PSN Outage Causes 200% Rise in PS3 Trade-Ins

The patience of PlayStation 3 owners is wearing thin as retailers are reporting a 200% increase in PlayStation 3 trade-ins, usually for Xbox 360 consoles, as well as sales slumps for PSN points cards and fewer multiplatform game sales for PS3.

“In the first week of downtime we did not really see any major change in sales or trades,” says one source, a store manager at a major UK retailer speaking on condition of anonymity. “However from the second week onwards we have seen an increase of over 200 per cent on PS3 consoles being traded in, split almost 50/50 between those trading for cash and those taking a 360 instead.”

Another UK source has reported that the independent retailer had seen a “massive increase” in the volume of PS3s traded in in recent weeks, and has pegged the biggest trade-in demographic as “the hardcore online shooter crowd”, who are logically the group most likely to defect when their online gaming is wiped.

Belgian-based Gameswap spokesman Tom Mestdagh went on record to state, “At the end of each month people come to sell their consoles. People that need money (to pay bills). What’s different this time around is that that they are bringing in PS3s together with all their games and they don’t want money, they want an Xbox 360. In every case it is because of Black Ops and or Modern Warfare 2.

“We’re just ten days into the month and already we have an increase of 200 per cent in PS3s coming into the store compared to all of March. Normally we sell them really fast, but not this time. We’ve only sold 30 to 40 per cent of our inventory right now.”

Game purchases have also been markedly affected by the PSN outage. Sales of Call of Duty: Black Ops went from 44% for the PS3 in the first two weeks of the game’s release to 24% of sales of Black Ops last week. Similar trends have struck games like FIFA 12.

Another retailer told Edge:

“A lot of people have been phoning asking us about personal details on PSN as they are struggling to get a response from Sony themselves. Overall, people that have traded with us seem annoyed at how Sony has handled all of this, and say they would not trust them with details again in the future.”

However, it’s all about online gaming. “All we’ve seen is an incredible amount of disgruntled people annoyed that they can’t play online,” stated Mestdagh, and gamers have actually “stopped complaining about the fact that Microsoft charges for Xbox Live. It used to be a big problem for most of our PS3 customers.”

You get what you pay for.

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Motivation? Sony.

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Who would have thought Sony and Microsoft would be battling out this generation for second place while Nintendo breezes through with their Wii console and a handful of games with mediocre game reviews? Don’t answer that, it’s a rhetorical question. If you saw this coming and you’re not on the marketing or project planning for one of these console makers you better prep your resume!

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Microsoft’s clearly shooting for second place by installing more units into the consumers home as possible. They’ve got a great library of first person shooter titles, a few RPG’s and RTS titles and the typical contraversial titles like GTA and Saints Row with more hot blockbusters (read: Gears of War 2) arriving soon.

I see this as a great opportunity for casual game developers to get into the Xbox Live Arcade market and start making themselves (and Microsoft) some money off the new gamers that will buy their first Xbox 360 for $199 and up. Microsoft’s getting closer to the low-budget gamer crowd with their price cuts so it would be great if they can take advantage of that market with lower cost titles as well.

If you’re a game developer looking for console stick time and you want to grab the attention of a large pool of gamers, the Xbox 360 isn’t a bad start!

While Microsoft isn’t aiming at Nintendo just yet, there is no doubt Nintendo will be in their sights if they can smoke the pants off Sony in the near future (by this holiday).

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