PS3 News: EEDAR: PS3 Doesn't Need A Price Cut - PS3 News

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EEDAR: PS3 Doesn't Need A Price Cut

While many are calling for a PlayStation 3 price drop, one analyst believes a price cut is unnecessary for the time being.

After GameStop temporarily dropped the price of the console, Sony informed us that it was only a retailer promotion and nothing more. And in our recent poll, the majority of readers expect a price cut by the end of the year. Right now, EEDAR's Jesse Divnich tells GamesIndustry International that the PS3 is correctly priced.

"I don't believe the PlayStation 3 needs a price drop at the moment. Sales have been consistent and in-line to what one would expect for a platform that continues to successfully grow its install base so late in a console cycle."

As for the GameStop sale, Divnich said we shouldn't read too much into it, saying he doubts it's "any indication of weakness" for Sony's machine. That being said, it wouldn't surprise anyone to see both Sony and Microsoft drop the price of their consoles before the year is out. But it probably won't happen until the holiday rush.

Tags: ps3, playstation 3, ps3 price, ps3 price drop, eedar

4/23/2012 8:30:19 PM Ben Dutka

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Comments (4 posts)

___________
Tuesday, April 24, 2012 @ 6:11:38 AM
Reply

of course not!
wow, thats gotta be the first instance ive said a $ony device does not need a price drop!
mainly because of the bundles stores are offering, if they just had a ps3 and nothing else then i could see a price drop being worthwhile.
but considering all the accessories and required equipment stores are throwing in with one its just not required at the moment.
what IS required is a vita price drop, but thats a whole other kettle of fish!
million dollar question is can $ony swallow its pride and announce a price drop at E3 like ninty did with the 3DS.
or are they too stubborn in their pride?
ill go for the latter.


Last edited by ___________ on 4/24/2012 6:12:39 AM

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Excelsior1
Tuesday, April 24, 2012 @ 8:37:37 AM
Reply

Well, EEDAR seems to be alone in that thinking. I have counted no less than 3 different groups of industry analysts that have said a price cut is needed. Hardware sales were down across the board in 2011. That's even with Sony's price cut last year.

RW Baird analyst Colin Sebastain told GameIndustrybiz that Sony needs to the price of the PS3 to remain competitive in gaming. "Sony is in a tough position." In much of their business they are losing share such as TV's, computers, and gaming.

The need to invest in a significant upgrade cycle for the Orbis/PS4 comes at an awkward time for Sony[Sony recently announced a massive 6.4 billion yearly loss] and we believe to remain competitve longer term in gaming that there needs to be another PS3 price reduction." RW Baird also states they think Sony should be first to market next gen or risk further erosion of their gaming business.

The other article was from Wedbush who said "PS3 hardware sales continue to lag behind those of the 360 and we expect sales to continue trend downward 10-20% monthly until Sony cuts price again. Likely at E3."

Finally there is Strategic Analytics(the same group who said Sony needs to cut the Vita's price). They just flat out said the PS3 will cut its price this year mainly citing Sony's challenges in losing share as well.

One thing to remember is no matter what an analyst predicts that Sony does not exist inside a vacuum. They have an entrenched, and well funded competitor in MS that will very likely cut the 360's price this year. If that happens Sony has limited options. They will almost be forced to respond.

I am almost certain we will see a price cut for both the Vita and PS3 this year.


Last edited by Excelsior1 on 4/24/2012 8:40:19 AM

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DrRockso87
Tuesday, April 24, 2012 @ 11:46:47 AM
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No. The PS3 received a price cut last year! What actually needs a price cut is the PSVita. Imagine if they lowered the price to $180 - 200 and the price of memory cards by half? Sales would skyrocket overnight.

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crookedicon7
Thursday, April 26, 2012 @ 12:31:03 PM
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Playstation goons are a joke it does its an ovet priced Blu-Ray player i bought a game for it just to give my xbox a rest. Hype little character games sucks and online is terrible lol F N fan boys. Get some female ass

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