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Forums - Nintendo Discussion - Do you ACTUALLY believe that Nintendo is creating artifical Switch shortages?

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I believe they could make more than they currently do but are hesitant to do so because overstocking shelves might give the impression that it's popularity has declined.



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Aeolus451 said: There's definitely a pattern and that's why there's alot talk from a lot of notable gaming journalists, youtubers, business people saying the shortages have to be on purpose because it happens so much and that it is clever of nintendo to do it. 

Yawn.

As for businesspeople, the only one I saw in the links posted was a GameStop guy offering his opinion on the Wii shortage.

In hindsight, the Wii crushed the competition by millions of units in 2007-2010. 

Do we really think that Nintendo settled for selling 17 million Wiis in 2007, but really could have sold millions more had they simply flipped a switch? What would be the point?

"Artificial scarcity" was silly back then and it is silly now. 

The only Nintendo related argument you can make here is that they're a conservative company that hates having products sitting in warehouses. That goes out the window once the product is already a hit though. 



They're at the top of every chart but want to take it easy on Sony and MS. Good guy Ninty.

This argument is still a thing? LMAO



specialk said:
vivster said:

All I can say is that it's their product and their job to produce and distribute it.

Sure. The buck ultimately stops with them.

You could say that they're incompetent for not finding a way to manufacture more, but as the Wall Street Journal speculates, the only way might be to try and outbid for components which could mean selling at a loss.

So we have a situation in which you could either say they're incompetent for not outbidding Apple, or they're incompetent at making money on their flagship product.

I'd rather look at things more holistically and say that the situation just is what it is right now.

Your excuse doesn't work. You're forgetting that nintendo has had shortages with alot of their consoles and popular products for a very long time. Either Nintendo is the most incompetent company ever when it comes to producing enough of their products to meet demand or they're doing it on purpose in a controlled manner. Neither Sony or MS have these problems with shortages at this level the vast majority of the time. 



Aeolus451 said:
KLAMarine said:

What if Nintendo is just terrible at estimating demand for their products?

I don't buy that. They've been having "shortages" since the NES. If a team of or a few employees was the reason for the repeated shortages with just one console or product, they would have been fired by any company. The shortages are fact-of-life with almost all of their hardware and popular products year round. There's definitely a pattern and that's why there's alot talk from a lot of notable gaming journalists, youtubers, business people saying the shortages have to be on purpose because it happens so much and that it is clever of nintendo to do it. If it's not intentional then it's a monumental fuck up by nintendo to let it keep happening for so long.

Uncontrolled random shortages are a bad thing but managed scarcity is a good thing if done right. There's a word of difference between the two. By all means, keep saying that nintendo is incompetent enough to keep having shortages for over two decades. That narrative is pretty hilarous to me considering that many nintendo fans act like nintendo walks on water and they always like to point out how nintendo is such a great business. 

So tell me how does one distinguish between a product being scarce because the supplier is intentionally holding back supplies and a product being scarce because demand is greater than manufacturing and supply chain capabilities?



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Aeolus451 said:

Your excuse doesn't work. You're forgetting that nintendo has had shortages with alot of their consoles and popular products for a very long time. Either Nintendo is the most incompetent company ever when it comes to producing enough of their products to meet demand or they're doing it on purpose in a controlled manner. Neither Sony or MS have these problems with shortages at this level the vast majority of the time. 

Lol. "My" excuse is what is being reported in the most respected business publication in the world. I'll stack that up against the wild speculation of vloggers any day.

And Microsoft and Sony absolutely do face shortages. When they release products that generate fervor and have high demand. The PS4 was difficult to find for months after launch. I bought my in late March of 2014 and had to call around to several stores. You can google "PS4 Shortage" to see more. The only piece of hardware that MIcrosfot has ever released to high demand (on par with Wii/PS4/Switch) was the Kinect.

And there were Kinect shortages. 



specialk said:
Aeolus451 said: There's definitely a pattern and that's why there's alot talk from a lot of notable gaming journalists, youtubers, business people saying the shortages have to be on purpose because it happens so much and that it is clever of nintendo to do it. 

Yawn.

As for businesspeople, the only one I saw in the links posted was a GameStop guy offering his opinion on the Wii shortage.

In hindsight, the Wii crushed the competition by millions of units in 2007-2010. 

Do we really think that Nintendo settled for selling 17 million Wiis in 2007, but really could have sold millions more had they simply flipped a switch? What would be the point?

"Artificial scarcity" was silly back then and it is silly now. 

The only Nintendo related argument you can make here is that they're a conservative company that hates having products sitting in warehouses. That goes out the window once the product is already a hit though. 

Since you guys just don't get what scarcity is and how it's used in businesses. I guess I'll try the explain the concept of artificial scarcity/scarcity marketing. 

What is scarcity marketing?

"Scarcity in marketing means to use the fear of shortage to sell more. 

It’s a fairly simple psychological premise. “We don’t have many Furbies left I’m afraid, you’ll have to buy it now if you don’t want to ruin your child’s Christmas” is the simplest and most extreme example.

However if we think of scarcity in terms of providing transparency about how much stock is left of a particular item, then it’s a very helpful, positive tool. 

Scarcity can also increase the perceived value of the item or service you’re providing.

Your products can become that much more precious in the eyes of a customer. The fear that there is only a limited supply will make the customer purchase faster and possibly with less thought."

 https://econsultancy.com/blog/64333-what-is-scarcity-marketing-and-should-you-use-it/

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Here's another explanation of it and how it works. https://www.entrepreneurs-journey.com/11170/scarcity-marketing/

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Here's some links to articles explaining how nintendo is using that business practice. 

https://eaves.ca/2008/12/11/wiinomics-nintendos-scarcity-strategy-keeps-paying-dividends/

https://www.pastemagazine.com/articles/2016/12/the-nes-classic-and-the-history-of-nintendos-produ.html


If you're still denying it then you're just putting your head in the sand. 

 



KLAMarine said:
Aeolus451 said:

I don't buy that. They've been having "shortages" since the NES. If a team of or a few employees was the reason for the repeated shortages with just one console or product, they would have been fired by any company. The shortages are fact-of-life with almost all of their hardware and popular products year round. There's definitely a pattern and that's why there's alot talk from a lot of notable gaming journalists, youtubers, business people saying the shortages have to be on purpose because it happens so much and that it is clever of nintendo to do it. If it's not intentional then it's a monumental fuck up by nintendo to let it keep happening for so long.

Uncontrolled random shortages are a bad thing but managed scarcity is a good thing if done right. There's a word of difference between the two. By all means, keep saying that nintendo is incompetent enough to keep having shortages for over two decades. That narrative is pretty hilarous to me considering that many nintendo fans act like nintendo walks on water and they always like to point out how nintendo is such a great business. 

So tell me how does one distinguish between a product being scarce because the supplier is intentionally holding back supplies and a product being scarce because demand is greater than manufacturing and supply chain capabilities?

Look up what scarcity marketing is and maybe look up anything on the history of nintendo's shortages. You'll see a pattern if you're being honest with yourself. 



specialk said:
Aeolus451 said:

Your excuse doesn't work. You're forgetting that nintendo has had shortages with alot of their consoles and popular products for a very long time. Either Nintendo is the most incompetent company ever when it comes to producing enough of their products to meet demand or they're doing it on purpose in a controlled manner. Neither Sony or MS have these problems with shortages at this level the vast majority of the time. 

Lol. "My" excuse is what is being reported in the most respected business publication in the world. I'll stack that up against the wild speculation of vloggers any day.

And Microsoft and Sony absolutely do face shortages. When they release products that generate fervor and have high demand. The PS4 was difficult to find for months after launch. I bought my in late March of 2014 and had to call around to several stores. You can google "PS4 Shortage" to see more. The only piece of hardware that MIcrosfot has ever released to high demand (on par with Wii/PS4/Switch) was the Kinect.

And there were Kinect shortages. 

Did I not have this "Neither Sony or MS have these problems with shortages at this level the vast majority of the time." in my post?

Where did I say that sony or ms don't have shortages?



You're twisting yourself into knots to explain why popular things are hard to find.