Finally, some official news has come out of the Google/LG camp regarding the stock status of the hot Nexus 4, albeit not groundbreaking news. Per LG, the massive shortage of the hottest device this year is due to – huge demand. Wow LG, you don’t say. I assume, however, that how you categorize that ‘demand’ is another story.
As we know, the original batch sold out in under 30 minutes, most likely due to legit demand. However, as soon as the public got wind of this hot device this close to the shopping season, it in turn opened up the market of the re-sellers exacerbating the shortage. Andy Coughlin, the head of mobile at LG UK, added, “We are working closely with Google to ensure that those who wish to purchase a handset are able to do so.”
So far, from what we know and can deduce, all signs point toward Google missing on their forecast when originally placing their orders directly through LG’s headquarters in Seoul. Hey, it happens. It’s not like Google had any past history to gauge demand using this model and price-point. It’s easy for us to play “Monday Morning quarterback,” but in the business world you’re most likely not going to hit forecasts directly on the head, especially in this case. You’re either going to come in higher than planned or lower. And, frankly, the situation they’re in now is much better than the alternative. The last thing you want is to be stuck with inventory in this economy. Google will learn from this, and should be prepared next go around. So, everyone take a deep breath. It’s going to be alright.