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The reason third party software is selling bad is because it is well.. bad.

The reason third party software is bad is that barely anyone had realised the Wii was going to win when the games coming out now started production. Lots of games started production early this year, and obviously the bad ones got here first.

There's at least Umbrella Chronicles, Nights, and No More Heroes coming out for the holidays, with plenty of promising looking ones in 08 as well. I'll start being worried if those don't sell well.

I imagine lots of people are also waiting for the really big first party games, and only start looking at third party games after Brawl and Mario Kart arrive.