Best Buy says bye-bye to 20GB PS3
There have been rumors surfacing that Sony is trying to discontinue the 20GB model. In Europe, low demand for the 20GB version caused Sony to not offer the cheaper SKU: only 60GB models are available in that territory. America may soon meet the same fate, as Best Buy has stopped ordering 20GB versions of Sony's latest console.
Phasing out the 20GB version is a win for both the retailer and Sony: the retailer earns more money, and Sony loses less on each system sold (they lose an additional $65 for each 20GB sold). Also, consumers seem to prefer the higher-end system. With Best Buy no longer ordering the "value" edition of the system, it won't be long before other major retailers follow suit. Will not offering a $499 version of the console make it less accessible to the masses? Or, does it further solidify Sony's "Mercedes" image?
[Via Joystiq]
Phasing out the 20GB version is a win for both the retailer and Sony: the retailer earns more money, and Sony loses less on each system sold (they lose an additional $65 for each 20GB sold). Also, consumers seem to prefer the higher-end system. With Best Buy no longer ordering the "value" edition of the system, it won't be long before other major retailers follow suit. Will not offering a $499 version of the console make it less accessible to the masses? Or, does it further solidify Sony's "Mercedes" image?
[Via Joystiq]









Reader Comments (Page 1 of 1)
Devils Advocate @ Mar 18th 2007 1:20PM
Ah, the old Bait & Switch technique, and should this rumor prove true this is going to piss alot of people off, and allow alot of negative spin. Just when I think they're starting to turn things around.....If they don't take 3rd place this gen, I will be suprised.
rfom @ Mar 18th 2007 1:31PM
Devils Advocate, I disagree - I can agree if Europeans are pissed off with Sony becuase there the decision was theirs. But if its Bestbuy's decision, then why would anyone blame Sony?
Besides its all market dictated - if Bestbuy stop stocking it, and there is demand, the store next door will keep it and bestbuy will lose out.
I suspect that the reason is that customers dont want the 20GB.
My feeling is that while the price is def too high (for BOTH 360 and PS3 - after all the PS2 started selling selling only at USD199), for those who have the money to buy one right now, 100USD is small change - less than the price of 2 games
Roofus @ Mar 18th 2007 2:59PM
It's no more bait & switch than anyone else. MS gets customers to the store with their $300 core price point, and then they end up buying a $400 premium setup after realizing they would lose $150+ adding all the pieces necessary to get it to premium level.
There really isn't a reason to have both since there are so few differences in each sku.
bootsielon @ Mar 18th 2007 3:27PM
They should have made the 20 GB version only, let it cost 500, and made an add on to make it wireless. They should have also offered several different HDDs, but still leave the 20 Gig one as a mandatory requirement. That's a much better way to make profit than marketing the $600 version, make WiFi almost mandatory, and leave people in the cold about increasing storage space.
In any case, both Microsoft and Sony should have waited till holiday 2007 to launch both consoles, which would have ended up being somewhat cheaper, and with killer apps already, but of course, Microsoft had to disrupt (negatively) the market, as they do everywhere.
Ian @ Mar 18th 2007 4:00PM
I'm at work at Circuit City right now, and this article made me curious to see what our price is for the 20GB model...
$499.96
The ".96" instead of ".99" means the item is OOP, which means that once we sell out the stock we have, we're not getting back in again. Seeing as how we haven't gotten in any of the 20GB models since early January, it's safe to say we're done with them.
Derek Tablak @ Mar 18th 2007 5:21PM
I have a 20gb model, I feel special.
Joshua Campbell @ Mar 18th 2007 8:38PM
i have a 60gb i never saw a reason to buy the 20gb still dont, maybe you guys can give me (or retailers) a reason to keep the 20gb, seems like they like this site (Ian comment #5 Circuit City employee) why have a 20gb post an answer!!!!!!
Burnt Meatloaf @ Mar 18th 2007 8:49PM
I'm not really sure why people like the 60GB model so much. Since there's not a lot of software out yet, there's no way to gauge the value of that extra 40GB of space.
Not putting a Memory Stick port in the 20GB model... now that was just stupid. Yes, a USB adapter is possible, but still...
Deorum @ Mar 19th 2007 2:39AM
That silver lining is worth 100$. :) Oh gotta luv the wi fi.
SuicideNinja @ Mar 19th 2007 12:38PM
"They should have made the 20 GB version only, let it cost 500, and made an add on to make it wireless."
The 60GB makes an even better appearance of beating the 360 spec-wise. But you are right. I see no reason for the PS3 (or the 360) to have two different SKU's. The 20GB is plenty, the wireless isn't necessary, and neither is the card reader. They could have just said PS3's are $499 this whole time which would have improved their image (every little bit helps).
Sony and Microsoft should have known that the SKU's confuse the average consumer who doesn't look up anything about their purchases. People/salespersons still think the 20GB doesn't have HDMI and that the Core 360 is less-powerful than the Premium 360.