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Shocker: People who buy consoles usually have another one photo

Today, the San Jose Mercury-News ran a story dealing with the sales of new consoles. According to the report, the sales of next generation consoles is still rising, but only through people that already own another console. David Cole, analyst at DFC Intelligence explains it best:

You can look at how much the console systems actually sell, but that doesn't account for duplicate households. If you look at most new console purchases today, they are going into households that already own a game system from a previous generation.

This presents a small problem for the industry, considering that the ideal market penetration is to bust down the door on those people who would not typically want or cannot usually afford a console. It makes a person wonder if the current strategy of going after the soccer mom will ever work. Sure, Wii Sports is fun and does get people to gravitate towards the console, but according to the article it doesn’t carry over in terms of buying a Wii. Even with its insanely low price point.

Honestly, I would love to see the Xbox 360 Arcade or Core or whatever Microsoft is trying to pawn onto consumers off the shelf, if this article is as accurate as it appears to be. Although, I am left wondering what impact handhelds have in this equation. What kind of growth does the Nintendo DS or PSP have with non-traditional households? Especially when compared to the last generation’s niche offerings? Sounds like we have some detective work to do.

[Via GamePolitics]







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27 comments | showing # 1 to 27
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imbeta's Avatar - Comment posted on 07/06/2008 20:44
imbeta
Yup... we all have a Wii and some of us, the cool kids... have a PS3.
Alexradl's Avatar - Comment posted on 07/06/2008 20:51
Alexradl
I guess I'm a cool kid! I also don't really see the need for the Xbox Arcade. I mean, who the hell wants a 360 without a hard drive? I don't know anyone who has even thought about buying the Arcade version.

Mr. Cole, obvious observations are obvious.
Gantz's Avatar - Comment posted on 07/06/2008 20:51
Gantz
In other news, the Sky is Blue and Water is Wet.
Aaron Mxy Yost's Avatar - Comment posted on 07/06/2008 20:52
Aaron Mxy Yost
I'm curious what exactly do they mean by "a game system from a previous generation"... That could apply to households which only have an Atari 2600 buried in the hall closet or a SNES which has been hooked up to the basement tv for the last decade. But the idea of most console sales going to households that already own older systems isn't exactly shocking news.
ThisYearsPink's Avatar - Comment posted on 07/06/2008 20:53
ThisYearsPink
@Gantz: My sky is black right now. Maybe you live in Asia?
casualweaponry's Avatar - Comment posted on 07/06/2008 20:58
casualweaponry
I own all 3 consoles, a PSP, a DS, and a gaming PC.

At some point, at least 3 of them are collecting dust. I've never understood the whole one-system fanboy thing.
Blackhat's Avatar - Comment posted on 07/06/2008 20:58
Blackhat
I fail to see how people who own consoles are most likely to buy new ones. That's like being surprised that people who own cars buy new ones later.

I mean, if you can afford a PS3 ('though lord knows why you'd want to) chances are you've had the money to buy consoles before. And if you owned an NES, you'd want a SNES, etc.
Blackhat's Avatar - Comment posted on 07/06/2008 20:58
Blackhat
Err, "... are most likely to buy new ones IS NEWS."
B-Radicate's Avatar - Comment posted on 07/06/2008 21:12
B-Radicate
I have an Xbox 360 and a Wii. Only one of them is used to play games. The other is used to attract dust. I'll give you a hint. The one used for games rhymes with "sex glocks betwixt me."

Also, I've never used the word "betwixt" before and I doubt I ever will again. That is all.
deiga-the-semivaliant's Avatar - Comment posted on 07/06/2008 21:12
deiga-the-semivaliant
BREAKING NEWZ
Y0j1mb0's Avatar - Comment posted on 07/06/2008 21:16
Y0j1mb0
Yup, I've heard of this anomaly. I fall into the own all of them criteria.
lubczyk's Avatar - Comment posted on 07/06/2008 21:20
lubczyk
Well, if 3rd parties were smart and made Wii the main SKU for all their games, we wouldn't have this problem.

All that most gamers would need is a Wii, and the PS3 and Xbox 360 would remain niche just like PCs.

Sooner or later, the Wii will reach PS2 numbers and publishers will admit how wrong they originally were.
EternalDeathSlayer's Avatar - Comment posted on 07/06/2008 21:23
EternalDeathSlayer
Yeah, but it doesn't matter to Nintendo.

Little Billy may have liked the GameCube and then wanted the Wii, but it's all good when Nintendo racks up software sales not just from the him, but now on occasion mom, dad, or his girly girl sister who thinks it's cool she can whip a pony's ass with a Wii Remote in some Barbie Horse game.
kataztrophy's Avatar - Comment posted on 07/06/2008 21:31
kataztrophy
What's next, you gonna tell me adults play video games as well as kids? I refuse to believe any of that.
b33b3s's Avatar - Comment posted on 07/06/2008 21:48
b33b3s
I say nintendo is doing a pretty good job, my 60 year old never gamed a day in his life uncle got a wii for his birthday.
Rifter01's Avatar - Comment posted on 07/06/2008 22:01
Rifter01
I think a low-end 360 is useful at least in some situations like mine. For example, my g/f wants to play 360 all the time (Culdcept Saga - Halo3) and while one is playing H3 on the one with HD, the other one can play Culdsept.. It would work well I'd think.

And.. Nintendo needs to come out with some big 1st party surprises at E3: Anim.Crossing, Pikmin, or something good as that, or GTFO. DS is still more fun than Wii.
vexed alex's Avatar - Comment posted on 07/06/2008 22:12
vexed alex
I own them all. Two of them I use. My Wii has been moved into the closet to prevent it from being buried in dust.
Joe Burling's Avatar - Comment posted on 07/06/2008 22:21
Joe Burling
I use my 360 to play games.

I use my PS3 to watch movies.

I'll buy a 2nd 360 (Arcade SKU for the bedroom for TV and media streaming, and bedtime teabagging) before I buy a Wii. I have not played a single game I enjoy on the Wii, and I've played over 20 of the best rated games on it and seriously can't understand what people see in it (but I totally respect your opinion if you enjoy it).
AlucardX24's Avatar - Comment posted on 07/06/2008 22:45
AlucardX24
This just in: Cancer still not curable.
Novakaine's Avatar - Comment posted on 07/06/2008 22:46
Novakaine
I only own a Wii out of the current-gen consoles. HD gaming could screw itself for all I care--I don't want to need $1000 of a HDTV + surround sound + expensive system/games just to fucking play video games.
byrc's Avatar - Comment posted on 07/06/2008 23:02
byrc
@novakaine

wow, like you need a 1000 dollar tv and surround sound system to play mgs4. I didn't say that as a requirement at the back of box, I must have missed it.

I do have a HDTV (got it for 500 bucks at costco, 37" hdtv 720p)and it looked sweet, I don't have a surround sound system.

I let my friend borrow the game (he has a fucking 10 year old 32" CRT TV) and he was blown away by the graphics.

The only people who say that 360 or ps3 games look like last gen games on a SDTV, is full of bullshit and probably never played those games.

I"m not saying graphics is the only important part about gaming, but what I am saying is that your fucking logic sucks ass. You don't need an hdtv or crazy sound system to enjoy next gen games.

BTW, the wii supports progressive scan and 5.1 surround sound, does that mean you need to buy a widescreen tv with component connections and 5.1 sound system? No of course. Now you know how fucking stupid you sound.
Cheeburga's Avatar - Comment posted on 07/06/2008 23:21
Cheeburga
It's not true.


I HAVE ONE.
entropyman's Avatar - Comment posted on 07/06/2008 23:45
entropyman
I don't have a 360.... I have 2 psp's (slim and fat) ds lite (gf has one too in the house) wii and recently bought a ps3 ... as well I game on the pc (and have a wibrain umpc that I play warcraft and the sims on)... so yes multiple consoles are obvious for gamers- if the price point drops I may get a 360- but I am enjoying the ps3 for now and I only have so much time outside of work- (hence why portables are such a draw for me- I can play during commute) also btw i really want a pandora when they are released as well
Narishma's Avatar - Comment posted on 07/07/2008 04:19
Narishma
lubczyk: I'd like to know what alternate reality you live in where PCs are niche.
wonky360's Avatar - Comment posted on 07/07/2008 04:42
wonky360
Vectrex for the win. Screw you resolution.
Aurvant's Avatar - Comment posted on 07/07/2008 07:46
Aurvant
Yeah, my other consoles are a Dreamcast and a PS2.

Aside from my PS3 that is.
lubczyk's Avatar - Comment posted on 07/07/2008 10:00
lubczyk
@Narishma

I'm like to know the alternative reality in which any off the shelf PC can play any recent PC game at recommended settings.

Unless you play flash games, Sims, MMORPGs or old-school games (C&C DOS FTW!!!) then yes, PC gaming is niche.
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