PS2 Retailer Squeeze Play

From the DC Tech Pages, Dural received this letter from an industry insider, and we want to share it with you:

As I was going through our computers at work the other day, I noticed orders have been placed for several Playstation 2 games. What struck me odd was the number of pieces that were being ordered per title. In light of the recent shortages of PS2 Hardware, I found it odd on how stores that are to receive 20 systems are getting 60-80 copies of some of the games.

What really stuck a nerve for me was the amount of retailer support that people are throwing to Sony and the PS2. For example, Ready 2 Rumble Round 2 have double the quantity ordered over the Dreamcast version.

As many of you know, the DC has over 3 million users in North America, while the PS2 at best will have 1.25 million if Sony is able to ship and sell that many.

Another example is Dead or Alive 2. On average at a particular retailer each store received 4-8 copies of the game for the Dreamcast. The PS2 version on average will be shipping 24-48 copies per store. Again, the question about the amount of userbase comes up.

What is bad about this is that 3rd party companies are already receiving more orders for a system that will have half if not less users than on the DC. What scares me and others is that 3rd parties are not going to have a compelling reason to develop for the DC. Why spend the resources to make a game for the DC if retailers are ordering 4 per store, when you can make it for the PS2 and have retailers ordering 20 copies per store. Regardless of the user base, the PS2 at this time (even before release) is being supported much better than a system that has a 3 million+ user base.

Games like Fantavision have orders that exceed orders of Jet Grind Radio and Quake 3 combined. A freakin puzzle game has more quantities on order than two high profile, high quality DC games.

Many believe that EA will eat crow because of the lack of support for the DC, but if would of seen the orders for ALL EA games, then I would suggest you invest in EA Stock NOW… Madden 2001 has basically double the orders of NFL2K1. SSX has one and a half the orders that was shipped for NFL2K1. Here is another odd one, Madden on PS2 has 1 1/2 the orders than Madden on PS1 did. We all know the userbase of the PS1, yet the PS2 version of the game has a much larger order with (zero) users at this time. Do you think EA is worried about anything with the retail support they are getting? Hell, any 3rd party making games for the PS2 will do very well if retailers are ordering the quantities that they are.

The one thing that could happen though, would be that these titles will not sell or that retailers will not have to order any additional copies since the number of hardware units are less than expected. It can also be assumed at a certain way that these initial orders are basically the only orders unless a certain title sells very well. If the game does not sell, then the next game by that company may see less quantity ordered. For know though, the PS2 is getting all the support it needs and the 3rd parties are probably pretty happy right about now.

We’re two weeks away from the PS2 launch; it will be interesting to see what happens to say the least.