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GameStop boss wants PS3 price cut

PS3 price "is clearly an issue"
After suggesting that Nintendo has a massive game in the works for Christmas, GameStop CEO Dan DeMatteo is back saying Sony needs to cut the price of PlayStation 3. He's probably not the only one...

"That price point is clearly an issue in this economy," he told CNBC.

How much should Sony knock off? "I don't know that $50 gets you that much," he added. Clearly hoping for a bit more then.

Speaking about the recent PS2 price cut, he said, the move was too late and "really wasn't worth doing" as many publishers had already stopped making games for it.

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Posted by svd_grasshopper
**** off dan, you probably got a ps3 for nothing.
Posted by blagger
There has to be a price drop sooner rather than later, otherwise sony will remain in last place this gen.
Posted by bennyboi1979
blah blah blah!!!

Still value for the money 2 years down the line guys.
Posted by Barca Azul
I find it amazing that Retailers are trying to dictate pricing to Vendors!!

Lets step back a second and reflect on this.

Do we see the vendors telling the retailers what profit to charge products for, or how much to pat their staff or the price they should pay for their retail outlets……errr no.

For me the current price was fine, I wanted the machine and saw its value for money. The price cut would have to generate a specific number of units more to cover the cost of the price cut and the additional sales in games and so on. The Yen is starting to show signs of weakening, meaning Sony get more Yen for every $,£,€’s.

Probably you will see a cut in September, I think, if sales are not where Sony want them to be.

But Mr Retail desperate for any sales right now, should just shut up!
Posted by adgr19
I think it's good that someone in the business is saying what everyone else thinks. the price is the only thing stopping me from getting a ps3. Someone needs to tell MS to drop dlc prices too.
Posted by shiwayb
Cut the price down to lets say £250 and ill buy my third PS3 to help SONY out :P
Posted by dannybuoy
I think the price is fine. I don't want the pikey mass casual market adopting PS3. I'm happy that it's viewed as an expensive almost elite platform. It makes me feel smug ;-)
Posted by gogo65uk
I would pay 500 pound again for a ps3 if mine was to break today. the bundles are better and are way cheaper than when I got mine, pricing isn't a big a deal as some people make out you get what you pay for which in the ps3's case is a good machine with a lot going for it. And it still sells well even at a higher price so go figure. I have a 360 also and I play it now and then (just the gears games)
Posted by ricflair
I would think for Sony a price cut in the US is more important than Europe and Japan, as it's the only market where the 360 has clearly outsold it.

Although I'm sure a price cut will boost sales in all markets. But of course retailers want a price cut; if they have the same margins and simply sell more consoles but make a little less per console, they'll get more income from all these new PS3 owners buying games.

And for the love of god, owning a PS3 is not akin to having a bloody aston martin or drinking nothing but cristal!
Posted by Mark240473
Another PS3 price cut story. Super. It'll happen eventually, but not because of the request of some tool from Gamestop.
Posted by Black Mantis
Yes. Because the likes of Standard, SVD and Bazza are such upstanding men of society :roll:

On topic. This guy is only saying what a lot of people think needs to be done in order for Sony to get the market share many would've thought they'd have by now. But my guess is they'll wait it out until the Xmas period to drop the price.
Posted by voodoo341
£250? There's one for £230 , you'll wait a about a week until they replenish their stocks but may I suggest you add to the £20 I've just saved you and upgrade the HD.
Posted by Conkers
What’s amazing about that? They are in the best position to be able to dictate that, as they’re the ones seeing exactly how the week on week sales pan out, whereas Sony Exec’s will mostly be looking at numbers shipped.



Essentially you do yes, it’s called an RRP. You also see it all the time when you have box priced bundles, so they are setting the price for a retailer, which is in effect setting the profit they make.
Posted by Mark240473
I don't think that a price drop will make that much of a difference.

The masses are buying the Wii in their droves and even if the PS3 was the same price as the Wii, it still wouldn't catch up.

Sure, the 360 may struggle for a couple of months, but then MS would just knock the price down again to about £79.99.

No, from a business point of view, I think that Sony should stick to their guns.
Posted by DrLucienSanchez
The man is just voicing an opinion, as any large retailer is entitled to. I would of thought that most of you would appreciate that as you all seem more than happy to fill the forums with your asinine whinings. And let's be fair... no one gives a tinker's promise what you or I think.
Posted by voodoo341
I can't see a price cut coming now either. I think they'll wait until September and cut the price just when it has the most impact and push it with games like Uncharted 2 and God of War 3.
Posted by _Marty_
Oh dear god... :shock:
Posted by svd_grasshopper
they are £250. last time i checked, that wasnt out of order for a high tech console.

people are only moaning cause the xbox is so cheap. theres a reason for that.

£250 for a hassle-free reliable console to play all your games online free and watch HD movies is a steal quite frankly.

the 360 has no reliability, no HD playback, no free network and no wifi.

they dont compare.
Posted by WHERESMYMONKEY
if enought people shout loud enough maybe sony i'll listen. Probably not.

it been out for 2 years now and is still trying to tout itself as some kind of prestigious piece of kit. Its not. I don't know who's kidding themselves more the fanboys or the company itself.

When 80% of the games on a system are multiplatform it can't afford to have its biggest rival which also has that same collection of games on it be half the price especially considering a few of the more sort after multi platform games (GTA IV, Fallout 3) have exclusive content for the other machine.

Considering that blu ray has won the hd format war so players are about to plummet in price and have already dropped considerably in the last year. Sony are going to continue finding it hard to justfy the ps3 high price point. More over in the long run its costing them moey as many gamers would buy one if it was reduced to what is commonly seen as the sweet spot for games consoles £199. what with both the 360 and wii being cheaper than this already the PS3 for your acerage consumer just appears to be even more of a rip off.
Posted by MrPirtniw
A price cut would be great- as it stands the PS3 is a complete waste on me as I don't want the blu-ray functionality or anything like that. My 360 is used to play games/music (for when I'm working) and the odd DVD. Once the price tumbles I'll happily pick one up.

I know I'm missing out on a couple of great games, but to be honest I've got my hands full playing catch up with the games I missed last year!
Posted by MrPirtniw
Kudos to you by the way Dr Sanchez- great avatar. :D
Posted by The_KFD_Case
...And watch some of the SDF fanboys go apesh!t at the slightest criticism of their beloved guilty pleasure. Predictable as ever. Moving on, Mr. Dan has hit the proverbial nail on the head. A person can argue all they want about "paying for good quality blah blah blah wah wah". Yeah, whatever man. Give me a price cut. The sooner the better because with the cutthroat competition already well established in this market combined with creaking and crashing economies - both private and global - the vast majority of people seem far, far less likely to fork over a significantly larger amount of cash.

Rail and wail all you want against it PS3 fanatics (which doesn't incorporate everyone who owns a PS3 btw; the blight and bane that is fanboyism exists for all the platforms yet does not make all owners of any platform one,) but the cold, hard economic reality is that people and countries are hard pressed. Spending more for what many still perceive as a children's past time of simple entertainment, accurate or not, is not in the cards when cheaper and on the surface equally appealing choices abound. Staying the course can be a fine and admirable thing until the point where it leads to ruin and failure. It's can be a fine line to walk and knowing when to stick to your guns and when to retreat; in this instance the markets are speaking and the numbers are not favouring the PS3.
Posted by ParmaViolet
Maggots, maggots, maggots....maggots, maggots.....maggots....maggots

:)
Posted by Barca Azul
What’s amazing about that? They are in the best position to be able to dictate that, as they’re the ones seeing exactly how the week on week sales pan out, whereas Sony Exec’s will mostly be looking at numbers shipped.



Retail are looking for units moved, trust me. Not just PS3’s, but also the software and peripherals too. They are interested in their cash cycle and not if Sony's price is right in the Market or not. They dont care if its a PS3, 360 or Wii.

Its Sony that have to work out, from an all round profit perspective if it makes sense to cut prices, in order to shift more units of everything and sell more services and DLC.

If you compare it to an Xbox elite for example, the price difference is £40, but I think many are looking for a bigger reduction, sub £200. A 30% reduction is unlikely though.

RRP is a street price your right, but retail do not all buy at the same price, have the same payment terms and the same costs of delivery, so the margins between the different retailers are vastly different. Most retail (Brick and Mortar) is built, not on the money the make on the product, but the cash days they get from the supplier.

The real irony in this is that the less it costs, the less revenue they get, unless there is a large enough spike in sales to increase the revenue.

Also the Retailers lets money from the supplier, the Vendor and the customer, so I really don’t have any sympathy that the retail cash cycle is up the spout and that they probably have too much stock. They are the first to squeeze everyone else mentioned!
Posted by The_KFD_Case
It's a symbiotic relationship. Sony needs the retailers to sell its products as that is what the retailer specialises in at present. The retailer needs Sony to develop and produce goods that consumers will want to buy from the retailer. Both need the other. Either one could theoretically try to set out on their own yet that would in this instance be a huge, and costly, undertaking that would take years to complete with an uncertain outcome. Business doesn't like uncertainty. So the retailer is entirely within his/her rights to comment on the pricing and asking for a change. Sony is entirely within its right to ignore any calls for change. However, both need each other for the time being and thus it behooves their business partnership to find a mutually beneficial solution.
Posted by shiwayb
Yep, ill be adding a UK PS3 to my 2 American Ones (Original 60 GB and 80 GB).
Posted by The__KFD_Case
...And watch some of the SDF fanboys go apesh!t at the slightest criticism of their beloved guilty pleasure. Predictable as ever I will reply in my condescending and boring manner. I will waffle for an extremely long time meaningly no one will read what I write or care what I say but as I'm German and superior to everyone I will go ahead and do it anyway. Yes that's right I know everything about everything and I am your superior. Moving on, Mr. Dan has hit the proverbial nail on the head blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah blah in this instance the markets are speaking and the numbers are not favouring the PS3.
Now I have spoken it is gospel. I will finsh off with a little emoticon just to show that even though I am German and your superior I am also hip and cool. 8)
Posted by Barca Azul
I would call it more love/hate

The thing is you only have to read the news, Retail is suffering massively in all sectors. Look at the likes of DSGI (Dixons, curry’s, PC world), having their credit rating slashed and other big ones in the US closing, Woolworths. They are desperate to churn their cash cycle, and for Sony who have a respectable install base, maybe they don’t want to be number 1(units sold), and looking to the longer term.

Maybe they feel that as they got to market late with the PS3, they know they wont catch the Wii or maybe not even the 360, so they will make as much out of the sales they can get. In times of crisis, prices often go up to cover the shortfall in sales to make the same profit and cover costs.
Posted by pishers
if you add the above to a 360 then it would cost about £200 if you look at the price of pc add-ins and the fact they would be internal and have a much smaller mark up.

the free network is as you say free so if live was free the cost of the 360 would stay the same. also, you don't have to use live if you don't want to and it is free that way.

no matter how you look at it the ps3 needs to be close to £200 to be considered good value, the tech in it isn't that advanced and has no justification for the price, you can buy a blu-ray reader that is way faster than the ps3's for a PC for £50 (maybe less if you shop around) and network adapters between £10 and £20.
Posted by ste hicky
he's right,i priced an 80gb ps3 on amazon the other night and balked at the price of over 300 quid for a 2 and a half year old piece of outdated hardware.

you could get a wii and a 360 together for that money and still have change for a smoke.

you could buy a decent overclocking motherboard,ram,cpu and gpu for that money and still have change afterwards while skinning the ps3's performance on your pc.

pishers is right,200 is the impulse-buy,sweetspot.
Posted by Fury83
His right!
I think Sony su***d this generation.
Posted by svd_grasshopper
ive never bought anything cause the price was £200, thats retarded.

id like you all to bear in mind, that everyone moaning at the ps3's price, are all the same people who bought a 360 for much MORE than £200, despite it being the worse console and failing every few months.

smoke that.
Posted by Mark240473
I class an impulse buy as £10 for a CD/DVD or Blu-Ray. £200 is not an impulse buy, unless you are loaded. No, I still believe that it is pointless bringing the price down. Sony will lose out and that doesn't make good business sense.

I mean, the 360 has 8 million more owners than the PS3, yet the multiplatform sales are almost in the same ballpark figure for both machines. Even if Sony sold more machines (if they lowered the price), doesn't mean those buyers won't just go out and buy a load of cheap second hand games. That scenario would murder Sony.
Posted by ste hicky
fair enough people,just throwing my tuppence in.

i'm not comparing ps3 to 360 to wii to pc that's for the fanbitches to get themselves in a state over.

i just think 3 ton is too much,whether there's a blu ray drive or not.

it should be,at least,in line with the 360 elites price.

peace.
Posted by svd_grasshopper
exactly 8m is sold in about a year. a year plus extra headstart the 360 has over the ps3. so they are basically on a equal level.

once the ps3 comes down in price the casuals will flock to it and give them the needed install base.

if they are holding their own right now at this price, why reduce it?!

it IS good value, no matter what the bitter xboys are saying. "i dont want BR, i dont want wifi, i WANT to pay for my internet..."

well some of us dont want a console that dies on us all the time.

even if xbox had all the features of the ps3, at its arcade bundle price, it still wouldnt be good value for no other reason than its FAULTY. RROD and now E74, amongst a host of other ****ups.

no 360 owner can bark at the ps3's value for money. even the jasper ****s up. come back when the 720 is out.
Posted by flash501
How long did it take you to type that? I hope it was worth it :roll:
Posted by The_KFD_Case
[quote="The__KFD_Case

<snip>




Aww. Did I touch a nerve with some deluded fanboy? :lol: Easy to be brave when hiding behind an imposter's disguise isn't it, you snivelling coward? Pathetic. Incidentally I'm not German though your comments only go to highlight that someone is sorely lacking in geography since it appears you are referring to past comments of mine referring to residing in a Benelux country (note: residing is not the same as being from). The Benelux countries do not incorporate Germany - that one's for free. :wink:

Should you actually have something half-intelligent and meaningful to contribute feel free to come back....Oh! This is just for you: 8) :lol:
Posted by The_KFD_Case
In some cases, yes, and it is precisely that sort of behaviour that is exacerbating the financial crisis. Whether it's banks raising the requirements for loans or landlords hiking deposits and monthly income requirements to Sony keeping PS3 prices higher than their competitors it results in a head-on collision with people's desire to save at a time when just about everyone is extraordinarily conscious of how they are spending their money. Some would argue, and I agree with them, that it is one of the worst ways for a business to approach the current financial crisis as it inhibits growth that is vital to get the gears and wheels of the economy turning again.
Posted by The_KFD_Case
Wrong.

I am in the camp that wants a price cut for the PS3 and I didn't buy an Xbox 360. What are you smoking?
Posted by svd_grasshopper
WRONG!!!

i said xbox owners moaning over the ps3's price point. not people who dont own them.... fool.
Posted by The_KFD_Case
»

Ah, you mean like how you are moaning about others moaning? Aren't you glad neither of us mentioned hypocrisy?...Oh wait....
Posted by wiigodboy101
all this sony do this sony do that SHUT UP ARE YOU A FANBOY WHY ARE RETASILERS AND 3RD PARTYS SO UP SONYS ASS

SEGA DREAMCAST DIDNT DO SO WELL RETAIL 3RD PARTYS DROP IT

GAMECUBE DIDNT DO SO WELL PEOPLE DIDNT UNDERSTAND ITS GREATNESS RETAILS DONT BACK IT


PS3 FLOPS RETAILERS AND 3RD PARTYS DEMAND WE BUY ONE

FOOOOOOOOOOOOK SONY SERIOUSLY FUK THEM
Posted by svd_grasshopper
»»

no, i mean, like - you were WRONG.
Posted by flash501
Come on admit it, you love sony really, go on, just whisper it, no one will hear you and I promise i wont tell any one
Posted by svd_grasshopper
dreamcast was a great console though... not only that it had great games.

two things we cant say about the wii.

you must be a fat teenager, housewife or ian wright. the wii aint a console!!! its trash with nintendos name on it.
Posted by ste hicky
young grasshopper: people have different opinions man,it's not a bad thing. this is,after all,a public forum.

i apologize for any distress caused to you,that was not my intent.

i own a wii,360 and a pc that'd smoke all the current gen consoles. also when the price is right, the ps3's next on the list (mgs4,lbp and white knight chronicles have caught my eye).

to resort to accusations of xbot or fanboy,though, just smacks of someone who should be getting ready to go back to school next week.

please leave me out of that sh!t,it's not my 'game'.

i'm too old to give a f*ck.

peace.
Posted by The__KFD_Case
NOTHING!!!! takes too much time in the fight against Sony my friend. Indeed by showing your total disregard to the seriousness of the situation you have in fact become a victim of the disease that is SONYISM! I'm behooved to allow it to take hold. Through my superior German attitude I will be victorious. 8)
Posted by ste hicky
@kfd case: er,yeah. solidarity reg'. :D
Posted by flash501
»Your talking but all i hear is blah blah blah×500. (Im expecting a sarcastic reply from someone called flash502 any second!)
Posted by The__KFD_Case
»»

It hurts me to know that you have become a victim of SONYISM! Perhaps you lack the vision and will power of the German race. :cry:
Posted by The__KFD_Face
»»»

How dare you.

I come from 100% pure American stock. I was university educated in the UK henceforth I am capable of keeping up a veneer of perceived higher intellect lest you English saps shall look down upon me.

My irritating and condescending tone is only my attempts to keep up this facade. My trait of presenting the simplest of points in the most unecessary laborious and long winded way is also so I can appear superior to the average American, as you English like to look down upon them. In fact I am superior to you all. My well written essays on the most trivial of issues proves this. Yes it does.

Now I don't own any of the three consoles, and I will hide behind this fact whenever I am questioned as to where my allegiances lay. However, did you know Microsoft now make a profit on each 360 sold?

Same can't be said for SONY!!! Ha aha aha ha they actually still make a loss on each damn PS3 shifted!!! I love this fact, ha hahaha aha

p.s you can get blu ray players for 38 EUROS where I live, which renders the PS3 obsolete.
Posted by The__KFD_Case
My brother, while you have truely mastered the art of the long winded waffle you have made one error that I am behooved to forgive! You neglected to finished your intelligent rant with an emoticon. This war against SONYISM! will not allow us to make these errors. We must be absolute in our pursuits of the SDF. Only through total VICTORY will we succeed. 8)
Posted by The__KFD_Face
O brother I indeed have transgressed.

I was so busy in the midst of preparing a new Microsoft Xbox 360 sales pitch (that shall be presented to each and every member of my neighbourhood community) that I forgot my signature emoticons.

I am committed to securing more Microsoft Xbox 360 sales for a bright Microsoft future for us all. Please remember I am in the possession of none of the current three consoles so dare not accuse me of favouritism.

p.s Microsoft Xbox 360 market share has solidified this generation.

:cry: 8) :o
Posted by The_KFD_Case
»»»

What's that Svd? More whining and moaning from you? Guess you didn't get a big enough slice of the hypocrisy pie last time around, eh? :wink: Eat your heart out.
Posted by The_KFD_Case
»»

It would appear there are some whom wear mediocrity as a snugly fitted cape while bitterly attempting to drag down those who would transcend them. Pettiness and jealousy are ugly things, son. Surely you can do better than this?
Posted by The_KFD_Case
Don't forget to shave your head and leave any hint of independent thinking at the door. It should come naturally to you. :lol:
Posted by pishers
just because it is more reliable doesn't make it value for money, all it shows is that the 360 needs to be more reliable. how much money do you think it cost to make the ps3 reliable although there are also reports of ps3's failing too? mazda and honda make the most reliable cars but they certainly aren't the most expensive.

also, i dont think the casual players will flock to it at all because they already have the wii and wont need a new console, also the ps3 doesnt have the games to cater for their needs as well as the wii does.
Posted by _Marty_
What the flying f*ck is going on in this place? Some people need to get a grip and have their own bleedin' login names and not use a 'clever' simile.
Posted by The_KFD_Case
No kidding. The matter is being dealt with as we "speak".
Posted by flash501
He's banned? Now thats a shame
Posted by The_KFD_Case
A crying shame even...
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