Videogame $ales Numbers for '06 (Cha-chin)!

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J.M.Vargas

Videogame $ales Numbers for '06 (Cha-chin)!

Postby J.M.Vargas » January 11th, 2007, 11:40 pm

From the New York Times: [url]http://www.nytimes.com/2007/01/12/technology/12games.html?ref=technology[/url]

 

[quote]Demand Outpaced Supply for New Game Consoles

SAN FRANCISCO, Jan. 11 — The Xbox 360 outsold the Wii, which outsold the PlayStation 3.

That in a nutshell is how the crucial holiday shopping season went for the video game industry’s latest consoles. But that battle does not tell the whole story of a curious December.

Over all, the industry sold $3.7 billion of hardware, software and accessories in the United States last month, up from $2.9 billion in the same period a year ago. For the full year, sales were $12.5 billion, the industry’s highest-ever returns, according to widely watched figures released Thursday by NPD Group, a market research firm.

During December, Sony in particular turned in surprisingly strong sales — but not for its new PlayStation 3.

In a development that industry analysts said speaks to the strength of the video-game market and the lure of low prices, the nation’s best-selling console during the holiday season was Sony’s PlayStation 2, a six-year-old system.

Americans bought 1.4 million PlayStation 2s during the period. That was more than the Xbox 360, which sold 1.1 million units; the Nintendo Wii, which sold 604,000; and the PlayStation 3, which sold 491,000.

The sales figures for the PlayStation 3, and in particular the Wii, fell below the expectations of industry analysts.

“The biggest surprise is the Wii,” said Mike Hickey, a research analyst with Janco Partners. He said analysts had projected Nintendo would sell around 1.2 million, twice what they wound up selling. Mr. Hickey and other analysts had estimated Sony would sell 500,000 to 600,000 PlayStation 3s and Microsoft would sell 1.1 million to 1.3 million 360s.

But for Sony and Nintendo, the trouble was not demand but supply, Mr. Janco said. “It probably means that Nintendo missed its goal” of shipping four million Wiis worldwide by the end of the year, he said.

Some of the PlayStation 2’s success can be attributed to the manufacturers’ inability to make and ship enough of the PlayStation 3 and Wii, which analysts said were gobbled up as quickly as they appeared on shelves.

But the PlayStation 2 also sold particularly well compared with itself; its December sales were just 4 percent lower than those in the same period a year ago, NPD said, despite the lure of more advanced machines.

“I fell out of my chair when I saw those numbers,” said Anita Frazier, an industry analyst with NPD.

Ms. Frazier said one reason for the PlayStation 2’s relative success is that its $129 sales price is considerably less than that of the Wii, at $249, the Xbox 360, at $299 or $399, depending on the model, and the PlayStation 3, at $499 or $599.

But buyers of the PlayStation 2, while perhaps inspired by the buzz created by the new console wars, were not necessarily the same people who might get a Wii or PlayStation 3.

“It’s reaching that value customer you see at the end of the cycle,” said David Hufford, director of Xbox product management at Microsoft. But he said the PlayStation 2 figures were nevertheless solid: “It’s a good number for them.”

Given the short supply of the new Sony and Nintendo machines, Ms. Frazier and other analysts said it was far too soon to declare a winner among the next-generation consoles.

“We can’t tell anything from these numbers,” she said. “If we had five million available, we’d have a truer sense of consumer demand.”

The Xbox 360 benefited from ample supplies and the large library of games it has built up over the last year.

Over all, Microsoft has sold 4.5 million Xbox 360s in the United States since the console was introduced in November 2005. Since their introductions last November, PlayStation 3 has sold 687,000 consoles and Wii, 1.1 million, NPD reported.

In software, the top seller in December was Gears of War, a shooting game for the 360 that sold 816,000 copies. The second big seller was Guitar Hero 2 for the PlayStation 2, which sold 805,000 copies.

Of the top 10 console games sold in December, two were for the Xbox 360 and four were for the PlayStation 2.

None were for the Wii or the PlayStation 3, though that is no surprise given the scarcity of the consoles.

For all of 2006, the top-selling console game was Madden NFL 07 for the PlayStation 2 from Electronic Arts, which sold 2.8 million copies.

Enterbrain, a game magazine publisher in Tokyo, released sales estimates in Japan this week that showed Sony had fallen far short of its goal of selling a million PlayStation 3s there last year. Sony sold 534,336 of the consoles from their debut in Japan on Nov. 11 to Jan. 7, Enterbrain said.

By contrast, Enterbrain reported that Nintendo sold 1.14 million units of the Wii by the same date, even though it went on sale three weeks after the PlayStation 3.

The slow sales could spell trouble for Sony, which needs the PlayStation 3 to be a hit to overcome years of lackluster profits and to polish its brand image. [/quote]

 

More specifici date from the NPD:

 

December 2006 units sold:
 
Nintendo DS 1,598,593
PlayStation 2 1,394,007
Xbox 360 1,131,886
PSP 953,182
Wii 604,170
PlayStation 3 490,682
Xbox 5,493

1 Electronic Arts $306,705,100
2 Activision (Corp) $252,582,300
3 Nintendo of America $238,151,600
4 THQ (Corp) $158,449,000
5 Ubisoft $91,648,420
6 Sony (Corp) $74,110,940
7 Take 2 Interactive (Corp) $68,553,770
8 Microsoft (Corp) $61,616,760
9 Vivendi (Corp) $57,670,600
10 Lucasarts $56,337,820
11 Konami Digital Ent. $44,888,940
12 Sega of America $39,655,780
13 Midway $35,886,520
14 Square Enix Inc (Corp) $33,433,170
15 Namco Bandai Games of America (C $31,983,120
16 Buena Vista Games (Corp) $31,674,380
17 Atari $19,574,210
18 Eidos Interactive (Corp) $18,104,070
19 Capcom USA $15,463,930
20 Majesco $13,470,180

Top 10 Video Games - December 2006:

360 GEARS OF WAR - MICROSOFT 815.7 K
PS2 GUITAR HERO 2 W/GUITAR - ACTIVISION 805.2 K
PS2 MADDEN NFL 07 - ELECTRONIC ARTS 737.1 K
GCN LEGEND OF ZELDA: TWILIGHT PRINCESS - NINTENDO 532.9 K
WII LEGEND OF ZELDA: TWILIGHT PRINCESS - NINTENDO 519.2 K
PS2 WWE SMACKDOWN VS. RAW 2007 - THQ 484.5 K
NDS NEW SUPER MARIO BROS - NINTENDO 427.5 K
360 CALL OF DUTY 3 - ACTIVISION 410.8 K
NDS YOSHI'S ISLAND 2 - NINTENDO 407.2 K
PS2 CALL OF DUTY 3 - ACTIVISION 365.3 K

Top 10 Video Games - Annual 2006:
 
PS2 MADDEN NFL 07 - ELECTRONIC ARTS 2.8 mm
NDS NEW SUPER MARIO BROS - NINTENDO 2.0 mm
360 GEARS OF WAR - MICROSOFT 1.8 mm
PS2 KINGDOM HEARTS II - SQUARE ENIX 1.7 mm
PS2 GUITAR HERO 2 W/GUITAR - ACTIVISION 1.3 mm
PS2 FINAL FANTASY XII - SQUARE ENIX 1.3 mm
NDS BRAIN AGE: TRAIN YOUR BRAIN - NINTENDO 1.1mm
360 MADDEN NFL 07 - ELECTRONIC ARTS 1.1mm
360 TOM CLANCY'S GRAW - UBISOFT 1.0 mm
PS2 NCAA FOOTBALL 07- ELECTRONIC ARTS 1.0 mm


Top 10 Titles - December 2006 INCLUDES ALL PLATFORMS (consoles and portables):

Madden NFL 07 - Electronic Arts 1.9 mm
Call Of Duty 3 - Activision 1.1 mm
Cars - THQ 874.0 k
Need for Speed: Carbon - Electronic Arts 871.6 k
360 GEARS OF WAR - MICROSOFT 815.7 K
PS2 GUITAR HERO 2 W/GUITAR - ACTIVISION 805.2 K
Lego Star Wars II: The Original Trilogy - LucasArts 792.3 K
WWE Smackdown vs. Raw 2007 - THQ 731.6 K
Tony Hawk's Project 8 - Activision 713.9 K
Marvel: Ultimate Alliance - Activision 642.9 K


Top 10 Accessory Items - December 2006 Units
360 WIRELESS CONTROLLER 823.8 k
WII REMOTE CONTROLLER 646.7 k
WII NUNCHUK CONTROLLER 497.1 k
PS2 8 MEG MEMORY CARD 474.8 k
PS3 SIXAXIS WIRELESS CONTROLLER 336.0 k
PS2 MEMORY CARD 8 MEG 286.0 k
PS2/PS DUAL SHOCK2 CONTL 263.4 k
PS2/PS BLUE DL SH2 CNTL 245.2 k
360 PLAY & CHARGE KIT 224.6 k
PS2 CORDLESS ACTION CNTLR 219.9 k

 

Can someone explain to me how come in Dec. of '06 646,700 Wii Remotes were sold but only 604,000 systems?  Are people just buying the remote for the thrill of it?


m0zart1
Posts: 3117
Joined: December 31st, 1969, 7:00 pm

Videogame $ales Numbers for '06 (Cha-chin)!

Postby m0zart1 » January 11th, 2007, 11:56 pm

[QUOTE=J.M.Vargas]Can someone explain to me how come in Dec. of '06 646,700 Wii Remotes were sold but only 604,000 systems?  Are people just buying the remote for the thrill of it?[/QUOTE]

 

Some people didn't buy any at all.  Others bought two, three, or four.  Why?  Likely because they wanted to do two, three, or four-player action, respectively.  I don't know why that's so mysterious.  Given the nature of the system as a multiplayer family unit, it seems likely that the Wiimote would outsell the console itself.  In fact, I would have guessed margins even larger than that, to be honest.  I have a feeling that if the Wii lives up to the vision behind it, and sells to more families in the coming months instead of the usual gamer crowds who consumed it up this time, that that number of Wiimote sales will actually rise to an even larger percentage.

 

Just as a side note, there's been some controversy on how low the Wii numbers seem to be on this.  The controversy is built around several claims supported by either Nintendo or NDP:  (1) Nintendo claims it shipped a little bit under it's 4 million promised.  Apparently it was around 3.75+ million. Nintendo claims that 2 million of those were to North America alone.  (2) NDP only reports 1.1 million sold in "North America" (a term that is questionable as I'll point out later).  (3) Both Nintendo and the NDP claim that Nintendo sold every console they shipped.  So there appears to be some disparity in the numbers.

 

But this happens every year with the NDP numbers, and usually for the same basic reason -- gaps in the NDP analysis.  The NDP group relies on figures from many American retail chains, but it actually doesn't gather numbers for several very large chains due to the unwillingness of these chains to release information in that time frame.  This includes the likes of powerhouses like Wal-Mart.  But it also includes anything outside of the continental United States, leaving out Alaska, Hawaii, Canada, and Mexico.  To try to make up for this, the NDP makes average estimates based on a very straightforward formula of per-total-sales-figures for Wal-Mart and per-capita for Canada, Mexico, Alaska, and Hawaii, all against the existing sales.  Unfortunately, those kinds of numbers eventually end up being shown to be out of whack as the next year progresses, especially as independent sales figures from Canada and Mexico appear, along with the disclosures of Wal-Mart and other chains.

 

So we're not going to know the complete truth about console sales from independent sources for a while now.  The NDP gathers these numbers up as a guideline to evaluate sales trends.  They are guideline figures for investors and industry analysts.  The trend that the sales figures show is that each of the consoles actually had a good strong beginning, while the XBOX 360 and the Nintendo DS also had a roaring continuance.


J.M. Vargas

Videogame $ales Numbers for '06 (Cha-chin)!

Postby J.M. Vargas » January 12th, 2007, 12:25 am

Look at the drop between the number of PS3 and regular XBox systems sold.  Wow, there were still 5,000+ XBox systems in stores in December?  I haven't seen one of these in months!


a1
Posts: 3032
Joined: December 31st, 1969, 7:00 pm

Videogame $ales Numbers for '06 (Cha-chin)!

Postby a1 » January 12th, 2007, 3:14 am

I would have guessed the opposite ratio of controllers v. systems sold for Wii. The Circuit City I got mine at had 24 Wiis and 6 Wii remotes. I have yet to see any kind of controller available for my Wii. At this point I've decided to wait until February for Wii Play ($50 with Wii remote).


Slim Shady

Videogame $ales Numbers for '06 (Cha-chin)!

Postby Slim Shady » January 12th, 2007, 9:01 am

And the point of this is what exactly?



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