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September Sales Down 20%: WMS Reforecasts (says 360 will save 2005)

http://www.next-gen.biz/index.php?option=com_content&task=view&id=1275&Itemid=2

Wedbush Morgan Securities is predicting a year-on-year 20% drop in sales for the month of September. The company has also revised its industry forecasts through 2007.

The analyst says sales for the month - due to be released by NPD later this week - will be down to $365 million. The company says further double-digit declines can be expected in October.

But it's not all doom and gloom. WMS is expecting growth in November and rapid growth in December, once Xbox 360 arrives. Sales of DS and PSP are expected to be strong in the run up to the Holidays. WMS says that by the end of the year, total sales will be up around 9% on 2004.

In September 2004, the market welcomed Nintendo’s Pokemon Fire Red and Leaf Green (GBA), LucasArts’ Star Wars Battlefront (PS2, Xbox, PC), and Microsoft’s Fable (Xbox) which brought in $95 million in sales.

In contrast, the main sales power this year has come from sports franchises, like Madden and NBA Live, some of which arrived late in the month. In September 2004, 20 games sold over 100,000 units, down to an estimated 14 games this year.

Average sales prices show other positives. Handhelds and higher prices for franchises like NFL have offset the decline brought about by ageing consoles. The average games now sells for to $31.31.

The U.S. hardware installed base currently stands at 84 million current generation consoles (including handhelds), up from 75 million at the end of last year.

Electronic Arts share for September was 30%, up 5% on the same period last year. Madden NFL 06 sold 550,000 units, on top of the 2.2 million units sold last month, compared with last September’s Madden NFL 2005 470,000 units.

WMS has also looked again at its forecasts for the next two years. In April, the company predicted that combined U.S. and European software sales would grow 9% in 2005, 10% in 2006, and 12% in 2007. The revised forecast is 5% in 2005, 11% in 2006, and 11% in 2007. The company sales Nintendo's lower than expected hardware sales will have a knock-on effect.
 
Ouch.

In September 2004, the market welcomed Nintendo’s Pokemon Fire Red and Leaf Green (GBA), LucasArts’ Star Wars Battlefront (PS2, Xbox, PC), and Microsoft’s Fable (Xbox) which brought in $95 million in sales.

Well now I'm not surprised about the drop off. Pokemon and Fable were huge sellers. Battlefront didn't do too poorly either. There really wasn't anything to replace these sales figures which cae out.

Is it the generational shift or are energy concerns changing the priorities of consumers?

Look at what was released last September. The drop off isn't really too surprising.
 
Complete lack of interesting releases should be to blame.

360 will bring in a fuckton lot of revenue. Do they count accessories in there, or just hardware+games? If they do, it's going to be one helluva high revenue Christmas.

/Assuming the 360 sees more than 500,000 consoles at or near launch and a subsequent sell-out occurs. Neither massive shortages or a PSP-esque "soft-launch" non-sellout.
 
So I guess this is the prediction thread right?

DS - 162,000
Nintendogs - 310,000
Advance Wars - 70,000
Yugioh - 45,000

Total Software Sales for the DS will be around 700k-750k. The spike in Hardware sales will increase the overall sales of the old games. So I wouldn't be surprised to see Kirby and Mario having big sales boost.

PSP - 198,000
Madden - 110,000
Burnout - 35,000

This was one of the months I saw the DS beating the PSP. But I don't think so. But the DS will have higher overall softwares sales as the PSP might sell 500k in software.

GCN - 83,000
Battalion Wars - 12,000
Mario Stadium Baseball - 90,000
WWE DOR2 - 65,000

PS2 - 287,000
Burnout - 70,000
Ultimate Spiderman - 110,000
X-men Legends 2 - 125,000

Xbox - 154,000
Burnout - 57,000
Xmen Legends 2 - 90,000
Ninja Gaiden Black - 110,000
 
argon said:
Handhelds are really propping up sales this year, it seems.

I really do wonder whether or not that means that after the initial excitement of revenue spikes over the next year during the generational shift, the NA market will begin to resemble the Japanese market's over-dependence on handhelds.
 
Will x360 sell out in the US by lack of direct competition? What if Sony and Nintendo released tactical advertising campaigns to refrain people from buying it? Would it even have any effect according to you?
 
Stopsign said:
So I guess this is the prediction thread right?

DS - 158,000
Nintendogs - 310,000
Advance Wars - 70,000
Yugioh - 45,000

Total Software Sales for the DS will be around 700k-750k. The spike in Hardware sales will increase the overall sales of the old games. So I wouldn't be surprised to see Kirby and Mario having big sales boost.

PSP - 185,000
Madden - 110,000
Burnout - 35,000

This was one of the months I saw the DS beating the PSP. But I don't think so. But the DS will have higher overall softwares sales as the PSP might sell 500k in software.

GCN - 75,000
Battalion Wars - 12,000
Mario Stadium Baseball - 90,000
WWE DOR2 - 65,000

PS2 - 243,000
Burnout - 70,000
Ultimate Spiderman - 110,000
X-men Legends 2 - 125,000

Xbox - 120,000
Burnout - 57,000
Xmen Legends 2 - 90,000
Ninja Gaiden Black - 110,000


Don't forget it's a 5 week month. Dates (Sun August 28th -> Sat October 1st)
 
It seems NOE just said they sold 500.000 copies of Nintendogs. Was it released in August in America?

FYI in France Nintendogs is sold out everywhere and is on top of almost all online reseller charts. We have a TV spot that is aired since last week, you may have not seen it: http://www.nintendo-europe.com/NOE/fr/FR/news/article.do?elementId=q8d3EvI3GNYGCLUMDxworF_-nlqtrZbE

Basically, it says "Daddy, can I have a dog?". Nothing special, but from these early figures, the dogs seem to bite as strongly as in Japan.
 
sonycowboy said:
Electronic Arts share for September was 30%, up 5% on the same period last year. Madden NFL 06 sold 550,000 units, on top of the 2.2 million units sold last month, compared with last September’s Madden NFL 2005 470,000 units.
So is that Madden simply doing a fair bit better than last year or is it the psp version pushing sales higher?
 
heidern said:
So is that Madden simply doing a fair bit better than last year or is it the psp version pushing sales higher?

c) Madden doing similar to last year, but the rest of the software doing ~20% worse than last year.
 
Energy concerns, an entire portion of the country ravaged by hurricanes along with a new console launch and people becoming bored with games probably are all contributing to a slowdown in US videogame sales.

Think about those hurricanes for a minute. There are thousands upon thousands (millions?) of consumers that simply weren't even thinking about videogames over the last month.
 
marc^o^ said:
It seems NOE just said they sold 500.000 copies of Nintendogs. Was it released in August in America?

FYI in France Nintendogs is sold out everywhere and is on top of almost all online reseller charts. We have a TV spot that is aired since last week, you may have not seen it: http://www.nintendo-europe.com/NOE/fr/FR/news/article.do?elementId=q8d3EvI3GNYGCLUMDxworF_-nlqtrZbE

Basically, it says "Daddy, can I have a dog?". Nothing special, but from these early figures, the dogs seem to bite as strongly as in Japan.

So much for the DS being dead in Europe.
 
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