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The Decline of the PS3 Grey Market
Kotaku has a great piece up looking at trends over time in the PS3 grey market. Michael Fahey has been tracking the falling prices for Sony's new console, via sales on eBay and other markers. He called around to stores as well, getting a feel for the number of returns and current availability of the console. His conclusions: "As it turns out my gamer instincts and the threat of hordes of angry readers steered me clear of potential disaster. Aside from a couple brief spikes, there is no way I'd have been able to pull off the television, and I know damn well I would have waited for Christmas like so many others did, only to lose even more. The moral of this story? There's no such creature as a sure thing. The majority of eBay prospectors walked away from this experience with that lesson burned into the back of their brains. My suggestion for the future? If you want to gamble, go to Vegas. If you want to invest, try mutual funds. Leave the video game system buying to the gamers. We'll all be happier for it. "
Well... just a couple of thoughts, but before I get into them, let me first say that I agree with you.
... They charge you a 'convenience fee' for web-based or phone based orders, in addition to their already inflated ticket pricing. I hate ticketmaster
As a someone who was 'marginally' successful at scalping my 2 PS3's, I have to say that given it to do over, I would. I had a good time, and I cannot put a price tag on the 'event' itself. I still walked away with a profit.
and I to do not understand why Sony (and really anyone else) doesn't just sell the items themselves. But I believe it has alot to do with law than anything to do with business.
See, it kinda comes down to the same thing with automobiles, atleast here in the states. Technically speaking you, as a customer, cannot buy directly from the manufacturer, for nearly anything. In order for you to purchase item X, the seller has to pay certain fees within it's respective location, think sales-tax etc... . However, getting into a larger issue is that the states (individually) don't want you to be able to buy directly from the manufacturer, because it would cut out their 'inventory' taxes.
It really comes down to taxing the hell out of the product prior to the sale, as that is REALLY where they make there money. Continuing to take car dealerships as an example, the 'dealer' typically does not actually own the vehicle, oh they bought it from the manufacturer, but they don't have to report the buy until the end of the year. At which time any remaining vehicles (and sometimes this is done quarterly, but we'll continue to use annually) are then taxed an 'inventory' tax, and this is on EVERYTHING, not just the car, but parts as well. Its a ridiculous mess.
Now, thats for tangible items, talking about the concert is a little different.
Ticketmaster (again as example) has contracted with nearly every venue out there, to be the sole promoter of any event, which in addition to just about everything else, grants them the right to sale tickets. There use to be a competitor called Ticketron if I recall correctly that did basically the same thing, but at a much lower price. At any rate, a band's promotions and tour organizations are typically in cohoots with Ticketmaster as well, so it benefits everyone but the band who (as I understand it) get very little of the actual 'ticket cost' after all the fees have been added in.
There is nothing wrong with a band attempting to sale it's own tickets, but then it must also incur all marketing costs, venue rental (assuming one can be found that isn't under ticketmaster's thumb) etc... quite quickly becoming cost prohibitive.
Ticketmaster is a fucking rip-off!
think before you write, it'll save me moderator points.
Two reasons why the PS3 won't be like the PS2 in this regard:
1. $300 for the PS2 was thought of as a bit expensive. $600 for the PS3 is thought of as completely ridiculous. Sony's not going to be able to make money on the PS3 if no one is buying it.
2. While the PS2 was slightly expensive for a whole load of reasons, about a third of the cost of the PS3 is in one component, the BluRay drive. This is a new technology and like all new technologies, it will drop in cost very rapidly.
It's true that the price drop likely won't come until the next holiday season, but that's because of the way electronics sales work, not because Sony wants to hold off on it. And when it does come, it will likely be quite large.
Rob