The Xbox One has had a troubled start to life, losing out to the PS4 at an alarming rate. North America represents the home of Microsoft and last generation seen the Xbox 360 sell 46 millions units there alone, which represents over half of total Xbox 360 sales. The PS4 currently is outselling the Xbox One in North America but here I shall outline 10 reasons why this early dominance won’t last. Before you continue please read my 7 Spectacular facts about Xbox One sales!
1. Current trends
The Xbox One has been gathering momentum for quite some time and initial interest for the PS4 has somewhat wavered in recent times. This is not due to the ‘Titanfall effect‘ because the game had not been released at the time of the end of this graph. It’s consistently selling well and doesn’t appear to be slowing up like the PS4.
2. Westernised games
One thing Microsoft can’t be accused of is not offering games for their home crowd. In a market dominated by FPS games it is the Xbox which has always outshone Playstation consoles in the genre. Halo and the recently released Titanfall are probably enough reason for many gamers in the US to take the plunge on the Xbox One. Sony cater to a much more diverse audience but they have nothing to compete with their two big juggernauts (Sorry Killzone)
3. Huge market yet to make the move
Just over 5 million Americans currently own a PS4 or an Xbox One. This means that around 70 million people who owned a PS3 or Xbox 360 have yet to make their move. If Microsoft implements a price cut expect 360 owners to jump on board. The Xbox One is currently only a few hundred thousand units behind the PS4 and we must wonder how much pricing has to do with this. Of course not all that 70 million will buy either of the consoles but we can expect similar overall numbers, meaning there is a huge untapped market waiting.
4. Price cuts likely
Many retailers in the UK have slashed the price of the Xbox One and considering the comparisons between the two countries I assume price cuts are imminent in the US too. Of course this is just speculation but Microsoft would be a fool not too. You could argue that the Xbox One would have a comfortable lead had it not been for the higher price tag. The fact that Microsoft are currently the ones with the biggest profit margin means there is certainly room for price trimming.
5. Home advantage
Many people are still patriotic and support companies from their own country. This is evident in the way the Japanese market has completely snubbed the Xbox. The Xbox One is tailored to the needs of the American audience, with the TV impressing in the US whilst not catering to users in other countries.
6. Lack of PS4 supply
Supply issues of the PS4 in America are ongoing, whilst other parts of the world may have increased stock it seems Sony is unable to meet demands in the US. The option is to buy an Xbox One, wait an unspecified amount of time or pay over the odds on ebay. Of course there are those willing to wait but there are many sitting on the fence and may decide to get a next-gen console now.
7. The Xbox is multimedia focused
I touched upon this in point 5 but there’s no denying that the Xbox One is the console to get for multimedia functionality. The Xbox One was pretty much designed for the American audience, Live TV is a great feature as well Kinect. Every thing about the Xbox One is aimed at the average American looking for not only a console but an entertainment experience. With huge amounts of gamers currently using services like Netflix and Hulu, the easy use and support offered by the Xbox should make it a winner with the US crowd.
8. Xbox Live
Xbox Live is still the service to beat. The Xbox has been the number 1 console for online gaming for a long time and things haven’t changed this generation. The importance of online games to the Western audience should not be underestimated. The vision Microsoft had all those years ago which accompanied the slogan of ‘It’s better to play together’ has certainly come in to fruition. FPS games are now pretty much exclusively played online these days and it is the Xbox with the better FPS games which will ultimately win over the American crowd.
9. Microsoft can afford to play the waiting game
By the ‘waiting game’ I mean waiting for 360 owners to make the leap. Hardcore gamers and fans are the only ones who have jumped aboard this generation. Many 360 gamers are happy with their system so see no immediate rush to jump on board a console with relatively few games. The real war shall be won after a few years when both consoles have a much more attractive library of games and represent better value for money. This is where Microsoft will claw back the market, with Kinect being seen as added value once the price lowers, rather than the hindrance to affordability it is viewed as now. The style of games that are generally released on the Xbox will insure the library of One games will be American friendly.
Microsoft is a profitable company whilst Sony is in all kinds of financial difficulty. If the situation worsens with the Xbox One you can guarantee that Microsoft will be waving cash in the relevant places. Love or hate Microsoft you can not argue with the fact their pockets are deep and so you can’t rule out any move from them. From purchasing exclusivity deals to buying out developers, nothing is beyond question. Microsoft will not lose on their home territory.