Conegamer said:
VGKing said:
Train wreck said: 3DS is barely keeping up with last year revenue total May 14 2011 88.5k @ 249 = 22.0m May 12 2012 132.1k @ 169 = 22.3m
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That's interesting. Never would have thought about that.
This is why I keep saying a Vita price cut isn't the only way to save the Vita. A price cut should be the last resort.
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As I said, Nintendo wouldn't have cut to cost so they're making a loss unless the vast majority of revenue is coming from the actual SW sales.
This means nothing.
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It does mean something though; you need to stop thinking like its 2006.
If Nintendo or Sony, it really doesn’t matter since they are both Japanese companies, shipped 30 units of a game to retailers for hypothetical sake @ 49.99 in their local currency, 10 in each region and let’s say its 2008 (~averaged 160 Euros/115 Dollar)
10 Europe @ 49.99euros = 499.9 euros change to Yen, you get 79,984Y
10 US @ $49.99 = 499.9 Dollars change to Yen, you get 57,489Y
10 Japan @ Y4,999 = 49,999 Yen
Total revenue in Yen is 187,472 total, so pretty much they are seeing 6,249 Y for each unit sold anywhere in the world
Fast forward to Today (100 Euro/80 Dollar):
Europe: 49,990 Yen; US: 39,992 Yen; Japan: 49,999 Yen total 139,981 Yen, 4,666 Yen for each unit sold
So for the same 30 units the difference because of the exchange rate is -47,491 Yen and in order to realize the same sales, you have to sell 10 additional units today. The above example is just a hypothetical; imagine when you put actual numbers in (initial cost of the game, producer price cost, shipping overseas, actual cost that retailers buy the game, not even mentioning official price cuts, component shortages). Saying that Nintnedo will recoup the lost revenue from hardware from software is an extreme stretch