Console Price Decrease - Did Microsoft Miss An Opportunity?

You cannot state that "Microsoft is not a retailer" in the same paragraph in which you state that "Steam is way bigger than XBL(as a retailer)."

For the record, a Retailer is: A business or person that sells goods or services to the consumer, as opposed to a wholesaler or supplier.

Is Microsoft a business? Check. Does Microsoft sell goods? Check. Does Microsoft sell services? Check. Does it sell goods in the Xbox Games Store over XBL? Check. Am I a consumer? Last time I "checked," so, check. Does Microsoft sell goods or services
to me as a consumer? Check.

Seems like a retailer to me. Just like Steam, but not Steam.

 

Thank goodness for employee discount!

 

But I digress, there is no question that Microsoft is a retailer, none, zip, zilch.

The question was, did Microsoft miss an opportunity.

There has been a lot of negative Press claiming that Microsoft isn't happy with the sales numbers for the new console and that this was the reason for the discount. That bundling of Titanfall in with a discounted system was a way to increase market share,
albeit while potentially losing revenue, and again seems like a desperate attempt to those in the Press to make up sales. Obviously, a less expensive console will make consumers happy as many held off on purchasing a One anyway at the price point it was originally
set at.

Could the Press have viewed it at all negatively if the Digital prices were lowered instead of that of the console? Would they have still claimed that it was a desperate attempt by Microsoft to help their own numbers?

Again, Major Nelson and Mike Ybarra have already mentioned that cheaper Digital game prices are already something Microsoft is "experimenting with," Ryse: Son of Rome was the first such experiment this past January.

I'm in the camp of those hoping to see more discounting of Digital copies of games over the discounting of the console itself. While a less expensive console would have been nice, I already have one so a price drop does not affect me, except to remind me
I paid more just three months ago than those who buy a system today. While a Digital game price reduction would make all of the current and upcoming owners of the console a bunch of "Happy Campers."

 

@Epic Louie

Doh! You lucky guy.

 

Know.. TBH the only press stating MS was unhappy are biased blogs and websites and Sony fans who are banging there chests...If you hear from MS themselves... they are overly excited and very happy with the way the 1 has been selling...

Like most things... who do you listen to? a website taking information from another website getting their information from a 3rd website who got theirs from a crazed "insider" masking his true identity through another username on another website... OR do
you listen to the company themselves?

 

@tohellnbak If the internet is to be believed you most definitely listen to the crazed insider. Everything the company says is just PR Spin.

 

I tend to feel different when it comes to this XB v PS feud/hate/slander that we see every day now between those 2...

 

I get information from as many sources as possible. I'm not a fanboy (I realize you didn't call me one) for either/any console on the market. Regardless, any website making claims of any kind has the power to turn an uninformed potential customer away
from a product if that customer believes the sources that they are getting their information from. A Sony fan who's on the fence about getting an Xbox One to play Titanfall and only gets their information from websites or blogs that are biased against Microsoft
could look at the ideas/comments contained at such sites and conclude that Microsoft isn't doing well, simply because that is an opinion that can be inferred from something like a price drop, three months after launch.

Of course everyone likes price drops, and it's hard to complain about them, but it is a move that raises eyebrows and makes some question why Microsoft would be committing to this move so early after launch if they were not worried, and for some, that is
enough to turn them away.

They would be extremely hard pressed to find something negative to say though about something that most, if not all, gamers have actually been asking for, such as a price drop for digital purchases. Less expensive digital games in no way points to a lack
of confidence in the abilities and value of the console itself. Instead, it could be perceived as Microsoft giving their customers what they want, usually a good thing, but not in all cases.

I guess, at it's most fundamental level, it's all about perception. The console price drop "can" be considered good, neutral or bad depending on how you want to look at it. A digital game price reduction, in my opinion, can only be considered a good thing.

 

Again.. the price drop was in the UK... where they would have t opay close to $800 USD for an XB1 and Titanfall... the inclusion of Titanfall in a bundle (some might considered a markdown) was a limited times edition and is not permanent would be like...
hey Buy our console... we will throw in an extra controller for free...

MS seems damned if they damned if they dont. """" MS IS OVERPRICED!!""" reduce price """ MS IS IS IN DEEP WATER"""

makes me laugh sometimes

 

These are not the Forums to get into how currency and exchanges of them are explained. Suffice it to say, it all comes out in the wash when earnings of a worker in one country are compared to another in a different country with a different currency and
the same can be said for the prices they pay for their products. For example, the British Pound is worth approximately 1.5 times what my Canadian Dollar is. So it is reasonable that a console in Britain, or any product for that matter, seems to be costing
approximately 1.5 times what mine in Canada does. They are the the same price essentially. Currency value differs and this is why apparent price values differ.

It is irrelevant where the price reduction occurred. That it occurred is all that matters.

All bundles can be considered "Limited" in that they may not be available for the rest of the consoles lifespan. However, that there are already bundles with other games in them being sold for the same price, such as the FIFA bundle, would seem to indicate
that the price itself will remain fixed right where it is, for now.

I'm not saying MS is damned, but there are folks out there who are. A console price drop gives those folks ammunition for that argument.

I'm laughing too, however, I believe we are laughing about entirely different things.

 

you are talking about wages and exchange rates.. I am referring to value

the Xbox was touted as being $499 USD... ok we get that... so in reality, should ANYONE who wants to purchase said console pay $499 USD.. ?? somehow in the UK and other places (AUS), they almost pay double.... this has NOTHING to do with import taxes or
Tarrifs.. so saying someone outside a US currency market paying 1.5X more is not the right answer...

You say you are from Canada.... so I am assuming you paid only $450 USD for the console? Take this into consideration....Since the Canadian $ is 90 cents on the dollar.. you are basically saying that just because I am using USD... if I come into you country...
and want to purchase a house listed at 100,000 Canadian Dollars... being it is USD I am using, I only get to pay 90,000 Canadian?

Anyways.. XBOX ONE sells for $499, which should be £297.. add in some of the taxes ETC, sure it will go up... BUT not as much as it was selling for...

 

I was on another thread there taxes were 20% that would be £356 so the price was a little higher than it should have been but with shipping and everything else involved not so much considering everything. Seems to me like its where it should have been originally.

 

Btw its not import tax its a tax for everything sold I believe be happy you like in America!

 

I think it's crap that 3 months after launch they drop the price and offer nothing to those who paid full boat when console was released. Now they are offering lower price with a game. For me this may be the straw that breaks the camel's back with my loyalty
to Xbox. Through Xbox Live Microsoft knows who purchased Xbox One's pre-price decrease. In goodwill, they should offer a free digital download or coupon for free game to those who paid the higher prices. Unless they are not worried about the couple of million
consumers who purchased pre-price decrease.

 

I think the only reason you are seeing a price decrease is because the sales figures are not where they thought they would be by now. Though you will never see MS admit it.