A Story of Supply and Demand: PS5 Vs. Scalpers
“Play has no limits” or so they said.
Sony’s PlayStation 5 was announced on September 9, 2020 and was met with a lot of praise and hype. With a release window of a month before the Christmas holidays, and coming off of an extremely successful PS4 lineup that dominated the market for 8 years, the PS5 console was a guaranteed seller for the company.
But, scalpers had a different way of seeing it.
The first red flag came in the form of a pre-order system that was announced a day before. Needless to say, it was an absolute disaster. Websites crashing, servers not holding up, people were rushed due to the lack of an early heads up, and everyone’s favorite, scalpers taking up all of the available stock for themselves.
When all you do is sit on your computer waiting for stocks to be open again and use automated bots to purchase faster than a human can ever compete against, and sell that product with an extremely inflated price on the internet, you’re probably a loser.
It’s bad enough that Sony can barely keep up with the high demand for the product due to semiconductor shortages well into the one year mark since release. The public now has to deal with scalpers who take up all of whatever stock is available for their own profit. It makes the PS5’s slogan “Play Has No Limits” all the more ironic. Sorry Sony, but it has a LOT of limits.
Supply and demand
Scalpers have been causing headaches for the tech industry for quite a while already. They see how much the public wants to experience the product and so they profit off of people’s desperation.
It’s completely unethical.
Sony has revealed that they’re already selling the PS5 at a loss because of “strategic price points for hardware that were set lower than the manufacturing costs" the opposite can be said for weirdos on the internet, a.k.a. scalpers.
One can argue that scalpers exist because people are there to tolerate them. They wouldn’t be doing it if they weren’t making money in the first place. The best way to deal with it is to *gasp* stop buying from them. But, I guess some people back then weren’t ready for that conversation just yet.
As unfortunate as it all may sound, there is light at the end of this tunnel. Since its launch last November 12, 2020, stocks for the PS5 are somewhat improving even though it still might be inconsistent going into 2022. We have a global pandemic to thank for that.
Retailers are getting creative when it comes to their strategies to prevent scalping. Selling a console through a bundle to throw of automated bot that focus on purchasing just the console alone, selling at a much higher price and then refunding the customer after the transaction is made, only allowing people who sign up for a personalized newsletter to receive a pre-order form, they all do their own little way of helping out those who just want to buy normally. Heck, I even managed to get myself one a couple of months ago because of these said tactics.
Suck it scalpers.
No one likes a bully. Especially ones that affect our wallets. One of my favorite narratives that developed this year is finding out that scalpers are now losing money slowly, but steadily. It’s even gone as far as the bully gets bullied themselves.
The problem still exists, but at least more and more people are starting to realize that being patient is way better than paying 2 or even 3 times more. I look forward to the day when everything comes back to normal. People can meet face to face, I don’t have to go outside wearing a mask, and being able to play video games with a lot more people.