How hasn't GTA V saturated its market yet?

Lmao Bayonetta isn't a failure. It just never had a chance. Bayonetta 1 on PS3 was a catastrophe and 360 people didn't really care. It was a big hit on Stream last year when it came out tho. 

Bayonetta 2 came out exclusive to a console with a ridiculous install base, terrible ecosystem and the audience target was clearly not the one playing Bayonetta. The game didn't do terribly tho.

Now on Switch, even tho it's a port, I really think the game will have decent sales and long legs when come Smash bros and Bayonetta 3. I expect Bayo 3 to be a multi million seller game.

Same reason PS4 and XB1 keeps selling. People buy the game with their new consoles...

Because there are people that like these types of games and will gladly buy them. Bayonetta is not a "failure of an IP" and not everything needs to be a mainstream hit. I for one am happy that Platinum works on excellent titles like Bayonetta, Vanquish, Nier Automata, Wonderful 101, etc. Platinum games was founded precisely so that they would not have to do what you are suggesting (abandon the IPs and games that they want to develop in favour of mainstream games). Capcom hired people like Kamiya to make new IPs, the new IPs that were created as a result, like Okami, were very well received but were not mainstream and so Capcom ended this effort. As a result, people like Kamiya that wanted to continue creating these types of games left Capcom and started Platinum. If they went down the road that you want, they might as well have stayed with Capcom doing sequels to mainstream franchises. 

Nier Automata was a smash success though. Not sure why you're mentioning it with those other titles.

Completely agree. It is true that a single niche title does not have that much in the way of system selling power, as say a mainstream title. However, as you accumulate more niche titles that target different audiences, then the number of people that purchase your system to play those games starts adding up.

my mistake with the reply, still getting used to the forum

Seriously? drawing sales conclusions with just 4 days and without official world wide data? This is still a port. In addition, the sales of this game will have great legs, as bayonetta (lol). 

Well, while I won't say Bayonetta IP is a failure, it's far from what it could have been. If the game had had development focused on ps3(where it sold most) instead of 360 it could've been a successful multiplatform game for ps4 and xbone at the beggining of this generation. A good alternative for DMC.

It's a good thing nintendo saved the game but the Wii U limited it's sales greatly

That exclusivity deal Nintendo struck with Platinum, made Bayonetta a commercial failure. The series, like the first entry, belongs in all platforms. Nintendo has always been about Nintendo. Third party exclusivity on a Nintendo console is ill advised.