Otter said:
Biggerboat1 said:
Companies make bone-headed moves all the time so I'm not going to assume that Nintendo have 100% accurate projections that show it wouldn't be advantageous. If the S2 Home was $229 that'd be half the price... The new demographic that you'd appeal to would be folk that are willing to spend $229 but not $450. Take any product and cut it's price in half & see what happens.
What Tesla model sells by far and away the most? Did the Model Y cheapen the Tesla brand or propel it to the most valuable car manufacturer on the planet? (I detest Elon btw). What GPU sells the most units? Which of Apple's laptops sell the most? Does the MBA cheapen Apple's brand?
Price is a massive differentiator. |
Oh I was referring to Switch 1 lol.
Again regarding price perception, why would Nintendo introduce an appealing $229 (potentially even lower profit margin to hit this price) Switch home, If they can continue sell a very similar amount of hardware at $299-$349. I do not think $229 is the price point where many just gets an extra Switch just because, especially it is less functional then their hybrid. I do think there is a market for it, and I don't think its off the table. Just don't it's especially appealing to them since they saw no shortage of people picking up Switches late in life. They do not necessarily want to offer an ultra cheap system. The same way they won't discount first party games that aren't selling much anymore (Pikmin 4 for example) |
Ah, got you. I don't see why they couldn't offer a S2 Home at that price point though (see my previous post about it surely being able to come in at significantly less than a Series S).
I think the hardware & game incentives are quite different. It makes all the sense in the world to keep hardware costs as low as possible as it then opens the flood-gates to their real money-maker, software.
We've seen them do this repeatedly in the past. Switch Lite, 2DS, lots of cheap handhelds.
We also see this all time in other product categories. Razor handles are sold cheap to then cash in on the head replacements. Same with printers & ink cartridges.
Do you think Sony ultimately offering PS2 for $99 was a good or a bad move?
