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[Mr.ODST]

An announcement on a site of a popular Japanese retailer is to stop selling Xbox Series Consoles.



Comment also says only 1700 software sales have been on Series Consoles since launch.



Seems there is a huge supply issue in Japan at the moment.

Not to start consoles wars please, but do you think this will be a huge hit to MS's plans to hit the Japanese market a bit harder this gen?

 

[Deerock71]

 

[jufonuk]

Just the digital only version of the XBOX or all versions ?
I guess they can get all the Xbox games on a PC?
plus it’s not the whole of Japan stopping Xbox sales. Businesses gonna business

 

[Hendrick's]

People are playing Game Pass and digital, physical is dead. Don’t think this matters much for MS as they don’t have nor really need a presence in Japan outside of securing games for their ecosystem.

 

[Airbus Jr]

PS5 is struggling in Japan let alone Xbox

Mobile game and Nintendo Switch the only one selling there so make sense

 

[aygomyownroad]

MS has always been woeful in the Japanese market. Even when they were pumping out JRPG exclusives they were not shifting.

with Xcloud and Gamepass it will be interesting to see what numbers that can get. A handheld Xbox similar to the switch could be the answer.

But alas they will never do well in Japan.

 

[M1chl]

PS5 is struggling in Japan let alone Xbox

Mobile game and Nintendo Switch the only one selling there so make sense

Hasn't PS5 sold faster than PS4. I might be wrong be there was a thread recently about this.

 

[Tiago Rodrigues]

I mean...yes the Series consoles is a bit of a comeback story for MS. But still far from their first 2 consoles.

They have 2 models with 2 different entry prices, 2 different pieces of hardware. Both of them together are selling 12 or 13 times less than PS5, which according to GAF, is a huge flop.

Most stores probably make no money out of this...Wasn't Series S being discounted in some chains in Japan? Or am I confusing with a different country?

 

[Tommi84]

It should come as no surprise due to gamepass - why buy MS games, when you can just buy the subscription?

 

[LordBlodgett]

It makes sense if they are not getting any software sales out of it. This is going to be a continued issue going forward as digital gets bigger and more important. I also wonder what the subscriber number for Gamepass is in Japan? Less than 2 games sold per hundred Series consoles sold is absolutely crazy when compared to 1 game per 2 consoles sold for PS5, and makes me think that people might be buying it for Gamepass alone.

 

[skit_data]

Hasn't PS5 sold faster than PS4. I might be wrong be there was a thread recently about this.

I think it has globally, but in Japan probably not. At least SW sales are pretty bad in Japan AFAIK.

 

[StreetsofBeige]

I'd call it quits for Xbox hardware in Japan. MS doesn't learn that Japan doesn't want their hardware. Although it's probably more for just image that they are there. Similar to clothing companies who have money losing stores in some key cities. But if they can promote they are in Paris and New York, it's a marketing tactic in hopes the rest propels it forward due to image and coverage.

MS trying xcloud gaming there is much better. Might still fail though.

 

[Fart Knight]

 

[M1chl]

I think it has globally, but in Japan probably not. At least SW sales are pretty bad in Japan AFAIK.

Hmm, I need to find that thread, but searching here is tricky, if you don't know the particular thread name

 

[mejin]

It should come as no surprise due to gamepass - why buy MS games, when you can just buy the subscription?

And with X-Cloud, you also can play Xbox without the console.

 

[Unknown?]

I think it has globally, but in Japan probably not. At least SW sales are pretty bad in Japan AFAIK.

Pretty sure hardware is outselling ps4 but not 3.

 

[AmuroChan]

Hasn't PS5 sold faster than PS4. I might be wrong be there was a thread recently about this.

Yes.

PS5 sales top one million in Japan

Total sales for PlayStation 5 have surpassed one million units in Japan, according to Famitsu numbers.

www.gematsu.com

 

[Captain Toad]

People decide if they want an Xbox or PS5 before going to the store, so I think this will gave zero effect. These people will just go to a different store.

 

[GHG]

Hasn't PS5 sold faster than PS4. I might be wrong be there was a thread recently about this.

Thread is here:

PS5 sells over 1M in Japan (faster than PS4)

Maybe it will end up doing PS3 numbers? https://www.gematsu.com/2021/09/ps5-sales-top-one-million-in-japan

www.neogaf.com

 

[Orta]

Dunno why they bothered to begin with, they'll never be a success in Japan.

Looking at overall figures out there though, the market would be near dead if it weren't for the Switch. Shocking really when you consider the contribution Japanese devs made to the industry from its humble beginnings.

 

[Hobbygaming]

I admire Xbox's resilience with trying to get Japan on board but it'll likely never happen, they just don't care for the product

 

[Kurimao]

But I thought Microsoft is buying Sega next Wednesday.

 

[Lone Wolf]

What products from the west do well in Japan? iphone? Anything else?

 

[Badlucktroll]

 

[mansoor1980]

i wonder how steam deck will sell in japan

 

[StreetsofBeige]

Dunno why they bothered to begin with, they'll never be a success in Japan.

Looking at overall figures out there though, the market would be near dead if it weren't for the Switch. Shocking really when you consider the contribution Japanese devs made to the industry from its humble beginnings.

I admire Xbox's resilience with trying to get Japan on board but it'll likely never happen, they just don't care for the product

360 sold 1.6 million according to Google. Not great but it's a start (not sure how many OG sold there). Xbox One was 100,000. Series systems might not reach that. The trend is getting worse. Intellivision Amico (if it actually launches) will probably sell more around the world.

I would had called it quits already. But I guess they need some presence there for their xcloud launch so MS stuck around.

If 360 sold 1.6 million, and magically Xbox One sold 3 million I can see it might be worth sticking around with an uptrend. But when Xbox One and Series systems are having trouble breaking 100k forget it.

 

[MasterCornholio]

i wonder how steam deck will sell in japan

It certainly will be a very interesting option for Japanese PC gamers.

 

[Kenpachii]

i wonder how steam deck will sell in japan

Not sure if steam even operates in japan.

 

[reksveks]

Series systems might not reach that

Might not reach 100k hardware sales?

Famitsu numbers are 74,475 after 40 weeks and the last 10 weeks sales is 31,975.

Randomly does famitsu include amazon sales?

 

[Nezzeroth]

There is no point in buying games with Gamepass, and that's pretty much the only reason to own an Xbox right now. So it makes sense that they're doing that.

 

[prinz_valium]

Interesting date. Just before the Halo Series X.
Think they didn't get units

 

[thicc_girls_are_teh_best]

Xenophobia Awaits™

Spoiler

j/k

Anyway, it could be due to software sales, maybe hardware sales, or maybe Microsoft pissed them off with some other retailer deals so this is GEO's way of retaliating. Retail chains have done that before, as well as clear out space on certain products if providers of another product pay more to have their stuff housed in their retail chains.

There's no actual way of knowing without them officially clarifying.

 

[Stitch]

 

[Spukc]

I always knew micro did shit in japan..

but this fast? Is this a first?

 

[GHG]

What products from the west do well in Japan? iphone? Anything else?

Is this a serious question? Mcdonalds, IKEA, all apple products, Microsoft does well with Windows there, Google, and plenty of others. I wouldn't even be surprised if Microsoft's own Surface laptops also do well there.

The key when entering foreign markets is to get your localisation right and adapt everything (your marketing, your product, your PR, your B2B pitches) accordingly.

First impressions matter and Japan is notorious for being more unforgiving than most other places in this regard. If you get that wrong then you'll cement a negative reputation and it's an uphill struggle from there. Showing you care goes beyond simply launching a product somewhere.

Not sure if steam even operates in japan.

They do.

Come on guys, Japan isn't Mars ffs.

 

[Papacheeks]

Xenophobia Awaits™

Spoiler

j/k

Anyway, it could be due to software sales, maybe hardware sales, or maybe Microsoft pissed them off with some other retailer deals so this is GEO's way of retaliating. Retail chains have done that before, as well as clear out space on certain products if providers of another product pay more to have their stuff housed in their retail chains.

There's no actual way of knowing without them officially clarifying.

Has more to do with physical space on shelves. Retail stores specifically in Japan only have so much space. Specifically in Tokyo. Stores are limited because unlike in America they reuse a lot of spaces that have been untouched for years.
Also it’s Japan, new systems, toys release all the time. So space is definitely an issue. If you only have so much shelf space and a product isn’t moving enough units then you have to make a decision.

 

[Lone Wolf]

Is this a serious question? Mcdonalds, IKEA, all apple products, Microsoft does well with Windows there, Google, and plenty of others. I wouldn't even be surprised if Microsoft's own Surface laptops also do well there.

The key when entering foreign markets is to get your localisation right and adapt everything (your marketing, your product, your PR, your B2B pitches) accordingly.

First impressions matter and Japan is notorious for being more unforgiving than most other places in this regard. If you get that wrong then you'll cement a negative reputation and it's an uphill struggle from there. Showing you care goes beyond simply launching a product somewhere.



They do.

Come on guys, Japan isn't Mars ffs.

is your answer of IKEA serious?

 

[StreetsofBeige]

Is this a serious question? Mcdonalds, IKEA, all apple products, Microsoft does well with Windows there, Google, and plenty of others. I wouldn't even be surprised if Microsoft's own Surface laptops also do well there.

The key when entering foreign markets is to get your localisation right and adapt everything (your marketing, your product, your PR, your B2B pitches) accordingly.

First impressions matter and Japan is notorious for being more unforgiving than most other places in this regard. If you get that wrong then you'll cement a negative reputation and it's an uphill struggle from there. Showing you care goes beyond simply launching a product somewhere.



They do.

Come on guys, Japan isn't Mars ffs.

Aside from Apple gear, I think Japan in general is opposed to foreign branded hard goods. Not sure why, but it seems they really favour Japan brands. Maybe it's a quality perception. Maybe foreign goods have shitty distribution and Japanese brands have everything locked up.

But when it comes to more culture related stuff like fashion and shoes, I think Japanese people love US and European gear.

 

[GHG]

is your answer of IKEA serious?

Yes 100%.

They initially failed, exited the market in order to reassess their approach and then relaunched successfully.

It's a story that Xbox could learn from.

 

[Fake]

No surprises here I must say.

 

[Lone Wolf]

Yes 100%.

They initially failed, exited the market in order to reassess their approach and then relaunched successfully.

It's a story that Xbox could learn from.

Crazy. I know nothing about Japan unless It’s it’s about cars. Sold in the USA. I’ll have to pay more attention.

 

[Kilau]

I can understand I guess, I haven’t bought a single disc Xbox game since the 360 and I don’t see that changing…ever.

 

[THE DUCK]

Not surprising. Ms really needs to step up with a portable to break into Japan.

 

[Fredrik]

People are playing Game Pass and digital, physical is dead. Don’t think this matters much for MS as they don’t have nor really need a presence in Japan outside of securing games for their ecosystem.

This is still bad, very very bad. Can’t believe what I’m reading tbh.

 

[thicc_girls_are_teh_best]

Has more to do with physical space on shelves. Retail stores specifically in Japan only have so much space. Specifically in Tokyo. Stores are limited because unlike in America they reuse a lot of spaces that have been untouched for years.
Also it’s Japan, new systems, toys release all the time. So space is definitely an issue. If you only have so much shelf space and a product isn’t moving enough units then you have to make a decision.

That's true. The only thing for debate is if it's because Series systems aren't selling (fast enough, for them), or if it's because they aren't making much money from the hardware and software sales are low due to gamers buying them picking up the S primarily for GamePass.

Doesn't necessarily change the reality of the situation but I'm sure there are folks at the Xbox division who'd like to pinpoint the specifics in order to improve the situation there with this particular retailer chain. Wonder if anyone knows where the majority of Series units being sold in Japan are being sold through, retailer-wise?

 

[ReBurn]

It does raise an interesting question. If retailers only want to stock hardware if it leads to physical software sales then what happens to video game consoles when physical game sales decline to the point where none of the consoles are profitable for retailers? Physical game sales just keep declining and people are being nudged toward digital.

 

[elliot5]

Seems like the retailer is more upset at the lack of disc sales because their margins on Series consoles alone isn't good enough.

I'm sure the consoles sold to retailers in Japan will still be bought up to capacity anyway. But it will really be moot once the TV apps and streaming sticks and so on release. Smaller inventory space, fully digital, completely cuts out the middle man of retailers. Japan's internet infrastructure seems good enough. MS has two databases to serve the island, and xCloud seems to be a decent hit based on twitter impressions.

 

[StreetsofBeige]

It does raise an interesting question. If retailers only want to stock hardware if it leads to physical software sales then what happens to video game consoles when physical game sales decline to the point where none of the consoles are profitable for retailers? Physical game sales just keep declining and people are being nudged toward digital.

They do what GS has been doing for years..... tshirts, board games, cellphones, a wall of Funko toys and other random shit you'd see more in a Spencer's Gift Store.

 

[RoboFu]

well maybe cloud will gain traction over there in mobile land.

 

[RaZoR No1]

Xbox needs Asian Games, but to get the asian games they need to be present in asian areas. Unfortunately not many people want a Xbox, because Playstation already has everything they need...
Therefore no/less asian games.. it is a devil cycle they cannot break out at the moment...
Maybe they really need a brand like Sega to push in asian areas, but when is the next Wednesday?