Zlejedi said:
Reasonable said:
disolitude said:
ssj12 said:
He is right, the PSP isn't a failure. It successfully took over 30% of the handheld market from Nintendo which no other handheld in the history of handheld gaming consoles managed to accomplish.
|
This comment would make sense if Nintendo lost marketshare...but DS is their most successful handheld ever. So PSP didn't take anything over from nintendo...The market expanded and PSP capitalised on that.
|
Technically they did lose marketshare. I agree with you in principle the key element was an expanding market, and that volume wise DS did even better, but from a business perspective as Nintendo went from essentially 100% marketshare to less marketshare of a total bigger pot they did lose some.
Basically, PSP you would say by being in the market prevented Nintendo taking the whole expanded market available - hence the drop in marketshare.
Marketshare is the total set of potential customers and remains 100% even as the market expands, so it is possible to do better in volume sales and profits and lose marketshare at the same time - which is what Nintendo did.
|
You could argue that PSP expanded market in a way as it could have brought gamers who were traditionally not interested in Nintendo offerings in this area.
|
That is undoubtably part of it. But nonetheless marketshare as a percentage is always a portion of the total market expanded or not. On the front page the Wii/PS3/360 marketshare is shown relative to the total - the fact the Wii is argued to have sold to an expanded market doesn't change that.
It's just one of those things that in an expanding market a company can grow their volume sales and profits yet still loose marketshare to a competitor based on the latest market size.
I doubt Nintendo are that worried that PSP took over 30% of the marketshare between DS/PSP given the DS sold so well both SW and HW. 60% of a much bigger market is better than 100% of a smaller one in this case.
