Abstract: Presale is a sellingmechanism where manufactures allow consumers to book their products in advance before the new products launch to market. With the development of Internet and technology, advance selling is widely used in the launch of many new products, i.e. smart phones, music, video, games and services. However, presale mechanisms are applied in different way. Two different presale scenarios are considered in this paper.-where the future sales price of new products is disclosed and undisclosed in the presale period—and examines in which one the manufacturers can gain more profits. It establishes a two-period game model of advance selling for new products and fixed-price for the original products simultaneously. It discusses the optimal purchase strategies of consumers and shows that some consumers who don’t buy new products because of high price would like to pre-order products for the price discount. Based on the consumers’ purchases strategies, it discusses the manufactures’ profits and presale strategies under the two presale scenarios: when the future sale price of new products after advance selling is disclosed and undisclosed. Finally, it considers the effects of some factors on the manufacturers’profits and presale strategies by numerical analysis. It concludes that the manufacturers can gain more expected profits when the future sale price of new products in the presale period is disclosed.

Key words: advanced selling; price discount; new product; presale