Stop us if you've heard this one before. Yes, we're back with another familiar article involving PlayStation 4 price points, console sales, and the exact kind of story that's seemingly become our lifeblood over the past few months. Before you dive into the comments to tell us to fix our broken record, though, hear us out: we're at an interesting point in the current generation's lifespan, and Microsoft's inconsistencies with its own box have given us plenty of article ammunition over the past few months.
We are, of course, referring to the Redmond manufacturer's decision to drop the Xbox One's price again today. As a Kotaku author comically pointed out on Twitter immediately after the news broke: the only thing that goes down more often is the PlayStation Network. Seriously, though, this is an interesting development, as while the Xbox maker stresses that this is another "special promotion", we have to assume that this is now a permanent adjustment. It follows two NPD wins for the firm, after it cut its console price for Christmas.
Those of you that haven't been keeping tabs on the guys in green may not be aware that it actually put the price of its box back up to $399.99 earlier this month, but it will now be going back down to $349.99 from 16th January. This was probably the plan all along, but one can't help but ponder whether the organisation eyed its competitor's recent 18.5 million unit milestone with jealousy, and decided to just bite the bullet. Either way, this puts the Japanese giant in a precarious position – especially in the all-important North American market.
Short of a miracle, we can assume that the PS4 more or less has Europe on lock at this point. The device is performing beyond expectations in regions like France and Germany, and has even managed to fight off Microsoft's advances in the UK over the holidays. This leaves the USA as the one true remaining battleground, and given the importance of the region for both mindshare and commercial purposes, it's one that Sony won't want to lose. It was on top for the majority of 2014, of course, but this move changes things.
The company's clearly already aware of this, as it's just introduced a bundle featuring The Last of Us Remastered for $399.99 in order to try and spur things on a little more in the post-Christmas period. However, the past few months have shown that, while the PlayStation maker's latest box is more than capable of holding its own on an even footing, it can't overcome its competitor's console at a lower price point. The solution, then, would be to fold, and play Microsoft at its own game. However, we want to know whether you think that the timing's right.
On paper, the next few months look good for the PS4. There are titles like The Order: 1886, MLB 15: The Show, and Bloodborne on the immediate horizon from a first-party perspective, while third-party releases like Battlefield: Hardline and Final Fantasy Type-0 HD are all due out before the end of March. Should the manufacturer choose to adjust in late February, for example, it's not like it would have a lack of software to make the move really matter. Furthermore, we assume that $50 wouldn't break the bank for the platform holder.
Of course, the consistent con is that the company doesn't really need to do a thing: the PS4's selling extremely well globally, and its parent needs the profit. We'd argue, however, that with a mid-term business plan that demands a massive install base of people to sell add-ons to, it should react. With network effects and even momentum meaning a lot in this modern age of social media, Sony simply can't be seen to be doing nothing while its main competitor makes a comeback – even if it is only in one region.
What do you think, though? Do you think that it's still too early for the Japanese giant to be cutting prices, or do you think that its hands have been well and truly forced? Would a matching $349.99 price drop even be enough at this point, and should Sony give up on chasing North America and continue courting Europe, where it's seeing the majority of its success? Talk it out in the comments section below – and don't forget to tell us to change the record.
Should Sony consider a $349.99 PS4 price promotion in USA? (69 votes)
- Yes, the company can’t sit still this time
- Hmm, I don’t really know
- No, its sales are still extremely strong
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Comments 40
Nope PS4 is selling amazingly with "no games" according to the haters. So imagine what it will do when the heavy hitters like Bloodborne, Persona 5, Ratchet & Clank, No Man's Sky, and Uncharted 4 A Thief's End release.
I think if they keep making bundles with a popular $60 game and sell it for $400 is more than enough
Having seen today's news, I'm now of the belief that they should just do it. I predicted that they'd hit $299.99 in time for Christmas, so why not just do $50 now, and another $50 later? There'll be considerations to make - do they have the stock to support it? Do they stick with the same price in Europe for now? - but they certainly have the software lineup in February and March to make it work.
It'll keep their lead in an important territory, increase their install base, maintain momentum, and, lastly, put the onus back on Microsoft. There's no real negative. Sure, they "lose" $50, but they'll make that back immediately with a PlayStation Plus subscription.
I wish they do $350, but I don't think they should do, not now that XboxOne price is $400 again, there's no real motive to lower the price of the PS4.
@ferrers405
The XB1 just went down to 350 again, at least in NA.
You have to give Spencer credit, he is doing a bang up job of making the XB1 an attractive console after a horrible 2013. I've noticed that last fall, a lot of my more casual gaming friends have either bought an XB1 or are considering it.......while the PS4 still seems to be popular with the smaller hardcore crowd.
But yeah, Sony should bring it on down to 350 if they want to keep the top spot or stay neck to neck with Microsoft, that's in NA and the UK of course.
Honestly, it's still a great price point at $399. That said, if they want to compete with a cheaper console they need to add more perceived value. The fact that the console is straight up superior isn't enough--nerds like us trading opinions on video game website's comments section might care, but the public at large doesn't--they need to add GAMES. The Xmas bonus where you chose one of four games AND got TLOU? Yeah, things like that. I'd say they should also throw in Second Son and Killzone. $399 with FOUR free games, all of which are actually desirable. There's no way that wouldn't work.
I think 350 might be a more attractive offer than a bundle......people know Halo and Gears of War......they don't know Infamous and Killzone (at least not nearly as much).
As far as the superiority in specs, your right, only the extremely devoted care, and let's be honest, compared to previous generations, the differences are more meaningless than ever.
@sub12 really, again? oh, that change everything, it's better Sony keep a eye for the situation of the market because at this price Xbox One will keep outselling PS4 at the US.
@ferrers405
Yeah I agree.......it was kinda neat, if you look at VG chartz, the XB1 was selling moderately better than the PS4 in NA since about Nov (not a huge amount but still noticiable).....after Xmas the two came very close to parity again, so yeah, minus the monster first party title, Sony is best off trying to match them in price otherwise XB1 will probably continue to lead the pack ever so slightly.
Globally of course, the PS4 will continue to be ahead due to domination in the EU (minus the UK) and Asian markets.
They are running away with it. And Sony doesn't even have any system sellers on it's list. Imagine when they do...So no, they don't need to drop the price like Xbox.
I say play it out the first few months and see what The Order and Bloodborne do. Dropping the price now is a panic move that doesn't need to be made. Sony needs all the money it can get.
@Gamer83 Agreed, I think at most they should expand the bundle to maybe include inFamous, and Knack and Killzone (I assume they don't sell that much anymore), or at least do the later. I'm sure seeing three games will look impressive enough to sway some consumers to get the PS4.
@Jaz007
Knack and Killzone have been going for $20 at at least one of the big retailers near where I live almost every week it seems like. Certainly an interesting idea would be to add at least one of those two to the bundle with TLoU Remastered. It probably won't happen but it would look good.
I honestly don't really know, but I'm kinda leaning toward no. Dropping the price now would just make it look like they're desperate to shift units. It doesn't seem like something that needs to be done now.
Although, with the incoming months, they could do either one and probably still do well. People are probably interested in Order or the other games, so if they drop it, it'll be easier for those who haven't bought a PS4 but want those games to get one, and if they don't, it may not be easier but the system would still look desirable and not desperate. Honestly, this is probably the kind of thing that keeps them awake at night.
Nah if Sony would drop the price now it would look bad. The only reason MS has dropped the price again is because the only time the Xbox One beat the PS4 was the last few months when it was the lower price. Maybe in a year or so depending on how well it sells this year a price drop would be good. If anything they should just do a few more bundles for now.
There should've been a fourth option: "Keep on releasing bundles"
I think from sales point there fine, it's with existing customers Sony has to be a little more savvy with.
Since X-box One went back down in price over here, I think Sony should too. They can still keep bundles for $400, but for just a console (no game), lower the price to make parents decide. Being a parent, I know that when you go into a store, you're not looking at everything else, you're looking at the prices. With almost the same games for both systems (except for a few exclusives), there would be no judgement that people would choose the cheaper of the two, and low-and-behold, that would be microsoft. If Sony lowers their system, parents would then pick it up instead of saying to themselves "I'll save the extra $50". Sony should be thinking of that. I had my choice made when both of the companies announced their systems...PS4 was a definite for me, but depending on the price...the PS3 was really expensive when it came out and I didn't purchase until a year later when the Motorstorm bundle came out, and even that was a lot of money. All in all, it comes down to the price and talks from other people when they're in the stores thinking.
disagree with comments against a pS4 price drop . sony should sell ps4 for $329 , this would "seal the deal" for people unsure of which console to go for
@get2sammyb
Nope, they're still in the lead and my prediction won't come true.
The only shocking thing is some gamer's are giving MS a 2nd chance really?! After they tried to DRM their Loyal Fans. Oh well i am sure they will get burnt soon & they will
Honestly - still no reason to buy a PS4 in my opinion. I just bought a 2nd PS3 500 GB on Amazon for $220 for the basement.
So with having a PS3 and Wii U - there is ZERO reason to spend $400 for a PS4 that has no games in my opinion. Maybe sometime down the road when Gran Turismo 7 is out and you can get one for $250 or less I will get one.
They should keep the price. They still have the lead, what they need to do is to secure more exclusives like they did with Persona 5 and SF5. And of course deliver with their own exclusives.
I think Sony should go for the jugular with a $299 price point! That would make things interesting!
i think there are more reason listed in the article NOT to drop the price than drop it - upcoming exclusives, TLoU bundled in, MS has no games, it already sells extremely well, Sony is bleeding money everywhere else.
The only reason to drop it is b/c MS did so out of necessity b/c NA is the only market is has.
Maybe Sony has a plan, release the new media Molecule game that will REQUIRE the camera and bundle the camera in for $400, then drop the non-camera bundle to $350.
It will be $349 by next holiday, $299 Black Friday, and it will sell all they can make. No rush, Aug or Sept is plenty of time.
Some people really don't have too much money to spend and a $50 difference between two consoles could make them choose the cheaper one for that reason alone. I say they drop it to $350 to compete with Xbox One over here in the states.
Playstation is doing extremely well, I don't see a reasom to panic and drop the price now. I say it depends on the sell margin. If XB1 is out pacing by a small margin month in/out, nothing to worry about, really. If it's a larger margin maybe consider?
I'd almost wager that a good chunk of those XB1 sales were from the non-loyalist gamers. You know the ones who would eventually get both, but only could get one last year and decided on the PS4 because it was a better deal at the time (nevermind the clusterf--- that was Microsoft at that point last year). It's what I would've done if I couldn't afford both at launch.
I think this year will be the better test of who's top dog now that the playing field has leveled out.
With all the bad press Sony has been getting over the PSN issues I think it would be a good idea to offer those still on the fence a little push in PS4's direction. Like Sammy said, they'll make the $50 back in PlayStation Plus subscriptions. Yeah the PS4 is already doing very well in terms of sales but, dropping the price a little could make the difference in which console sells the most in 2015. Add that with all the exclusives due out on said device will make it an offer to good to miss.
I voted no, at least not right away. Sony has a good bit of software coming out between now and April. Let The Order, Bloodborne and Battlefield do their thing. Then price drop in April and announce the new sales numbers at E3.
I will keep the 399 price but in bundle with some appealing games for Yankees... MLB, NHL, NBA or The Order
@Dohv
Persona and No Man's Sky may end up being good games, but they aren't "heavy hitters" (in terms of sales & system seller type games).
I love how everyone that owns a PS4 already has all these ideas & opinions, but shouldn't we really only care about either PS3/Xbox 360 gamers who haven't made the jump yet or possible Xbox One gamers who want to switch (when it comes to this discussion, I mean)?
PS4 owners.........Sony already got your $. You ponied up $400, so go try to find a game worth playing on that thing & let's hear from some PS3/Xbox owners to see what they want Sony to do to entice the opening of their wallets.
I, for one, want a price drop, bigger hard drive, & more exclusive PS4 games that don't underwhelm or are released in some buggy, embarassing condition.
I DO NOT want another year of PS3 remasters, indie titles, PSN problems, & cross-gen titles that are basically just as good on my PS3.
After that, my wallet may be flexible. I will not, however, pay $400 for a gaming system that just had a pretty average year (at best) & isn't even close to being better than the "last-gen" console I currently own. The Sony fanboyism at this site is obvious, but I am not one. Sony has to earn my money.
I say they should just wait until after The Order and Bloodborne are out. If MS's still outselling the PS4 after those two big AAA games are out, then cut the price. We know MS can't outsell the PS4 if they're both the same price ( PS4 was still outselling it when they removed Kinect and went down to $399.99), so if Sony matches the price after those two games comes out, they'll retake the lead in the US if they lose it.
Sony should show it's fan that it's committed to win in all territories especially usa. Bring a price cut and match the xbox dollar for dollar. Win this generation, grow to a huge user base and grow software sales. Get out of debt and grow into profit.
Unfortunately, there really is no incentive to go down in price, since the PS4 continues to outpace the Xbox One world wide.
@Godsire- I agree with you. Even though I had the PSOne, PS2, PS3, PSP and PSVita, there's nothing, right now, that tells me I need a PS4 and the way Sony just gave up on Vita has really let me down, although I know it should focus on it succes with the PS4.
@Godsire I'm leaning towards no price drop, and I don't have a PS4. Admittedly I would like a price drop so I could get one easier, but I was speaking from a more business perspective.
And I totally see what you're saying. Aside from a few games that are probably debatable, there doesn't seem to be anything that screams "must have" on the system. The main titles seem to lack the wow-factor right now. I will admit there are games I'm interested in personally, but from a general perspective nothing really sticks out.
Before PS4 launched, I think Sony said not to expect a price cut until summer 2015 anyway. So a price cut will be coming this year.
Traditionally, most electronics get a price reduction after 18 months on the market anyway.
No way 400 is perfect not to mention it's only a year old! Be fair consumers... The bundles and specials are more than enough!!!
How about this?
$350 - Console and controller only.
$400 - Console, controller, and 3 games.
That way, most people who wanted one would automatically buy the $400 version after the price cut, and it would get more people playing all of the bundled games on Sony's platform. It would be a win win.
Basically just marketing, as clearly the $400 bundle would be the better value, but I bet it would cause a big sales spike, while still putting extra money in Sony's pocket.
Anyone who really wanted to save the $50, or didn't like those games, could get the cheaper version.
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