There was a report on Yahoo that said it was one of the top 5 most over rated Xmas toys.
They recommended getting eye of judgement instead.
I dont think its a flop however. It was never going to be a hit in the first place. Its a niche product that will sell about 0.5 to 1 mil LT.
From memory one of the review comments was "Gets old really fast, maybe eyepets are just for Christmas !"