ToysRUs cancels Kinect preorders that used 40% coupon

[haxxiy]

Icyedge said:

kowenicki said:

Porcupine_I said:

this looks like the is not much of a margin for retailers in kinect

how so?

They are loosing enough money to justify cancelling the orders of their customers, which mean they have a low margin on it. Low margin is common pratice in video games anyway.

Yeah, I think you are right. MS most likely expects to make the bigger part of profits out from the extras - accessories and games. Much like Apple sells iPods at very low margin and make up for it on headphones etc.