When it comes to official product launches, many companies want to control the official “street date” of their products. Also known as ship dates or launch dates, these street dates define when the product can go on sale to the general public. This is very common with books, music, movies, video games, and the like, as well as electronics and other items.

The quandary is that some retailers can sometimes choose to “break” street date, selling or shipping the product ahead of schedule. For instance, Make Money Online: Roadmap of a Dot Com Mogul by John Chow and Michael Kwan has an official ship date of May 1, but some Amazon customers have reported that their preorders have already been fulfilled and they have the book in hand. Similarly, some video game stores started selling Super Street Fighter IV last week, ahead of today’s official release date.

For the retailer, breaking street date could represent a slight increase in sales, because customers are motivated to get the product ahead of schedule. They’ll shop with that retailer rather than the guy down the street who is waiting for the official release date. On the flip side, should this retailer “get caught” with breaking the street date, the supplier or creator of the product may dish out a punishment of some kind. That’s a major risk, because the supplier may choose to no longer supply that retailer with any products at all.

On the flip side, this kind of reprimand can ultimately work against the supplier. You want to have the product available in as many venues as possible. Punishing a retailer for breaking street date by taking away the product can take away from potential sales. It becomes a double-edged sword. Punish and you’re punished too. Don’t punish and the retailer will continue to break the rules.

What are your thoughts on retailers who break street date? Simply a part of the business or a completely unacceptable business practice?