| Seece said: Can't they even sell those 1.4m Udraws at a marked down price? I'm sure they'd at least shift them at 10 bucks a pop ... |
They made $20million less than expected already from marking down the price. Often the thing was selling at $30 below what it launched at. So no idea how much less THQ were selling them for. Having a quick look at amazon and it's $47 down from $70 on the Wii and $45 down from $80! on the 360 and PS3. So I guess technically they probably could shift them at $10-20 a go but even then shifting through an extra 1.4million?
Whoever decided to put Udraw on the hd consoles and produce so many should be fired asap. Seriously they have 1.4million in left over stock, then whatever they sold then the stuff they managed to shift at a knock down price. So basically they had bare minimum 1.5million for launch and in all liklihood more in the 1.8-2million range. For a casual family orientated device. Were they expecting over a million pre-orders?! Surely they knew it would be a slow burning product.
They should have had a very slow launch maybe just 300k total across all platforms first week with the possibility to have an extra few hundred thousand over the christmas season if sales totally sky rocketed.
My guess is there was a pretty hefty reduction in price for producing such a large batch and they thought ''Hey even if they don't all sell quickly they will sell eventually and it stops us having to do more expensive production''
The truly ridiculous thing is that the udraw could result in the entire end of THQ. They had losses of $56million for the quarter. I wonder if that could actually have been a small profit had it not been for udraw. A small profit would go someway to helping them with the delisting problem, whereas a $56million loss isn't going to help at all.
