Artificial shortage: the launch of the new Playstation causes problems – news



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High demand, artificially too few products – a welcome marketing tool for businesses, but mostly frustration and anger for customers.

If an entire community is eagerly awaiting a new product, then the selling brand behind it has done something right.

It happens with sneakers, cars or watches, but especially in the technology industry, these days people like to resort to the phenomenon of artificial scarcity marketing, where companies are reducing their offers in terms of demand – in concrete: not everyone who wants to buy a new product to launch gets one too.

Apple, for example, has been demonstrating for years how the convenience of a product can be increased immeasurably. With each new edition of the iPhone, people line up for hours in front of Apple stores, and even camp in front of them.

The controller is also useless without a Playstation

Sony is now causing quite a stir. On November 19, the Japanese electronics company announced a new generation of consoles with the Playstation 5 after seven years. To this end, Sony repeatedly hosted virtual events over the months, where individual information about the new console was revealed to great media fanfare.

Also, many influencers advertise the product and the group partnered with well-known American rapper Travis Scott to keep media attention high.

Games are booming thanks to Corona

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Restrictions in the events sector have positive effects, especially for the video game industry. The gambling business is booming. In September, console, PC and mobile game providers’ sales totaled $ 10.7 billion. By the end of the year, revenue is expected to be around $ 4.5 billion above the 2019 result.

Japanese electronics giant Sony has doubled its profits in the first half of the current fiscal year. Sony now expects a net profit of 800 billion yen for the full fiscal year ending March 31, 2021, an increase of 37.4 percent from the previous year.

In addition to Sony, Nintendo with the Switch console and Microsoft with the X-Box are also the central players in the European gaming market.

Johanna Gollnhofer is a marketing professor at the University of St. Gallen and sees a typical example of artificial scarcity behind the launch of Playstation 5: “With Playstation you could see how Sony was dealing with a product crash. Product downtime means that you put a product on the market and the consumer doesn’t even know when and where to buy it. When he finds out, it is often too late and the respective product is out of stock. “

Annoyance instead of anticipation

This does not sit well with all clients, according to Johanna Gollnhofer, it mainly leads to frustration and anger rather than increased desire. Although the console will hit the market on November 19, very few will be able to get their hands on the product. Sony already increased production to ten million copies of its Playstation 5 in July, about six million more than originally planned.

However, all copies have been sold out in Europe and Switzerland since pre-sales began in September, only the controller is available. Distributors such as Digitec, Mediamarkt or Interdiscount maintain waiting lists. Sony denied any bottlenecks in delivery to Gamesindustry.biz. So if you haven’t had any luck with the pre-order yet, we’ll probably only be playing on the new console on the new year. Because the large intermediaries will first sell the amount available through the online business.

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