Video game software shares drop because of sales fears |
Ó
A day after EA posted its disappointing quarterly report, video game
software shares drop due to fears that companies may fail to deliver
profitable titles during the holidays. As a result, retailers are
stocking up mostly on top-rated titles, and skimming down on
the not-so-anticipated ones, putting less popular games at a disadvantage
on the market."What they (retail stores) are doing is they're focusing more on the bigger frontline titles," EA COO John Pleasants said. "They are being a lot more cautious with catalog ordering, in particular, and especially in that kind of mid-zone."
While larger companies have large enough titles to keep up with the current retail situation, other publishers may suffer with this behavior. Todd Greenwald of Signal Hill Capital Group notes,
"We believe this fits in with our thesis that gamers are getting more selective, and are only purchasing those AAA titles that are truly must-haves. This bodes well for Activision's holiday lineup while it probably raises some concerns for publishers like THQ, Midway, and Take-Two."
With the economy the way it is and all, it's not surprising. Only the strong lineups are expected to score big during the holidays, and all the other titles might not even make it to the shelves. Publishers and retailers alike are caught in the domino effect, and the gaming industry might experience colder holidays.
Related articles:
- Japan hardware sales from the 20th to the 26th of October - PSP dominates, PS3 sinks to new low
- Dave Braben thinks buying pre-owned games hurt the industry
- Sony: PS3 Christmas lineup never been stronger
- Heads rolling: EA axes 600 employees
Via Reuters
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Comments [refresh]
hey guys i hate to brag but uh.
I GOT THE FIRST POST LOLOLLOLOLOLOLO L!OL!OL!O
I AM SEXY
I told you small titles would suffer. I should be running your 401k's.
Vote Rommel 4 President of the economy.
GET THE ***** OUT YOU TROLL!
THAT I ABSOLUTELY HATE THE GILLETE COMMERCIAL ON QJ. GIVE IT A FREAKIN MUTE BUTTON PLEASE!!!
/rant
this is basic flash player knowledge:
1. right click on the ad
2. uncheck play
3. turn off your freaking caps lock (its really annoying too)
/instructions
Adblock Plus. 'Nuff said.
Does QJ take the weekends off? Honestly asking, maybe I missed the memo.
They don't post anything on Sundays and Mondays.
You are such a failure.
1. They didn't mention WHAT retailers. Most likely all the small retailers that no one has heard about. All the top retailers will maintain their normal stock. Why you ask? Because they have ALREADY PURCHASED THEIR HOLIDAY STOCK!!!!
2. This is November and it STILL hasn't happened yet.
3. This is just someone's OPINION.
4. Most smaller titles are DIRECT DOWNLOAD and have nothing to do with Retail. At least, in the discussion you are ATTEMPTING to refer to.
Go educate yourself on retail distribution and try again!