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Forums - Sales Discussion - Naughty Dog: NPD Covers Wal-Mart Sales!

Aion on 18 April 2010

Didn't they always?



 

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dolemit3 on 18 April 2010

NPD extrapolates to account for Wal-Mart numbers.



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Gilgamesh on 18 April 2010

Well Wal-Mart is by far the biggest seller for video games so thats good to know



Kasz216 on 18 April 2010
Gilgamesh said:

Well Wal-Mart is by far the biggest seller for video games so thats good to know

Except it's wrong... Naughty Dog just misunderstands what NPD does to get it's Wal-mart numbers.

Or what "Market coverage" means.


Market Coverage means what percentage of the actual data you have in sales tracking.

Not what percentage of the market your numbers represent.



astrosmash on 18 April 2010
Kasz216 said:
Gilgamesh said:

Well Wal-Mart is by far the biggest seller for video games so thats good to know

Except it's wrong... Naughty Dog just misunderstands what NPD does to get it's Wal-mart numbers.

Or what "Market coverage" means.


Market Coverage means what percentage of the actual data you have in sales tracking.

Not what percentage of the market your numbers represent.

 

Exactly, what Naughty Dog is doing is kind of like a strawman argument.



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nordlead on 18 April 2010

people, just read the post by me, and the one right after mine and you'll see what NPD does.

Make note of the phrase, "Consumer Tracking" as this is different than the other term they use which is "Retail Tracking".




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loadedstatement on 18 April 2010

I can't believe people have taken this and twisted it. First you need to realize that no company tracks 100% of the sales. Every tracking firm tracks a small percentage and estimates about the whole population. The bigger the sample, the more accurate your predictions are. NPD has stated they do not track Wal-Mart, meaning they do not get numbers from Wal-Mart anymore. BUT, they still account for them in their sales numbers when estimating about the population, of course, and always have.



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Viper1 on 18 April 2010
sega4life said:
bmmb1 said:
sega4life said:

Don't know why people say NPD always covered Wal*Mart/Sams Club, because thats not true.

Walmart has stated in the past they they do not report anything to anyone but certain government reports for obvious reasons.

Wal*Mart is the largest goods distributor in the world, if anything people would report to them... lol

I can not find the resent link on how Wal*Mart corp does not participate in NPD but...

I did find something from 2004 and Macromedia Market Research : Understanding NPD's Point of Sale Data

 

Although the bulk of the NPD data is raw data sent directly from the participating firms to
NPD, two large firms do not participate in the NPD survey: Wal-Mart and Sam’s Club.
Although the two retailers sell significant quantities of software, their lack of participation
in the NPD data collection effort is not as troubling from Macromedia’s perspective for
two reasons: (1) NPD incorporates estimates for Wal-Mart and Sam’s Club software
sales into the data set, and (2) the two retailers sell mostly consumer-level software titles
(Macromedia does not concentrate on the retail channel to sell its professional-level
software). Thus, because these firms sell little or no Macromedia software, even if the
estimates were removed from the data set, one is unlikely to see any significant change
in Macromedia sales.

 

Unless things have changed in recent years, NPD does not cover Wal*Mart/Sams Club

You misread what is written - "two large firms do not participate in the survey" doesn't mean that NPD numbers do not include numbers for Walmart and Sam's Club, just that these numbers are estimates.

In fact, just two lines later after what you bolded it says specifically "NPD incorporates estimates for Wal-Mart and Sam’s Club software sales into the data set"

Ya I found this

So Wal*Mart DOES Count in NPD

"NEW YORK, June 27, 2007 (Reuters) - Wal-Mart Stores Inc. (WMT.N) and research firm NPD Group announced an agreement on Wednesday in which NPD will provide the world's largest retailer and its Sam's Club unit with consumer tracking data."

This is NPD providing Walmart with data, not the other way around.



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Chairman-Mao on 18 April 2010

I just kind of thought that was a given. Why wouldn't they?



Viper1 on 18 April 2010

It's a decision by Wal-Mart. They used to provide NPD the data but several years ago (2003 or so) Wal-mart didn't renew their retail data contract with NPD and stated they'd no longer offer their sales data to tracking firms as a means to prevent vendors, product suppliers and competitors from gaining too much insight into the retailers business details.



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