Lazard Capital Markets analyst Colin Sebastian told Gamasutra that, while the gaming industry is currently "stable," sales figures of Activision's critically-lauded DJ Hero look to be only "modest" in the US -- an understatement in the UK. Continuing the pricing trend of peripheral-based titles, DJ Hero retails for $120 for its standard edition and $200 for its premium, "Renegade" edition. According to Sebastian, consumers are "showing price sensitivity" toward games with price points greater than $100.

In recent history, the trend of peripheral-based releases has fallen short of sales expectations. Internet-famous Wedbush Morgan analyst Michael Pachter -- along with others in the field of "professional guessing" -- recently halved holiday sales predictions for Guitar Hero 5 and The Beatles: Rock Band; after both fell short of initial sales predictions.

According to Cowen Group analyst Doug Creutz, the falling projections of peripheral games reflect both the casual consumer's decision to reduce spending on games, as well as the possibility that gamers are losing interest in the played-out rhythm genre.

When contacted by Joystiq, Activision refused to comment on the matter. With no less than three new rhythm titles on the horizon, we presume publishers hope the trend of sluggish peripheral-based game sales comes to a screeching halt; like the days of disco music and, apparently, outlining the objectives of major marketing campaigns.

This article was originally published on Joystiq.

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