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Hot!TECH companies failures to sell it's products effectively....

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aka_STEVE_b
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2020/09/24 11:48:37 (permalink)
Very good article detailing the questions we all have , about Big Tech not figuring out how to sell their products effectively....
 
https://www.theverge.com/21451144/sony-ps5-preorder-microsoft-xbox-series-x-nvidia-rtx-3080-mess
 
The gaming industry keeps failing miserably at selling its most important products

Why is it so hard to place an order for a next-gen console or new Nvidia graphics card?

 
Why, in the year 2020, are companies as large, experienced, and well-funded as Microsoft, Sony, and Nvidia still failing at preorders? It’s an especially puzzling question when companies like Apple, Samsung, and even Facebook-owned Oculus seem to have figured out how to properly manage expectations and sell a new in-demand device without turning it into a stress-inducing scramble.

 
----------
 
10/2/2020
 
another article  - https://www.gamesindustry.biz/articles/2020-10-02-hardware-launches-and-pre-orders-desperately-need-a-shake-up-opinion
 
post edited by aka_STEVE_b - 2020/10/02 16:30:27

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    kougar
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/24 19:12:46 (permalink)
    Poor corporate decision making. They decided the current situation is worth minimizing leaks and "launching first", even if it's a paper launch and people will be unable to buy product even after competitors launch their own product. We may see AMD 6000's on the shelf before the 3080's at this rate. Product scarcity creates a different environment today than it did in the 1990's but corporate decision making mentality is still focused on pushing the timetable envelope beyond the realistic. 
     
    Just-in-time inventories is nothing new, yet companies have been launching product with smaller and smaller existing launch day supply, and for most of the last decade this translates into paper launches. It will be ironic if AMD's 6000 cards hard launch and people can buy those when the 3080 remains unavailable, but at the end of the day the management at NVIDIA won't learn anything despite gifting AMD a perfect storm of launch conditions for its competing product. I doubt NVIDIA even cares anymore about the sheer amount of flack and burned goodwill its AIBs are suffering right now, let alone ire generated against its own brand. People won't be able to buy 3080s for months, so would delaying the launch a single month to build some inventory first have truly hurt anything? In their rationalization doing so was worse than the resulting mess we're seeing now. It's worth noting that by NVIDIA's own admission internal predictions indicated the 3000 launch would break records, but NVIDIA decided it still wasn't worth building inventory up for ahead of time. 


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    #2
    gabolton
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/24 20:04:21 (permalink)
    CascadingStyleSheets
    never wanted to spend so much money this badly



    What he said.

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    #3
    aka_STEVE_b
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/25 04:21:31 (permalink)
    Some companies can figure it out and retain brand loyalty , ... and others just keep hitting the wall with their head over and over again.

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    #4
    Mandalorian1977
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/26 00:33:29 (permalink)
    They're too caught up in trying to generate hype. 
    #5
    guitarwar241
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/26 00:45:41 (permalink)
    Yeah, it's been a mess man. 
    #6
    schweibreezy
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/26 14:56:44 (permalink)
    all hype, no production, no sales, stock crashes, everyone cries, next armageddon!
    #7
    guitarwar241
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/26 15:16:31 (permalink)
    schweibreezy
    all hype, no production, no sales, stock crashes, everyone cries, next armageddon!


    No kidding! NVIDIA turned this into a huge hype train and they haven't even been close to meeting the  "unprecedented" demand. Just lol
    #8
    gterry180
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/26 15:22:54 (permalink)
    I don't understand marketing, but I do like transparency.
    #9
    wedansti
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/26 15:48:57 (permalink)
    gterry180
    I don't understand marketing, but I do like transparency.


    EVGA's transparency and customer interaction so far has been incredible.
    #10
    adaemus
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/26 15:53:36 (permalink)
    gabolton
    CascadingStyleSheets
    never wanted to spend so much money this badly



    What he said.


    I third this!
    #11
    adaemus
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/26 15:55:06 (permalink)
    wedansti
    gterry180
    I don't understand marketing, but I do like transparency.


    EVGA's transparency and customer interaction so far has been incredible.


    I agree but it is a two edged sword.  Everyone and their mother is hammering the F5 key when EVGA says a drop is coming.
    #12
    wedansti
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/26 16:01:47 (permalink)
    adaemus
    wedansti
    gterry180
    I don't understand marketing, but I do like transparency.


    EVGA's transparency and customer interaction so far has been incredible.


    I agree but it is a two edged sword.  Everyone and their mother is hammering the F5 key when EVGA says a drop is coming.


    I don't see that as a bad thing.  It may make my getting a card more difficult, but also helps to take away from scalpers and bots.  The more legit customers are trying to hammer through the sales process, the more chances of one of them getting an item.  The more that get cards from first party sellers like EVGA or Nvidia, the less demand will be around for scalpers to exploit, the less they try, the more cards get into the hands of consumers on the next drop.  It may mean I don't get a 3080 until November or December, but at least we all get to know when they come, instead of just the bots automatically trying to check out without any competition.
    #13
    aka_STEVE_b
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    Re: TECH companies failures to sell it's products effectively.... 2020/09/28 12:24:30 (permalink)
    The lack of preorders of some kind ,  after the bots have been grabbing up most all cards since launch , is still mind boggling to me.

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    #14
    nosoul05
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/02 07:16:27 (permalink)
    Agreed pre-orders would help ppl get them stopping bots from buying them all.

    Does limiting to 1 per household also help against bots or are they using different addresses?
    #15
    GTXJackBauer
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/02 09:34:46 (permalink)
    Who said the scalping bots wouldn't sign up for pre-orders plus it seems, I don't think EVGA can call the shots on pre-orders and do whatever they want to do.  Apparently it's the man with the leather jacket that calls the shots.

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    #16
    aka_STEVE_b
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/02 11:08:44 (permalink)
    GTXJackBauer
    I don't think EVGA can call the shots on pre-orders and do whatever they want to do.  Apparently it's the man with the leather jacket that calls the shots.



    Yeah, the guy who has been MIA in explaining why the cards he's been pimping about are barely in production or available anywhere  ....

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    #17
    itsangelo
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/02 11:17:15 (permalink)
    nosoul05
    Agreed pre-orders would help ppl get them stopping bots from buying them all.

    Does limiting to 1 per household also help against bots or are they using different addresses?

    I agree on this. If preorder happened, they would know the exact number of people that will want it for production. Even though it may take longer than expected, everyone that wants it will have one guaranteed. This also helps the scalper problems that we currently have right now.
    #18
    Mithrandir8
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/02 11:53:10 (permalink)
    kougar
    People won't be able to buy 3080s for months, so would delaying the launch a single month to build some inventory first have truly hurt anything? In their rationalization doing so was worse than the resulting mess we're seeing now. It's worth noting that by NVIDIA's own admission internal predictions indicated the 3000 launch would break records, but NVIDIA decided it still wasn't worth building inventory up for ahead of time. 


    With Nvidia's delay for the 3070 launch it's clear that they don't really care if their cards sell out immediately. 2 extra weeks of inventory will be quite small in comparison to total demand, yet Nvidia gets to pat themselves on the back for doing the 'right thing'.
     
    From a lean manufacturing perspective it doesn't make sense to sit on all this inventory, but I wonder if the improved cash flow is really worth the harm to their brand. I don't expect AMD to be in a better position for their launch, but we'll just have to wait and see on that.
    #19
    aka_STEVE_b
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/02 16:28:17 (permalink)
    I will update my top post with a link to this new article  - also detailing how things need to change.
     
    https://www.gamesindustry.biz/articles/2020-10-02-hardware-launches-and-pre-orders-desperately-need-a-shake-up-opinion
     
     
    The way in which availability was handled has revealed massive and growing problems in how the industry handles these launches

    Not only is this situation not inevitable, it's also completely avoidable

     
     
    since the decision to allow scalpers to resell pre-orders at higher prices is pretty clearly an overt and deliberate policy choice. Why wouldn't Amazon decide to double-dip in that manner, knowing that most of the backlash would be focused on the manufacturers? Why would any retailer go out of their way to make the launch process more equitable and smooth, when consumer anger is going to strike at Sony, Microsoft and Nvidia in the end anyway?

    Not only is this situation not inevitable, and not a mere repeat of the decades-old pattern of hardware launch sales, it's also completely avoidable. The internet has made these launches into a total disaster, a magnet for scalpers and a significant pain point for the industry's most enthusiastic and high-spending consumers. But it doesn't have to be this way, because the internet also offers us better ways of doing this.

    post edited by aka_STEVE_b - 2020/10/02 16:31:48

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    #20
    Caffeinated_Sarcasm
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/03 07:48:40 (permalink)
    aka_STEVE_b
    I will update my top post with a link to this new article  - also detailing how things need to change.
     
    https://www.gamesindustry.biz/articles/2020-10-02-hardware-launches-and-pre-orders-desperately-need-a-shake-up-opinion
     
     
    The way in which availability was handled has revealed massive and growing problems in how the industry handles these launches

    Not only is this situation not inevitable, it's also completely avoidable

     
     
    since the decision to allow scalpers to resell pre-orders at higher prices is pretty clearly an overt and deliberate policy choice. Why wouldn't Amazon decide to double-dip in that manner, knowing that most of the backlash would be focused on the manufacturers? Why would any retailer go out of their way to make the launch process more equitable and smooth, when consumer anger is going to strike at Sony, Microsoft and Nvidia in the end anyway?

    Not only is this situation not inevitable, and not a mere repeat of the decades-old pattern of hardware launch sales, it's also completely avoidable. The internet has made these launches into a total disaster, a magnet for scalpers and a significant pain point for the industry's most enthusiastic and high-spending consumers. But it doesn't have to be this way, because the internet also offers us better ways of doing this.





     
    Isn't that basically what most of us have been saying for weeks now?

    10G-P5-3897-KR     9/26/2020 9:26:35 AM PT    No
    10G-P5-3895-KR     9/26/2020 9:26:29 AM PT    No
    10G-P5-3885-KR     9/17/2020 7:47:06 PM PT    No
    #21
    aka_STEVE_b
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/03 14:25:10 (permalink)
    Caffeinated_Sarcasm
    Isn't that basically what most of us have been saying for weeks now?



    YEP, it just feels good to know we're not the only people saying & noticing these things... 

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    #22
    kougar
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/03 17:45:25 (permalink)
    Yeah, there's no shortage of tech articles pointing out all the obvious issues and shortsightedness with NVIDIA's launch tactics. But I don't see them changing either. This is the same company that was so paranoid about leaks that it sent an app-specific driver to AIBs to test with, then sent full drivers to the press before its AIBs. Like really, it's no wonder so many AIBs had to change designs last minute (even though NVIDIA itself approved all the original AIB designs).


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    John1019
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/03 18:51:00 (permalink)
    I wonder if they decided that launching early with insufficient stock was better than competing with the consoles, Zen 3, and RDNA 2 launches. Even if they didn't sell a bunch of cards last month they got millions in free advertising building brand awareness. Every tech influencer on Youtube is releasing incessant 30 series content. They wouldn't have gotten so much coverage if people were also reviewing consoles and AMD hardware. The scarcity also adds to their perceived value in most consumers' minds. So while we may all be salty, they may have decided the short-term anger was an acceptable cost for the positives of an early launch with insufficient stock. 
    #24
    Caffeinated_Sarcasm
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/03 18:56:50 (permalink)
    John1019
    I wonder if they decided that launching early with insufficient stock was better than competing with the consoles, Zen 3, and RDNA 2 launches. Even if they didn't sell a bunch of cards last month they got millions in free advertising building brand awareness. Every tech influencer on Youtube is releasing incessant 30 series content. They wouldn't have gotten so much coverage if people were also reviewing consoles and AMD hardware. The scarcity also adds to their perceived value in most consumers' minds. So while we may all be salty, they may have decided the short-term anger was an acceptable cost for the positives of an early launch with insufficient stock. 




    There's also a psychological aspect to it. Generally, if you tell people they can't have something, they want it even more.

    10G-P5-3897-KR     9/26/2020 9:26:35 AM PT    No
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    #25
    aman4672
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/03 21:44:39 (permalink)
    Rumor is NVIDIA intentionally tried to **** this release just to drive up prices, But compounded with bots it went further than they originally intend. I don't really ride that train but it does cause a bit of an itch on the brain.
    #26
    Caffeinated_Sarcasm
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/03 21:51:55 (permalink)
    aman4672
    Rumor is NVIDIA intentionally tried to **** this release just to drive up prices, But compounded with bots it went further than they originally intend. I don't really ride that train but it does cause a bit of an itch on the brain.


    I wonder how that would work. I haven't noticed retailers increasing prices and NV doesn't make a dime from resellers.

    10G-P5-3897-KR     9/26/2020 9:26:35 AM PT    No
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    #27
    aman4672
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/03 22:04:29 (permalink)
    Caffeinated_Sarcasm
    aman4672
    Rumor is NVIDIA intentionally tried to **** this release just to drive up prices, But compounded with bots it went further than they originally intend. I don't really ride that train but it does cause a bit of an itch on the brain.


    I wonder how that would work. I haven't noticed retailers increasing prices and NV doesn't make a dime from resellers.


    I know right. one of the things is that the Fe is the best card (quality wise) but is being sold at cost (per the rumor). And they are forcing AIBS to cut prices on the msrp grade cards to meet the drastic msrp. All to pump up hype then not meet the hype with enough product. High demand and low supply means raise prices. Take this with salt though as i am trying to explain something that still sounds a little silly to me, and not everything adds up.
    post edited by aman4672 - 2020/10/03 22:05:32
    #28
    ty_ger07
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/03 22:08:18 (permalink)
    Seems like many tech companies are doing better than ever. Look at their stocks! It's dumbfounding. Something in this thread's logic is very twisted. Tech companies have capitalized. You are essentially asking "why haven't they capitalized enough/as much as they could have?". Unprecedented demand requires unprecedented growth. Growth takes time. Also, considering that they have done unpredictably well, unprecedented growth was ... unpredicted.
    #29
    itsangelo
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    Re: TECH companies failures to sell it's products effectively.... 2020/10/03 22:08:29 (permalink)
    Caffeinated_Sarcasm
    aman4672
    Rumor is NVIDIA intentionally tried to **** this release just to drive up prices, But compounded with bots it went further than they originally intend. I don't really ride that train but it does cause a bit of an itch on the brain.


    I wonder how that would work. I haven't noticed retailers increasing prices and NV doesn't make a dime from resellers.


    I think with the current demand of the product, the price is bound to go up. Once the demand goes down, I think prices will go down as well. Hopefully, it doesn't but it makes sense if it does.
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