Reply
Feb 22 2013
By: S0UTHERN_C0MF0RT Treasure Hunter 7356 posts
Offline

Sony Cannot Afford to Pull another "PS3" or "Vita"

40 replies 634 views Edited Feb 22, 2013

NOTE: This post will be long. There is a tl;dr at the end if you do not wish to read this wall of text. I hope you will read my wall of text, though Smiley Happy

Most of us remember it: the reveal of the PlayStation 3 and, soon thereafter, the announcement of the console’s price. Most people were stunned at the shocking price, and the price led to a loss of potential customers. The PlayStation Vita, alongside the rise of smartphones and tablets, has also suffered at the hands of a hefty price tag. There seems to be an existing pattern, but this pattern is a dreadful and loathsome aversion looking ahead towards the PlayStation 4. Needless to say, there’s not many, except Xbox or Nintendo fanboys, who hope that the PS4’s price is abhorrently high.

“$600?! Is Sony Insane?!” This was the reaction by a large portion of the general population aware of the PS3. Before the PS3’s release, Sony had been building up a lot of momentum for the PlayStation 3, following the PlayStation 2’s incredible success; however, Sony lost more steam than they would have liked upon the announcement of the next-generation console’s price. Years of biting the bullet and trying to keep the PS3 in the game by lowering its price, providing top-notch games, and increasing the console’s features was the obvious fate of Sony. Thankfully, the PlayStation 3 has reached a varying price point of $250 to $300 at the end of 2012. Unfortunately, the PlayStation Vita has yet to see this kind of life-breathing price cut.

Straightforwardly, the PlayStation Vita is getting manhandled by the likes of the Nintendo 3DS, smartphones, and tablets – there is no way around admitting this. Initially, there was hope for the portable device around the time of the 3DS’ struggling months, but this ray of sunshine diminished quickly once Nintendo sent the ball rolling for the 3DS and once Sony announced the gut-wrenching price of the Vita: $250 or $300, depending on which model consumers bought. For some reason, Sony acted in the belief that the average consumer knew that the PlayStation Vita was more powerful and better than the Nintendo 3DS, and that consumers would flock to the $250 handheld. One must understand, though, that the Nintendo 3DS started out at $250, but Nintendo slashed the price before the Vita’s price was announced; Sony had a good deal of time to set the price of the PlayStation Vita to $150 or $200. Currently, the Vita has seen only one price drop since its release of holiday 2011, and this price cut has only affected PlayStation Vitas in Japan. It is hard to admit, but the PlayStation Vita has a few similarities with the PSPgo’s sales performance, and one can only keep their fingers crossed that the PlayStation 4 does not suffer the same fate of the PS3’s early days.

Sony Computer Entertainment cannot face another event like the infant days of the PlayStation 3 and survive as well as they did. With Sony losing so much money in the past months, the company needs a fresh breath of air, and Sony has already stated that they have placed the pressure on the shoulders of PlayStation. If consumers do not feed off the PS4, Sony could see very tragic losses and potentially terminations of Sony Computer Entertainment or other departments in the company. On one hand, Sony has stolen the show with their press conference and announcement of the PS4 and with initially pricing the PS4 with the Wii U and next Xbox, Sony could see major success and the return to the king of console gaming, as with the days of the PlayStation 2. On the flip side of the coin, though, if Sony sets the price of the PS4 significantly higher than that of its competitors, another set of dark days is in store for Sony and its console. In the end, this matter of failure and triumph rests upon how Sony prices the PlayStation 4.

For this reason, Sony should bring out the big guns with the PS4 – they must pull out all the stops and bring their ‘A game’. Without a doubt, the average consumer cares only about the price when it comes to video games. In fact, the hardcore gamer is a minority compared to the average consumer because most people do not research which console is better. No, most people see a price tag, and they buy what their friends and family buy; “word of mouth” is the best kind of advertisement, and it is exactly why Call of Duty is so popular, as well as the Nintendo Wii.

Reviewing the battle between the Xbox 360 and PlayStation 3, the Xbox 360 has generally been the leader because of its consumer backing and price – with a year head start, Microsoft had the opportunity—and they seized this opportunity—to collect consumer loyalty and run with the torch. As the PlayStation 3 released with two models, ranging between $500 and $600, the Xbox 360 continued to soak in gamers because the extra year Microsoft dealt allowed them to attract users who then told their friends; these friends bought a 360 because they wanted to play with their friends, too. Tacking on a more-attractive price, the Xbox 360 wiped the floor with the PS3 in the two consoles’ early days.

Switching back to the Wii, Nintendo’s console is a joke, comparing its specs and those of the Xbox 360 and PlayStation 3. However, the Wii overcame adversity and took home the crown of the seventh generation of consoles. Obviously, the Nintendo Wii did not achieve success because of its powerful processing and mind-blowing graphics. No, Nintendo’s console rolled into the winner’s circle because of the consumers it attracted, and how these consumers brought their friends. Matching this word-of-mouth advertising with an enticing $250 price tag brought the Wii first place. With this in mind, it is pertinent that Sony use the same strategy with the PlayStation 4.

No doubt, Sony has millions of people buzzing about the PS4, and using this publicity with a competitive price for its console will draw in much-needed (and deserved) revenue. Again, the average consumer does not care about which console has more RAM, an AMD Radeon GPU, or can process 1.8 teraflops of data per second; nor does the average consumer care that a console has 4K support for video and images or game footage sharing. Most consumers care about what is popular and a price tag. If Sony is serious about beating its competitors, they need to price their console cheaper or at the same price as the Wii U or next Xbox. In addition, Sony must attract gamers from both hardcore and casual fields to their console. Assuming that every customer is aware of the PS4’s capabilities and thus pricing the PS4 over its competitors will not work, as shown by the Vita and PS3. Sony has hit the ground running with their reveal of the PlayStation 4, and they need to keep progressing and keep their console economically competitive.

In conclusion, history details the account of the PlayStation 3 and PlayStation Vita’s lackluster sales, at least in their infant days (in the PlayStation 3’s case). It is a well-known fact that both the Nintendo Wii and Xbox 360 wiped the floor with the PS3 in the early days of Sony’s console. Furthermore, the same occurred with the PlayStation Vita, seeing how the Nintendo 3DS has been outselling the Vita consistently. If Sony’s objective is to beat its competitors in the next generation of consoles, they need to price the PlayStation 4 on par or lower than its rivals. The PlayStation 4 is en route to giving the first place trophy back to Sony, but slowing the PS4’s momentum with a greater price than the next Xbox or Wii U could change this. Sony, I hope you are listening, and I hope you heed my words – this is your game; bring the rain.


tl;dr
Sony, you need to price your console competitively with the Wii U or next Xbox. The average consumer does not care about which console is more powerful or which console has more features. The average customer cares about what their friends and family are playing and the price tag; this is proven by the PlayStation 3 (in its early days) and the PlayStation Vita’s sales.

PlayStation MVP Program 2001 to 2016
Message 1 of 41 (634 Views)
Sackboy
Registered: 06/20/2008
Offline
609 posts
 

Re: Sony Cannot Afford to Pull another "PS3" or "Vita"

Feb 22, 2013
I'm not reading all of that mess.



Message 2 of 41 (618 Views)
Welcoming Committee
Registered: 10/02/2008
Offline
14623 posts
 

Re: Sony Cannot Afford to Pull another "PS3" or "Vita"

Feb 23, 2013

SOCO! I completely agree with this post. They have come out and said that the system will be competively priced, but with the nextbox not shown off yet, how can they be sure? I hope for a price from $400-$450. If they have ANY of the announced games at launch (KZ SF is a launch game I believe) I will be waiting all night for a system.


Welcoming Committee- "The business of gaming is business"
Message 3 of 41 (598 Views)
Reply
0 Likes
I Only Post Everything
Registered: 02/05/2013
Offline
1013 posts
 

Re: Sony Cannot Afford to Pull another "PS3" or "Vita"

[ Edited ]
Feb 23, 2013
It is very true that Sony needs to keep the price down on the ps4, but it's not going to be nearly as difficult to do that this time around as it was with the ps3 and here's why:

1) no brand new technology developments such as blu-ray and hd-DVD
2) mainstream budget priced video card (extremely good thing they didn't go nvidia again because price would skyrocket)
3) no need to develop a new Online gameplay network
4) affordable x86_64 AMD jaguar (budget priced) processor
5) cheaper RAM dimms with gddr5 that is primarily used for graphics cards but is more affordable than ddr3 dimms, responds faster, and does not necessarily have to be used strictly for graphics processing, that is only it's most common use
6) Bluetooth has become much more mainstream and affordable to the general public. Almost every phone supports it now, and is much cheaper to implement in the console
7) the new touchpad on the controller is almost identicle to the one used in the Sony Vaio laptop, so cost of production is already accounted for in Sony Computer Technology, not Sony Computer Entertainment

These points will help to keep the cost of the ps4 down. The company being intelligent and unifying it's brands to work together was a very good move. What Sony needs to do now that they've made the announcement is get the word out and hit the tv stations hard, like Nintendo did with the Wii.

EDIT 1: Sony should start advertising immediately and show off the graphics possibilities, networking capabilities and social networking capabilities of the ps4. Hit them hard and hit it fast. Get the hype up as much as possible about this system and Sony will once again be on top of the gaming world.

EDIT 2: I'm actually going to suggest that they do this by email and on the blog share
My PSN
Message 4 of 41 (591 Views)
Welcoming Committee
Registered: 10/02/2008
Offline
14623 posts
 

Re: Sony Cannot Afford to Pull another "PS3" or "Vita"

[ Edited ]
Feb 23, 2013

the_ed_85 wrote:

1) no brand new technology developments such as blu-ray and hd-DVD
.

This is why I am hopeful Smiley Tongue. Blu-Ray players were hundreds of dollars in at the Ps3's launch.


Welcoming Committee- "The business of gaming is business"
Message 5 of 41 (584 Views)
Reply
0 Likes
Treasure Hunter
Registered: 03/15/2008
Offline
7356 posts
 

Re: Sony Cannot Afford to Pull another "PS3" or "Vita"

Feb 23, 2013

BOBBY!!!

 


the_ed_85 wrote:
It is very true that Sony needs to keep the price down on the ps4, but it's not going to be nearly as difficult to do that this time around as it was with the ps3 and here's why:

1) no brand new technology developments such as blu-ray and hd-DVD
2) mainstream budget priced video card (extremely good thing they didn't go nvidia again because price would skyrocket)
3) no need to develop a new Online gameplay network
4) affordable x86_64 AMD jaguar (budget priced) processor
5) cheaper RAM dimms with gddr5 that is primarily used for graphics cards but is more affordable than ddr3 dimms, responds faster, and does not necessarily have to be used strictly for graphics processing, that is only it's most common use
6) Bluetooth has become much more mainstream and affordable to the general public. Almost every phone supports it now, and is much cheaper to implement in the console
7) the new touchpad on the controller is almost identicle to the one used in the Sony Vaio laptop, so cost of production is already accounted for in Sony Computer Technology, not Sony Computer Entertainment

These points will help to keep the cost of the ps4 down. The company being intelligent and unifying it's brands to work together was a very good move. What Sony needs to do now that they've made the announcement is get the word out and hit the tv stations hard, like Nintendo did with the Wii.

EDIT 1: Sony should start advertising immediately and show off the graphics possibilities, networking capabilities and social networking capabilities of the ps4. Hit them hard and hit it fast. Get the hype up as much as possible about this system and Sony will once again be on top of the gaming world.

EDIT 2: I'm actually going to suggest that they do this by email and on the blog share

 

These are very good points, and I didn't think of a few of them. You forgot one point, though: Sony is using their own custom CPU instead of the Cell processor.

PlayStation MVP Program 2001 to 2016
Message 6 of 41 (574 Views)
Reply
0 Likes
Big Daddy
Registered: 12/24/2007
Offline
16918 posts
 

Re: Sony Cannot Afford to Pull another "PS3" or "Vita"

Feb 23, 2013

S0UTHERN_C0MF0RT wrote:

BOBBY!!!

 


the_ed_85 wrote:
It is very true that Sony needs to keep the price down on the ps4, but it's not going to be nearly as difficult to do that this time around as it was with the ps3 and here's why:

1) no brand new technology developments such as blu-ray and hd-DVD
2) mainstream budget priced video card (extremely good thing they didn't go nvidia again because price would skyrocket)
3) no need to develop a new Online gameplay network
4) affordable x86_64 AMD jaguar (budget priced) processor
5) cheaper RAM dimms with gddr5 that is primarily used for graphics cards but is more affordable than ddr3 dimms, responds faster, and does not necessarily have to be used strictly for graphics processing, that is only it's most common use
6) Bluetooth has become much more mainstream and affordable to the general public. Almost every phone supports it now, and is much cheaper to implement in the console
7) the new touchpad on the controller is almost identicle to the one used in the Sony Vaio laptop, so cost of production is already accounted for in Sony Computer Technology, not Sony Computer Entertainment

These points will help to keep the cost of the ps4 down. The company being intelligent and unifying it's brands to work together was a very good move. What Sony needs to do now that they've made the announcement is get the word out and hit the tv stations hard, like Nintendo did with the Wii.

EDIT 1: Sony should start advertising immediately and show off the graphics possibilities, networking capabilities and social networking capabilities of the ps4. Hit them hard and hit it fast. Get the hype up as much as possible about this system and Sony will once again be on top of the gaming world.

EDIT 2: I'm actually going to suggest that they do this by email and on the blog share

 

These are very good points, and I didn't think of a few of them. You forgot one point, though: Sony is using their own custom CPU instead of the Cell processor.


It is still based off of existing PC architecture. Which will make it INSANELY easy for developers to quickly pick up on things and allow more time for devs to tweak their game engines to be more efficient for the next game.

Furiously Chaosing
Message 7 of 41 (568 Views)
Reply
0 Likes
Big Daddy
Registered: 12/24/2007
Offline
16918 posts
 

Re: Sony Cannot Afford to Pull another "PS3" or "Vita"

Feb 23, 2013

the_ed_85 wrote:
EDIT 1: Sony should start advertising immediately and show off the graphics possibilities, networking capabilities and social networking capabilities of the ps4. Hit them hard and hit it fast. Get the hype up as much as possible about this system and Sony will once again be on top of the gaming world.


This is exactly what Sony needs to do.

 

The PS1's "U R Not E" marketing campaign was awesome and I saw that EVERYWHERE.... even in the middle of the night during commercials of informercials there was at least a 3 or 4 PS1 commercials within a 1hour slot.

The PS2's marketing was also quite good with the PS9 thing...

The PS3 comparably had limited marketing, but still quite good, though not all that great.

The campaign with Kevin Butler was excellent tho and quite funny. 

"Michael" wasn't all that great for me TBH. Felt way too familiar seeing as ANYONE who can draw or photoshop can make a picture with all of Sony's big characters...

Furiously Chaosing
Message 8 of 41 (564 Views)
Reply
0 Likes
I Only Post Everything
Registered: 02/05/2013
Offline
1013 posts
 

Re: Sony Cannot Afford to Pull another "PS3" or "Vita"

Feb 23, 2013
The processor is AMD based, which makes things much better for Sony. The cell processor was designed and developed by Sony, Toshiba (probably a part a part of why the cost was so high and it was so hard to port for since they would have wanted their hd-DVD drive in the ps3 instead of blu-ray) and IBM which also made the Wii's processor. It's first implementation was in the ps3. It's a very disliked processor and will probably fail overall because of it's architecture and difficult programming methods. It's great for scientific computations, but not so good for just about anything else.

This AMD processor is going to be much easier to program for, and will save Sony hundreds of dollars per unit.
My PSN
Message 9 of 41 (563 Views)
Reply
0 Likes
I Only Post Everything
Registered: 02/05/2013
Offline
1013 posts
 

Re: Sony Cannot Afford to Pull another "PS3" or "Vita"

Feb 23, 2013
I have emailed and submitted to the blog share my ps4 advertising suggestion.
My PSN
Message 10 of 41 (560 Views)
Reply
0 Likes