Analysts Believe a PS Vita Price Drop is Necessary for Profitability

By | 5 years ago 

The PS Vita has just hit retail shelves in North America and Europe, and although numbers have not been officially released yet, analysts believe that a price drop will be imperative to give the new handheld a good running start early in its lifecycle.

Market and research consulting firm Strategy Analytics expects the Vita could sell 12.4 million units by the end of 2012 if a price drop is enforced. Sony Computer Entertainment UK head, Fergal Gara, has said that a price drop is “not currently” on the company’s radar and that we shouldn’t expect a price drop anytime soon.

Strategy Analytics believes that we will see the same thing that happened in Japan with high initial sales of the Vita, but a big drop off will occur. Before the Vita even released in Japan, Sony was under a lot of pressure to cut the price after Nintendo slashed the 3DS price by $80 only months after it released. Numbers don’t lie and after Nintendo dropped the price of the 3DS, sales soared. Strategy Analytics had this to say:

“Vita’s hardware sales could reach $2.2 billion assuming a $180 [£114] average retail price. In the time of austerity, consumers are considerably sensitive to prices, and Nintendo proved that a price cut can save a product. Their decision to slash the price of 3DS’s from $249 to $169 revived sales of the console.”

In the not-helping-sales department, Playboy has jumped on the Vita wagon by initiating special Vita Hill Social Clubs as part of a marketing strategy. Playboy allowed gamers the chance to find these clubs across America to test out the new Vita and other Sony gaming products. February 23 was the last day to find one of these clubs and Los Angeles was the last city to host it. Check out what the Vita Hill Social Club was all about below:

httpv://www.youtube.com/watch?v=d_knL1RX4A0

Let us know if you ventured into one of these social clubs! We’d love to hear your input on how it turned out…

With the Vita relatively cheap for developers to create, a price drop seems reasonable for Sony. Ranters, do you feel the prices of the Vita and its games are too high?

Source: CVG

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tags: Sony, Vita