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Forums - Sales - NPD: Wii software sales are more concentrated on a few titles than 360/PS3

Groucho said:
If the Wii has 2x the releases that cost half as much to make as the 360, and a much lower % of them recover a fair portion of that cost, how is it that the Wii consumer is benefiting? I can see how Nintendo benefits... but not the consumer, nor the 3rd party publishers. Consumer satisfaction is kinda important for a console's continued health, and frankly, so is 3rd party support.

An interesting hypothetical. Any proof that it's the case? And is there any data showing a lack of customer satisfaction, or an imminent dearth of third-party support?

Infamy79 said:
I think the numbers are skewed for the Wii due to the massive success of it's Top 5-10 titles. The 360 and PS3 don't have anything like MarioKart, Wii Fit or Wii Play which just keep selling at almost a direct attach rate for the life of the Wii so far.

SMG which is considered a moderate success sales wise for the Wii is about the same as the 360s Halo 3, which is about double the PS3's leading game in MGS4 and sales for that have pretty much stopped.

When you have first party titles selling 12million+ it's always going to throw out the numbers further down the table

A good point, but Mr.Stickball was correct when he pointed out that a situation where sales are monopolized by a few titles is not a healthy situation for a console to have. So far, that doesn't appear to be the case, though: the Wii's top titles are disproportionate, but they don't seem to be excluding the other titles from selling as well.

psrock said:
noname2200 said:
psrock said:

You are leaving out how many games both Sony and MS realeased as well, which i doubt can even reach the amount on the wii.  The lesser amount of games, the bigger amount the games have to share.

The amount of games released does not, in fact, compare (I don't have the exact figures on hand, but I believe the ratio is roughly 4:3:2 Wii/360/PS3).

Nonetheless, you're making the assumption that sales are evenly distributed amongst those titles. Do you have any proof of that assertion? This site's data claims that the vast majority of Wii games (the shovelware, essentially) sells proportionate to their developers' efforts. Can you refute that?

For now, it's fine, but when 3rd party starts to really invest in the wii, do you think things will change ?

The wii demographic doesnt care about high budget games, they want to have fun. I think its going to be hard to compete against the Nintendo games.

A similar argument was made regarding the DS, before it began taking off. My belief is that when the traditional games begin to arrive in higher numbers, they'll bring the traditional gamers with them. I base this belief on the history of the DS, as well as every other successfully disrupted industry.

I concede, however, that it is just a guess about the future, which is always amorphous. For now, I prefer this thread to concentrate on the past and present.

Zucas said:
nonmae- true but I think we know that mostly Wii is dominated by Nintendo's core franchises. But this is not unusual in a market for a majority of titles to dominate. Usually its well established franchises selling loads better than the rest. Well established franchises usually are a minority but always encompass a majority of sales.

Why does this happen? A few things. First, your majority buyers are mainstream buyers. Actually the funny thing is that mainstream buyers probably represent 80% of your gamers. Mainstream includes your casual gamers as some refer. The rest are your long time gamers or hobbyist. Yall call them the hardcore. Thus the mainstream buy the well established franchises and the rest buy the other good ones. NOw that doesn't mean it works exactly like that but you see the picture here.

Second, the majority of games don't get proper advertising nor are meant to gain huge sales. What we call shovelware. Sent out there to hopefully get a few thousand in sales and thats it. Sometimes games from smaller developers have similar effects like Mushroom Men. While a small percentage of games have the huge budgest and large marketing and take up the majority of sales like Need for Speed and Call of Duty.

Finally, establishing a new franchise is so difficult right now. Because the majority of your gamers are mainstream, selling a new product is almost impossible. Unless it's something like Assassin's Creed or Gears of War where it's so alike to everything else in its genre, then your not going to get anywhere. Thus these large new IPs go out and don't do to well despite have huge production value. Dead Space right now is the one that jumps out at me the most. EA has already complained about that one in similar terms.



But this is a problem in the whole industry and not just Wii, as some would like to think cough Stick. How to fix it is simply continue to make gaming more mainstream while transforming your average mainstream gamer to a hobbyist. Something Ninty has been trying since the DS.

The only part of this post I disagree with is that you place the mainstream buyer at 80%, while I would place it much, much higher. I also disagree that establishing a new franchise is any more difficult now than it's ever been: Activision's CEO once said that over 90% of a year's successful games have always been sequels or spinoffs, rather than new IPs. The difference is that now the cost of taking that gamble has risen dramatically.

Other than that, though, we seem to be of one mind here.



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It is good to know that the complete crap doesnt sell well. If you look at the wii's hugest sellers there mostly fun experiences. Mario Kart, wii fit, smash bros, mario galaxy, wii play, and the GH games those are all really fun games IMO. Plus you have games like shaun white, de blob, rayman, and sonic selling quite well too. I wouldn't say its too much of a problem.

The better games are selling so developers will know they have to make good games to make a profit.



Support good third party games on wii. Buy games like house of the dead overkill, de blob, madworld, the conduit and boom blox.

*sigh* I am not predicting the downfall of the Wii, guys. I am merely stating the obvious. 3rd party support is harder to garner if there's not as much profit/risk. This data implies that might be true. It doesn't prove that it is, and I never stated that such proof exists.  I certainly wouldn't have it on hand, if it did.

Just think about it. Don't panic over it, and demand that I "prove" an implication.



famousringo said:
I see a lot of people looking at the effect without paying much attention to the cause. There's still only one publisher who's heavily invested in the Wii, with Sega and a lot of smaller Japanese publishers just now coming on board.

The sales are concentrated because the investment is concentrated. Nobody comes close to spending as much on Wii development as Nintendo. Are they going to compete, or are they just going to let Nintendo have all the cash?

 

 This is what I was going to post, more or less.



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This is obvious by looking at the million seller list. It has less million sellers than the 360, but add them all up and you'd get quite a larger number.

On Wii, it's the same titles selling week after week, but on the other consoles, games usually drop out of the top 50 after a a few months allowing new releases to take their place.



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FishyJoe said:

The business model of some developers may have to change. They can try to compete for the top and risk losing everything, or perhaps scale back on lower budget titles that will earn a steady stream of income. Nintendo isn't going to stop making software anytime soon.

I said months ago, there will be a natural selection of developers. The poor economy is accelerating this evolution. Developers that can't figure out a way to be profitable will die, and there are many deaths coming.

 

So you're suggesting big developers like EA should have massive rounds of lay off and scale back to making indie games ?

 

I still don't get why everyone is so surprised about this.

It has been the frigging same for the movie industry for decades. Every studio get 1-2 blockbuster per year and they live on that...( and those blockbusters pay for the rest of the movies).

And I don't think anyone has ever suggested to Paramount, Warner or New Line that they should scale back and stick to making small budgets black and white movies...

PS : besides the fact that the NPD article points out that if you leave the top, the competition for the rest of the pie is actually very hard....



PS3-Xbox360 gap : 1.5 millions and going up in PS3 favor !

PS3-Wii gap : 20 millions and going down !

Create better games and stop being so F-ing stupid/lazy third parties...


Go figure.



If it isn't turnbased it isn't worth playing   (mostly)

And shepherds we shall be,

For Thee, my Lord, for Thee. Power hath descended forth from Thy hand, That our feet may swiftly carry out Thy command. So we shall flow a river forth to Thee And teeming with souls shall it ever be. In Nomine Patris, et Filii, et Spiritūs Sancti. -----The Boondock Saints

FYI, noname, assuming your numbers are correct, then we get the following numbers as average sales for 'have not' titles:

Wii: 61,892 Units/Game
X360: 66,667 Units/Game
PS3: 56,250 Units/Game



Back from the dead, I'm afraid.

Groucho said:

*sigh* I am not predicting the downfall of the Wii, guys. I am merely stating the obvious. 3rd party support is harder to garner if there's not as much profit/risk. This data implies that might be true. It doesn't prove that it is, and I never stated that such proof exists.  I certainly wouldn't have it on hand, if it did.

Just think about it. Don't panic over it, and demand that I "prove" an implication.

"Proof," as I (and many others) use it does not in fact mean that you definitively prove your case: it translates closer to "support." So I shall rephrase.

Groucho said:
If the Wii has 2x the releases that cost half as much to make as the 360, and a much lower % of them recover a fair portion of that cost, how is it that the Wii consumer is benefiting? I can see how Nintendo benefits... but not the consumer, nor the 3rd party publishers. Consumer satisfaction is kinda important for a console's continued health, and frankly, so is 3rd party support.

An interesting hypothetical. What is your support for this hypothetical actually existing? And do you have any data showing a lack of customer satisfaction, or an imminent dearth of third-party support, as your hypothetical posits?

mrstickball said:
FYI, noname, assuming your numbers are correct, then we get the following numbers as average sales for 'have not' titles:

Wii: 61,892 Units/Game
X360: 66,667 Units/Game
PS3: 56,250 Units/Game

But only if we assume even distribution of sales between all the "have-nots." Is there any reason we should do so?



Ail said:
FishyJoe said:

The business model of some developers may have to change. They can try to compete for the top and risk losing everything, or perhaps scale back on lower budget titles that will earn a steady stream of income. Nintendo isn't going to stop making software anytime soon.

I said months ago, there will be a natural selection of developers. The poor economy is accelerating this evolution. Developers that can't figure out a way to be profitable will die, and there are many deaths coming.

 

So you're suggesting big developers like EA should have massive rounds of lay off and scale back to making indie games ?

 

I still don't get why everyone is so surprised about this.

It has been the frigging same for the movie industry for decades. Every studio get 1-2 blockbuster per year and they live on that...( and those blockbusters pay for the rest of the movies).

And I don't think anyone has ever suggested to Paramount, Warner or New Line that they should scale back and stick to making small budgets black and white movies...

PS : besides the fact that the NPD article points out that if you leave the top, the competition for the rest of the pie is actually very hard....

 

I hate to break this to you, but this is already happening. EA and other companies that can't adapt quickly enough will suffer. Rock Band 2 is an example of this. Their inability to launch RB2 on the Wii probably cost EA tens of millions of dollars, much of which went to the competitor. Making stupid decisions like this will lead a company like EA to ruin.

It's not so much moving to indie projects as adapting to a changing marketplace. I'm not saying they have to scale back, however it's one possible route to take. The only thing I know for certain is that many developers will have to change their business model or they will go out of business.