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| GoOnKid said: Well I'm confused now as well, because I never spoke about revenue at all. I said Nintendo can get away with full price because the demand is very high. Revenue is calculated as units x selling price. Now when you substract the production values off the revenue you get profits, but that isn't what we were talking about. Yes, lowering the price increases the demand, but I am trying to tell you all along that the demand is already big enough to justify the full price. And again, the pricing is a strategic decision. A full price game that gets devalued after a short period of time will lead to a better performance in the short term, but it will damage the brand in the long run because at some point the customer expects this with future games as well. This is why so many gamers are waiting for price drops nowadays: they simply got trained to do so. In the long run, this strategy damages the companies much more than what they gain in the short run. |
Well, se seem to agree in every point minus the fact a 60 USD 2D Metroid can halve sales. There is absolute high demand for any game on Switch, the key point of my concern is how high is that demand. Is it enough to cross 2 million? 3 million?
I'm arguing my expectations are a bit under/a bit over 2 million, because once first/second quarter numbers are released the game sales will degrade quickly, because the pool of buyers will be already exhausted in the launch period. A price cut would then lead to bigger legs, but I don't expect them to happen, so unless in some years Nintendo release an update we will never know the cumulative sales as I don't think it will have the power to surpass 3 million, at least not before the franchise got a big jump in popularity. A Metroid Prime 4 could be that jump, but we have no idea when it's going to be released
