Microsoft discounts Zunes in desperate bid to increase anemic sales

A mere two months after introducing Zunes with minor updates, Microsoft “plans to announce on Wednesday a price cut for its flash-based models. The 4GB version will drop to $99, the 8GB model will drop by $10 to $139, and the 16GB model will sell for $179, down from $199,” Ina Fried reports for CNET.

“Microsoft is also cutting prices for several of its Zune accessories. The cuts take effect on Wednesday in the U.S. and on Friday in Canada,” Fried reports.

“Zune marketing director Adam Sohn said in an interview on Tuesday that the moves were being made to ‘ensure hopefully we have a good holiday season,'” Fried reports. “Microsoft also kicked off a new wave of TV ads on Monday that aim to get more people to download the free Zune software, even if they haven’t yet decided to plunk down for a Zune player or Zune Pass subscription. ‘We think we need to attack it from both sides,’ Sohn said.”

MacDailyNews Take: We think you’re nuts and you ought to get a real job. “Zune Marketing Director,” puleeze. You either have the worst marketing job this side of “Arctic Refrigerator Salesman” or your job performance is the worst in CE history (outside of the guy who was responsible for peddling Dell’s long-defunct DJ Dittys) – unless your job was to create a one-word synonym for “abject failure,” in which case we apologize. Job well done!

Full article here.

MacDailyNews Note: In the time it took you to read this article, Apple sold more iPods than Microsoft’s all-time total Zune sales (and we’re just barely kidding).

58 Comments

  1. “Zune marketing director Adam Sohn said … the moves were being made to ‘ensure hopefully we have a good holiday season.'”

    When your Marketing Director has trouble putting on a brave face, that’s wicked bad news.

  2. Nope, don’t know anyone who owns a Zune. Haven’t seen one anywhere besides the store. I did ask a guy at Meijers in their electronics area about the Zune, and he went on and on about how good they are, how reliable, etc. I asked him which one he had, and he told me he had an iPod. Said the Zune was a good piece, but he preferred the iPod… lol

  3. “Microsoft also kicked off a new wave of TV ads on Monday that aim to get more people to download the free Zune software…”

    Why doesn’t Microsoft include Zune software with every copy of MS Windows XPista7? Oh that’s right, it would compete with Windows Media Player. Zune really IS the Red-Logoed stepchild of the family.

  4. Why does Microsoft get so much press for pretty much *anything* related to their also-ran MP3 player, while other iPod competitors which actually *matter* in the marketplace get almost no coverage at all?

    Just some food for thought there.

  5. Whats scary is that they can keep undercutting the competition, losing millions of dollars practically forever. Eventually they’ll wear down Apple and undercut the iPods. Apple can’t afford that. It has to be profitable, they don’t have that “secret sauce” that gives them guaranteed profits quarter after quarter to feed money losing stuff.

  6. HMCIV,

    I noticed that ‘ensure hopefully’ combination, too. Granted, it’s an interview and not a press release, but that ‘hopefully’ still shouldn’t have been there. This is the man paid to exude confidence in the Zune.

  7. “You … have the worst marketing job this side of “Arctic Refrigerator Salesman” “

    I think he’s got one of the best jobs there could be; the pay has to be awesome, he’s working for MSFT for crying out loud, and if the Zune is a failure, it’s not his fault.

  8. I don’t know… I might get one if they start giving them away, but I’ll still use my iPod Touch ” width=”19″ height=”19″ alt=”smile” style=”border:0;” />

  9. Now when they start using the combination of words in question when referring to the entire corporation – Then there will be dancing in the streets – at least by me… Depending on how cold it is and stuff.

  10. A guy showed up at my beach house with one. It’s not bad. Nevertheless, I was about to trash him mercilessly. But, when I found out it was an anniversary gift from his wife (who was in the room), I had to bite my tongue.

  11. given that Apple is blowing away all the competition, shouldn’t MDN be comparing Zune sales to those of the other MP3 players out there (Toshiba, Sandisk etc.)? I see no evidence to support the claim that Zune sales are anaemic relative to their targeted competition (although i’m inclined to believe it since i have never seen a Zune in the wild either).

    Not being number one in the marketplace doesn’t necessarily mean you’re not making a successful product.

  12. ” Not being number one in the marketplace doesn’t necessarily mean you’re not making a successful product. ” Seriously ???

    This statement sounds like an apology their marketing mgr uses when his boss asks ” why did we sell so few units ? “.

    I dare MS to release their unit sales figures for the Zune. It would be an embarassment.

  13. Fantastic news! The world’s best media player is now easier to acquire—and just in time for the holiday season! I already projected Zunes to out sell dumpy I-Pods 10 to 1, but Microsoft’s generous price cuts lead me to up Zune’s trouncing of flash-in-the-pan I-Pods to 20 to 1.

    This will be a huge draw for electronics retailers and a boon for the economy. Thank you, Microsoft, and congratulations. This season’s Tickle Me Elmo is the wildly popular Zune.

    I’m a PC.

    Your potential. Our passion.™

  14. Damn! These price cuts are DESPERATE! I remember the dumping they did last Christmas season. It was nothing like this.

    I am going to hazard a guess that we are about to see the last of the anuz. CLEARANCE!

    anuz!
    My laugh of the day MDN!
    There is was all the time,
    right in front of our eyes!
    BWAHAHAHAHA!
    ” width=”19″ height=”19″ alt=”wink” style=”border:0;” />

  15. clunker sez: “Today, GM. Tomorrow, MS.”

    OMG. You’ll give me nightmares tonight.

    Imagine the dimwit government bailing out Microsoft, inadvertently extending the length of The Dark Age Of Computing. Just bite my neck, suck my blood and get it over with.

  16. I do have a Zune, bought it from woot.com as they had refurbished for 60 US$ or so. 30GB Version 1.

    I use it in my car (Middle East so damn hot in the summer) to keep my iPod Classic from being grilled.

    so far the zune is actually not too bad, wouldn’t buy it full prize though.

    Wifes comment on the Zune: Geeez, it’s ugly and boxy.

    As I said before, the zune is actually not that bad.

    Best,
    Ralf

  17. The Zune accessories market is expanding. Home Depot announced a Zune compatible depository, made from white porcellain, with a bi-partite lid, and built-in water cooling. It fits all Zune models currently on the market.

  18. A friend of mine’s son bought one. When I asked why he said he just wanted an mp3 player and that since he was a poor college student, it was cheap. He wasn’t bragging about any features.

    I suppose that is ok. Something that plays music and cheap. The value in that is that Apple doesn’t appear to be a monopoly, smaller companies can make a few bucks feeding around the fringe and few college students can listen to tunes on a WalMart quality music player.

  19. “And, BTW, all of Apple’s products make a profit. Microsoft can’t say that.”

    last i checked out of hundreds of MS products only two made a profit….

    how much do you have to over charge on 2 products to support the kind of failure the rest of MS has? a lot.

    mention that next time someone talks about how expensive Macs are.

  20. And the point is???? Apple has never cut the price of a product? Apple has never upgraded a product and kept the price the same (that’s also a price cut)?

    What an immature attitude. You should be happy there is a Zune, otherwise the cheapest iPod would be $200, and a simple thing like a bad battery would be a major fix.

  21. Imagine the dimwit government bailing out Microsoft, inadvertently extending the length of The Dark Age Of Computing. Just bite my neck, suck my blood and get it over with.

    Sadly, a bankrupt MS would be far more likely to get bailed out than anyone from Detroit.

    I can see the FUD campaign now: “If MS goes under, 90% of the world’s computers will stop working!! It’ll make Y2K look like cakewalk!! Aaaiigghh!!”.

    Slip in some campaign contributions, and Congress will happily fork over the cash…

  22. If I see one in the 5 dollar bargain bin I’ll consider it. But seriously, Gates or whoevers in charge these days should donate them to third world countries. I assume they still play music reasonably well. One Zune per child. They went to all the trouble of making them (just to try and rock the apple cart) why not do some good with them.

  23. I think I saw a UFO once when I was a kid. I have yet to see a Zune in person.

    *blows more hot air in JoshtheiMacGuy’s direction… psst, repeat to yourself, it’s just a comment section, I should really just relax* ” width=”19″ height=”19″ alt=”wink” style=”border:0;” />

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.