PSVR Sales Decline Is Likely Due To A Lack Of Supply

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PS4 VR

PSVR launched to a lot of excitement and hype, however as the dust settles on Black Friday weekend, PSVR has ultimately turned out to be the biggest loser in retail. Many of us originally feared that VR would be just a gimmick and sales are now starting to suggest that the fad will indeed wear off.

Previously we had reported that research firm Superdata had forecasted PSVR to sell an estimated 2.6 million units by the end of the year, however it seems now they have revised this figure substantially with the forecasted figures sitting somewhere around the 750K mark. Interestingly enough PSVR demand has been at an all-time high with Amazon UK recently selling out and no stock expected until after Christmas. This raises the all-important question of if the demand is there, then why are the sales declining considerably, and that too in a matter of mere months. Well basic economics tells you that demand must be met by supply, and that is where the issue lies. With Sony instead focusing too push the PS4 Pro this holiday season , and offering nearly no PSVR first party deals. In many ways Sony has neglected PSVR’s marketing push , and with nearly next to no deals and a apparent lack of units at retail it is really no surprise that it has under performed to such an extent.

Despite its initial success with games such as Rez Infinite and Robinson the Journey Amongst others the PSVR would fade out over time, but nobody expected that the decline would start merely months after its launch. If anything many of us expected it to be a smash hit at least until the mid of 2017.  It reminds me of the time when Kinect and Wii were all the rage and only a few months later everyone had forgotten all about them.

 

A separate report by Juniper Research claims that virtual reality mediums will grow to $50 million by 2021.

This rapid growth will arise from a widespread adoption of VR by smartphone users, and the high unit prices commanded by headsets for PCs and consoles. The market will be triggered by the launch of PlayStation VR this October, and Microsoft’s Project Scorpio in 2017 – offering compatibility with the Oculus Rift.

“We expect 2017 to be the biggest year for console-based VR revenue growth, as there are several units coming into the market which are not feeling the impact of price competition. This means we will see a rise in [average selling price] across both 2017 and 2018 as the newer models come into the market, and only adjust to each other’s’ presence over the course of a year or two, insulated to a degree by ecosystem lock-in.”

 The future might not be as grim for the PSVR , that is if it receives the required marketing push that it deserves. It will be interesting to see how the consoles war heat up once Xbox Scorpio which is also touted to support VR comes into play

Let us know what do you think about PSVR’s fall from grace, and whether it can recover by commenting in the comments section below.

  • J.j. Barrington

    That’s not what anyone would call a decline in sales…

  • Jeremiah

    Someone’s a vr sceptic, vr isn’t going away, it’s not a fad and it’s best to get used to it. VR is already a big hit, just do the maths and it will only get bigger and better.

    • Brent

      VR will flop just like it’s predecessors.. the PSVR especially since $500-600 is still out of the range for most just to get started..

      Please don’t give me the prices will drop excuse.. when has Sony or Microsoft EVER dropped current console accessory prices?

      VR for gaming has the least likely chance to succeed

      • Jeremiah

        Yep, you’re definitely a skeptic. It may not be ready for the prime time just yet but then the same could be said for the first mobile phones that had a suitcase sized battery. Thankfully there are people with more foresight than you.

  • Ucouldntbemorewrong

    Was talking to Bestbuy guy this Weekend an said the biggest selling things for Black Friday was VR (specially PSVR) and ipads, said they were just handing them out hand over fist. PSVR was sold out, even the “not so good deal” base model.

    • Bobby Griffin

      Not in my city . They also must have WMD’S and ufos at this best buy.

      • Ucouldntbemorewrong

        UFOs…just out side of Boston Ma, USA not likely

  • Migi

    Like with motion controller there is always a lack of support and games which will most likely kill VR if there isen’t anything coming out that stands out and is more high budget.

  • Fear Monkey

    Sony can only sell what they can make, and they knew this which is why there hasnt been a marketing push on PSVR. Its doing well enough, this is not atech that people really get until they try it or have some exposure to VR. I didnt know how cool it was till I demoed it multiple times, its amazing, and makes the game experience come alive.

  • Bobby Griffin

    This is b.s at my walmart it’s like a stack of 8 plus and I seen a stack today at best buy. This is strictly damage control v.r is just not ready and the ps vr is a flop !!!!!