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Forums - Nintendo - Nintendo Used Costly Air Freight To Get More Switches Onto The Market

RolStoppable said:
p0isonparadise said:
Did they ever do this with the Wii?

Yes.

Wonderful. 



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gotta do what you gotta do to maintain momentum at launch. It obviously meant more to Nintendo to get more of the systems in hands of people so they'd buy some software/accessories than not to

although I highly doubt at $45 cost per unit flown, that would be obscenely high for someone like Nintendo who likely would have flown thousands at a discount in a giant cargo plane.

These sort of things are exaggerated at times too though, say they sold 2.9 million in March- it probably was a very very small fraction of total units that they flew out. Just to help out in a certain market where they ended up wayyy undershipping (maybe certain regions of USA?)

either way good news really. Nintendo is actively trying to provide supply.

Also: for those who are unaware, its not as simple as flipping a switch to have a massive more amount of supply that they can affordably ship. Adjusting supply trains and factory production can take weeks or months depending on things ,production, transport, etc. Only the biggest product producers in tech can do it extremely quickly, like a Samsung who's selling probably hundreds of millions of phones a year. Don't expect Nintendo to be capable of changing their supply trains like a giant tech company might. After all, its a common problem in the game industry to sometimes fall behind demand (cough Playstation VR last year).

I'm sure the big N is trying their best. ANd in the end there is always the key of having balance. Some before launch were projecting that 2 million Switches for March was aggressive for Nintendo- and obviously that ended up not being the case. Its always better to provide a bit less than is in demand than way more though and end up getting screwed on a huge investment of capital on inventory that sits. I.e. what happened with the Wii U. better to sell through and then just do your best to adjust production for demand afterwards. 



Lawlight said:
So does that mean that they'll be making a loss on each Switch sold?

Only from the air freight shipments, the rest are all profits for Nintendo.



Jranation said:
"another Wii U"

One less letter and you are good to go



Definitely interesting, if true, then Nintendo is not being dumb by creating artificial scarcity



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But, but Nintendo is artificially creating demand!!!! Why would they purposfully take a loss by flying units by plane, lies!!!