This is just my opinion but I think they should. Pokemon Go is not even released in my country yet, but everyone's playing it already. It is insanely popular, and so will Mario, Zelda and Splatoon be if they have smartphone games. Not to the same extent, but they will be cheap and very popular and make a lot of money.
I don't really think most Nintendo games are worth their price tag, but I'd gladly play their games on a smartphone I already own and if they are free or relatively cheap. And most people around me agree with that sentiment, and I think with this game Nintendo might realise this.
Nintendo has built a reputation of not supporting its consoles well, the Wii didn't get many of the big third party games or a huge variety of first party games, dominated by platformers which is still true for Wii U, but it has even less third party games. Also they stop supporting their consoles very early and have weak hardware. Even if NX has a great launch lineup I don't see myself considering buying it for a few years to see if Nintendo supports it or not.
But on a smartphone I own, it would be great and I think Nintendo game are more about the social aspect which is best on smartphones because everyone has them.
I still think its great to have games like Bayonetta 2, XCX and BOTW and Nintendo needs to have more such games if they are to bring the huge crowds of gamers on other platforms to their system and if they do then I'd gladly buy a Nintendo console.