xl-klaudkil said:
Cerebralbore101 said:
I just want to take this opportunity to point out something. When console sales tank in the next few years every analyst will say "Oh but the console market has been shrinking since 2005 so this is no surprise". This is similar to how "smartphones killed handhelds". But in reality, just like handhelds, its the companies sabotaging their own products that will kill the market. The 3DS was 40% more expensive at launch than the DS when factoring in inflation. It also launched with no exclusives outside of Ocarina of Time remake. Vita was a horrible joke and also insanely expensive. People stopped buying handhelds not because smartphones killed the market but because both the 3DS and Vita were way overpriced. If 3DS had launched with a 2DS XL model and Poke'mon as a launch year game it would have made the 3DS hit 100 million lifetime easily.
Anyway, we see the same sabotaging of the console market here by everyone but Nintendo. Consoles no longer have as many physical copies circulating so the savings of buying used games isn't there anymore. Consoles are no longer massively marked down at 50% of launch price. Consoles no longer have exclusives.
If a company actually supports a console with price cuts and exclusives it will sell well. Doing the opposite kills sales. |
I agree besides the nintento remark. Nintendo just destroyed the physical game market with there horrible anti consumer anti physical code on a plastic sticky gamekeycard + insanely hight physical prices of 80 - 90€ Nintendo is not a good guy. |
Nintendo is facing challenges of their own:
1. They probably will fail to make as much profit per hardware unit as they did with Switch 1, even though it's notably more expensive.
2. Their userbase being physical bias is a problem, because cartridges cost up to $17 to make in addition to the 30% retailer fees. Their outrageous physical prices are an attempt to accelerate the switch to the cheaper (and more profitable) digital. Bluray in comparison is very cheap, plus Sony and MS both have much higher digital ratios.
Decent chance Nintendo consoles' profit margins will fall dramatically this generation even if Switch 2 manages to sell 150 million+ units.
