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Forums - Sales Discussion - Will the Switch have the greatest selling console calendar year of all time?

 

Will the Switch have the greatest selling console year ever?

Yes (+29M Sold) 19 38.00%
 
No (Less Than 29M Sold) 31 62.00%
 
Total:50
Barkley said:
javi741 said:

While the PS4 and Xbox One did get temporary boosts of sales numbers when this pandemic first started, the sales numbers now are back to reality with the PS4 still going down YoY overall. It's obviously expected to be down YoY when the PS5 is around the corner, however if the corona boost was so major the PS4 sales should be up YoY and should be selling at least around 200K+ a week, but numbers are now back to reality for the PS4/Xbox One.

Before the pandemic the PS4 was down 30% YoY (for Jan+Feb). But for the period of March-July the PS4 has been up 5.8% YoY. Sales aren't back to reality either both PS4 and XBO were both still up YoY in July.

The PS4 YoY didn't jump anywhere near 92% like the Switch did. Plus Sony's recent financial report showed the PS4 was down YoY Worldwide in the 1st Quarter which shows corona isn't having much of a major affect in sales anymore. 



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My answer on this very well may change once we know what games Nintendo has coming out for the rest of the year.

Right now I think it is very likely to break the Wii's home console annual sales record, but it will probably fall short of the DS's annual record for any system.  Switch is selling well enough that it has a shot of breaking the record, but I think it is about 1/3 likely to do it and 2/3 likely that it won't.  The pandemic did boost sales so that it is currently tracking ahead of the DS, but it is unlikely that worldwide Switch will keep up this pace for the whole year.    

I'm going off of the assumption that the only big game they have left this year is a Mario 3D collection.  If it turns out that they don't even have this, then Switch might not even break the Wii's record.  On the other hand if Switch has another big game, like BotW2 to go with the Mario collection, then it has a very good shot of breaking the DS's all time record.

In the end it comes down to what kind of software is coming out for the rest of the year, but based on what we know now I think it's going to peak somewhere between the Wii and DS which is still going to be an extremely high peak.



Voted no. I don't think Nintendo will have enough stock to sell over 29 millions. I know they are increasing production but i don't think is by that much. 



I don't think Nintendo will have the stock to do that. If they were planning on massively upping production by such an amount this year (like 50%) I think we would have heard some mention of increased production when they announced quarterly results last week.

I think they'll sell everything they get on shelves by end of year. If they don't want to have insane shortages during the holidays then they should have at least like 26 million on store shelves this year - which would still make it hard for people to buy for Christmas. I think if they get 29 or 30 million on shelves they could probably sell that assuming a good holiday lineup, but I'd be shocked if they have had the time and foresight to do that since coming into this year it was reasonable to expect sales of maybe 22-24 million Switches, not 30 million.



The_Liquid_Laser said:

I'm going off of the assumption that the only big game they have left this year is a Mario 3D collection.  If it turns out that they don't even have this, then Switch might not even break the Wii's record.  On the other hand if Switch has another big game, like BotW2 to go with the Mario collection, then it has a very good shot of breaking the DS's all time record.

I'm gonna assume Nintendo has some big sellers lined up for the holidays. Just because Nintendo is not announcing things doesn't mean they don't have stuff. Just a few months ago people wondered if they'd have zero games the rest of the year after AC and Xenoblade:DE, but Paper Mario already came out and we know about Pikmin and I think likely that Mario Collection rumor is true and I'd guess there will probably be one more popular GC/Wii/WiiU port along with a couple new games, though perhaps not a major mega selling AAA game. Mario Collection will probably be the main seller but if they do it right, like if it's an HD Galaxy Collection or a 4-game HD All-Stars style collection or maybe even two games like a Galaxy Collection and a fantastic looking 64 remake or something, then that should be desired enough to take the place of a big new AAA mega seller.

If Nintendo announces BotW2 for this holiday, a fantastic Mario Collection, and one more popular game whether port or new, then it just comes down to Switch production.



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35 million this year why not



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wohufana said:
Barkley said:

It's well documented that covid-19 has resulted in a boom to the games industry. People have been stuck at home and needed entertainment.

The other consoles have also seen increases in sales this year, which considering this is their last year is highly unusual and can only be attributed to the current circumstances.

PS4 Sales (March - July 2019)  =  4.75m
PS4 Sales (March - July 2020)  =  5.03m

XBO Sales (March - July 2019) = 1.18m
XBO Sales (March - July 2020) = 1.78m

"Generally, sales of video games have increased as a result of stay-at-home and lockdown orders from the pandemic, as people turn to video games as a pastime. The NPD Group reported that video game sales in North America in March 2020 were up 34% from those in March 2019, video game hardware up by 63%"

https://en.wikipedia.org/wiki/Impact_of_the_COVID-19_pandemic_on_the_video_game_industry

As for peoples personal finances, it must be remembered that money they would have been spending on eating out, leisure activities and other forms of entertainment is no longer being spent there. Money is being shifted from industries that are being closed due to the pandemic (cinema, restaurants, clubs, sport events) and instead in some cases being spent on video games.

Whether this video game boost eventually turns into a drought remains to be seen, as the economic damage really starts to take root. People at the start of the pandemic may have been happy to spend money on gaming, but the longer it goes on they might start feeling the pinch hard.

From a regional perspective, the Americas' labor market suffers the most. Recently, a New York Times article was titled  "7.7 million young people are unemployed." It also says "nearly 7.7 million American workers younger than 30 are now unemployed and three million dropped out of the labor force in the past month." 

Source https://news.cgtn.com/news/2020-05-29/COVID-19-leads-to-dramatic-unemployment-young-people-suffer-the-most-QSUcPNPJ0Q/index.html

 

The so-called informal economy – whether migrant, agricultural, or shift workers in the developing world, or the gig workers and service-industry staff increasingly predominant in wealthier economies. The International Labor Organization found that COVID-19 had left almost all 2 billion of them finding it precariously hard to make ends meet.

Source https://www.csmonitor.com/World/2020/0506/No-jobs-so-what-future-Half-the-world-s-workforce-on-the-edge

The US unemployment rate has risen to 14.7%, with 20.5 million jobs lost in April, as the coronavirus pandemic devastated the economy.The rise means the jobless rate is now worse than at any time since the Great Depression of the 1930s.

Source https://www.bbc.com/news/business-52591262

You cannot buy luxuries like consoles if you are unemployed. With these facts, I can say that consoles should have sold more if COVID-19 pandemic never happened. The increase in console sales is just minimal and therefore the 3 consoles should have sold more especially the Switch. Switch sales is simply a phenomenon, just admit it.

You're nuts if you think COVID19 hasn't had a large impact on consumer trends this year.

Netflix, Peloton (at home workout), Playstation all have seen record breaking revenue surges. Activision recorded their highest COD sales. Nintendo is in that group. Grocery stores are seeing record profit. Disney Plus subscriptions are way ahead of their targets.

Some businesses DO rise in a recession. When you can't go to Disneyworld like you promised the kids way back in January, a $200-$300 Switch looks awfully good to help ease their complaining. 

My neighbour's kids were driving him nuts at home all day, not even being able to see their school friends, so he bought them a Switch to save his sanity. They wanted that or a new Macbook, guess which option was a lot cheaper. The kids use it when they go on short weekend trips because they can't travel long distance this year. 

You're not taking any nuance into account by simply just looking at unemployment numbers. In general tech companies (Apple, Microsoft, Facebook, etc) have done very well under COVID19 ... the Nasdaq stock index is higher now than it was in February, before all the shut downs. Largely because with nothing to do sitting at home, the demand for personal technology and entertainment is at a premium. 

Last edited by Soundwave - on 13 August 2020

I think there's a chance but it most likely won't. I would really like if it did happen since a console selling over 30 million in a single year for the first time ever would be a cool event. A big obstacle is right now it seems like there won't be a holiday title as strong as previous years.



Why only 29 million? Seems like a small number to me.
I am not saying it will sell over 10 billion or something (probably not even 5% chance of that happening), but maybe somewhere in between.



I describe myself as a little dose of toxic masculinity.

RolStoppable said:
javi741 said:

Yes, Covid-19 has slightly inflated sales numbers for video game sales across the board. However, more evidence is showing that Covid-19 is far from the main reason why the Switch is selling 400K a week at this point and is up 92% YoY. While the PS4 and Xbox One did get temporary boosts of sales numbers when this pandemic first started, the sales numbers now are back to reality with the PS4 still going down YoY overall. It's obviously expected to be down YoY when the PS5 is around the corner, however if the corona boost was so major the PS4 sales should be up YoY and should be selling at least around 200K+ a week, but numbers are now back to reality for the PS4/Xbox One.

The Switch on the other hand is selling twice as much as the year before and selling 400K a week, no way Covid-19 was a major reason for that when the other consoles fail to replicate similar YoY growth. The far bigger reason people are buying a Switch is Animal Crossing, Animal Crossing has become a global phenomenon with many casuals purchasing the Switch just to play Animal Crossing, Animal Crossing shipped nearly 11M in Q1 alone which is mind-blowing. 

Of course COVID-19 isn't the main reason why Switch is up year over year. Animal Crossing is.

But VGC has Switch leveling off to ~350k in the two most recent weeks and with numbers of this magnitude caution is advised, because the margin of error covers bigger ranges in raw sales figures (10% off on 200k has less impact than 10% off on 400k, and continuously being off adds up to a lot). While Japan has been a constant sell-out status that kept weekly numbers high, NPD figures have declined in average weekly sales month after month. Relatively speaking, Animal Crossing is more popular in Japan than anywhere else, so this lines up (~33% of AC sales in Japan which has ~23% of the worldwide installed base of Switch).

And now Switch has entered a dry period in terms of notable new releases, so worldwide weekly sales in the range of 300-350k are more likely than the 350-400k that the DS was comfortably pushing in August to October 2008. The lead that Switch has built should be eroded by the time the holiday season starts. The DS sold roughly 12m in November and December 2008, so that will be a huge mountain to climb for Switch. Hence why I talked about hardware price in my previous post.

VGChartz now updated their most recent week of sales from 350K to 430K, so sales are far from leveling off especially with so much demand right now that Nintendo hasn't been able to meet since March, at this point the Switch's sales are determined by how much Nintendo is able to ship and not how much demand there is, since the demand has been greatly exceeding the supply for the Switch.

Plus the summer is known to be the slow season for any console when it comes to console sales since there are usually less major games releasing during that time period as companies are focusing their efforts towards their holiday titles. Also people tend to go out more in the summer and usually have less disposable income for games.

If the Switch hasn't leveled off now in the quietest part of a console sales season while selling 400K+ a week and still can't meet demand. It's never going to level of from here on out as console sales as early as September begin picking up steam as we approach the Holiday Season once consumers realize big games are coming out and have more disposable income during this period. Keep in mind the Switch is selling this much without Nintendo not even announcing much of anything in the future, once Nintendo does eventually demand will skyrocket even more,

A 12M Holiday Season for the Switch is definitely achievable, the Switch last Holiday Season shipped nearly 11M units and so far Switch sales are up twice as much as 2019 this year. While it's impossible the Switch will sell 22M in a Holiday Season, the Switch could certainly sell at or over 12M based on its pace right now, even without a major holiday title, Animal Crossing is so huge it could carry the Switch this holiday alone. So there's certainly a possibility the Switch outsells the DS's prime 2008.