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This is flip/scalping prevention. Gang-type groups would arrange squatting campaigns at retailers to soak up stocks, some shipping to China in bulk. It fizzles
by numpad0 2y ago
This is flip/scalping prevention. Gang-type groups would arrange squatting campaigns at retailers to soak up stocks, some shipping to China in bulk. It fizzles launches and it had been damaging to brands just as pirating, if not more, and so a loyal customer purchasing program is absolutely necessary.
I suppose scalping hadn't been as severe globally or in US until recent NVIDIA GPU launches? But it's been a major problem for past ~15 years in Japan for all sorts of hyped products.
- ajsnigrutin 2y agoWell... they could just make enough stock for everybody, and there would be no need for scalpers. Just delay the launch a bit, fill up the warehouses, and when they start selling, everyone gets one, and the scalpers lose. But no, any scarcity is a must in modern times, so people don't think twice before buying if they see it in stock somewhere.
- dingnuts 2y agoisn't the whole issue that they have no good way of knowing how many to make until launch? you don't want to wind up like Atari burying copies of ET in the desert
- mitthrowaway2 2y agoTell me you don't work in the hardware business without telling me you don't work in the hardware business!
- numpad0 2y agoThey create artificial scarcity by buying up all stocks everywhere nationwide. They've got capitals to do so. The gray market price under presence of organized scalpers just isn't the natural point of equilibrium on supply-demand curve.
- JohnBooty 2y agoI suppose scalping hadn't been as severe globally or in US until recent NVIDIA GPU launches? For years, it was absolutely massive for iPhone launches. It was amusing, if not a little frustrating. News coverage would always show it as evidence of fanatical Apple fans. But (especially after the first year or two) it was pretty clearly mostly flippers/scalpers.