papflesje on 19 December 2009
| Cypher1980 said: I believe the margins are quite good on 360 and Wii or at least comparitively so. Essentially the PS3 is sold at a very low mark up due to its cost to manufacture. So a store can cut 20 percent off the Xbox and Wii and still make a tiny bit of cash or nearly break even. Cut 20 percent off PS3 and you are trading at a loss. It does still happen but it will be as a loss leader. |
That's suggesting that retail takes huge amounts on a console. I thought it was said that on average consoles earn a few dollars each for a retailer. I doubt retailers get up to 20% of a console and can still make money by cutting that 20, that would be insane.
