Thursday, May 22, 2014

- Nintendo doing more cut backs and slashing more prices, could this be the end?

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Once again Nintendo is as it again saying that they have poor sales and cutting prices on their products that seem to be getting the blame for sale drops. The Wii U is getting another Sales Target slash which could possibly lead to another possible price cut on perhaps future Wii U bundles.

On Friday Nintendo came out to say that they expect a 25 billion yen ($240 million) loss which is lower than the previous expected loss of 55 billion yen. The company now expects to be selling 2.8 million units worldwide of the Wii U which is significantly less than the 9 Million they estimated they would sell.

The reason why they had anticipated the 9 million in sales was because they hoped that the Holiday Season was going to help drive sale which clearly didn't really do much. 

Nintendo President Press Briefing

"During the year-end shopping season, we weren't able to life sales momentum for the Wii U," said Nintendo President Satoru Iwata in a press briefing.
Satoru Iwata then said, "The decrease in game software sales is having the biggest impact [on profit]".
"My duty, more than anything else, is to revive our business momentum," he said.

Nintendo is putting the blame on the cost for the production of the Wii U but the Nintendo 3DS was also costly and fared better in sales. The culprit is obvious the lack of titles, price point, poor use of hardware  that make the Wii U look like a accessory junk collection. The console has THREE possible controllers and the accessory Line Up is astonishing. Another issue is that Nintendo has always said that Price Point isn't the issue but it is; Mobile Gaming is affordable, fun, and lacks priority hardware. Adding on, Mobile Gaming also can now be played through TVs via Apple TV or other Mirroring Services. The key thing here being that most of it brings more functionality than just Gaming, with gaming being an alternative use of the hardware, which can't be said the same about Consoles and Handhelds.

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Lino Cordova, The Gamer Plus Network

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