Honestly, if you need every new Nintendo console to have an historically great first year like the Switch, just to sell you on the new hardware, then it's gonna be hard for Nintendo to keep competing. Especially when the competition can get away with 2 whole years (arguably longer) of mediocrity, and still have record breaking sales.
Yep, that's brand building. People buy the system, because they believe the games come, and publishers bring the games, because they believe the gamers will come. So self-fulfilling prophecy. Nintendo and MS have to overcome the initial hurdle themself because they don't bring that brand image.