The NPD is not really all that accurate

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flood

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#1 flood
Member since 2002 • 1470 Posts

what people need to understand about the NPD (national purchase diary) is that it only considers 60% of the retailers who sell consoles and software to the buying public. there are many large retailers who dont report their sales to any company much less the NPD, they include

Wal-mart
K-Mart
Costco
Sams
and these are the ones i know about.

and in the abscence of that 40% of data, the NPD then has to make an estimate.....which means they are essentially,sophisticatedly guessing almost half of the retail data that they are reporting.

now im not trying to undermine the NPD and their knowledge on market trends....but i will say that their is far more wiggle room in their accuracy than people on these forums seem to think.

the reality is anyone who has an agenda to hate on another cosnole or company will find any numbers they want to justify tearing them apart. so this could very well be a moot point on my part.

but just to let PS3 owners know, that regardless of what people will tell you the PS3 is just fine, its not going anywhere, and we will all be laughing in 3 years when all of this "the PS3 is dying!!OMGZRK!!"  just seems so silly

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deactivated-5f956b96dc672

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#2 deactivated-5f956b96dc672
Member since 2007 • 2218 Posts

i believe the translation is MOO!

but the ps3 simply isnt selling up to par 

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deactivated-5e836a855beb2

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#3 deactivated-5e836a855beb2
Member since 2005 • 95573 Posts
Okay?  And 60% accuracy with 40% based on that = at least 80% accuracy, no?  With that in mind, how exact do you need it to be?
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Ontain

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#4 Ontain
Member since 2005 • 25501 Posts
do you really think that the walmart, kmart, costco and sams club crowd is the ps3 crowd? ;)
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bretthorror

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#5 bretthorror
Member since 2006 • 1387 Posts

do you really think that the walmart, kmart, costco and sams club crowd is the ps3 crowd? ;)Ontain

You're right, with this newly acquired info, I have reason to believe the GBA sold 100K units last month...

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#6 deactivated-5f956b96dc672
Member since 2007 • 2218 Posts

[QUOTE="Ontain"]do you really think that the walmart, kmart, costco and sams club crowd is the ps3 crowd? ;)bretthorror

You're right, with this newly acquired info, I have reason to believe the GBA sold 100K units last month...

i'm going to go to sam's club and buy some snow tires, a deli meat tray, a vat of mayonnaise, and a ps3.  who wants to come?
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#7 mismajor99
Member since 2003 • 5676 Posts

The NPD is terrible at tracking PC sales, most people know that. They seem to be much more on the ball with console sales. Walmart is the only factor neglected that would have a significant sales report. Either way, the 360 and Wii, by the same sales formula, is still out pacing the PS3 by a pretty big margin. This fall should give people a better look into how the race is stacking up, as it's way to early in the game to say anything definitively.

20 Million units sold will be a very large benchmark, and I suspect the Wii will hit it first, well before anyone else. Heck, I still can't get one in my area. 

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loco145

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#8 loco145
Member since 2006 • 12226 Posts
"Buuuuut teh Wal-mart" again :lol: They estimate the sales from Wal-mart, for some reason the whole industry respect the NPD you know :roll:
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Idonomeus

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#9 Idonomeus
Member since 2006 • 2273 Posts
It's common knowledge the PS3 is selling better than the Wii. NPD (Nintendo Product Disinformation) group has lied to us all.
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#10 LEGEND_C4A
Member since 2003 • 3186 Posts

what people need to understand about the NPD (national purchase diary) is that it only considers 60% of the retailers who sell consoles and software to the buying public. there are many large retailers who dont report their sales to any company much less the NPD, they include

Wal-mart
K-Mart
Costco
Sams
and these are the ones i know about.

and in the abscence of that 40% of data, the NPD then has to make an estimate.....which means they are essentially,sophisticatedly guessing almost half of the retail data that they are reporting.

now im not trying to undermine the NPD and their knowledge on market trends....but i will say that their is far more wiggle room in their accuracy than people on these forums seem to think.

the reality is anyone who has an agenda to hate on another cosnole or company will find any numbers they want to justify tearing them apart. so this could very well be a moot point on my part.

but just to let PS3 owners know, that regardless of what people will tell you the PS3 is just fine, its not going anywhere, and we will all be laughing in 3 years when all of this "the PS3 is dying!!OMGZRK!!"  just seems so silly

flood

Would you say the same thing if Microsoft and Sony switched positions on the NPD report?

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loco145

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#11 loco145
Member since 2006 • 12226 Posts
[QUOTE="flood"]

what people need to understand about the NPD (national purchase diary) is that it only considers 60% of the retailers who sell consoles and software to the buying public. there are many large retailers who dont report their sales to any company much less the NPD, they include

Wal-mart
K-Mart
Costco
Sams
and these are the ones i know about.

and in the abscence of that 40% of data, the NPD then has to make an estimate.....which means they are essentially,sophisticatedly guessing almost half of the retail data that they are reporting.

now im not trying to undermine the NPD and their knowledge on market trends....but i will say that their is far more wiggle room in their accuracy than people on these forums seem to think.

the reality is anyone who has an agenda to hate on another cosnole or company will find any numbers they want to justify tearing them apart. so this could very well be a moot point on my part.

but just to let PS3 owners know, that regardless of what people will tell you the PS3 is just fine, its not going anywhere, and we will all be laughing in 3 years when all of this "the PS3 is dying!!OMGZRK!!" just seems so silly

LEGEND_C4A

Would you say the same thing if Microsoft and Sony switched positions on the NPD report?

You mean the xbox360 outselling the Ps2? (Or even the PSP ;) ) 

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deactivated-5e836a855beb2

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#12 deactivated-5e836a855beb2
Member since 2005 • 95573 Posts
It's common knowledge the PS3 is selling better than the Wii. NPD (Nintendo Product Disinformation) group has lied to us all.Idonomeus
I was sure it was Nintendo Propaganda Distributors.
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Kestastrophe

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#13 Kestastrophe
Member since 2005 • 4354 Posts

 their is far more wiggle room in their accuracy than people on these forums seem to think.

flood

Do you realize that a sample size of 60% in which the population is extremely large, the margin of error is very small? Given this information, what is this "wiggle room" that you speak of based on? 

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#15 Darthmatt
Member since 2002 • 8970 Posts
[QUOTE="Idonomeus"]It's common knowledge the PS3 is selling better than the Wii. NPD (Nintendo Product Disinformation) group has lied to us all.Jandurin
I was sure it was Nintendo Prograganda Distributors.

It is true. I'm the Truth Czar so I know this.
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Rosencrantz

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#16 Rosencrantz
Member since 2003 • 8148 Posts

1) Well all already know that they don't count Walmart and other places.

2) Their system works similar to polling.  Do they call every person in a country and ask them directly?  No.  Do they survey enough data to make a reasonable estimate based on demand vs store availability vs. shipping numbers?  Yes.

The NPD, while not exact, is usually very precisely accurate to actual sales numbers.  It's not exact, but it is scientifically sound.  I've never heard them being way off official released numbers from the companies themselves.

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LosDaddie

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#17 LosDaddie
Member since 2006 • 10318 Posts

Last gen cows loved it when the NPD numbers came out.

Oh how times have changed!!:lol:

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ramey70

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#18 ramey70
Member since 2006 • 4002 Posts
NPD may not be precise, but it is accurate.  There is a difference you know.
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#19 Grive
Member since 2006 • 2971 Posts

Ah, people knowing nothing of statistics.

Considering the amount of hard data available to NPD at a 99% confidence level (higher than the common 95%), we'd have a confidence interval of only 0.37 around the data mentioned... that's nothing.

 

NPD is accurate. It's very much so. Stop trying to defend the PS3's poor peformance. You don't see lems wailing about 174k units.

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mjarantilla

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#20 mjarantilla
Member since 2002 • 15721 Posts
You don't see lems wailing about 174k units.Grive
Lems have been used to low sales for quite some time. :P Yes, I just had to do that. :lol:
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#21 ssbfalco
Member since 2005 • 1970 Posts
I highly doubt that PS3's fly off the shelves in Walmart...
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#22 Mystikef
Member since 2003 • 5125 Posts

what people need to understand about the NPD (national purchase diary) is that it only considers 60% of the retailers who sell consoles and software to the buying public. there are many large retailers who dont report their sales to any company much less the NPD, they include

Wal-mart
K-Mart
Costco
Sams
and these are the ones i know about.

and in the abscence of that 40% of data, the NPD then has to make an estimate.....which means they are essentially,sophisticatedly guessing almost half of the retail data that they are reporting.

now im not trying to undermine the NPD and their knowledge on market trends....but i will say that their is far more wiggle room in their accuracy than people on these forums seem to think.

the reality is anyone who has an agenda to hate on another cosnole or company will find any numbers they want to justify tearing them apart. so this could very well be a moot point on my part.

but just to let PS3 owners know, that regardless of what people will tell you the PS3 is just fine, its not going anywhere, and we will all be laughing in 3 years when all of this "the PS3 is dying!!OMGZRK!!"  just seems so silly

flood

Of course, that does mean they could have over-estimated sales as well.  Inaccuracy doesn't just go in one direction.

So....  you are correct but the idea is inconsequential.

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#23 WilliamRLBaker
Member since 2006 • 28915 Posts

You need to understand that this is was an analyst firm does which is essentially what NPD is, they make estimates but the thing you all so need to learn, is that if the data at a set number of stores says the 360 is selling alot, then more then likely its the same at the stores not covered by said data, Its not like people that go to bestbuy prefer 360 over the people at wal-mart or some thing.

 

There can never be such a thing as 100% accurate analyst numbers because even the companies them selves dont have access to 100% perfectly accurate numbers, BEcause there is no such thing as 100% perfect accuracy there is all ways an abberation in the process.

So till we get a better system where said analyst firm has access to the accounts and holdings of all companies every where, then the best predictions and numbers we can get are currently from npd.

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kingsy_the_one

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#24 kingsy_the_one
Member since 2003 • 4354 Posts
It isn't selling, enough said..
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flood

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#25 flood
Member since 2002 • 1470 Posts

well th gist of my argument is we dont know.....

and in this void of "knowing" or " not knowing"

there are two things you can do.

you can just enjoy your system of choice and let the chips fall where they may.

or you can try and find data from whatever source, and then use the data to try and make others sorry for their purchase, sorry that it wasnt the same purchase you made...and then gloat and just generally try and devalue their experience to enhance your own.

the reality is all the NPD data threads dissapear the second and third year into the system wars.

the sega dreamcast was an anomally. systems very rarely fail once theyve reached the level nintendo,sony,and microsoft have.
to actually sit back and say that the NPD proves sony is in trouble, or that the PS3 may not last through 2008....would only elicit laughter from people who are actually paid to cycle through the data.

michael pachter still till this day claims based on his estimates and knowledge, that the PS3 will eventually gain the lead. the difference is hes not sitting on the forums....hes an actual professional with respected credentials who gets payed top dollar to be right. he doesnt do it to "ownzor" anyone. and he has in the past had issue w/ the way the NPD's numbers are calulated.

 

i guess im just saying to stop posting threads about sonys doom based on the NPD report, or this analyst....and lets talk about the games.

 

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WilliamRLBaker

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#26 WilliamRLBaker
Member since 2006 • 28915 Posts
so basically what your trying to do is preach to a choir that is deaf then? I applaud your efforts but they are misguided, this is system wars and no matter what the staff of GS says this place was basically to keep the rabid fanboyism out of the rest of the fourm, Its basically the spam area of gamespot, and preaching what you are will not change that.

BEcause if even half of the numbers user here or by analyst are right, then they will be used by fanboys.
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oback

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#27 oback
Member since 2004 • 7151 Posts

i believe the translation is MOO!

but the ps3 simply isnt selling up to par

Awinagainov

 

lol pretty much. damage control to the max 

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#28 Trading_Zoner
Member since 2007 • 4100 Posts

[QUOTE="Grive"]You don't see lems wailing about 174k units.mjarantilla
Lems have been used to low sales for quite some time. :P Yes, I just had to do that. :lol:

The only thing is, those aren't low sales at all for April. Especially for a console that costs 400 bucks. 

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Iyethar

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#29 Iyethar
Member since 2006 • 4660 Posts
Wow.  It's like 2001 again.
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Kestastrophe

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#30 Kestastrophe
Member since 2005 • 4354 Posts

michael pachter still till this day claims based on his estimates and knowledge, that the PS3 will eventually gain the lead. the difference is hes not sitting on the forums....hes an actual professional with respected credentials who gets payed top dollar to be right.


 

flood

There has been empirical research conducted ad nauseum about the herd mentality of analysts. Going against the consensus opinion results in closer scrutiny and if that dissenting analyst is wrong, there is typically a loss of credibility. Consequently,it is difficult to say what actual analytical opinion is. 

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#31 mjarantilla
Member since 2002 • 15721 Posts

[QUOTE="mjarantilla"][QUOTE="Grive"]You don't see lems wailing about 174k units.Trading_Zoner

Lems have been used to low sales for quite some time. :P Yes, I just had to do that. :lol:

The only thing is, those aren't low sales at all for April. Especially for a console that costs 400 bucks.

Depends on what you consider to be "average sales." IMO, selling anything below 200k is "poor sales" regardless of the month.
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#32 Iyethar
Member since 2006 • 4660 Posts
[QUOTE="flood"]

michael pachter still till this day claims based on his estimates and knowledge, that the PS3 will eventually gain the lead. the difference is hes not sitting on the forums....hes an actual professional with respected credentials who gets payed top dollar to be right.


 

Kestastrophe

There has been empirical research conducted ad nauseum about the herd mentality of analysts. Going against the consensus opinion results in closer scrutiny and if that dissenting analyst is wrong, there is typically a loss of credibility. Consequently,it is difficult to say what actual analytical opinion is.

For what it's worth, the posters at NeoGAF usually beat Pachter's NPD predictions.  This month everyone who made a prediction was more accurate than Pachter.

http://www.neogaf.com/forum/showthread.php?t=155665  

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#33 Kestastrophe
Member since 2005 • 4354 Posts
[QUOTE="Kestastrophe"][QUOTE="flood"]

michael pachter still till this day claims based on his estimates and knowledge, that the PS3 will eventually gain the lead. the difference is hes not sitting on the forums....hes an actual professional with respected credentials who gets payed top dollar to be right.


 

Iyethar

There has been empirical research conducted ad nauseum about the herd mentality of analysts. Going against the consensus opinion results in closer scrutiny and if that dissenting analyst is wrong, there is typically a loss of credibility. Consequently,it is difficult to say what actual analytical opinion is.

For what it's worth, the posters at NeoGAF usually beat Pachter's NPD predictions. This month everyone who made a prediction was more accurate than Pachter.

http://www.neogaf.com/forum/showthread.php?t=155665

Thanks for the link. I find that very interesting.  

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#34 Bdking57
Member since 2005 • 1320 Posts

 

 What you fail to understand is that Wal-Mart and Sams Club are both vendor managed companies..... i.e. Nintendo, Sony etc manages the inventory in the store and does all reporting. Walmart and Sams club do no direct reporting. I play a significant role in a major portion of USDA reporting. They dont report numbers for our market either, however those numbers are reported by me. A vendor can easily view walmarts current on hand inventory for their items... check sellthru rates etc. There are enough calculations that estimate non participating vendors sales to determine these numbers.. If you they are able to establish a ship vs sold % and apply it to the total units shipped by sony... its pretty easy to get close. I mean face it Walmart isnt going to have a 80% ship vs sold compared to a 20% at gamespot.... they are pilled up in walmart!

what people need to understand about the NPD (national purchase diary) is that it only considers 60% of the retailers who sell consoles and software to the buying public. there are many large retailers who dont report their sales to any company much less the NPD, they include

Wal-mart
K-Mart
Costco
Sams
and these are the ones i know about.

and in the abscence of that 40% of data, the NPD then has to make an estimate.....which means they are essentially,sophisticatedly guessing almost half of the retail data that they are reporting.

now im not trying to undermine the NPD and their knowledge on market trends....but i will say that their is far more wiggle room in their accuracy than people on these forums seem to think.

the reality is anyone who has an agenda to hate on another cosnole or company will find any numbers they want to justify tearing them apart. so this could very well be a moot point on my part.

but just to let PS3 owners know, that regardless of what people will tell you the PS3 is just fine, its not going anywhere, and we will all be laughing in 3 years when all of this "the PS3 is dying!!OMGZRK!!"  just seems so silly

flood
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3picuri3

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#35 3picuri3
Member since 2006 • 9618 Posts

i believe the translation is MOO!

but the ps3 simply isnt selling up to par 

Awinagainov

I thought I heard some barnyard noises. I guess the NPD figures don't count PS3s shipped to farms across the country...

p.s. Im a leafs fan, make your sabres destroy the senators. at least get them to end alfreddsons career ;)

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karicha9

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#36 karicha9
Member since 2003 • 6927 Posts

amage-day ontrol-cay.

You're right.  The PS3 is really just a massive success.  In fact, NPD is SO off, that it failed to show that the GC was the real winner last gen.

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#37 JDW_games
Member since 2006 • 1892 Posts
[QUOTE="flood"]

michael pachter still till this day claims based on his estimates and knowledge, that the PS3 will eventually gain the lead. the difference is hes not sitting on the forums....hes an actual professional with respected credentials who gets payed top dollar to be right.


 

Kestastrophe

There has been empirical research conducted ad nauseum about the herd mentality of analysts. Going against the consensus opinion results in closer scrutiny and if that dissenting analyst is wrong, there is typically a loss of credibility. Consequently,it is difficult to say what actual analytical opinion is. 

Who is the thug wanna be in your pic?
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JDW_games

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#38 JDW_games
Member since 2006 • 1892 Posts
Anyway, yeah Wal-Mart sells twice as many XBOX 360 games as they do PS3 titles. That's a fact. Look around and ask store managers. The PS3 hardware and games collect dust in their stores.
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REVENGEotSITH

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#39 REVENGEotSITH
Member since 2003 • 3938 Posts
If you included these numbers, the PS3 would look even worse (marketshare-wise).  They would have more sales, but so would everyone else and everyone else would probably have the same or greater percentage of sales. 
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#40 Riviera_Phantom
Member since 2006 • 3658 Posts
PS3 shouldn't be selling that well, it's far too expensive an dto the consumers eyes it's really an Xbox 360 but with less games ATM and a HD movie player....which very little people care about. My point is PS3's sales being low is not surprising. If PS3 sales were 150k a month i would be surprised at the stupidity of the consumers buying it. Sales will rise once the big games come out.
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#41 Kestastrophe
Member since 2005 • 4354 Posts
[QUOTE="Kestastrophe"][QUOTE="flood"]

michael pachter still till this day claims based on his estimates and knowledge, that the PS3 will eventually gain the lead. the difference is hes not sitting on the forums....hes an actual professional with respected credentials who gets payed top dollar to be right.


 

JDW_games

There has been empirical research conducted ad nauseum about the herd mentality of analysts. Going against the consensus opinion results in closer scrutiny and if that dissenting analyst is wrong, there is typically a loss of credibility. Consequently,it is difficult to say what actual analytical opinion is.

Who is the thug wanna be in your pic?

You've never heard of Mr_Sams, the self-proclaimed bad boy of gamespot? I'll try to find a link to that legendary thread. HAHAHA 

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#42 Grive
Member since 2006 • 2971 Posts

[QUOTE="Grive"]You don't see lems wailing about 174k units.mjarantilla
Lems have been used to low sales for quite some time. :P Yes, I just had to do that. :lol:

That leaves the PS3 in even worse shape, you know?Â