SEGASAMMY Q3 financial results - $451 million profit

[George]

Target doesn't return games, they actually sell them for very cheap. I have gotten 3 month old games for about 5-8 bucks. One time I did a post on SEGANerds how they had Overkill for 2.50 cents or something crazy.

They just lower the price till they get rid of them. You should see the section, crazy amount of junk software.

As for 'blocking communication' with the publisher... they won't. They will just buy less copies of their next title. EA releases a lot of shit, retailers buy their shit by the bucket load... why? Not cuz all of it sells, but because they have those hit franchises that do well. Madden etc.

Its like Activision released that shitty FPS game with time warping. They sell 1 million to Target stores. Target is like "GIVE ME MY MONEY FAGET FACES" and their like "Nope". They won't go "FUCK U THEN WE WONT SELL CALL OF DUTY"

You think Target will refuse to sell the next Sonic or Sonic & Mario game? In your dreams.

[MadeManG74]

^Nope.

Big devs still need to markdown their games like any other. It's fine that everyone will still buy Sonic, but what about Yakuza 4, Bayonetta 2 or another title that has potential but isn't proven? Retailers will ignore it unless they know that Sega will help mark it down/return it.

Target might be selling those games ultra-cheap to clear the stock quickly or something, but it's not common practice.

[ROJM]

Let me tell you a story about how these 'Shipped' numbers work.

Vanquish may have Shipped 850,000 units, but if they don't sell through to consumers (And i don't think they have to a great degree) two things can happen. In the US the retailers will return the stock to Sega and get refunded for it, meaning Sega pays back the money and is then stuck with all the stock they can't sell. The other option is that Sega has to then fund markdowns and discounts by paying dollar amounts on each unit sold or paying a lump sum.

So basically, yeah, they can ship lots of units, but it doesn't mean it's been a success or that Sega is in the clear.

The only problem is if that was the actual number Sega shipped originally. VQ probably shipped a million units out and that 850k was the final sales unit sold. Just because the unit figure is saying 850 whatever was shipped doesn't mean that was the figure they shipped out. On a report like this,that was the number that actually sold through not actually sent out.


Stock reports especially the real ones not this public viewing tone down crap we keep getting will show the actual breakdown to investors who will be asked to invest some cash into the company when sega wants more cash from stockholders.

Also there's a vast difference between pre order and retail order. Pre order is seen as guaranteed sales and the orders the shop makes reflect specifically for that, retail order is estimated demand on how much copies the retailer thinks the game might sell to the general public.