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Barkley on 13 August 2020
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wohufana said:
RolStoppable said:
I don't think so. I doubt that Nintendo has ordered production increases big enough to reach those heights, so the more important question if demand is actually high enough for 29m+ doesn't need to be answered to begin with. But I should tackle it anyway.

The DS's price was $130 in 2008, so price was of no concern to potential customers. Switch, on the other hand, still costs so much that its price, whether that is the hybrid SKU or the cheaper Lite, is still taken into consideration. Additionally, Nintendo runs very much a longterm strategy with Switch, so they'll prioritize profitability over unit sales, therefore there's no reason to expect any price cuts this year.

Secondly, the YTD comparison you posted in the OP compares plain normal DS sales to inflated Switch sales, because we can't sit here and pretend that COVID-19 lockdowns had no influence. While the DS had consistent momentum throughout 2008, Switch is now in the phase where its sales will have to make do without a corona boost. To add to that, Nintendo's first party lineup for Switch will be low-key until the holiday title arrives, so within the next three months it should become more obvious that Switch won't challenge the DS's peak anymore.

In order to beat the DS's 2008, Europe would need to see a sudden strong uptick in Switch demand. Sales in the region had been okay for three years before Animal Crossing and COVID-19 upgraded them to good, but to beat the DS, they will need to be great

Do you have a validated research stating that Switch sales skyrocketed this year because of COVID-19? This pandemic resulted to global economic crisis that led to mass lay-off of workers and unemployment. Game consoles are luxuries and the affected people here particularly those who are about to buy a console would rather buy necessities such as foods and give priority to monthly bills. Can't we just admit that Switch is a gaming phenomenon that happens once in a blue moon?

It's well documented that covid-19 has resulted in a boom to the games industry. People have been stuck at home and needed entertainment.

The other consoles have also seen increases in sales this year, which considering this is their last year is highly unusual and can only be attributed to the current circumstances.

PS4 Sales (March - July 2019)  =  4.75m
PS4 Sales (March - July 2020)  =  5.03m

XBO Sales (March - July 2019) = 1.18m
XBO Sales (March - July 2020) = 1.78m

"Generally, sales of video games have increased as a result of stay-at-home and lockdown orders from the pandemic, as people turn to video games as a pastime. The NPD Group reported that video game sales in North America in March 2020 were up 34% from those in March 2019, video game hardware up by 63%"

https://en.wikipedia.org/wiki/Impact_of_the_COVID-19_pandemic_on_the_video_game_industry

As for peoples personal finances, it must be remembered that money they would have been spending on eating out, leisure activities and other forms of entertainment is no longer being spent there. Money is being shifted from industries that are being closed due to the pandemic (cinema, restaurants, clubs, sport events) and instead in some cases being spent on video games.

Whether this video game boost eventually turns into a drought remains to be seen, as the economic damage really starts to take root. People at the start of the pandemic may have been happy to spend money on gaming, but the longer it goes on they might start feeling the pinch hard.

Update with more NPD stats:

(Money spent on gaming in the USA)

March - 34% higher spend than March 2019.
April - Highest spend for April on record. $1.5 Billion compared to previous record of $1.2 Billion in April 2008.
May - 52% more spent than May 2019, highest spending May since 2008.
June - 26% more spent than June 2019, highest spending June since 2009.

So April, May and June all saw the highest money spent in those months for over a decade, and April for all time.

Last edited by Barkley - on 13 August 2020