Following Wii U's R&D costs, 3DS's recent performance and falling Wii and DS sales, Nintendo were bound to have poorer than expected financial results. But have they overreacted to this - or was this the right decision? Find out here.
Nintendo expected to sell 4 million 3DSs and they only sold 3.6 million. How spoiled they have become after the wii that they think that means price drop.
They probably priced the 3DS too high to begin with and overestimated demand - likely due to how Wii was priced too low (the system was going on ebay for silly amounts of money when it launched to low supply). Had they launched in 2010 with less supply (but likely higher demand due to the buying season in winter) things might have been better, as they delayed the 3DS until 2011 to manufacture 4 million of them.
I get what you're saying but they over charged for the Wii out the game. Thats why they bragged that they will be making a profit on every Wii sold since day one.
"Wii was priced too low" That calculator was not even worth half what they were charging. Still isnt.
well, they got my money, lol. I haven't used it at all. Just opened it. I'm in no real hurry to sell it though. i think the Wii and DS success have given them a big head tbh. they need to eat some humble pie and give their fans what they want. they're shitting on their fans left and right... not like they haven't before... taking down websites, having their lawyers push cease and desist orders regarding people creating games based on their characters, etc... I don't know where they stand any more..
Well... They certainly don't stand in North America...
But look at how the world treated the Gamecube. I don't blame Nintendo for any moves they make. They are a business which means they have to keep the lights on. One day you little kids will understand that.
They have been over reacting since the Wii started to show decline, the 3DS was an over reaction in my book, over priced under delivered.
I think a lot of us gamers are over-reacting. People take the 3DS not selling up to their expectations as it not selling AT ALL, when in-fact, Nintendo just has high standards when it comes to sales thanks to the DS and Wii. In-matter-of-fact, I think the 3DS is selling faster than the DS did if you match the months up. Nintendo's worse is sometimes still better than Sony/Microsoft's best. (Sales)
i agree that people are overreacting, but come on... let's take N4G for an example.. most people here, including me, expected them to sell out and be on backorder... i mean I only barely noticed that they refused to change the name to give the "3DS" it's own identity. many people think it's just another DS... the same casuals fueling Nintendos power sales figures are slow to react to their newest hardware.
We're not overreacting at all. Over the while, Nintendo has betrayed core gamers--the very demographic that kept them in business for more than two decades--time and time again. In the past few months alone, they've gotten even worse. I assume you've heard the expression about burning bridges? Right now Nintendo may be has the absolute lowest reputation of the big three, and that's saying one helluva lot. The consumers that Nintendo has rejected are finally beginning to reject Nintendo (all but the most die-hard fanboys). Nintendo has literally dug it's own grave. It's silly to try and defend the many legitimate criticisms as people just "overreacting."
I honestly feel the importance of the so-called core gamer has diminished with the rise in the social acceptability of gaming. Sure we are the loudest most enthusiastic group in the gaming demographic, but what percentage of the gaming public are we. And, what are the prerequisites to be in the "core" gamer metric. If there are 87 million Wiis sold, how many of those belong to core gamers? Out of the 55 million 360's sold, how many of those are for the core fan? I don't have an answer, but I do postulate that very question every time I see the words "core gamer". I think we are important, but we are not the driving force we once were, but I feel that is the evolution of our shared passion. Maybe our receding importance is a requirement for gaming to be as popular as it has become, or maybe we were never as important as we thought we should be? Anecdotally speaking, I graduated from high school 24 years ago, and back then it was a very small nucleus of people that gamed, and if you did you fell into the nerd/geek column, and trust me that did not mean what it does now. I am happy to see the gaming industry become what it has, and am enthralled to think about what gaming will be like in 9 years when I am 50. As long as there are games that are fun, engaging, exciting, challenging, I will never feel abandoned; because, I am a core gamer, and will game until I have used up every bit of dopamine, and my myelin sheaths have turned to dust.
No if their not careful they will fall out of the console race
yea right nooblet
Nintendo just doesnt like the PSVita waving at them thats all.
I don't think the 3DS and Vita are aiming for the same audience. It's that same story as the Wii compared to 360 and PS3. Casual vs core.
Regardless of what audience they are aiming for they sure as hell dont like how Sony priced their vita with how amazing the features the vita brings gfx games support from EVERYONE. If sony said the vita was going to be at like 350-400 Nintendo wouldnt have bothered with a price drop and they wouldve sipped some ice tea on their palm beaches.
i was watching some f zero videos on youtube.. both f zero x and gx. can't believe how badly gx has aged.. it looks a mess. also, it strayed really far from what f zero was about, especially visually. in f zero x, nintendo kept the overall look of the snes game.. the barren simplicity of the tracks actually gave more pace to the game. for some reason sega cluttered gx with loads of trackside details, and made you race through interiors :/ in f zero x the presentation was great too, using comic style renders for the character selects.. wicked. but in gx you get shitty polygonal characters. I really hope they go back to that manga style for f zero. to top it all off, the music in gx is shit. f zero x was such a great game, i hope if nintendo do make another game in the series, they take it back to its roots.
maybe they knew that they made a mistake and wanted to correct it before they lose more shareholders, humans make mistakes you know.
"Are Nintendo over reacting.." Just want to point out that Nintendo as a SINGLE collective and shouldn't be used in the tense of a group of individuals. Just a pet peeve of mine...
I know, I often wonder if Subject-Verb agreement is even taught anymore.
Hell NO! Most people here know ZERO about business cause if they did they would know just like Nintendo knows that it's time to panic once your stock price falls. Every time your stock price goes down that is money lost that your not getting back. That's money lost for R&D, Advertisement, payroll, etc. Also when people see your stock going down they stop investing in your company and if your stock gets too low well then the big boys will come gobble your little company up. So Ninty slashing prices to kick start the 3DS is about all they can do but the problem is they have saturated the market with too many versions of the dam thing. It will be rough for Ninty until they get the WiiU out the door and can start making more cash on 3rd party licensing. The 3DS has just hit a wall, too much competition from Cell Phones that do more than the 3DS and plus the PSVita looks hot.
Why the hell is there a picture of jackie chan in the nintendo article?
Overreacting? I say maybe, but I don't care. Business is business. Nintendo probably didn't expect stock to drop with new WiiU announcement. They messed up showing anything or giving people ANY details on the system makes investors a little uncertain. I would be as well. 3DS is only part of the equation. Its new and high end hardware. Its a little risky for Nintendo, but it looks like a great system which will pick up pace at some point. There is no need for concern. Stock drops are expected when told we have been researching new technology.
nintendo decision was right...cause you can never be too careful or end up being the next sega........i think people online on web sites over reacted...like not the wii or ds was suppose to keep selling 500,000 a month for 6 straight years...how many ps2's are still being sold monthly
Overreacting ? Not when you're the undisputed King of handhelds,and you're latest hardware isn't selling well enough only months after launch.Facing their first ever quarterly loss in 25 years is a major issue with any company,especially when 20% of your market cap is shaved off in a small time.
They are not over-reacting. They are just reacting agressively. This is a good thing. Nintendo doesn't seem like the kind of company that tolerate failure.
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