Wii's SA launch -- all the details

[BeVonk!]

For the Nintendo product to penetrate our market where PS historically dominates I expected Core to come with an attractive price point. This is not an attractive price point that will overpower the PS and XBox hold. A lower price of R 2499 would have made a world of difference. SA wants (and needs) an affordable PS alternative and all observers hoped the Wii will be coming to our shores to provide this alternative ... but not so ... unfortunately. The Wii is now just another option ... offering no clear reason to select it above the XBox. The game prices may just be the bullet that kills it.

 

[Pyro]

We get pounded with the same stick as the UK. You can get US versions for less than UK versions.

I've got one, but I'm cringing at the prices of games. You can get the budget titles for just over 20 pounds, but the majority goes for 30-40 pounds. This is pretty well on par with our prices: R350 for a 'cheapie' and a proper title around the R600 mark. Pity

 

[CathJ]

It's a Catch22. If people don't buy the wii, or import it, or import games rather than buying the local versions, Core/Nintendo will think there isn't enough support here to make it worth their while.

If you do buy local versions, they think everyone's happy with the prices.

Either way, we don't win. It wouldn't occur to them to blame poor sales on high prices.

 

[lantoris]

Doesn't matter how you look at it ... it's a bloody ripoff! I'm not a microsoft fan, but you getting so much more with the xbox360. It's cheaper, games are slight more expensive, more powerfull, high definition, etc. Microsoft must be smiling when looking at the launch price ... no competition.

 

[noxibox]

Take a look at something like MS Office, it's more expensive in the UK then the US.

Because they also get ripped off.

 

[noxibox]

It's £219.99 in the UK (amazon.co.uk)
and multiply by 14 (R14 rands to £1)
= R3066*

*That excludes delivery rates and the 10-20% extra customs may nail you for if they catch your delivery.

Bundles and discounts, often together, are common. The same goes for the games.

Friends who bought their 360 in the UK got it at well under recommended retail with any three games of their choice. I've seen the same sort of deals with the Wii.

Also remember to subtract the 17.5% VAT they pay.

I'm all for paying less but where is the saving on a PAL version of the Wii.

I have no problem with using an NTSC version. The games are cheaper too.

If you insist on PAL, then you could also look at Europe.

 

[Abe]

Because they also get ripped off.

Yes, because their buying power is greater, they get charged more. It's not right but companies do it anyway. The idiot charge more here when the buying power of people is far less. Bloddy idiots.

If you look at something like the Big Mac Index. The UK has 1.7 times the purchasing power of the US so you would expect companies to get away with charging a bit more. SA has 21% of the US's purchasing power so one would expect companies to price their product lower here. Fat chance, there is always a Core Group waiting it the wings to screw us.

 

[xrapidx]

Anyone know if its at Rage?

 

[noxibox]

Yes, because their buying power is greater, they get charged more. It's not right but companies do it anyway. The idiot charge more here when the buying power of people is far less. Bloddy idiots.

If you look at something like the Big Mac Index. The UK has 1.7 times the purchasing power of the US so you would expect companies to get away with charging a bit more. SA has 21% of the US's purchasing power so one would expect companies to price their product lower here.

BMI would be an exchange rate. Based on this the GBP/$ exchange rate should be 1.7, not about 2 as it is now. The big mac should cost the same in both countries. What exchange rate would represent purchasing power parity?

If we assume that the exchange is higher because they have more purchasing power, then this is about 1.2 times higher. A Wii then cost 20% more in the UK, i.e. $300 instead of $250 - GBP150 based on the current exchange rate, but the real RRP is GBP70 higher. They are being ripped off. This is only mitigated by the fact that deals are common and discounting is common.

Based on the BMI the Pound is overvalued. Based on the prices of name brand jeans, game consoles and perhaps still cars it is undervalued.