RolStoppable said:
Yes, the hybrid SKU was undersupplied in a few countries, but that's more than offset by the Lite being in ample supply everywhere. Something like this happens when a very different new SKU is introduced and both the manufacturer and retailer have yet to figure out the demand for the different SKUs. Even if Nintendo ships 20m, that's still only 2.26m for the quarter, so still below the expected sell-through for the same period. Whatever you've adjusted today, you are going to have to reverse most, if not all of it, because otherwise the numbers aren't going to add up. It's great that you are quick with adjustments, but in this case you acted too soon. More precisely, before you knew about Nintendo's shipment forecast. If Switch sells through about 3.0m this quarter (likely, because of the Animal Crossing boost at the end of the quarter), then you risk that the LTD gap between shipments and sell-through drops to as low as 1m which obviously doesn't make sense. That error will stem from the adjustments you made today, so you can either wait three months or restore the numbers today. Is there a simple way to restore the numbers? |
No sorry but there is no way there was 2.5 millions Switch still on shelves after the holiday season even if the lite was not out of stock, their forecast was still low when clearly they were going to surpass the 18 million and then adjusted it up by 1.5 millions cause it looks good for investors. I'm sure they are just aiming low on paper for the same reason but clearly know they will do over 20 millions.
