PS3 Pricing Strategy: Is Sony Bluffing?

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

(From Joystiq.com)

Chris Morris at CNN/Money has an interesting theory on Sony¹s
insistence that the Playstation 3 will ³be expensive² ‹ are they
bluffing? The advantage would be twofold: first, set consumer
expectation high, then surprise them with something much lower, driving
a potentially much larger buying rush. Secondly, lull Microsoft into
thinking they can get away with sticking an extra high pricetag on the
Xbox 360, scaring off some of its potential buyers. The other potential
reason for crowing about high pricing expectations might be to force
Microsoft to make the first move, thus prepping consumers to get beyond
the cognitive barrier of paying more than $300 for a game console. And,
you know, it¹s not like we would be shocked and appalled to discover
than Sony totally played the media on this one.

<http://www.joystiq.com/entry/1234000443056098/>

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Hillbilly J. Duncequeer" <bjd@com.net.org> wrote in message
news:280820051116189500%bjd@com.net.org...
> (From Joystiq.com)
>
> Chris Morris at CNN/Money has an interesting theory on Sony¹s
> insistence that the Playstation 3 will ³be expensive² < are they
> bluffing? The advantage would be twofold: first, set consumer
> expectation high, then surprise them with something much lower, driving
> a potentially much larger buying rush. Secondly, lull Microsoft into
> thinking they can get away with sticking an extra high pricetag on the
> Xbox 360, scaring off some of its potential buyers. The other potential
> reason for crowing about high pricing expectations might be to force
> Microsoft to make the first move, thus prepping consumers to get beyond
> the cognitive barrier of paying more than $300 for a game console. And,
> you know, it¹s not like we would be shocked and appalled to discover
> than Sony totally played the media on this one.
>
> <http://www.joystiq.com/entry/1234000443056098/>

Well if they pull a fast one and it is not expensive, I might freak out and
pick one up on launch just out of sheer giddiness. If I am expecting $500
and it launches for the equivalent of the 360 "premium" system, I don't know
what I would do.

 

[Jordan]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

A better reason...

Make Microsoft think they can get away with a $400 console then
under-cut them by releasing the PS3 for $300.

- Jordan

 

[Strychnine]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Jordan" <lundj@earthlink.net> wrote in message
news:1125269120.261834.229250@g49g2000cwa.googlegroups.com...
>A better reason...
>
> Make Microsoft think they can get away with a $400 console then
> under-cut them by releasing the PS3 for $300.
>
> - Jordan
>

Yeowtch! That would be a serious kick in the ball$ for Microsoft if Sony
could actually do it...

 

[Jordan]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

Halo 3?

- Jordan

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

>> Make Microsoft think they can get away with a $400 console then
>> under-cut them by releasing the PS3 for $300.

I'm sure MS will reduce the price at the same time the PS3 launches. I
wonder what else MS has up its
sleeves to disrupt the PS3 launch?


"Strychnine" <BeERm3@b33R.IcYEKoLD.N3t> wrote in message
news:nuidnRhAxKtd1o_eRVn-gA@centurytel.net...
>
> "Jordan" <lundj@earthlink.net> wrote in message
> news:1125269120.261834.229250@g49g2000cwa.googlegroups.com...
>>A better reason...
>>
>> Make Microsoft think they can get away with a $400 console then
>> under-cut them by releasing the PS3 for $300.
>>
>> - Jordan
>>
>
> Yeowtch! That would be a serious kick in the ball$ for Microsoft if Sony
> could actually do it...
>
>

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"carrajo" <carrajo@hotmail.com> wrote in message
news:0KsQe.435$2F1.82715@news20.bellglobal.com...
>>> Make Microsoft think they can get away with a $400 console then
>>> under-cut them by releasing the PS3 for $300.
>
> I'm sure MS will reduce the price at the same time the PS3 launches. I
> wonder what else MS has up its
> sleeves to disrupt the PS3 launch?

I don't think MS could get away with charging the same as the PS3.

>
>
> "Strychnine" <BeERm3@b33R.IcYEKoLD.N3t> wrote in message
> news:nuidnRhAxKtd1o_eRVn-gA@centurytel.net...
>>
>> "Jordan" <lundj@earthlink.net> wrote in message
>> news:1125269120.261834.229250@g49g2000cwa.googlegroups.com...
>>>A better reason...
>>>
>>> Make Microsoft think they can get away with a $400 console then
>>> under-cut them by releasing the PS3 for $300.
>>>
>>> - Jordan
>>>
>>
>> Yeowtch! That would be a serious kick in the ball$ for Microsoft if Sony
>> could actually do it...
>>
>>
>
>

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"carrajo" <carrajo@hotmail.com> wrote in message
news:0KsQe.435$2F1.82715@news20.bellglobal.com...
> >> Make Microsoft think they can get away with a $400 console then
> >> under-cut them by releasing the PS3 for $300.
>
> I'm sure MS will reduce the price at the same time the PS3 launches. I
> wonder what else MS has up its
> sleeves to disrupt the PS3 launch?

It won't matter what MS does.
The only thing that can hurt Sony is Sony.
Any price higher than $399.99 would be cause to pull out some nails and a
hammer.
Maybe not to use them but to have them handy just incase

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

In alt.games.video.xbox carrajo <carrajo@hotmail.com> wrote:

> I'm sure MS will reduce the price at the same time the PS3 launches. I
> wonder what else MS has up its
> sleeves to disrupt the PS3 launch?

Halo3. The impression I get is that Microsoft thinks that releasing Halo3
on the day that the PS3 launches will be enough to convince people to buy
a 360 instead of a PS3.

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

Doug Jacobs wrote:

> Halo3. The impression I get is that Microsoft thinks that releasing
> Halo3 on the day that the PS3 launches will be enough to convince
> people to buy a 360 instead of a PS3.

I think it's more just a matter of stealing some thunder. The PS3 is going
to sell out on launch day anyway. It just won't be the only big video game
story of the day if Halo 3 launches on the same day.

-Z-

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Zackman" <zackman@SPAMISEVILearthling.net> wrote in message

> I think it's more just a matter of stealing some thunder. The PS3 is going
> to sell out on launch day anyway.

Just like the PSP.

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

In alt.games.video.sony-playstation2 Zackman <zackman@spamisevilearthling.net> wrote:

> I think it's more just a matter of stealing some thunder. The PS3 is going
> to sell out on launch day anyway. It just won't be the only big video game
> story of the day if Halo 3 launches on the same day.

True, but the console wars are fought among the casual gaming crowd. Do
you think they're really going say "well, I was going to buy a PS3, but I
think I'll buy Halo3 instead." ? Heck, most of them will probably decide
to buy a PS3, Halo3, and then complain that they can't get it work.

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

Doug Jacobs <djacobs@shell.rawbw.com> wrote in
news:11h7dm8ri6uhp6b@corp.supernews.com:

> In alt.games.video.sony-playstation2 Zackman
> <zackman@spamisevilearthling.net> wrote:
>
>> I think it's more just a matter of stealing some thunder. The
>> PS3 is going to sell out on launch day anyway. It just won't
>> be the only big video game story of the day if Halo 3
>> launches on the same day.
>
> True, but the console wars are fought among the casual gaming
> crowd. Do you think they're really going say "well, I was
> going to buy a PS3, but I think I'll buy Halo3 instead." ?
> Heck, most of them will probably decide to buy a PS3, Halo3,
> and then complain that they can't get it work.
>

I doubt most of the casual gaming crowd are going to buy a
console the day it launches anyway. A Halo 3 launch on the day
of the PS3 launch would ensure that Xbox 360 would get some
mainstream attention around that time as well and would keep
Xbox 360 in the public consciousness, which MS has to do if they
want the casual gaming crowd to buy the system.

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Jordan" <lundj@earthlink.net> wrote in message
news:1125269120.261834.229250@g49g2000cwa.googlegroups.com...
>A better reason...
>
> Make Microsoft think they can get away with a $400 console then
> under-cut them by releasing the PS3 for $300.
>
> - Jordan
>
[sarcasm]

Yeah I bet all those Harvard educated sales executives at Microsoft never
thought Sony would do that.

[/sarcasm]

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Kav" <bo@gya.net> wrote in message
news:ZjERe.100348$G8.31696@text.news.blueyonder.co.uk...
>
> "Jordan" <lundj@earthlink.net> wrote in message
> news:1125269120.261834.229250@g49g2000cwa.googlegroups.com...
>>A better reason...
>>
>> Make Microsoft think they can get away with a $400 console then
>> under-cut them by releasing the PS3 for $300.
>>
>> - Jordan
>>
> [sarcasm]
>
> Yeah I bet all those Harvard educated sales executives at Microsoft never
> thought Sony would do that.
>
> [/sarcasm]
>
>

[sarcasm]

I guess those are the same Harvard-educated salesmen who think that 2
versions of the same system is a good idea.

[/sarcasm]

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Mattinglyfan" <nyyankees@comcast.net> wrote in message
news:9LqdnZ2dnZ2cDFLBnZ2dnTgzit6dnZ2dRVn-yp2dnZ0@comcast.com...
>
> "Kav" <bo@gya.net> wrote in message
> news:ZjERe.100348$G8.31696@text.news.blueyonder.co.uk...
> >
> > "Jordan" <lundj@earthlink.net> wrote in message
> > news:1125269120.261834.229250@g49g2000cwa.googlegroups.com...
> >>A better reason...
> >>
> >> Make Microsoft think they can get away with a $400 console then
> >> under-cut them by releasing the PS3 for $300.
> >>
> >> - Jordan
> >>
> > [sarcasm]
> >
> > Yeah I bet all those Harvard educated sales executives at Microsoft
never
> > thought Sony would do that.
> >
> > [/sarcasm]
> >
> >
>
> [sarcasm]
>
> I guess those are the same Harvard-educated salesmen who think that 2
> versions of the same system is a good idea.
>
> [/sarcasm]

[no sarcasm]

ROFLMMFAO!

[/no sarcasm]

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

Mattinglyfan schrieb:
> [sarcasm]
>
> I guess those are the same Harvard-educated salesmen who think that 2
> versions of the same system is a good idea.
>
> [/sarcasm]

Makes just as much sense as it does to sell several versions of the
same car. People like to have choices. Hence, different versions of
iPods, different ice cream flavors, different this and that. Having
options for a console just seems like a natural progression.

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Mattinglyfan" <nyyankees@comcast.net> wrote in message
news:9LqdnZ2dnZ2cDFLBnZ2dnTgzit6dnZ2dRVn-yp2dnZ0@comcast.com...

> [sarcasm]
>
> I guess those are the same Harvard-educated salesmen who think that 2
> versions of the same system is a good idea.
>
> [/sarcasm]

It is a good idea. If you want certain features, you can have them, but if
you don't, you don't have to purchase them.

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Fred Liken" <nothanks@toocoolforschool.com> wrote in message
news:4318a6f0$0$206$bb4e3ad8@newscene.com...
> "Mattinglyfan" <nyyankees@comcast.net> wrote in message
> news:9LqdnZ2dnZ2cDFLBnZ2dnTgzit6dnZ2dRVn-yp2dnZ0@comcast.com...
>
>> [sarcasm]
>>
>> I guess those are the same Harvard-educated salesmen who think that 2
>> versions of the same system is a good idea.
>>
>> [/sarcasm]
>
> It is a good idea. If you want certain features, you can have them, but
> if you don't, you don't have to purchase them.

I am all for that but not when it comes to the HDD. I am not down with the
"programmers have known to program for no HDD for months now". What the
hell good is that even if it is true. Doesn't that make the HDD useless.

 

[Jordan]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

That is a good point. How many variations of iPod are there or Diet
Coke?

But I guess the realistic difference is that MP3s are MP3s, you don't
have developers wondering... "Hmmm... is our next multi-million dollar
project going to work on every version of iPod."

- Jordan

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Mattinglyfan" <nyyankees@comcast.net> wrote in message
news:wbednW3ier0agITeRVn-1w@comcast.com...
>
> "Fred Liken" <nothanks@toocoolforschool.com> wrote in message
> news:4318a6f0$0$206$bb4e3ad8@newscene.com...
>> "Mattinglyfan" <nyyankees@comcast.net> wrote in message
>> news:9LqdnZ2dnZ2cDFLBnZ2dnTgzit6dnZ2dRVn-yp2dnZ0@comcast.com...
>>
>>> [sarcasm]
>>>
>>> I guess those are the same Harvard-educated salesmen who think that 2
>>> versions of the same system is a good idea.
>>>
>>> [/sarcasm]
>>
>> It is a good idea. If you want certain features, you can have them, but
>> if you don't, you don't have to purchase them.
>
> I am all for that but not when it comes to the HDD. I am not down with
> the "programmers have known to program for no HDD for months now". What
> the hell good is that even if it is true. Doesn't that make the HDD
> useless.

Somewhat, yes. There will be things that you might want to use it for if
you bought it, but otherwise it's not required. I'm glad there's the option
to not have something that is rarely used to begin with. Why pay for it if
you probably won't use it.

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Fred Liken" <nothanks@toocoolforschool.com> wrote in message
news:431dbced$0$217$bb4e3ad8@newscene.com...
> "Mattinglyfan" <nyyankees@comcast.net> wrote in message
> news:wbednW3ier0agITeRVn-1w@comcast.com...
>>
>> "Fred Liken" <nothanks@toocoolforschool.com> wrote in message
>> news:4318a6f0$0$206$bb4e3ad8@newscene.com...
>>> "Mattinglyfan" <nyyankees@comcast.net> wrote in message
>>> news:9LqdnZ2dnZ2cDFLBnZ2dnTgzit6dnZ2dRVn-yp2dnZ0@comcast.com...
>>>
>>>> [sarcasm]
>>>>
>>>> I guess those are the same Harvard-educated salesmen who think that 2
>>>> versions of the same system is a good idea.
>>>>
>>>> [/sarcasm]
>>>
>>> It is a good idea. If you want certain features, you can have them, but
>>> if you don't, you don't have to purchase them.
>>
>> I am all for that but not when it comes to the HDD. I am not down with
>> the "programmers have known to program for no HDD for months now". What
>> the hell good is that even if it is true. Doesn't that make the HDD
>> useless.
>
> Somewhat, yes. There will be things that you might want to use it for if
> you bought it, but otherwise it's not required. I'm glad there's the
> option to not have something that is rarely used to begin with. Why pay
> for it if you probably won't use it.
>

But honestly how people do you know that "rarely" use their Xbox hard drive?

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Mattinglyfan" <nyyankees@comcast.net> wrote in message
news:M6WdnTJzMupUp4PeRVn-pw@comcast.com...

>> Somewhat, yes. There will be things that you might want to use it for if
>> you bought it, but otherwise it's not required. I'm glad there's the
>> option to not have something that is rarely used to begin with. Why pay
>> for it if you probably won't use it.
>
> But honestly how people do you know that "rarely" use their Xbox hard
> drive?

I don't know. That's the XBox, though, and that had a hard drive. The 360
won't, so the games aren't going to require it for normal play, so I'm
guessing it won't be needed for many things. Best that way to make a system
that has the money spent in places that can make a bigger difference.

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

In alt.games.video.sony-playstation2 cjw <cwinter@gmail.com> wrote:

> Makes just as much sense as it does to sell several versions of the
> same car. People like to have choices. Hence, different versions of
> iPods, different ice cream flavors, different this and that. Having
> options for a console just seems like a natural progression.

Your analogies don't quite work since both versions of a car will drive
over the same roads, just like both sizes of iPod will play MP3s. Yet the
360-Core will lack capabilities that are in the 360-Deluxe.

Even stupidier, Microsoft has told developers not to depend on the HDD
being there, meaning that the developers have to either create 2 versions
of their games, or just ignore the HDD altogether. You've seen those car
commercials where the car in question has a special, better road to drive
on, compared to the "other cars". Well, imagine trying to have a car that
would only drive on certain roads - it wouldn't sell. Yet this is exactly
what Microsoft is doing with their 2 pricepoint approach.

Furthermore, there are different options available for the console - you
can buy the different accessories. Unfortunatly, buying the 360-core plus
any two non-controller accessories means you've spent almost (if not more)
than the 360-deluxe, making the lower priced package a waste of money.

Even from a corporate point of view, I don't really understand Microsoft's
pricing strategy for the deluxe kit since you're getting approximately
$250 in accessories for just $100 more than the 360-core. I know that
companies sell console hardware at a loss, but accessories are usually
profitable by themselves, and why would Microsoft want to lose an
additional $150 on top of the estimated $200 they're going to be losing
for each Xbox360 they sell?

 

[Guest]

Archived from groups: alt.games.video.xbox,alt.games.video.sony-playstation2 (More info?)

"Doug Jacobs" <djacobs@shell.rawbw.com> wrote in message
news:11hv4eti3h4ged9@corp.supernews.com...

>> Makes just as much sense as it does to sell several versions of the
>> same car. People like to have choices. Hence, different versions of
>> iPods, different ice cream flavors, different this and that. Having
>> options for a console just seems like a natural progression.
>
> Your analogies don't quite work since both versions of a car will drive
> over the same roads, just like both sizes of iPod will play MP3s. Yet the
> 360-Core will lack capabilities that are in the 360-Deluxe.

Um... in typical Dougie fashion, you fail to make a point. Both versions of
the XBox will drive over the same roads, or execute the same games, rather.

> Even stupidier, Microsoft has told developers not to depend on the HDD
> being there, meaning that the developers have to either create 2 versions
> of their games, or just ignore the HDD altogether. You've seen those car
> commercials where the car in question has a special, better road to drive
> on, compared to the "other cars". Well, imagine trying to have a car that
> would only drive on certain roads - it wouldn't sell.

Um, again, you fail to make a point. There are cars that only drive on
certain roads, they are called normal cars. Now, take a 4X4, like a Humvee,
that can also drive on some exciting less paved roads in addition to the
normal cars, and drive on the normal roads with more umph. Humvees sell
quite well.

Also, the PS2 had no HDD, and it sold well.

> Yet this is exactly
> what Microsoft is doing with their 2 pricepoint approach.

Exactly, but your analogies are poop.

> Furthermore, there are different options available for the console - you
> can buy the different accessories. Unfortunatly, buying the 360-core plus
> any two non-controller accessories means you've spent almost (if not more)
> than the 360-deluxe, making the lower priced package a waste of money.

Just like souping up a car.

> Even from a corporate point of view, I don't really understand Microsoft's
> pricing strategy for the deluxe kit since you're getting approximately
> $250 in accessories for just $100 more than the 360-core. I know that
> companies sell console hardware at a loss, but accessories are usually
> profitable by themselves, and why would Microsoft want to lose an
> additional $150 on top of the estimated $200 they're going to be losing
> for each Xbox360 they sell?

Because those accessories don't cost them nearly $150.