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PC gamer, WorthPlaying EIC, globe-trotting couch potato, patriot, '80s headbanger, movie watcher, music lover, foodie and man in black -- squirrel!

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PS2 Sales Double After Price Cut

by Rainier on June 14, 2004 @ 12:04 p.m. PDT

SCEA announced today a more than two fold increase in sales since it reduced the price of the PlayStation2, validating the company's strategy in the timing and approach to the price drop. The company announced the lower price point of $149 suggested retail price (SRP) for the standalone PlayStation 2 or the PlayStation2 Combo Pack, while supplies last, last month at the Electronic Entertainment Expo (E3) in Los Angeles.

Immediately following the announcement, Sony Computer Entertainment America's major retail partners saw a dramatic increase in sales. Initial data shows a week-over-week increase of 216 percent during the first full week of sales at the $149 price point and an increase of 141 percent to-date since the price drop, in comparison to the three weeks prior to the announcement. In addition, the new price point spurred year-over-year growth with sales during the three-week period immediately following the price drop, up 26 percent over the same time period a year prior.

"Response to the $149 price point has been amazing," said Debbie Mola, divisional vice president of merchandising for Electronics Boutique, a leading videogame retailer. "We've seen a steady increase in consumer demand throughout our stores nationwide, with sales of PlayStation 2 rising to well above our expectations."

"This price drop came when we felt it was strategically the best timing to expand the market, and it's gratifying to see consumers respond so aggressively to our commitment to meet their growing expectations," said Jack Tretton, executive vice president, Sony Computer Entertainment America. "The new sales data provides a powerful proof point that consumers-both our mass-market, core audience and casual gamers-are placing their confidence in the longevity of PlayStation 2, which we see as absolutely essential to the health of the industry. We will continue to make the PlayStation 2 experience the best entertainment value in the gaming category."

The escalation of sales further solidifies Sony Computer Entertainment America and Playstation 2 as the industry leader, adding to the company's existing dominance with 26 million consoles in North America, or one out of every four households, and more than 70 million consoles shipped worldwide.

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