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Analyst: Kinect Fetching 30 Percent Premiums On eBay, Strong Holidays Ahead
Analyst: Kinect Fetching 30 Percent Premiums On eBay, Strong Holidays Ahead
November 9, 2010 | By Leigh Alexander

November 9, 2010 | By Leigh Alexander
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More: Console/PC



Despite the fact that some stores appear to have stock, Microsoft's Kinect units are selling at a premium in online eBay auctions, suggesting strong demand and, according to one analyst, indicating positive holiday signs for the device.

"Our survey of completed transactions on eBay indicates that Microsoft Kinect, the motion sensing controller for the Xbox 360, is selling for an average price of roughly $190, or nearly a 30 percent premium over the retail price of $150," says Lazard Capital Markets analyst Colin Sebastian.

As of press time, Gamasutra also examined U.S. eBay listings, discovering final Kinect prices of $160 on the low end to $230 on eBay.

"While several retailers are indicating out-of-stock positions on their websites, the majority of bricks and mortar stores we called had units available for sale," Sebastian says.

Preorders for Microsoft's Xbox 360 motion-sensing device sold out from many online retailers even before Kinect's November 4 North American launch (November 10 in Europe).

Retailers like Amazon and Play had to limit the amount of preorders that could be placed per customer, or ask users to sign up for notification when preorders would be available again.

That users will still pay premiums to buy a Kinect from eBay rather than hunt one down in stores is a good sign not just for Microsoft, but for the industry, says Sebastian.

"Nonetheless, we believe that early signs of demand for Kinect bode well for the device as a holiday gift item, and if the momentum continues, could provide the industry with a near-term shot in the arm," he says.


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Comments


Harold Myles
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When I was out this weekend I was surprised to see so many Kinect units at places like Bestbuy and Target. Both completely stocked like they hadn't sold anything.



Does the above article possibly suggest that people order their gadgets from online stores more now than buy them at Brick and Mortar stores??

Simon Carless
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At least in my local Best Buy, they were already sold out of Kinects by Sunday, so I think it's sporadic sellouts.

Jonathan Gilmore
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Out of curiosity I checked my local Target on Thursday and they had plenty. By Sunday they had sold out of standalone units but still had some bundles.

Shawn Morrison
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Harold, it seems that way. I hadn't pre-ordered and made the last min choice to get one, I was worried they wouldn't have any more but when I called the store they did in fact have them and were expecting more with in a few days. So it would seem people either really like online purchases or just are impatient. I guess I am just an old guy that likes his brick and mortar but I think that is the only way to go. There are just too many horror stories from Amazon purchases and such for me.

Holden Link
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It seems hit or miss. I'm in downtown Atlanta, and I got the last one at my local Target on launch day. They were already sold out of Dance Central and Kinect Sports.

Chris Melby
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This reeks of Microsoft marketing... Or I just farted...

Ian Uniacke
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"Retailers like Amazon and Play had to limit the amount of preorders that could be placed per customer, or ask users to sign up for notification when preorders would be available again."



Surely you would only want to preorder ONE right? Sounds like scalpers to me. Something similar happened with PS3's launch and the scalpers ended up with egg on their face. But I'm not suggesting that's going to be repeated here...let's just wait and see.


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