Super Tycoon
Chapter 245 Sega starts a price war
Buzz~~
Several students around looked over, Zhang Yang quickly pressed his phone, and then slipped out through the back door.
"Hello? Didn't I tell you not to call at this time?" Zhang Yang's tone was very bad. He was listening to a class, and he had a professional course on management in his sophomore year, which he really wanted to learn.
"Mr. Zhang, I know, but there is an emergency." Sun Tengfei's anxious voice came from the phone.
"What, something happened in the factory?" Zhang Yang frowned.
"It's not our side, but Sega's side. Their Saturn has suddenly dropped significantly!"
Ok?
Zhang Yang froze for a moment, it was indeed too sudden.
There are generally two situations for a game console to drop in price significantly. The first is that this game console is about to be eliminated, and it will be cleared at a low price. The other is that there is a problem with the game console, or there is a problem with the game company, and it needs to be sold quickly to avoid smashing it.
If Nintendo's N64 is launched next year, 3D games will become popular at that time, and other companies' 2D game consoles will inevitably sell at a lower price in order to compete for the market.
But it will take a long time for Nintendo's game console to be launched. Isn't it too early to cut prices at this time? In particular, Sega's Saturn has not been on the market for a long time, and even the versions in some regions have just been launched, and the price is reduced at this time, what is the plan?
"Is there any bad news from Sega?"
"It's because they didn't, that's why we're a little uncertain about Sega's intentions. Sega's game consoles are selling well, and sales are still growing. Now they are vigorously expanding the European market, but suddenly they lowered prices in the island countries and the American market." Sun Tengfei I am also puzzled.
"Other game companies, is there any news?"
"I haven't found it yet. But the sales of Sega's game consoles have begun to grow rapidly. I heard that there are many players queuing up to buy Sega's Saturn game consoles in the American and Japanese markets. big impact."
Originally according to the company's plan, the sales volume of Zhiduxing G has exceeded 3 million units. Coupled with the development of the European market and the development of new game controllers, they may be able to sell them before the launch of Nintendo's new game console next year. Close to five million units.
After all, as the brand awareness of Zhiduxing is getting higher and higher, and there are more and more fun games, there must be more and more people who like their game consoles.
But now that Sega is doing this all of a sudden, the market must be in chaos.
"How much has the price of Sega's game consoles been adjusted?"
"34,800 yen, 10,000 yen lower than before!"
Such a large reduction shows Sega's ambition. Zhang Yang suddenly thought of a situation. He remembered that Sega seemed to have launched a new handheld this year in his previous life.
Sega thought it was time to challenge Nintendo’s dominance of handheld consoles, so it launched a new handheld console with great ambitions, but naturally it failed again, and the reason for the failure was the same as before. The battery life of the color screen was too poor. Remember to hit.
And for the production and release of the new handheld, Sega must prepare a large amount of funds, so now is it for the quick return of funds?
If that's the case, then it's time to fight.
"How much has the production cost of Zhiduoxing G been reduced to?" Zhang Yang asked.
"It's about 18,000 yen, but we also need to consider the commission of the agency company, so our actual cost will definitely increase, and if we count the retailer's profit, we can reduce it to about 30,000 yen at the lowest, and then lower There is really no profit, and there will be complaints from the agent.”
The difference between Zhiduoxing and Sunny and other companies is that they do not have their own directly-operated stores and must sell through agents and retailers, so they must leave sufficient profits for the other party, otherwise, why should the other party sell your products?
"Can the cost still be reduced? Can our production efficiency continue to improve?" Zhang Yang asked.
"It also improves efficiency,
Keep costs down, but not by much. If we change the agent next year and hand it over to Huadao Spirit Company to act as the sales agent for the island country, and find another agent in other markets, the cost of Wanxin Company will be reduced, and our selling price will definitely be reduced by a large amount again. "
"Well, let's announce that the retail price of our Zhiduxing G has been reduced to 29,800 yen, which is cheaper than Sega's. Isn't it just a price war, we need to be afraid?"
In the price war, the fight is about the cost and the financial strength of the company. But no matter how you do it, you can’t sell it at a loss, otherwise it’s easy to be caught by the other party and accuse you of dumping or something.
Of course, if you sell at a loss and the sales are mediocre, you won't be charged, but the result is even worse.
Anyway, the profit of selling game consoles is not high in the first place, so there is no problem with this part, and you can earn back by selling games. The more game consoles you sell, the better the game will be.
It is through this strategy that Nintendo has become the industry leader. Those in the 3DO camp like Songxia didn't understand this, which made the game consoles they jointly developed sell poorly and didn't make much money at the same time.
On the first day of Sega’s price reduction, sales went up against the trend. On the second day, Zhiduoxing announced that the price of their Zhiduoxing G has also begun to drop across the board. The reason is that the cost of electronic components has decreased and production efficiency has increased. In order to give back to the majority of gamers .
Now, other game console manufacturers can't sit still, none of them want to lose in the competition of 32-bit machines. But everyone was making good money and guaranteed a certain profit, but Sega started a price war, so who would dare.
Subsequently, companies such as NEC, Sunny, Songxia, etc. expressed that their company's new 32-bit game consoles had cut prices, and some companies even lowered the price of 16-bit game consoles, just to grab the market.
All of a sudden, the sales of game consoles around the world have grown rapidly again, catching up with the golden sales period of the summer vacation, and the industry as a whole has become more prosperous.
In the middle, there are some discordant voices, such as Atari, NEC, etc. Even if they lowered the price, no one bought it.
Atari is already filing for bankruptcy and liquidation, and shareholders have contacted several companies with plans to sell them as a whole. If operated by professionals, they can still get rid of some debts and magnify the value of some assets.
NEC is completely disappointed in the game market. After they lowered the price, they still can't sell it. On 16-bit game consoles, they were able to wrestle with Nintendo SFC and Sega MD. This time, they are so thorough. Could it be that the sales volume cannot even reach 100,000 units?
There are also some companies that are planning to launch their own game consoles at the end of this year or early next year, but they are dumbfounded when they see the overall price of the game consoles drop.
At this price, they have to lose money. If you continue to do it, you may lose money. If you don’t do it, the previous investment will definitely be lost.
So these companies all hated Sega, which was the first to announce a price cut. At this time, Nintendo is sitting on the mountain and watching the tigers fight!
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