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Shatts on 19 June 2023
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PAOerfulone said:
archbrix said:

Yeah, I think a lot of people are overlooking this effect. It’s not just an increase in those who are hyped on Zelda itself, but the idea that it’s still “safe” to buy a Switch because there is top-tier software still arriving. I think we are witnessing the benefits of Nintendo only having one system to develop for, and as a result, I believe that the company is sitting on games that are already largely finished - possibly big ones, too... like a new Mario and a DK game.

This is why the idea of Switch dying quickly after its successor releases isn’t likely either. Switch 2 is going to be fairly expensive - to the point that we’re hearing it might even debut with an LCD screen at first, possibly to keep costs down. So Nintendo is going to want a cheaper product to coexist with its new system. This is where we will see official price cuts on all Switch models, with Switch Lite likely at $149 by then.

So still plenty of sales left in Switch and plenty of money Nintendo can make off of it, even though its big teams have already moved on to the new hardware.

Only issue I see with that is Nintendo is pretty stubborn when it comes to price cuts. If they weren't willing to give the Wii U or any of the 3DS models that treatment after the Switch came out, I doubt they'd do it for the Switch once Switch 2 is out. 

Assuming Switch 2 is somewhere between the PS4/Xbox One and PS5/Xbox Series in terms of specs and hardware, that's $350/400 right there assuming they stick w/ LCD screens. With OLED, you can tack on another $50 which would bring it up to possibly $450. So the Switch 1 would be cheaper by default. 

Another factor to consider is if the Switch 2 is fully backwards compatible. If so, that just might be enough to convince people to jump to Switch 2 instead of settling for a cheaper Switch 1 to hold them over until the time and money is right again to THEN jump onto Switch 2. The lack of backwards compatibility "and not being a traditional successor" is part of why the 3DS was able to have some respectable legs, or at least much stronger than the DS, in spite of the Switch's release and instant success.

These are some good topics to point out. Nintendo understands that price, is a reflection of worth. The price is a major factor that determines the value of something. ONE of the reason for the failure of the Wii U and 3DS was the action of price drop at the beginning. There's a big difference between a low initial price, and high initial price dropping to the low. Price cut is the equivalent of saying the product doesn't meet the value of the former price, as there's no reason to do a price cut when demand is high. Price cut is done to increase or bring back demand. However, it's pointless if the product isn't known, marketed well...
By keeping the price of their software and hardware relatively the same, it shows that the worth of those products haven't changed. This builds trust with customers that their games wouldn't drastically decrease in value. By going through a price cut, it will increase short-term profit, but will severely damage the long-term. That's why Ubisoft and Square Enix suffers from sales even with great games. Their brand is damaged by their actions. Nobody wants to see something they bought, decrease in price soon later.