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Forums - Sales Discussion - Japan: Updated with Media Create and Famitsu to Dec 28.

zorg1000 said:
UncleScrooge said:
Bad numbers everywhere. Year over year even the 3DS is down massively despite the redesign: 5 million in 2013 vs 3 million in 2014. Japan has always been the 3DS's strongest market but it will be painful to watch Nintendo's sales in 2015 / 2016 before their next generation of hardware arrives. How are they supposed to make money with the Wii U below 5m and the 3DS probably below 10m in 2015?
Vita is painful to watch, too. Japan is its only healthy market and seeing it that low is bad.
Wii U is far below Gamecube in yearly sales (GC sold roughly 1m units per year in Japan for most of its life) and that won't change next year.
And Xbox One is selling way below what the 360 did in Japan (back when Microsoft really tried to push the system).

Market doesn't look healthy right now.

For the first three quarters of the year, 3DS was trending down 50% YoY, for the last quarter it's sales were basically flat YoY so the redesign did in fact help out sales by quite a bit. Also they make money by selling consoles at a profit while also selling a ton of 1st party software along with Amiibo and accessories.


Yeah, I get that but that was not the point. A redesign always helps sales but despite this the 3DS is down massively year over year. The redesign helping sales actually proves my point - there won't be a redesign next year, so there won't be something comparable to stop the downward trend in late 2015. 

I know that's how Nintendo makes money but they have a huge amount of expenses to cover (workforce, marketing, software development, etc.) and they can't cover these expenses without a healthy hardware business. Nintendo layed off dozens of employees in its european subsidiary this year and they'll have to continue to cut costs. I get the sell the hardware at a profit but I doubt that games like Pikmin, Bayonetta, Wonderful 101, etc. turn a profit with sales that low. Low hardware sales cause low software sales. That's why Nintendo has been in financial trouble the last 3 years and this is going to get worse in the future with hardware sales dropping further. Again, I'm not trying to be overly negative here but a company as big as Nintendo needs a certain level of revenue to cover its expenses and they can't lay off their development stuff to stop the money bleeding. I'm sure they'll be fine but Nintendo has had the tendency to overestimate the performance of its products lately, so they might have to release their next handheld sooner than they think right now to keep sales up. That's all I'm saying.



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Aerys said:
Smear-Gel said:
Aerys said:
  

 

Though he is right , you dont know what youre talking about , its next week PS4 should be above, and thé fact you dont want to understand PS4 cant sell better without enough games ( while WiiU already had 2 biggest nintendo system seller, still its selling less than least year)shows your agenda ts next week that PS4

I read this last week and the week before that. 


Maybe you could try to understand what you read to argue... You could just look at the fact and see PS consoles always get a big boost for the new year

Sure dude.

 

 For a few weeks people here have been saying "eh whatever, the data says PS4 will be above next week so whatever take your obvious sort of win Wii U" and when it doesn't happen, they don't say anything and suddenly there's a new data trend for the next week. it's like saying "this is the lottery ticket that will make me win!" for 10 years and when you happen to be right and win after a hundred tickets, feel you were right all along.



These numbers are meh. I can't call them bad because it is super expected, and it's also a lost cause to keep paying attention to last year. I do hope the market gets better though, for everyone.



UncleScrooge said:
zorg1000 said:
UncleScrooge said:
Bad numbers everywhere. Year over year even the 3DS is down massively despite the redesign: 5 million in 2013 vs 3 million in 2014. Japan has always been the 3DS's strongest market but it will be painful to watch Nintendo's sales in 2015 / 2016 before their next generation of hardware arrives. How are they supposed to make money with the Wii U below 5m and the 3DS probably below 10m in 2015?
Vita is painful to watch, too. Japan is its only healthy market and seeing it that low is bad.
Wii U is far below Gamecube in yearly sales (GC sold roughly 1m units per year in Japan for most of its life) and that won't change next year.
And Xbox One is selling way below what the 360 did in Japan (back when Microsoft really tried to push the system).

Market doesn't look healthy right now.

For the first three quarters of the year, 3DS was trending down 50% YoY, for the last quarter it's sales were basically flat YoY so the redesign did in fact help out sales by quite a bit. Also they make money by selling consoles at a profit while also selling a ton of 1st party software along with Amiibo and accessories.


Yeah, I get that but that was not the point. A redesign always helps sales but despite this the 3DS is down massively year over year. The redesign helping sales actually proves my point - there won't be a redesign next year, so there won't be something comparable to stop the downward trend in late 2015. 

I know that's how Nintendo makes money but they have a huge amount of expenses to cover (workforce, marketing, software development, etc.) and they can't cover these expenses without a healthy hardware business. Nintendo layed off dozens of employees in its european subsidiary this year and they'll have to continue to cut costs. I get the sell the hardware at a profit but I doubt that games like Pikmin, Bayonetta, Wonderful 101, etc. turn a profit with sales that low. Low hardware sales cause low software sales. That's why Nintendo has been in financial trouble the last 3 years and this is going to get worse in the future with hardware sales dropping further. Again, I'm not trying to be overly negative here but a company as big as Nintendo needs a certain level of revenue to cover its expenses and they can't lay off their development stuff to stop the money bleeding. I'm sure they'll be fine but Nintendo has had the tendency to overestimate the performance of its products lately, so they might have to release their next handheld sooner than they think right now to keep sales up. That's all I'm saying.

U said 3DS down massively YoY despite a redesign, my point is that the redesign released in the final quarter, u can't expect it to offset the massive decline from the first 3 quarters of the year. If it released in the first half of the year, u would have a point but currently all we know is that New 3DS stopped a 50% YoY decline and was flat over the holidays. We have to wait and see how sales are in the coming weeks to see if the redesign will have an extended effect or was it a temporary boost.

Nintendo is expected to post a healthy profit this fiscal year despite not having exceptionally strong hardware sales because of the things listed above. It's very likely they can keep posing profits from 3DS/Wii U for the next 2-3 years until they are ready for their next-gen hardware to release.



When the herd loses its way, the shepard must kill the bull that leads them astray.

good numbers for Nintendo. Their combined sales for 3DS/N3DS and Wii U means they got most of Japan covered. People talking YoY need to remember that the tax increase also hurt all game sales there too. It affected everything.