PlayStation 3: Not About Quantity, About Profitability

The Xbox 360 price drop rumors flow like water and it’s all but officially been announced at this point. What about PlayStation 3 and their price? No.

Nobuyuki Oneda, the Sony’s chief financial officer said, “our plan is not to reduce the price. Our strategy is not to sell more quantity for PS3 but to concentrate on profitability.” (gamespot) This makes complete sense coming from their chief financial officer, as their motivation is to make money, not lose it.

The question remains, how will they actually make money if they’re no longer in the race for competitive market prices? Considering game licensing must Net them some amount of profit Sony’s idea seems to be the exact opposite of their original PlayStation method: saturate the market and sell them all games.

So far we’ve seen very few “need to have” games for the PlayStation 3 console while Xbox 360 continues to build a substantial library and Wii continues to break sales records for apparently no reason. When a game publisher has to decide on a platform to launch a new game, why would they choose the one that doesn’t care to be competitively priced in the market? The one that doesn’t care about quantity of sales?

Sony intends to reverse the entire razor blade philosophy where one sells a cheap razor and charges users for the blades over and over again. Their take on this concept is to sell really expensive razors and put out small half-quality blades. Is that a good market strategy at this point?

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Once upon a time Rare though they had a winner; a game which would end all the confusion between a hardcore console and a kiddie console. Viva Piñata was supposed to change the way we think about Xbox 360 gaming by showing off a title that would make children feel more inclined to game on a “big boys console.”

Unfortunately, execution of Rare’s new franchise title came with a few rough patches, namely Gears of War. Earlier on they had press releases and conferences about how this game was going to interact with users, inspire them to watch Viva Piñata the cartoon to get new recipes for the game which would allow you to create new breeds of Piñata. There were a few flaws in the plan. They didn’t hype the game enough prior to the release and then they decided to launch the game during the over-hyped Gears of War title.

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My children were too young to play the first Viva Piñata and it didn’t provide enough interest for them to watch me play it and invest the hours. I found the game to be creative and fun… for awhile. Once my happy little Piñatas started eating each other and fighting constantly I realized the joy was gone. If I want to listen to screaming and fighting I’ve got my own children, babysitting Piñatas in a fake garden just wasn’t doing it for me.

Now, Viva Piñata: Trouble in paradise has been given a date of September by Eurogamer. Rare is stating we’ll have 30 new Piñata’s to play with along with new environments, co-op play and other cute options. Admittingly, Drop-in/Drop-out co-op play does sound kind of neat but my emotional scares from the first title have not healed yet.

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If you want to be serious about bringing kids on board, Viva Piñata is going to need some friends not just a single sequel. Otherwise, you’re going to find out quick that the 18-34 demographic will simply nod politely and move on to their next great fix… Gears of War 2 perhaps (November, 2008).

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