July 2009 NPD Pretty Grim

It's no secret that everyone wants a price cut from at least two of the big three console's. The PS3 has taken a beating since it's been on the market, and I mean that beating as coming from the internet more than sales. The Wii has been at the same price since launch and its sales have seen very sharp declines this year, especially in the last three months. The Xbox 360 has seen modest declines since it introduced its cut last September, their's should have has the longest lasting effect.

All of this is troubling indeed and July looks to be no different than the month before, except another decline in sales. Pachter's figure's for the month of July play out like this:

Wii 305,000
PS3 135,000
Xbox 360 190,000
PS2 130,000
PSP 140,000
DS 590,000

For comparison here are June's results:

NDS - 766,500
Wii - 361,700
Xbox 360 - 240,600
PS3 - 164,700
PSP - 163,500
PS2 - 152,700

For the month everyone is looking at a minimum of 20% losses, with the DS losing the most for the month. My own speculation wouldn't go very far but it wouldn't be too far off of Pachter's speculation, the DS, Xbox 360, and Wii losses probably aren't as steep, with Playstation sales still slipping a little. Without price cuts it is likely that sales will continue to fall, but that's without price cuts.

Everyone is looking at Sony to make the first cuts and they are likely to do it at Gamescom in the coming weeks. Microsoft will likely follow with their own cuts or re-branding shortly after. It's anybody's guess with Nintendo, they have said they aren't going to cut the price, but instead rely on attractive bundles that the consumer can't resist. I think Nintendo would be better off cutting the price and introducing new bundles, bundles for both the casual and/or the core.

It's apparent that without cuts they are all in trouble, but it is likely going to be a phenomenal a fall and Christmas season around the world. There should be cuts from all three before the end of October, and hopefully Sony will cave to pressure and launch the PSPGo! at less than $250 to ensure a strong launch.

NPD numbers will be made available to the public this Thursday, so come back and see what they are later this week.