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WWW.MCVUK.COM
MCV 26/06/09 5
NEWS
says UK retail…
…but Sony stands firm on console cost
threat to halt PlayStation 3 game development
[PRE ORDERS]
TOP 10 UNCHARTED 2: AMONG THIEVES PS3 SONY
RETAIL ADVISORY BOARD (From left to right) HMV’s Jonathan Hayes, ShopTo’s Igor Cipolletta, Play.com’s Keith Sharpe and CHIPS’ Don McCabe
hardware into homes and increase the install base.” CHIPS joint managing director Don McCabe added: “I expected a price cut at Easter, but now I anticipate one for Christmas. I believe the situation with the exchange rates has caught Sony out, so they’ll hold on until the situation is better. “Hardware always needs constant action from the platform holder, be it in terms of new features, bundles or indeed a price cut.” However, Play.com games buyer Keith Sharpe said he understood Sony’s need to hold onto PS3’s premium price point: “Although retailers
always welcome price drops it is also a positive to retain value in consoles for as long as possible. “I wouldn’t be surprised if we see one more Christmas with game and Blu-ray bundles, which were very successful for all of us last year, instead of a price drop.” Activison Blizzard’s CEO Bobby Kotick told The Times newspaper last week that he was ‘concerned’ about the PS3, and that Sony must cut the price to boost attach rates, warning that if there isn’t an upturn in sales then Activision will have to stop publishing games for the system. The latest PlayStation 3 bundle includes a copy of InFamous for £299.99. In comparison, Xbox 360 Arcade with a copy of Sega Superstars Tennis costs just £139.99, while Nintendo Wii with Wii Sports has a suggested retail price of £169.99.
2. MODERN WARFARE 2 360 ..........................................ACTIVISION
3. MODERN WARFARE 2 PS3 ..........................................ACTIVISION
4. GRAN TURSIMO 5 SCEE PRESIDENT Andrew House has told MCV that Sony will only cut the price of the PlayStation 3 when the time is right. The company is currently focused on returning its PlayStation business to profitability, and House is confident that European gamers look at the full package when considering what console to buy, and not just the price. “Not to harp on about it, but the PlayStation 3 has a ten-year life cycle and there are issues of cost and profitability,” said House.
“We will make that move on price when all those factors are aligned. “Would people buy more when they are cheaper? Of course. But on the other hand there is an inherent marketing challenge. In Europe I think people do see the value of the machine, the Blu-ray and network services and take that all into consideration instead of just focusing on price. “But we will look at price and will address it when the time is right.” For the full interview with Andrew House turn over to page 12
PS3 ..................................................SONY
5. FIGHT NIGHT ROUND 4 PS3 ......................................................EA
6. FIGHT NIGHT ROUND 4 360 ......................................................EA
7. OP. FLASHPOINT: DRAGON... 360 ......................................CODEMASTERS
8. HALO 3: ODST 360 ..........................................MICROSOFT
9. PRO EVOLUTION SOCCER 2010 PS3 ..............................................KONAMI
10. TEKKEN 6 PS3 ....................................NAMCO BANDAI Week ending June 26th Source: SHOPTO.COM
Sony: 020 7859 5000
[MARKET VALUE]
£20.2m
GAME France hails pre-owned THE MD OF GAME’s French business has hailed its preowned offering as one of the key ingredients that has seen the retailer’s store base grow by 500 per cent in the last eight years. Philippe Wehmeyer said that the firm’s second-hand product section helped it to battle the country’s hypermarkets – which dominate the retail landscape in the territory. “As with other countries, many new customers are
entering the games market. Nintendo in particular is very popular and strong in France. We have a great relationship with all the local supplier teams and have worked hard with them to attract new customers and spread the appeal of games to new customers,” he told MCV. “Our teams are very customer
focused and offer great service and advice; we drive customer loyalty with the GAME Reward card and pre-order campaigns – and of course pre-owned helps us to offer excellent value for money.” GAME France has grown from 37 stores in 2001 to 198 today. “This has been driven by a
combination of factors including the increasing number of mass market customers, the consumer understanding of pre-owned, the reach of the GAME brand, and the competition against supermarkets and other specialists,” added Wehmeyer. “The hypermarkets are very strong in France, but each of GAME’s specialist services is maximised to ensure we can compete hard and grow our presence in the market.” GAME: 01256 784000
25
20
15
10
5
£23.5m
£21.3m
£20.2m
959,166 Units
913,015 Units
873,096 Units
Week Ending June 5th
Week Ending June 12th
Week Ending June 19th
0
Total UK Software Sales Source: ELSPA/ChartTrack and Intent Media