IcaroRibeiro said:
I don't think this is a smart strategy, at least for western europe. You should be more agressive where your competition is stronger In fact if a region should be neglected, it should be Japan, because Nintendo has no competition there, they could sell for higher margins if they want. If the sales take a hit in start, they could always catch up in future, simply because Japan right now is an underserved market Sony did that with Europe, prioritizing North America early (to compete against Xbox), and only now are offering better deals to Europe and it's working fine for them it seems As for ROW, Nintendo's pricing policy regarding software strikes against developing markets who all have more limited income to buy games, so it will remain smaller in SEA and Middle-west (PS5 is outselling Switch 2 outside Japan in Asia), eastern europe and LATAM. If they want to grown, they will need to reduce prices, right now Switch 2 is cost-prohibitive. PS5 might be expensive, but its game gets significantly cheaper over time |
Pricing is not a major factor here, the games that are popular in Europe are not games that will even get ported to Switch 2, and unlike in Japan and the US, they can't really compensate not getting those third party games to their system due to Nintendo IP being fairly minor in Europe outside a few outliers like France.
The Switch 2 price is fairly reasonable for what it offers. And if the only way for Nintendo to sell in Europe is to lose money on hardware sales, that isn't something they will do. One important factor here is that PS can easily recoup losing money on hardware sales due to the gigantic revenue they get from people playing online on PS. Nintendo gets almost nothing in comparison when it comes to subcription revenue due to its online subscription being cheap and few users play online on Switch 2.







