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April 26, 2008 |

Why Nintendo is right not to lower price of Wii & DS

By Dave Parrack





Why Nintendo is right not to lower price of Wii & DSYesterday, Nintendo signalled that it wouldn’t be cutting the price of either the Wii or DS over the next twelve months. While the news may disappoint those that haven’t yet succumbed to the mainstream appeal of the consoles, I think Nintendo is right to gold prices where they are.

The indication of no price cuts, a move which bucks current trends for at least one cut in price for a games console every year, came at an analyst meeting. As Nintendo President Satoru Iwata said:

“Our earnings projection for the year is not based on hardware price cuts, and I don’t think we are going to need them.”

Damn right Nintendo doesn’t need them. Why would they cut the price of the hardware when it’s still doing phenomenally well for sales, having beaten the collective sales of both the PS3 and Xbox 360 in the U.S. during March?

Not only that, but Nintendo has recently announced stupidly high profits for the last fiscal year, making $2.5 billion as a whole over the year. When the model seems to be working that well, why change it?

The Nintendo Wii has been the same recommended retail price since its launch in November 2006, while Sony and Microsoft have both felt the need to lower the prices of the Playstation 3 and Xbox 360 respectively in an attempt to bolster faltering sales.

Part of the genius of the Wii is that it launched at an already astonishingly low price, which immediately helped cement it as the console of choice for mainstream gamers. The PS3 and Xbox 360 meanwhile, launched at prohibitively high prices, and have only now become a genuine possibility for more than the most hardcore of gamers.

The DS, while seeing demand drop off slightly, is still selling well worldwide, and again, is low enough in price that a drop probably wouldn’t have any impact on sales at this point in time.

The success that Nintendo has enjoyed during this generation does make me wonder if Sony and Microsoft will take a leaf out of its book, and try and mimic the strategy next time around. That would mean cheaper hardware for us all, and games open to more people. Which is surely a good thing for the industry.

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    7 Responses to “Why Nintendo is right not to lower price of Wii & DS”

    1. Arvis:

      Actually, it’s a terrible thing for the industry. Nintendo didn’t take a step forward with the Wii console, it took a step off to the side. In a direction that I, as someone who has been gaming for 20 years, never EVER wanted the industry to go in. I don’t want “more accessible” gameplay, or games that “appeal to the masses.” I want my niche, my hobby that I have grown up with, and my small circle of friends that “get it.” How is mass appeal good for the industry? If all three consoles in the next generation thrown on some gimmick that makes their games almost unplayable, then I won’t even bother upgrading, I’ll just catch up on all the old games I never got around to. I want IMPROVEMENTS, not half-assed attempts supported by ONE marketable idea.

      And the lack of any price cut, while good business, proves once again that Nintendo is still the same ham-fisted monopoly they once were.

      Sorry if this opinion offends anyone.

      -Arvis

    2. DaveP:

      You want to continue to have a niche hobby, and be in a sort of clique with other gamers? I don’t personally share that view. I want new people to join in, as it means more money will be swilling around the industry.

      I’m not condoning Sony and Microsoft going gimmicky next gen, but making affordable, easy access, fun gaming possible.

    3. MSgt B USMC:

      Not exactly sure what your niches are, but the games are still on the console, if you look close enough. No, they are not bleeding edge graphics, or even slightly oozing blood graphics, but they are enough to enjoy games. Do you own a Wii?

    4. Arvis:

      I do own a Wii, actually, which is why I know I wouldn’t want all the consoles to model themselves after it.

      The Wii has some games I love (Zelda, Fire Emblem, Smash Bros) and some more I am looking forward to (Mario Kart, Animal Crossing). But the majority of games on the system are embarassing, and 3rd parties can’t do anything at all with it.

      I know I sounded like a crazy person in my first post, but the reason that I would like gaming to try and avoid being totally mainstream is to keep the “casual gamer” from having any kind of influence on the industry. Casual gamers think that Wii Sports is the best thing ever, and if gaming ever gets to a point where THAT sort of game is the standard, then I will be a sad sad man. Look what mainstream success has done to the likes of MTV. *shudder*

      So, short answer, yes, I own a Wii and I like it, but I would not be satisfied in the slightest if it was the only console I had.

      -Arvis

    5. MSgt B USMC:

      I feel the same with the 360 or just about any console I’ve had in the past. I was stuck in the “achievement” mode of playing games, and even if it extended gameplay or made me play in a way that I had not played before, I found myself playing less than quality games just for the sake of achievements and gamerscore. Thankfully, the RRoD actually saved me from being pigeonholed into that mode of playing and forced me to go back to the PS2 (simply because I couldn’t find a Wii).

      Two weeks later I had the 360 back, but haven’t really touched it. The exception will be when GTAIV comes out.

      The last thing I would want as a gamer is to be forced to use any one console, regardless of how great it was. Each one is unique and provides competition to keep the other contributing.

      Mainstream can be a downer sometimes, especially for the hardcore, but it definitely expands the market and also allows more room for the hardcore games at the same time.

    6. darkwhitehair:

      I love playing the Wii.. I love playing the games it has… most of which are 1st party games..
      as I see it… Nintendo is familiar with the technology.. they know how to use it to the optimum level.. the 3rd party developers dont and doesnt want to know (because theres more money in making games designed after 360 and ps3 than just the wii) thats why the Wii isnt being pushed to the limit.. and all the good games are made by nintendo…

      I wanted this gen to be about gameplay… I have had enough of people glorifying graphics… I wanted something new… and I got it… problem is… its not being utiilised properly… I would enjoy playing slasher games on Wii a LOT more than playing on the 360 or PS3… but it doesnt have proper slasher games.. the game Red Sword or something…(dont remeber the name) it was amde by ubisoft… that shouldve been a great game… it had shooting and you could weild a katana… but the devs got the dev pack too late and didnt have enough time.. thats why the controls were not good and not polished…

      I guess we have to give Wii more time.. so the devs can make more games with less shoddy controls… we need a little more time… god of war wouldve been cool to play on the wii…

    7. MSgt B USMC:

      I agree about more time for all the consoles, the war really is never over until they stop selling or the next gen comes out; but sometimes not even then, considering PS2’s stamina. Don’t rule out a version of GOW on the Wii, it just may take a few years. It’s definitely possible though, considering Chains of Olympus played well, even though it was short.

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