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Analysts explain why October didn't perform as well as expected

Posted Nov 17, 2007 at 02:53PM by Isaac C. Listed in: Nintendo DS, Wii, PlayStation 3, PSP, Xbox 360 Tags: Sony, price drop, Michael Pachter, NPD
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The next-gen consoles - Image 1 


Analysts had high hopes for October, particularly because of the release of Guitar Hero III: Legends of Rock, so it may have come as disturbing news to hear that a lot of titles didn't perform as well as they had predicted.

As it stands, October showed a solid rise even if it didn't live up to expectations as software sales increased 39%. Activision's revenues rose 414% because of Guitar Hero III. Analysts provide a number of theories for the underperformance of titles they expected to fare better.

While analysts agree that numbers may have went down because PlayStation 2 titles performed 29% less than last year, Pacific Crest Securities postulates that it may also be because Toys 'R' US didn't submit their numbers to the NPD, which means the numbers aren't complete.

Michael Pachter of Wedbush Morgan offers his own theory, saying that some game sales numbers weren't tallied in the count because they were offered as part of a bundle.

Jesse Divinch of simExchange on the other hand, believes that sales were lower for the simple reason that the titles didn't perform well. He notes, in particular, Ratchet & Clank Future: Tools of Destruction which sold only almost half of the forecast.

While Divinch believes that the PlayStation 3 may be in danger because of the underperformance of exclusive titles, Pachter believes that the holiday season is still solid for Sony because of the recent price drop and the introduction of the 40 GB model.

[Via GameSpot] Permalink  |   Email this  |   Linking Blogs   |   Digg It!

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7 Comments


Sort by:
   by lavino - 2007-11-17
 » WOW...
Noone blame on piracy yet? I *really really really* thought all sales down is all always 110% cause by illegal downloads ;)

   by Kingofdaberbz - 2007-11-17
 » okay
they were the most disappointed from the ps3 titles that didn't sell & the ps3 isn't hacked so u can't get any pirated ps3 games

   by Gamoc - 2007-11-17
 » these experts
are idiots. 2 reasons:
1. I don't need someone to tell me that the Wii is going to outsell the other consoles, overyone knows that.
2. The PS3 is outselling the 360 already.
3. It's actually possible that the PS3 will outsell the Wii (100,000 sales in the last week - all hail price drops), though I wouldn't count on it.


   Re: Advertising -


   Re: Kingofdaberbz - 2007-11-17
 » what
you must mean the ps3 is outselling the 360 in japan the 360 is winning in USA + I can't see the ps3 outselling the Wii on a regular bases

   Re: Dekabreak - 2007-11-17
 » What?
1. Yes, we know, attention whore.
2. You mean in Japan, not in the USA.
3. In your dreams, check the charts. The Wii is outselling the 360 and PS3 in the USA.

BTW, learn to count.
   by Ash735 - 2007-11-18
 » Hey, I'm an Expert too...
With my knowledge of the industry I'd like to think that Sales in October were down for one simple reasons, there was no Grand Theft Auto game this year, that usually boosts sales in both Playstation and Xbox consoles, but since the delay of GTA IV there has been a loss in sales that would of come from fans of that series, these numbers should pick up around March to April though.


See how *****ing easy was, these guys actually get paid for this!?


   Re: Billie - 2007-11-19
 » HA!
That was funny, but seriously there is a lot of truth to what you have said!


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