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Forums - Sales Discussion - Global Hardware 28 March 2020

I don't know if it's really worth it to use air dropping. Canada said it could last till July and we aren't in a situation as bad as some other countries like the US. So, to me, i feel like they have the time to ship everything. China is doing better and will be able to produce in mass and the high demand will be taken care of in the coming weeks and months. Obviously they won't resolve super fast, but i think people can wait a little longer. And with more time they wait in quarantine, i think the more they are likely to buy the console.



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Just seeing these kind of numbers outside of the holiday season is pretty surreal.
Can't remember the last time we saw consecutive 500k+ weeks this time of year.



trunkswd said:
curl-6 said:
Just seeing these kind of numbers outside of the holiday season is pretty surreal.
Can't remember the last time we saw consecutive 500k+ weeks this time of year.

We haven't from what I can recall. But than again these aren't normal times. Animal Crossing came out at the perfect time. 

It's not my cup of tea but AC truly is the perfect type of game to release during a quarantine.



When the herd loses its way, the shepard must kill the bull that leads them astray.

xMetroid said:
The_Liquid_Laser said:

What makes you think that China is quickly recovering?

It has been reported multiple times for weeks. Apple said it was doing better end of February 

curl-6 said:
The_Liquid_Laser said:

What makes you think that China is quickly recovering?

Foxconn, who manufacture the Switch in China, said they expected to resume normal operations by the end of March:

https://www.theverge.com/2020/3/3/21162648/iphone-foxconn-coronavirus-manufacturing-normal-march

I have been following movie news.  China opened their movie theaters two weeks ago and then closed them down again last week.  I wouldn't be surprised if factories do something similar. 

https://www.hollywoodreporter.com/news/china-shuts-down-all-cinemas-again-1287040

China is pretty secretive about a lot of the details surrounding the pandemic.  I won't be sure production is back to normal until Japan is fully stocked with normal Switches again.



zorg1000 said:
trunkswd said:

We haven't from what I can recall. But than again these aren't normal times. Animal Crossing came out at the perfect time. 

It's not my cup of tea but AC truly is the perfect type of game to release during a quarantine.

Yeah it's not for me either but it's appeal during this difficult time is undeniable; a stress free life sim during a global pandemic where millions are stuck at home? The numbers speak for themselves.



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The_Liquid_Laser said:
xMetroid said:

It has been reported multiple times for weeks. Apple said it was doing better end of February 

curl-6 said:

Foxconn, who manufacture the Switch in China, said they expected to resume normal operations by the end of March:

https://www.theverge.com/2020/3/3/21162648/iphone-foxconn-coronavirus-manufacturing-normal-march

I have been following movie news.  China opened their movie theaters two weeks ago and then closed them down again last week.  I wouldn't be surprised if factories do something similar. 

https://www.hollywoodreporter.com/news/china-shuts-down-all-cinemas-again-1287040

China is pretty secretive about a lot of the details surrounding the pandemic.  I won't be sure production is back to normal until Japan is fully stocked with normal Switches again.

There is a difference between realizing some public places arent ready to be reopen and factories. They are also using technology to help. Maybe it's not full capacity yet but I'm sure at the correct production, the next shipments will help a lot.



trunkswd said:
SpokenTruth said:

I've been wondering if any platform holder would move to air dropping.  It's more expensive but we're seeing a spike in demand which may give them the incentive to pay it.  Then again, can they even air drop right now?  To be a market analysts right now...bump that.

Oil prices have dropped a lot and there isn't much demand for flying. It is possible it wouldn't be too expensive to do

Except, it is.

Much stuff that got transported by planes in the past was done so in the trunks on passenger planes, since luggage only fills those about halfway up.

But since those ain't flying anymore, cargo airlines now have to haul all that stuff plus their usual stuff and tons of medical supplies to boot. And that with reduced manpower due to Covid-19, so loading and unloading takes longer than usual. All this puts enormous pressure on cargo airlines who simply can't transport their dues plus all the extra in time, and thus their fares, which were already above those for freight in passenger planes, have gone up substantially.

We had an interview here in Luxembourg with the airport management and bosses of Cargolux and Luxair. Luxair was down 60% until mid-March, but Cargolux was already 20% up and got more and more orders as passenger airplanes got grounded, and were worrying that they couldn't carry all that stuff. Keep in mind that Cargolux is one of the biggest air cargo companies in the world (9th worldwide and biggest non-subsidiary cargo airline), but for cargo companies to reach that, they need much less panes than passenger airlines. So their 28 Boeing 747 cargo  are in constant demand, as they basically have to replace around a thousand passenger planes. 



trunkswd said:
Bofferbrauer2 said:

Except, it is.

Much stuff that got transported by planes in the past was done so in the trunks on passenger planes, since luggage only fills those about halfway up.

But since those ain't flying anymore, cargo airlines now have to haul all that stuff plus their usual stuff and tons of medical supplies to boot. And that with reduced manpower due to Covid-19, so loading and unloading takes longer than usual. All this puts enormous pressure on cargo airlines who simply can't transport their dues plus all the extra in time, and thus their fares, which were already above those for freight in passenger planes, have gone up substantially.

We had an interview here in Luxembourg with the airport management and bosses of Cargolux and Luxair. Luxair was down 60% until mid-March, but Cargolux was already 20% up and got more and more orders as passenger airplanes got grounded, and were worrying that they couldn't carry all that stuff. Keep in mind that Cargolux is one of the biggest air cargo companies in the world (9th worldwide and biggest non-subsidiary cargo airline), but for cargo companies to reach that, they need much less panes than passenger airlines. So their 28 Boeing 747 cargo  are in constant demand, as they basically have to replace around a thousand passenger planes. 

thank you for the explanation. I was just thinking since airlines were barely flying at all and the flights they are doing are mostly empty there would be plenty of room for cargo on them. 

They aren't flying, let's say it would cost to much to fly the aircraft without passengers and rely only on carrying stuff on the dock.

For regular aircrafts it is a synergy where you as passenger will cost less because a lot of the cargo space is sold to other companies transportation needs, and these companies also save money on their transporting costs compared to a cargo ship (and have more varied lines) because passengers pay for a lot of the cost while not using the whole cargo space (main reason why we have to pay extra for more luggage, it isn't just a matter of costing more fuel to transport your stuff, but also using space that would be used for other stuff).



duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"

http://gamrconnect.vgchartz.com/post.php?id=8808363

Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"

http://gamrconnect.vgchartz.com/post.php?id=9008994

Azzanation: "PS5 wouldn't sold out at launch without scalpers."



Benji says the Switch is currently selling at a "Peak Wii level" in the US for the last weeks of March and currently in April. He does expect shortage soon. So i guess Nintendo is doing restocks but the demand is just insanely high at this point. We got some restocks here in Canada this week. There must be some Switch coming from China's production in there i don't think the Vietnam production can allow them to sell Wii level. So apparently expect crazy numbers for Switch (and games) in March, mainly in the late weeks. And April is really strong too rn but could be balanced by shortage in the next weeks.



Apparently the Lites are running into shortages now.