landguy1 said:
Booh! said:
landguy1 said:
ethomaz said:
landguy1 said:
4k1x3r said:
landguy1 said:
The shipped number gap is irrelevent. Sony and Microsoft are not really interested in the shipped number, only the public. Sony and Microsoft, care about sell through. That is the only time that they will not see there product back
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Wait what... -_- It's really becoming ridiculous, now people are even inventing new things just to make their argument valid.
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Worrying about shipped #'s is a short term issue. Do think that they are worried how many are out of their warehouse? Yeah, if you thought that you were never going to sell them again. Sell through is more important because that determines whether they actually need to ramp up production or create better incentives for their resellers or the consumers. Like i said in my first post, having the units ship from their warehouse is a minimum expectation, not a big accomplishment.
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Sell through is more important for retailers/reselers... but for Microsoft/Sony/Nintente the sell in (shipped) is more important and the number showed to investidors and shareholders.
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Same thing as a response. The investors that they are trying to impress are not the one's that read their generic press releases. They are courting institutional investors, these investors control Hundreds of millions to billions. That kind of investor does not jump in and out of a stock. They look long term which would apply to sell through not shipped.
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Well, Sony numbers are sold units, not just shipped. Sold to retailers, that's it. Units that retailers paid to Sony: real money. It's a different case from (for example) Nintendo which in many countries sells to shipping companies, and then those shipping companies sell to retailers. Obviously investors like to know how long term sales fare, but that's why Sony (and many other companies) gives sales figures (that is planned sales to retailers). Sony plans to ship 2.8 millions units this quarter, that's alot, but investors think it's possible.
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I explained this earlier in this thread, not this set of comments though. Just beacause you have "Shipped" an item from your warehouse, that doesn't mean that it is paid for. Sure, if it is going to a really small customer, but not large customers(Best Buy/Target/Walmart/ToysRUs and maybe a Gamestop/Amazon). Large Customers will hold LARGE stock levels, due to the Manufacturer (SOny/M$/Nintendo) offering the right terms. Most of the time, these items have 30-90 days to be paid for. Also, they will have inducements included in that to make it easier for the reseller to sell them to the end customer(rebates/credits for selling them or advertising tie ins). So, if you think that just because they are shipped, that they are sold, your are off a bit. As far as investors go, i agree that they look to Sony/M$ for guidance for units shipped, but NPD wouldn't exist if they didn't really want more info than that...
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Sony counts shipped units and sold to retailers units separately. Those 6.3 millions units are not shipped units, they are sold to retailers units, that's why you're reasoning is wrong.
e.g. For Q4 2006, Sony reported 5.5 millions shipped units and 3.5 millions sold units.
