They aren't going to sell it without the gamepad. It would surprise me greatly if they went that route. What they can and should do, however, is to add a Wii-mote to the system and re-market the thing with a much greater emphasis on it being a "Wii 2". The gamepad is not bringing in casual interest at all, so you can drop that from parts of the advertising mix. The most pressing concern is getting the console into homes--after that, then you can go back to advertising casual Wii U games that use the gamepad.

This is what I would do: first, develop casual-focused motion control games and advertise them in family-oriented formats, and second, continue to run gamepad-centric ads in formats that appeal to the core demographic. Having the two different styles in a Zombi U/Fruit Ninja mash-up is a mistake. Get that Wii-mote in there and separate the campaigns. Define your targets and go after them with a tailored approach.

#1 and 2 will definitely be fixed, #3 will be harder but I believe nintendo will release some games that use the gamepad in unique ways, I expect mario 3d to utilize this, and will give it a better reputation

1. Price they should drop the deluxe model to $300 before the end of the year but that is about it as far as price cuts go.

2. Games, a big liability that Nintendo seems to have let themselves walk right into by not devoting enough resources into having software built for the system ready at launch. With the N64 and Wii those systems survived early droughts due to have innovative one of a kind software that would revolutionize the industry. The Wii U just has ZombiU and Nintendo Land, neither of which was actually promoted that well or compares to some of the other software available. They need something good and fast, honestly I hate to say this but a few cross platform games with the 3DS could probably help. I figure a digital release of Ace Attorney 5 or some other high profile 3DS title would move systems.

3. Couldn't disagree more about the Gamepad being a problem. Aside from issues like not having the option of buying one separately or games that allow for local dual gamepads the device itself is pretty good. It may scare some casuals but the benefits are there and better then just having the standard Wii remote as the default controller.

Why? Why is the gamepad so intimidating to people? Is it something I am not seeing?

Point #3 isn't analogous to the 3DS situation.

Unlike the 3DS, in which the 3D aspect wasn't integral to the experience, the Gamepad is the main selling point for the WiiU. Without it, all three next gen devices are network enable boxes with built-in motion controls. That would make the Wii U less compelling in relation to it's competitors due to lack of differentiation--the key selling point for the Wii. Plus with the rise of the Kinect in the wake of Nintendo's withered Wii support, Microsoft is positioned to box in Nintendo if they try to edge back towards the motion control angle.

With the 720, they'll have a box with built-in Kinect far more powerful than the Wii U. On the cheaper side, Microsoft can do their own price cut for the 360. The Kinect bundle is already the same price as the Wii U, and can be found for even less if you look around; a matching price from MS will keep it that way for at least the next year or two.

If Nintendo does make the Gamepad work, though, they'll be able to carve out an advantage with experiences the other two consoles aren't built to match. That seems like less of a gamble than hoping their take on motion controls will stand out more than the other 5 current and next gen consoles. The PS3 and 360 will most likely have more staying power than the PS2 did, so just being a cheap console with motion controls isn't going to help much this time.

Moving back to the Wii Remote would be a bad idea in my opinion. The motion control "revolution" seems to have failed (seeing as 7 years later, most games are still based around sticks, buttons and touch/mouse controls). The casual audience it did appeal will probably be unlikely to upgrade to a console that provides the same experiences as their current one, but in HD. They brought it for the motion controls and the active style of gameplay (sports/fitness/dancing) that it provided. And now that Microsoft is pushing Kinect, there is little that Nintendo can improve on in that area that would have the same impact as either of them (That I could imagine anyway).

What's this game?

N has to cut the price this year before PS4 gets out. The games are a big problem, cause they are clearly struggling with HD games. The titles everyone is talking about will probably come out 12-24 months from now and that will be too late to save the system. Just forget about 75 million units sold, that's science-fiction. Right now 45 million consoles sold would be a huge success for Nintendo.

Personally I can't see why casuals would find the GamePad overwhelming. They use tablets on a daily basis, so why would a tablet with a couple of buttons scare them away? I think GamePad is cool and is one of the reasons why I plan to buy a Wii U. Once I find it for 150...

baten kaitos from monolith soft; the guys behind wii's xenoblade and the upcoming project X.  i never played it but i had heard good things.  i think this was considered 2nd party at the time but it was published by nintendo.

while i tend to agree i have to say i also don't get why casuals are overwhelmed by MSony's gamepad (aka pro controller).  but regardless  of my understanding the facts remain facts,.. many people are very intimidated by it.  while tablets are used on a daily basis near as i can tell no wiiU game is 100% controlled by the touch screen meaning any intuitiveness of the touch screen is eliminated by the nessesity of the analogs and buttons that are somehow scary and intemidating. 

I don't know why Off-TV Play isn't compulsory, at least for any game that can support the Pro Controller. Like you said, it is an appealing feature and is easy to convey the benefit in advertising. But they already got in trouble for advertising it in the UK because it isn't used in the majority of games. They should have learnt from the PS3 Remote Play, which was seriously underused. Sony have, what with it being required for every PS4 game.