Confirmed: Xbox360 Price Drop Across All Skus

[imdaly]

I figure that, since this is now 100% confirmed, it deserves its own thread:

In the wake of leaked flyers from what seems like every major retailer in the country, Microsoft is finally ready to come clean on the Xbox 360 price drop announcing today a $50 cut on the main console (known informally as the Pro or Premium model) from $399 to $349. The price drop – scheduled for August 8th – is timed to coincide with the August 14th release of Madden NFL 08, one of the three titles that would have made up Microsoft's holiday hat trick (before GTA IV pulled out of the race early). Noting the staggering 624 day stretch since the console's November 2005 launch, Microsoft's Mitch Koch said, "The fact that we have been able to keep our launch price longer than any other console while retaining our leadership position demonstrates that consumers believe in the value of Xbox 360."

It's not just the Premium system getting its price axed. Just like the flyers promised, the Xbox 360 Core will drop $20 to $279 while the Xbox 360 Elite (which should now actually be available in stores) will see a $30 drop to $449. In a brief chat with Microsoft's Aaron Greenberg, we had a chance to ask about some of the lingering questions surrounding this price drop. Greenberg was quick to point out this decision was timed to coincide with the launch of Madden and not any cost-cutting measures on their part (read: 65nm processors); however, they wouldn't cite specific details on the components. The Premium console is seeing the largest price reduction since it enjoys the largest percentage of sales, at 80% of all Xbox 360 consoles sold. Specific bundles, like this Table Tennis bundle, are retailer specific and not "channel-wide" according to Greenberg, so don't expect to walk into any old box store and pick one up (that one is Circuit City specific).

Source

 

[ProjectPat2280]

Damn, almost 2 yrs too late.

 

[Devil May Cry]

Right on my birthday! Will I get a 360 instead of a PS3?


Stay tuned....t:

Now, PS3 has no choice but to lower the damn price...AGAIN!

 

[ProjectPat2280]

Right on my birthday! Will I get a 360 instead of a PS3?


Stay tuned....t:

Now, PS3 has no choice but to lower the damn price...AGAIN!

haha, damn with the way you speak i would have thought that you owned like 12 PS3's.

 

[Devil May Cry]

LOL are you calling MUAH a fanboy? t:



But naw. F*** no. I'm not paying $600 for that thing, especially when there's nothing worth playing at all. I play it all the time though in college. It's not worth it right now. And from what I'm seeing, it might not ever be.

 

[ProjectPat2280]

LOL are you calling MUAH a fanboy? t:



But naw. F*** no. I'm not paying $600 for that thing, especially when there's nothing worth playing at all. I play it all the time though in college. It's not worth it right now. And from what I'm seeing, it might not ever be.

Haha, nah man, im not calling anybody a fanboy, altho iv never seen the problem with being labeled as such. Anyway tho, i really did think you owned the PS3 as you seem to be pro-ps3(nothing wrong with that). I actually plan to pick one up when that Uncharted game drops.

 

[Devil May Cry]

Haha, nah man, im not calling anybody a fanboy, altho iv never seen the problem with being labeled as such. Anyway tho, i really did think you owned the PS3 as you seem to be pro-ps3(nothing wrong with that). I actually plan to pick one up when that Uncharted game drops.

Makes sense. I'm pro PS3 as long as I'm not paying for it. t: I mean, I was going to get it in a couple days with lair (I have it already technically. I paid for it in full along with Halo). THen, I was going to bring the games with me to college and play them like we usually do. I mostly supply the games but now I'll have the system. But to me, nothing justifies even $499 right now. My roomie is rich though. See, when all the good stuff comes out, then I'll feel more reassured. Right now, MS is really going all out. I just feel as though I won't want to play ish on the 360 next year. I really could care less about Fable.

Edit: WHen I said there was nothing worth playing on the PS3 right now, I misspoke. My boys and I play Motorstorm for hours and hours. I wasn't feelin' Resistance though.

 

[hippie_hunter]

Microsoft should have done this sooner IMO and why the hell have they not gotten rid of the Core SKU?

 

[XtromaniaK]

Yeah, I thought they would've dropped the price way back in Q1. But I guess they're more confident than I previously thought.. and with that comes stupid decisions. Like keeping the Core SKU, for example.

 

[WhatsHisFace]

The Core SKU is important for not screwing over your consumer base.

The price drop is happening so late because of Sony's insane price point.

 

[hippie_hunter]

It's just plain stupid to keep the Core SKU. Almost no one buys it these days and all they're doing now is screwing over consumers of the Premium and Elite SKUs of the Xbox 360 and Playstation 3 owners.

 

[ProjectPat2280]

Yeah, I thought they would've dropped the price way back in Q1. But I guess they're more confident than I previously thought.. and with that comes stupid decisions. Like keeping the Core SKU, for example.

Keeping the core sku gives the consumer more options. Taking options away is the stupid move, not the other way around.

 

[Devil May Cry]

Sony disagrees. Just gonna be one SKU from now one. Not sure if it'll work.

 

[ProjectPat2280]

Sony disagrees. Just gonna be one SKU from now one. Not sure if it'll work.

Well it wont help. People want choices. Period.

 

[hippie_hunter]

Well it wont help. People want choices. Period.

Apparently not. Most people simply want the Premium SKU and the hardcore will get the Elite. Nobody wants a damn Core.

It's just like the Playstation. Most people got the 60GB instead of the 20GB so they discontinued it and they're doing the same with the 80GB because most people are simply reacting better to one simple choice.

 

[Devil May Cry]

Apparently not. Most people simply want the Premium SKU and the hardcore will get the Elite. Nobody wants a damn Core.

It's just like the Playstation. Most people got the 60GB instead of the 20GB so they discontinued it and they're doing the same with the 80GB because most people are simply reacting better to one simple choice.

Correctamundo. One simple choice is best. Joe walks in the store. "Hey, can I get the PS3?"

"Which one?"

"What? No, I want the PS3"

"Dude's there's like 2 SKUs"

"A whata what what now?"

 

[XtromaniaK]

Keeping the core sku gives the consumer more options. Taking options away is the stupid move, not the other way around.

But the fact that it has no HDD is holding the console back because devs are able to make games that can take advantage of the fact that there is one. Not to mention it makes the choice even more confusing for consumers who would otherwise have an easy choice.

So yes, it still is a stupid decision.

 

[imdaly]

Correctamundo. One simple choice is best. Joe walks in the store. "Hey, can I get the PS3?"

"Which one?"

"What? No, I want the PS3"

"Dude's there's like 2 SKUs"

"A whata what what now?"

I work at Circuit City, and for my store anyway, most people asking about the XBOX360 already are well aware that there are more than one version to choose from. They don't usually know exactly what the difference is, but they know that there's more than one version to get. And I work in West Virginia, so we're not exactly located in one of the most socially intelligent communities.

But yeah, I hardly hear "There's more than one version?!?". What I do hear a lot is "What's the difference between the different versions?"

 

[Devil May Cry]

I work at Circuit City, and for my store anyway, most people asking about the XBOX360 already are well aware that there are more than one version to choose from. They don't usually know exactly what the difference is, but they know that there's more than one version to get. And I work in West Virginia, so we're not exactly located in one of the most socially intelligent communities.

But yeah, I hardly hear "There's more than one version?!?". What I do hear a lot is "What's the difference between the different versions?"

At launch, my cousin worked for Toys 'r us. Droves of people came in wanting a PS3 and then scratched their heads when he asked which one they wanted. "Well..you get 60 gigs for blah blah and 20 gigs for blah blah"

"Well, I think I'll only need around 20"

"but there's no Wifi and..."

"huh?"

 

[imdaly]

At launch, my cousin worked for Toys 'r us. Droves of people came in wanting a PS3 and then scratched their heads when he asked which one they wanted. "Well..you get 60 gigs for blah blah and 20 gigs for blah blah"

"Well, I think I'll only need around 20"

"but there's no Wifi and..."

"huh?"

Yeah, people weren't so tuned to the idea of multimple SKUs for a console at that time. But now after the XBOX360 having multiple SKUs for nearly 2 years, and the PS3 having multiple SKUs for almost a year, it's not such a new idea anymore.

Though the average consumer still doesn't know the differences between the SKUs.

 

[ProjectPat2280]

The core SKU is for those looking to get into the next generation of gaming yet aren't yet willing to pay up wards of 400 bux. Its an entry level price for money tight consumers. I'm sure its true that most going out to buy the 360 know exactly what they want and know exactly what they are getting, but there are some who just know that they want to play 'Madden 0-whatever' on a next gen system but aren't about to fork over the money that the other systems are going for. Its simple and smart business and to think otherwise shows a complete lack of the workings of a consumer driven business.

I use my sister as an example, after i took my Xbox up to school she could no longer get on Halo. She wasn't about to buy a premium system that cost 400 bux for a game that she would only play every so often. She decided to go with the core SKU being that it was slightly more affordable and if she ever wanted to play some of the next generation games, she could. Had the premium been the only system on the market at that time, she wouldn't have bought an Xbox 360.

She eventually got the best deal out of the two of us as she got a hard drive for free.

 

[hippie_hunter]

The core SKU is for those looking to get into the next generation of gaming yet aren't yet willing to pay up wards of 400 bux. Its an entry level price for money tight consumers. I'm sure its true that most going out to buy the 360 know exactly what they want and know exactly what they are getting, but there are some who just know that they want to play 'Madden 0-whatever' on a next gen system but aren't about to fork over the money that the other systems are going for. Its simple and smart business and to think otherwise shows a complete lack of the workings of a consumer driven business.

I use my sister as an example, after i took my Xbox up to school she could no longer get on Halo. She wasn't about to buy a premium system that cost 400 bux for a game that she would only play every so often. She decided to go with the core SKU being that it was slightly more affordable and if she ever wanted to play some of the next generation games, she could. Had the premium been the only system on the market at that time, she wouldn't have bought an Xbox 360.

She eventually got the best deal out of the two of us as she got a hard drive for free.

But when the Premium accounts for 80% of the Xbox 360s sold, it's pretty damn clear that people like your sister are in the clear minority.

 

[ProjectPat2280]

But when the Premium accounts for 80% of the Xbox 360s sold, it's pretty damn clear that people like your sister are in the clear minority.

O I'm in no way arguing that, but to not understand why the core SKU was produced by Microsoft proves you have no idea what goes into a consumer driven business.

 

[Devil May Cry]

O I'm in no way arguing that, but to not understand why the core SKU was produced by Microsoft proves you have no idea what goes into a consumer driven business.

When did anyone ever contest the reasons for which the Core was introduced? Quite frankly, the core is irrelevant now. At launch, it seemed like a good idea. Like, you're impulsive and you want that 360 but only at a price that seems right to you. Things have changed. People know they gotta save and get the better model just like everyone else. If you ask a store clerk today which model you should get, he'd say the Premium or..."if you're hardcore, get the Elite."

 

[Havok83]

Microsoft should have done this sooner IMO and why the hell have they not gotten rid of the Core SKU?

bc MS did not need to. With the PS3 at $600 and doing not so hot, it really wasnt to their advantage to lower the price. I think they are counteracting hte recent PS3 price cut now, but to be honest, they still were in a safe spot, at least through the end of the year