mention that the article I posted is about 6 months old. They could have further reduced the price of production since then. With that said, I dont see a "checkmate" anytime in the foreseeable future
Rated E For Everyone
You're saying that Sony is in a strong position because they could reduce their price ($269) further during Xmas to the price Microsoft is temporarily selling ($249) Xbox 360's for? You're aware that the PS3 is normally $249 right?
And Microsoft isn't losing anything, retailers are doing this temp price cut and they take the loss, not MS.
If you're saying Sony will take an even bigger loss on the PS3 and drop it's price to less than $199 (less than a 4GB 360) than I think I understand your point.
http://www.examiner.com/art...
Not the standalone... yet. I did say 'could', but to me it would be a very good move if they did exactly what I said. It all depends on just how much they're saving on the Superslim and how much the retailers pay for them.
What are your credentials and I'd like to see your research to prove that what you are saying will pay off for Sony.
like sony has not dropped the price a million times this gen....were they scared then?
The current Xbox is much cheaper to produce now thanks to the system on a chip design introduced with the S model. MS could have easily cut price months ago but didn't need to until now and they are still making decent profit.
I don't think the Xbox is getting a price cut in UK from what I've read which is a shame.
I have a Samsung TV, though I was interested in a Sony Bravia. Do you know why, Samsung had top tier quality, at a more affordable price.
Went to go get a Laptop, loved the Mac, and the Vaio was second place, got a Toshiba, why? Decent size screen, and quality for an affordable price.
Sony needs to find it's Quality and Price ratio, because in the end, people will ignore your great hardware and software if the competition out prices you. People wanted to pay $300 six years ago, six years later they are paying $250, that's what your consumer is thinking right now.
Don't block customers from getting your products, that 12 gig should of been released in NA for 179.99-199.99 easily.
The Wii's sales over the past year have been horrific in the US. Price dropping to try and move out inventory to make room for the new WiiU sku on shelves of stores totally makes sense.
The 360 hasn't had a true price drop in years. Sluggish sales over the summer pretty much cemented a price drop this holiday. Factor in MS most likely is looking to launch its next Xbox in 2013 and it makes sense that they would want to get one more good holiday push in before shifting focus.
Nintendo dropped the Wii's price because they have the Wii U launching, and Microsoft dropped the Xbox 360 because the Wii U is launching. I would figure in North America at least, that if certain people cant find a Wii U, the Xbox 360 will be the second choice.
Doesn't hurt to have Halo 4 as well.
who would have thought sony would have redesigned the ps3 TWICE this gen? just proves sony has failed with the ps3 this gen and has to resort to what, 20? skus and 3 designs of the same console to try to sell the damn thing.
all it causes it contempt and division among its user base, as each user has a variant of the same console, or you buy one sku only for it to be superseded by a 'superior' model a few months later.
and yes, i am a ps3 owner.
-Why would they drop prices to compete with a god aweful PS3 redesign When sony isn't even dropping the price on the cheaper to make redesigned system?
http://youtu.be/17GhvgCAPpA
and my games that weren't in that video are:
A boy and his blob
tales of symphonia dawn of the new world
castle of shikigami 3
Onepiece unlimited adventure
Fragile dreams: farewell ruins of the moon
deadly creatures
skycrawlers innocent aces
kirby's return to dreamland
batallion wars 2
and a lot more, but don't feel like getting up and taking all of them out.
and theres a lot of good games on the wiiware now
Learn to do some damn research and stop pulling speculations and false informations out of your a$$es. Thank you