Vista Launch Sales Falter at Retail (Micro$oft Dampens Expectations)

Vista Launch Sales Falter at Retail (Micro$oft Dampens Expectations)

Post by 98 Gu » Sat, 17 Feb 2007 12:45:11

Early boxed retail sales of Vista down nearly 60% compared to XP
But 30% of those buying boxed Vista want the pricey Ultimate version
Eric Lai

February 15, 2007 (Computerworld) -- First-week retail sales of boxed
copies of Windows Vista were almost 60% below sales of boxed copies of
Windows XP in the week after its 2001 launch, according to one leading
market research group.

The dollar value of retail box copies of Vista sold during the week of
Jan. 28 also fell 32% from the value of XP box copies sold during its
first week in October 2001, according to figures from Port Washington,
N.Y-based NPD Group Inc. released Thursday.

However, retail sales of PCs, virtually all of them sporting the new
Vista OS, were up 67% over the same week in 2006. While that is hardly
an apples-to-apples comparison -- many stores were clearing out their
XP inventory in the weeks leading up to Vista's launch -- "it still
reflects a fair bit of growth," according to Chris Swenson, a software
analyst with NPD. He declined to release exact dollar figures.

Swenson's interpretation of the seemingly-in-conflict numbers?
Consumers are "getting the message that they need a more robust system
to take advantage of some of the new features in Vista," he said in a
statement. Thus, a smaller number of consumers are opting to upgrade
their existing hardware with Vista out of fear that it won't be
powerful enough.

Vista's poor retail sales contrast with Office 2007's strong
first-week retail sales, which more than doubled Office 2003's
first-week sales.

The good news for Microsoft: Consumers who are upgrading to Vista on
their older machines are opting for pricier, higher-end versions of
it. The average selling price of Vista was $207.13, up 66% from the
average selling price of XP. That was due in part to the fact that
more than 30% of the copies of Vista sold were the Ultimate version,
which lists for $399.

"So, although total dollars were down compared to XP, I think the
preliminary data shows that Microsoft's gamble on a new high-end Vista
SKU will help keep dollar volumes from declining as rapidly as unit
volumes in the near term," said Swenson.

Swenson also expects that retailers with "tech benches" such as Best
Buy's Geek Squad, CompUSA's Tech Pro and Staples' Easy Tech will see a
boost in sales because of customers seeking help with installing
Vista. Those services are often offered at attractive prices to
consumers, said Swenson, who expects a "bump" in sales similar to that
caused by security software.

NPD's data was collected from a number of retailers, including, Best Buy, Circuit City, CompUSA, Kmart, Office Depot,
OfficeMax, Staples, Target and others.


February 15, 2007
Microsoft Dampens Expectations
By Paul Shread

Microsoft shares slipped in late trading Thursday after CEO Steve
Ballmer said analysts may be expecting too much from the new Vista
operating system.

In a presentation to financial analysts, Ballmer said Vista sales
estimates are "overly aggressive," according to Reuters, comments that
sent Microsoft shares about 1% lower in late trading.

Ballmer also said the company's fiscal 2008 operating expenses will
decline somewhat, and he said Microsoft is willing to s

Vista Launch Sales Falter at Retail (Micro$oft Dampens Expectations)

Post by Vic » Sat, 17 Feb 2007 22:49:38

reat news item!

Well, my 2 cents worth:
maybe people are just getting fed-up with the insanity of a constant
corporate push for people to upgrade Upgrade, UPGRADE, and spent more
and More and MORE of their TIME, MONEY and LOT-OF-EFFORT for what??

Some people call 'progress' what we do that's BIGGER and B-I-G-G-E-R and
MORE and M-O-R-E,
I call progress 'knowing when you have it good and leaving it alone'!

Imagine spending $400 for an OS for email and internet.
Personally, I'm glad projected Vista sales are down (period)
my 2 cents
"98 Guy" < XXXX@XXXXX.COM > wrote in message news: XXXX@XXXXX.COM ...


Vista Launch Sales Falter at Retail (Micro$oft Dampens Expectations)

Post by MEB » Sun, 18 Feb 2007 01:39:23

"98 Guy" < XXXX@XXXXX.COM > wrote in message news: XXXX@XXXXX.COM ...
| Early boxed retail sales of Vista down nearly 60% compared to XP
| But 30% of those buying boxed Vista want the pricey Ultimate version
| Eric Lai
| February 15, 2007 (Computerworld)
| ----------------
| February 15, 2007
| Microsoft Dampens Expectations
| By Paul Shread
| -----------------
| February 15, 2007 11:57 AM
| Vista Launch Sales Falter at Retail
| Joe Wilcox

So it appears relatively safe to say that Microsoft was successful in its
marketing ploy to force, er, make, er, direct, er, whatever, the potential
users of Vista to buy the higher priced [full version] Ultimate Edition, as
well as spurring increases in new computers sales to run the bloat, er, new
whizbang, system.

So as was posted [the comparison]:

From: "Haggis" < XXXX@XXXXX.COM >
Subject: Vista comparison (sorrrrrry guys :>)
Date: Fri, 9 Feb 2007 21:28:28 -0400
Message-ID: < XXXX@XXXXX.COM >
Newsgroups: microsoft.public.win98.gen_discussion
Path: TK2MSFTNGP01.phx.gbl!TK2MSFTNGP06.phx.gbl
Xref: TK2MSFTNGP01.phx.gbl microsoft.public.win98.gen_discussion:823224

The richer and smart(? huh) user will get the REAL full OS at the higher
cost WITH a new computer, whereas, the lower income people will get the
crippled, er, other versions though it will require updating memory and
device components even to consider doing so. And of course, new applications
also. Seems we've been through this marketing ploy before.
MEANWHILE: Don't even consider that in five years or so, all these VISTA
computers [and all that new software] will be junk when the new terraflop
processors and the required new OSs are marketed..

I think we can rely on this marketing scheme to be used more in the future.
Unlike the somewhat progressive marketing used with XP:
HOME, PRO, MEDIA to (etc.) which pulled money from the pockets of consumers
thinking they got fancier, more powerful "specialty" operating systems with
each "version" and cost range.
In this ploy: Creating and marketing crippled versions at the outset, with
the full uncrippled [more costly] version; gives the appearance of offering
professional and two consumer grades of software, at "first market day". One
can wonder how they intend to now pull off the "must upgrade" cycle on the
Ultimate end.
Is there to be an Ultimate "Pro" or otherwise specialty Ultimate versions
like "Movie" grade, or a "Super Ultimate" or one called "VISTA Nirvana", or
"Ultimate Extra"?
Then again, its reasonable to say, Microsoft has now keyed its primary
monetary and programming resources and investments on the terraflop versions
of the near future. It would also be reasonable to say: That these are just
the actual and final "old code and processor" offerings, to help fund that
R&D cost [as if Microsoft doesn't have the ready funds] to appease its
stockholders in the interim, at the expense of those caught in the faux
upgrading [R&D funding] marketing scheme by Microsoft, board/computer
manufacturers, and the chip makers.

For the rest of us [us "old world" 98/ME system guys and gals], we should
likely ignore the whole fiasco,,,,, or R

Vista Launch Sales Falter at Retail (Micro$oft Dampens Expectations)

Post by Malcolm » Sun, 18 Feb 2007 04:25:42

It's like this (though I can scarcely believe it's this way): All the
magazine and tech reporters and pundits and so forth *who are mostly
reliant on Windows for their livelihood* all said, "<yawn> Who cares?
You don't need it."

So few people are buying. Instead, they anticipate 'upgrading' to Vista
when they *buy a new PC that comes with Vista already installed on it.*

That's it. End of story.