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PlayStation VR sales are going over the company’s expectation

February 27, 2017

 

Executive Vice President at Sony Corporation, Andrew House, has announced to The New York Times last week that PlayStation VR sold around 915,000 units as of February 19th. The company’s goal initially was to reach one million units sold during the first six months, but those expectations were set very low, taking a look at the existing numbers.

 

The PSVR was released last fall, with all of its pre-orders constantly being sold out until its release date. Ever since then, the public have been going through some difficulties acquiring the full bundle, which comes with the Move controllers, camera, and headset.

 

During his interview with The New York Times, House mentions “You literally have people lining up outside stores when they know stock is being replenished.” This was the exact scene all over the major countries selling the PSVR such as Canada, Japan, and United States.

 

Last month, Japan had to come up with a raffle system in order to decide who would get the chance to purchase the bundles they had available in stock.

 

Moreover, all these results have taken the company by surprise. “We were expecting it to be a lot smaller than it has turned out to be,” said House in the interview.

 

All this surprise and high demand for the product could be worrisome for the company’s production line. However, according to Jim Ryan, who is the president and chief executive of Sony Computer Entertainment Europe, told CNBC last year “We know that the replenishment cycle is a good one, production is going exactly as we anticipated. We have made decisions to further increase capacity at the back end of 2016 and into 2017, so there are going to be a lot of PlayStation VRs around the world, whether that's enough to satisfy the demands of the market, we'll see." So we all know that even though the company is surprised, they have been preparing for a technological breakthrough ever since the launch date.

 

Currently, Sony’s biggest competitors in this new market of virtual reality are HTC’s Vive and Facebook’s Oculus. Although they have not released any sales figures yet, analysts at SuperData Research have estimated around 420,000 sales for the Vive and 243,000 for the Oculus. This means that PSVR would be leading the market ahead of both of those two competitors together. Why the huge difference? The price is much more affordable compared to its competitors and it is compatible with PS4 instead of making its users buy a stand-alone, expensive PC.

 

Sony’s PS4 sold over 5.3 million units during their first three months, which was before it even hit the markets in Japan. How much more of PS4’s sales are expected to go up from now?

Now let’s think on the big spectrum of the market. What does the VR expansion mean for the marketing world? Feel free to leave comments below!

 

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