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Forums - Sales Discussion - PS5 Sales Top 28M, XS Tops 20M - Worldwide Hardware Estimates for Nov 27-Dec 3

DonFerrari said:
mjk45 said:

With the increased price for the PS5 they now retail for 549.00 euro / 479 pound the exchange rate equivalent of 582.00 US dollars and even before the increase they were retailing at 499 euro/ 525 US dollars so even before the price hike Sony were making $26.00 more than the $499.00 US retail.

Nope, not really. You are forgetting in USA the taxes comes at the purchase moment and isn't part of the 499 price, for Europe the price have the tax inside them.

Let's say UK/Euro tax is about 10%. So that means for the 525USD (499 euro) at the time of launch the equivalency would be 472.5 so Sony was making 27.5 less on the console sold in europe versus USA. The 582 USD (549 euro) would mean equivalency of 524 so 24 more profit. If the tax is higher than that, let's say 16% then it would be the same, any higher they would still be losing compared to USA. Then also if we consider different regions would have higher or lower SW attach ratio that could also impact the analysis.

Silly me. now that you have mentioned that  I feel Sony should send all their stock to Delaware Montana  Oregon and New Hampshire, states without sales tax and tell the public you want them come and get them free postage. conditions apply*   **read fine print  ***same again.  **** and again ***** and so on

*page 1,099 of the TOS. free postage Via  participating retailers in the aforementioned states.  **buyers beware be aware all purchases must include a second dual sense a Sony headset and PSVR2 *** all non console sales sold separately and not bundled with initial PS5 purchase **** There's an extreme likelihood of additional postage charges for all secondary purchases. *****under the TOS all decisions are final and the buyers is aware that upon purchase all legal entitlements are voided and if for some reason you challenge this TOS we have inserted a clause that makes you responsible for all our legal costs including extras like hiring limousines to attend the lower court and if it goes to the US Supreme Court our concern for the environment means rather than you adding to climate change by making us fly in on a private plane, we shall instead use our open invitation to fly on Airforce One because since it's regularly flying in and out of Washington anyway it wont be adding any more greenhouse gases than normal, but we aren't freeloaders so a sizeable hopefully tax deductable donation will be made and added to the legal bill along with all the expenses one naturally occurs making sure our Supreme court hosts are comfortable and in the best state of mind when it comes to decision making. btw to show that we are fair win or lose its all the same you pay.

Last edited by mjk45 - on 21 December 2022

Research shows Video games  help make you smarter, so why am I an idiot

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mjk45 said:
DonFerrari said:

Nope, not really. You are forgetting in USA the taxes comes at the purchase moment and isn't part of the 499 price, for Europe the price have the tax inside them.

Let's say UK/Euro tax is about 10%. So that means for the 525USD (499 euro) at the time of launch the equivalency would be 472.5 so Sony was making 27.5 less on the console sold in europe versus USA. The 582 USD (549 euro) would mean equivalency of 524 so 24 more profit. If the tax is higher than that, let's say 16% then it would be the same, any higher they would still be losing compared to USA. Then also if we consider different regions would have higher or lower SW attach ratio that could also impact the analysis.

Silly me. now that you have mentioned that  I feel Sony should send all their stock to Delaware Montana  Oregon and New Hampshire, states without sales tax and tell the public you want them come and get them free postage. conditions apply*   **read fine print  ***same again.  **** and again

* page 1,099 of the TOS. free postage Via  participating retailers in the aforementioned states.  buyers beware be aware **all purchases must include a second dual sense a Sony headset and PSVR2 *** sold separately and not bundled with initial PS5 purchase ****additional postage costs for all  secondary purchases.

As far as I know no matter where in USA you buy your HW the advertised price is before tax (in this case 499), so if the tax in that state is 0 or 50% wouldn't change the fact that this would be applied after fact, so in one state it would be 499.99 and in another 749.98 and Sony itself would be getting the same amount of money on the sale. In Europe the tax is already in the price so if they sell for the same price in 10 different countries and tax changes along them the amount Sony would receive would change accordingly.



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."

DonFerrari said:
mjk45 said:

Silly me. now that you have mentioned that  I feel Sony should send all their stock to Delaware Montana  Oregon and New Hampshire, states without sales tax and tell the public you want them come and get them free postage. conditions apply*   **read fine print  ***same again.  **** and again

* page 1,099 of the TOS. free postage Via  participating retailers in the aforementioned states.  buyers beware be aware **all purchases must include a second dual sense a Sony headset and PSVR2 *** sold separately and not bundled with initial PS5 purchase ****additional postage costs for all  secondary purchases.

As far as I know no matter where in USA you buy your HW the advertised price is before tax (in this case 499), so if the tax in that state is 0 or 50% wouldn't change the fact that this would be applied after fact, so in one state it would be 499.99 and in another 749.98 and Sony itself would be getting the same amount of money on the sale. In Europe the tax is already in the price so if they sell for the same price in 10 different countries and tax changes along them the amount Sony would receive would change accordingly.

Yes but in the end your bill will include tax of some degree depending on your state my mentioning of those four sales tax free states was me being facetious  and if you read all of the ridiculous TOS and contractual conditions I added you should have realised that.

PS go back and reread it since I may have been editing and adding to the TOS when you replied and its satirical  intent may be clearer.



Research shows Video games  help make you smarter, so why am I an idiot

Just noticed how weirdly close PS5 and Xbox Series are in Europe, that's the kind of gap you'd normally see in NA.
The reason why's obvious, but it's still funny to see.

The two are fairly close worldwide as well, much more so than the total sales ratio between the two. It's nice to have a more competitive generation.



mjk45 said:
DonFerrari said:

As far as I know no matter where in USA you buy your HW the advertised price is before tax (in this case 499), so if the tax in that state is 0 or 50% wouldn't change the fact that this would be applied after fact, so in one state it would be 499.99 and in another 749.98 and Sony itself would be getting the same amount of money on the sale. In Europe the tax is already in the price so if they sell for the same price in 10 different countries and tax changes along them the amount Sony would receive would change accordingly.

Yes but in the end your bill will include tax of some degree depending on your state my mentioning of those four sales tax free states was me being facetious  and if you read all of the ridiculous TOS and contractual conditions I added you should have realised that.

PS go back and reread it since I may have been editing and adding to the TOS when you replied and its satirical  intent may be clearer.

I saw your satirical intent. I was explaining why SONY was chosing to send to USA instead of europe even if the exchange ratio price would make the price in Europe higher than USA.



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."

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Microsoft shared the 2021 marketshare for Nintendo, Sony, and Microsoft. Our estimates are within about a few percent or less for each, but I am going to do minor tweaks.



VGChartz Sales Analyst and Writer - William D'Angelo - I stream on Twitch and have my own YouTubeFollow me on Twitter @TrunksWD.

Writer of the Sales Comparison | Weekly Hardware Breakdown Top 10 | Weekly Sales Analysis | Marketshare Features, as well as daily news on the Video Game Industry.

DonFerrari said:
mjk45 said:

Yes but in the end your bill will include tax of some degree depending on your state my mentioning of those four sales tax free states was me being facetious  and if you read all of the ridiculous TOS and contractual conditions I added you should have realised that.

PS go back and reread it since I may have been editing and adding to the TOS when you replied and its satirical  intent may be clearer.

I saw your satirical intent. I was explaining why SONY was chosing to send to USA instead of europe even if the exchange ratio price would make the price in Europe higher than USA.

Most of Europe has a 20 to 25 percent tax rate and the euro is worth around 1,05 dollars. So PlayStation still earns about 35 to 50 dollar more from a unit seld in USA. After all a PS5 sold in Europe bets Sony with the increased price around 430 euro, or around 450 dollar. So yeah selling more in the US always make sense especially when you are losing money per console sold due to higher resource prices or greed.



Please excuse my (probally) poor grammar

PS5 sales almost 3 times as high in NA, as in EU?

Wow.... thats unexpected.



trunkswd said:

Microsoft shared the 2021 marketshare for Nintendo, Sony, and Microsoft. Our estimates are within about a few percent or less for each, but I am going to do minor tweaks.

Didn't that report claim that Series X/S got 2:1 by the PS5 last year? IIRC, I don't think VGC numbers reflected that. I could be wrong though lol.



PotentHerbs said:
trunkswd said:

Microsoft shared the 2021 marketshare for Nintendo, Sony, and Microsoft. Our estimates are within about a few percent or less for each, but I am going to do minor tweaks.

Didn't that report claim that Series X/S got 2:1 by the PS5 last year? IIRC, I don't think VGC numbers reflected that. I could be wrong though lol.

This report for 2021 includes Switch, PS5, PS4, Xbox Series and Xbox One. So Sony data is PS4 and PS5 added together and Microsoft is Xbox One and Xbox Series added together. I did some tweaks yesterday to our estimates. Switch and Xbox went from about 2 percent off to now more like 1 percent. And Sony from 3 to about 2 percent. I'll do more adjustments in the new year. But overall they wouldn't be anything big. 

One of the big changes was moving a lot of Xbox One sales for 2021 to 2020. Microsoft gave us combined lifetime Xbox Series and Xbox One sales (or shipped as they didn't state which one) so our sell through for Xbox One should be pretty close. 



VGChartz Sales Analyst and Writer - William D'Angelo - I stream on Twitch and have my own YouTubeFollow me on Twitter @TrunksWD.

Writer of the Sales Comparison | Weekly Hardware Breakdown Top 10 | Weekly Sales Analysis | Marketshare Features, as well as daily news on the Video Game Industry.