When I was working in a games shop a while ago,ps2's used to come in at about 75 pounds in bulk order and nearer 100 pounds in smaller orders,that was a little while ago now mind.
There isn't much made on them... something like £20-30 a console, if you're lucky. Maybe less nowadays.
So game stores obviously make their cash from the mark up on games then, I assume... Anyone know what the profit margin is on software?
Better markup, but again not as much as you might think. The best markup is usually in the budget games. Those games that go for £4.99 only cost something like £2 (think it is actually a little more, but you get my point... 100% profit).
Shops make quite a lot of money on sale items belive it or not. When I was head ofthe Software Dep' in HMV we would get Saturn games for something like 5 pound and sell them for anything up to 15 pounds. To the public they were still getting a great deal since 15 pound is less than half of what a game would normally cost. New released titles normally have a 10 pound mark up on them or at leastthe did back in 1997. Yakumo
working in retail, most places in the use asell them at 1-3% if even zero profit, just because all of the accessories = $$ they make maybe $5-7 a game, but a $20 controller they get from china equals a $15-17 profit.
I know some poeple who work at gameshops, and consoles have zero profit on them they just break even. Games usually have arround 4-5% on them and like assembler said it's the things like controllers and memory cards that make the money as well as the sales items.
New PS2 games (£39.99) had trade prices of between £24 and £29 (usually somewhere in the middle though) £19.99 games are around £12 The trade prices are without VAT so take 17.5% off the sale prices fo how much profit the shops make. That was a couple of years ago but when I spoke to a friend he says thats about right for now, maybe very slightly less on average. A new example taken from the official Sony distributor is Second Sight £24.84 each (any format) but if you buy 10 you get one free. I cant remember about GC and XBox but I have some trade magazines here and may be able to get some prices, but from what I remember very few prices are quoted in those magazines. Third Party accessories are very cheap usually. From what I remember a £4.99 PSOne memory card cost under a pound and a £14.99 Lightgun was a few pounds. But the reliability of a lot of these products was not good and would end up sitting on returns piles ha ha. Cheap PC software (i.e £4.99) is usually under a pound at trade. Can't remember the mark up on consoles.
You guys don't remember Sony taking shit for their JPN PS2 release? Retails shops made like 1000 yen or so on each PS2 sold, and had their stores ransacked by geeks for it.
They are obviously getting ripped off by their supplier as we could find Ps2's ver cheaply and make a markup of 50 pounds on consoles and more if we were ordering more.These suppliers were not the usual big ones though and they have an aura of dodginess about them hehe, still look and you will find, and all warranty's were honoured by Sony.
