Kindergarten: Let's count fruits. How many can you give?
This article is in answer to JonasParker's entry "Bad Planning and Apathy" on CheeseOrgy. He is asserting Sony should've given guidelines and tools to manage the PS3 crisis to the game stores.
The problem with Sony and the PS3 is all about money.
- Sony loses a sh$%load of money every console they sell. And I do mean the mother sh$%load to use some Clintonism. Estimates ponders between $500US and $800US manufacturing costs, so let's just say it's not really lucrative to sell these consoles.
- Game creators loses their investment of the first games. Think about it. Let's assume 250K consoles worldwide. Let's estimate the EBay boom as unconsequential, even if it is, but let's forget that this WHOLE segment are not even buying games at ALL (making people buy in avg 0.9 game per console in Japan at launch-day). I buy the console, I buy the stuff, let's pretend I buy in average 3 games with it. There are _30_ games for the PS3 at launch. That means in average, my games are selling 25K copies, and I'd divide this by 10 for less popular games. Remember games sell best on launch day, then the decline curve starts, as used games appears, the novelty fades off, and so on. I'd say it's catastrophic and no wonder some companies decided not to jump onto the bandwagon.
- Game stores are losing money. My local game store decided not to sell Next-Gens because of the trouble involved, and because they are doing a meager 10$ per console. That's right, no 50% markup on these titles! So for the (let's laugh) 50 superb consoles a Wal Mart might have, they have to do special provisions, bear with junkie fanbois and fangrrls, have people camp in front of their store, and let's say they are doing 30$ per console … that'd be a fantastic 150$ profit. Hardly something to pick your nose, for the trouble. I know I wouldn't do something really extra for this, and I would embark in the journey knowing I'm losing some unsubstantiated amount of money, so if there are RULES to follow with that?! Not only am I fixed a price by the mfg and not making any profit out of these, but I need to do extra steps too?
- Gamers lose money, either you wait in line for 2 (week) days, or you buy it from eBay with a 2x markup, incidentally what the console should've really costed in the first place to make Sony and stores happy.
So my question is who would pay to keep the event clean? It would have to be Sony and the cost would be prohibitive to enforce something in all the major retail chain throughout the world. Then it's their brand, and the bad rep is with them … But everyone is losing. That is already a really steep price to pay and a very important markup.
That's not referring to the quality of the product, nor the games, or anything related, zealots. That's only about costs to get these out, and who is making a quick buck… and in this case, it was the first buyers in Japan to sell back at a premium, no one else.
(Edit: adapted number to 250K consoles, and not the overly optimistic 500K - Wikipedia - Nexgenwars)
