If you’ve been hunting for a PS5 or Xbox Series X, you’ve likely come across many “out of stock” messages on retailers’ websites. You’ll also have spotted the absolutely ridiculous prices of Sony and Microsoft’s flagship consoles on sites such as eBay or StockX.
Scalpers have ruined what should have been an incredibly exciting time with these new consoles. They have exploited people’s collective hype and the shortages of these consoles to rip off excited gamers.
While things are looking pretty bleak now, there is a way to defeat PS5 and Xbox Series X scalpers. Let’s get into it.
How Are Scalpers Buying So Many PS5s and Xbox Series Xs?
Chances are you’re pretty clued in on what’s happening with the sales of the PS5 and Xbox Series X but, whether you are or you’re completely new to this, let’s get everyone up to speed.
Who Are Scalpers?
Scalpers are people that buy up an item, limiting or removing its stock from retailers, and then resell it at extortionate prices. Though this isn’t a new phenomenon, the launch of the PS5 and Xbox Series X has brought significant notoriety to people who practice scalping.
Of the 4.5m PS5s sold in 2020, scalpers took a vast amount, with scalpers raking in an estimated overall profit of $43.2 million from reselling just PS5s up to January 16th, let alone from both next-gen flagship consoles.
So How are Scalpers Buying Up Next-Gen Consoles?
Scalpers rely on an item’s supply and demand, namely suffocating the supply and themselves meeting the demand, selling the item at least two or three times its MSRP. To do this, scalpers need to be fast. Inhumanly fast. In fact, that’s exactly how they buy up nearly all of an item’s stock when it drops.
As reported by Wired, Scalpers use retail bots, the most notorious of which—the all-in-one (or AIO bot)—scans the internet non-stop looking for fresh stock, buying it the second it’s available, at a speed which isn’t remotely possible for humans.
Besides this, scalpers search for more unfair advantages, such as buying PS5 stock before it is even live, and they even ruined the Xbox Series S/X launch day for many with their exploitative practices.
Because of their methods of purchasing PS5 and Xbox Series X stock at inhuman speeds, you can’t out-buy scalpers. But there are still steps you can take to ensure scalpers don’t win.
Hype vs. Reality: The New Consoles are NOT Limited Edition Devices
Scalpers rely on your excitement and being the only port of call if you want to buy your item. The best way scalpers do this is to buy limited edition items because the manufacturer will make no more, leaving excited customers with no choice but to go to them.
“Limited Supply” and “Limited Edition” Are Two Distinct Things—Next-Gen Consoles Are the Former.
Because of the global chip shortage because of the COVID-19 pandemic, the PS5 and Xbox Series X are in limited supply. This is a reason (besides scalpers) why Sony and Microsoft release consoles in relatively small batches that go out of stock quickly.
However, this does not mean that there’s a limited number of PS5s and Xbox Series Xs overall. Sony and Microsoft both want as many people as possible using their consoles, and so want to make as many next-gen consoles as possible.
The frenzy that occurs each time a next-gen console stock drop takes place—especially the PS5—feeds scalpers as they buy up most stock.
They want you to stay up all night, waiting for stock drops or feverishly checking stock updates, getting more and more frustrated until you finally give in and spend hundreds or potentially thousands more dollars than you needed to on your shiny new console, justifying it to yourself afterwards.
The PS5 and Xbox Series X Will Be Readily Available: You Do Not Need One Right Away
The best thing you can do to defeat the scalpers is change your approach to these consoles and understand that there’s a 99.9% chance you do not need one right now.
The more people realize they do not need a next-gen console immediately, the less power scalpers have. This way you force them to reduce their prices and stop buying up stock the second it’s released. Otherwise, it will leave them with a surplus of inventory they can’t sell.
If each stock drop excites you, and you find yourself up at night, or constantly checking stock channels, ask yourself why? Is it worth going through the cycle of stress, energy, and frustration to pick up a next-gen console that, later, you can buy as easily as if it was a charging cable? Do you really need this console right NOW?
Scalpers hope the answer is “yes”. But probably you know that it’s “no”.
That’s not to say don’t check stock channels. Some are really helpful and even report how scalping is becoming less profitable, regularly reminding you not to buy from scalpers.
However, if you find yourself obsessed and frustrated with not getting a PS5 or Xbox Series X, then it’s best to disconnect from this side of things because, eventually, next-gen console stock will be plentiful.
Should Sony and Microsoft Care?
Yes.
In fact, the PS5 is being sold at a loss, according to financial reports on Sony.net. So too are both the Xbox Series X and Series S, according to VentureBeat’s Jeff Grubb.
Sony and Microsoft make their profit, in gaming, from digital downloads of their games and DLC, subscriptions, and micro-transactions, which contributed to record profits for Sony according to a report by Forbes.
So, with scalpers buying up a ton of next-gen console stock (i.e. consoles that aren’t being used), this means that both Sony and Microsoft miss out on the potentially millions of gamers that could buy their games and subscribing to their services.
Neither company is likely going to want to miss out on this in the long-term and, despite the profits, scalping still poses a problem for them.
Get the Most Out of Your Previous-Gen Console
A perfect way to get your mind off this whole situation and give scalpers less attention is to make the most of your previous-generation console if you have one.
For the PS4/PS4 Pro, frankly, this couldn’t be a better time. There’s a multitude of sales, regularly updating on the PlayStation Store, meaning you can pick up some of the best games of last-generation at all-time low prices and introduce yourself to new genres and franchises.
On Xbox, Game Pass gives you access to hundreds of games, which should keep you going on your Xbox One/One X/One S, with a variety of great games to play on Xbox Game Pass right now.
With lots of content at low prices, you could have hundreds of hours’ worth of content, all for a fraction of the price you’d pay a scalper.
Patience Will Beat Scalpers
It can be hard, especially during a pandemic, to keep your mind off the PS5 and Xbox Series X, but buying from scalpers isn’t the solution, as this gives them more reason to keep doing what they do.
You can defeat scalpers by not buying from them, depriving them of the attention they so desperately crave, leaving them with no choice but to keep on lowering their prices.
Even then, practice patience and buy from retailers, securing your next-gen console safely and not a cent above $500.