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I don’t think demand or popularity for the OLED model is an issue at all.
From what I’ve seen, Japan vastly prefers the higher end models of the Switch than the lower end. The main reason the Lite sold as well as it did in 2020 was because they were all out of the regular model and Japan desperately wanted to get their hands on Animal Crossing however they could.
Since then, with the chip shortages being a factor, they haven’t been able to sell nearly as much as they’d like. If they could produce 150k models a week with 75k OLED models, 50k regular models, and 25k Lite models, I think they’d sell through pretty much all of them with the only ones still on shelves being the Lite models.
The issue, like it has been for a while, is how much they are able to order, manufacture, and put on shelves.
If that weren’t an issue, last year would have sold much more than it did and this year would be higher as well.