Xbox One at $499: “the price is too high”, says economist
Mohammed has worked as a pricing analyst for some 21 years and is author of a book called The Art of Pricing. If there’s one thing he appears to know, it’s how to price a product successfully.
Speaking with Bloomberg TV, Mohammed said of Xbox One, “You want to get that console in consumers’ hands, and then where you really make the money is off of the games.
“So it was really surprising that they charged such a premium, especially when they had a lot of negatives…like the very restrictive DRM, which they did retract from. One of the key things is that they really listened to their consumers and they did backtrack and they reduced the price, but I still think the price is too high. So it’s still a $100 premium.”
Despite the $499 asking price, Microsoft’s Don Mattrick has recently suggested that Xbox One over-delivers on value, and offers thousands of dollars worth of content and features. We’re still not sure what ‘over-delivering on value’ means exactly.
Posted:
Related Forum: Xbox Forum
Source: http://www.vg247.com/2013/06/24/xbox-one-at-499-the-price-is-too-high-says-economist/
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Comments
S14Posted:
CHP My opinion. get over the price, if you cant afford it, dont buy it.
Thats exactly what i thought.
AdamuPosted:
dawRecline Yeah the price is kind of ridiculous. For that price it should include 2 games of your choice and a year free of xbox live.
Wasn't there a rumor that you get a free year of live ?
I think there was.
CyimkingPosted:
MW2-RushPaneScuf_KontrolPanetheprice is not that espensive for a consoleAggie Thank you economist. Maybe this will bring some sense into Microsoft.
Yah Maybe But More Than Likely Not. :(
Yah I Know I'm Saying It Would Be Nice If They Would Drop It A Little Even Tho It's A Fair Price Cause I Have Other Stuff To Buy And I Don't Have A Jub. Cause I'm Only 14
I know what you mean, I am to young to get a job, so 500$, is a bit too much.
They need to lower the price. Most gamers are not able to pay $500 for a new console. Then pay $60 more for games. Additionally, parents aren't going to pay 560 for a console while they can pay $100 less for a ps4.
-LivePosted:
dawRecline Yeah the price is kind of ridiculous. For that price it should include 2 games of your choice and a year free of xbox live.
Wasn't there a rumor that you get a free year of live ?
You do with the Day One edition which I think is already sold out, Not sure....
Fuzzeh_XPosted:
Method_Man Why didn't this so called "Economist" say anything about the 600 dollar PS3 price when it first came out?
Wow your an idiot, are you serious the PS3 is out and done with now and isn't that price anymore the Xbox is a ridiculous price and that's something people do have to worry about now.
DawPosted:
Recline Yeah the price is kind of ridiculous. For that price it should include 2 games of your choice and a year free of xbox live.
Wasn't there a rumor that you get a free year of live ?
HKMPosted:
Yeah the price is kind of ridiculous. For that price it should include 2 games of your choice and a year free of xbox live.
Method_ManPosted:
Why didn't this so called "Economist" say anything about the 600 dollar PS3 price when it first came out?
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