Shrygue
February 16th, 2009, 18:32
via Games Industry (http://www.gamesindustry.biz/articles/drop-in-sterling-wont-lead-to-xbox-360-euro-price-changes)
Microsoft has no plans to change the price points of the Xbox 360 in Europe to take into account the impact of the falling pound Sterling versus the Euro, which effectively makes the console cheaper in the UK compared to mainland Europe.
Additionally, there's little evidence that European gamers are taking advantage of the situation and importing consoles en masse, according to the corporation's VP for the Interactive Entertainment Business in the EMEA region, Chris Lewis.
"We're mindful of [the situation], but it's very hard to plan too far ahead as regards foreign exchange rate fluctuations," he said. "Sterling right now is in a different place right now versus the Euro and the Dollar, and the Yen - so that which you allude to, you'd start to expect to see some the Sterling-based business hemorrhage out of the UK.
"Actually we're not seeing that much of it - we have a look at it a couple of weeks ago along those lines, trying to match our sell-in with our sell-through to see if there's a disparity there that might imply that stock is going elsewhere. We're not really seeing a lot of it at the moment - but that's not to say it won't start to happen.
"Do we then get into a flurry of price changes? No, I think we remain structured about it and we don't try and predict too far ahead what we think currencies will do. I think we're in a fine place as regards our price points anyway now, and I think the consumers are testament to that - they are flooding to the platform in a way that is even beyond our own expectation levels to be honest - which is great.
"Fortunately we've built sufficient inventory to give us the flexibility to accommodate those levels of demand versus our original plan, so we haven't had any stock shortages. We have sufficient stock to continue to cope with increased demand," he added.
The full interview with Chris Lewis, in which he also talks about the impact of marketing and the New Xbox Experience, is available now.
Microsoft has no plans to change the price points of the Xbox 360 in Europe to take into account the impact of the falling pound Sterling versus the Euro, which effectively makes the console cheaper in the UK compared to mainland Europe.
Additionally, there's little evidence that European gamers are taking advantage of the situation and importing consoles en masse, according to the corporation's VP for the Interactive Entertainment Business in the EMEA region, Chris Lewis.
"We're mindful of [the situation], but it's very hard to plan too far ahead as regards foreign exchange rate fluctuations," he said. "Sterling right now is in a different place right now versus the Euro and the Dollar, and the Yen - so that which you allude to, you'd start to expect to see some the Sterling-based business hemorrhage out of the UK.
"Actually we're not seeing that much of it - we have a look at it a couple of weeks ago along those lines, trying to match our sell-in with our sell-through to see if there's a disparity there that might imply that stock is going elsewhere. We're not really seeing a lot of it at the moment - but that's not to say it won't start to happen.
"Do we then get into a flurry of price changes? No, I think we remain structured about it and we don't try and predict too far ahead what we think currencies will do. I think we're in a fine place as regards our price points anyway now, and I think the consumers are testament to that - they are flooding to the platform in a way that is even beyond our own expectation levels to be honest - which is great.
"Fortunately we've built sufficient inventory to give us the flexibility to accommodate those levels of demand versus our original plan, so we haven't had any stock shortages. We have sufficient stock to continue to cope with increased demand," he added.
The full interview with Chris Lewis, in which he also talks about the impact of marketing and the New Xbox Experience, is available now.