Nintendo Losing Over $1 Billion Due to Wii Shortage
By Jonathan on Saturday, December 15th, 2007 at 2:20 AM PST In Game Companies, Game Consoles, Game Platforms, Games Industry, Nintendo, Nintendo
Everyone knows the Wii is in such high demand this holiday season that Nintendo can’t produce them fast enough to keep them on store shelves (particularly those who are currently in the malls stepping over children and senior citizens to get their hands on one). And of course, this major flub on Nintendo’s part is causing a few conspiracy theorists to come up with their own explanation for the shortage. One popular theory is that the company is restricting the production of their system on purpose to drive up the hype for it. Personally, the idea of Nintendo purposefully missing out on sales always sounded ridiculous to me, and now there’s analytical data to back me up. James Lin, senior analyst with MBD Capital Group estimates that Nintendo could be missing out on $1.3 billion in sales, “It’s staggering…They could easily sell double what they’re selling.” Of course, as Nintendo is probably aware, once Christmas passes, the demand for the Wii will most likely drop dramatically. That is, unless they manage to turn Groundhog Day into a gift-giving holiday.
Via New York Times
i like chicken
oh my god i cannot beleive it, i myself have already got a wii …this a a really outstanding story..sign me up..i love nintendo
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Logically, I don’t think you can say they are actually losing anything. The shortage is what keeps Nintendo a hot item. Consumers are kind of like sheep sometimes and it’s still tough to get a Wii because there is rarely more than a couple on a shelf at one time.. I truly believe if the shelves were full of Wiis, they wouldn’t be selling out. Right now, people feel desperate to have one since they rarely show up.
How can they lose something they never had.
The person who wrote this should be a salesperson.
They may have missed an opportunity to make money but they didnt lose money.
I hope this article puts the conspiracy to rest. Nintendo is really worried that continued price drops of other systems will led them to abandon the wii. Once you miss a christmas season you can’t get it back. This is why they are doing the raincheck with Gamestop. When your customer base is old women and adults you can’t have a shortage on purpose. Best Buy had 80 in last week and sold them all off the shelves. They have had them in at least twice a month since it was released in large numbers and still sold out. So if anyone truely believes that if the shelves were full they wouldn’t be selling out is sadly mistaking. The shelves aren’t full because they have consistantly outsold every other console except the DS which is also stocked in large numbers. Never has a game system sold at holiday numbers throughout the year. If anyone knows anything about consoles the real money is made when games are sold. Why would you lose all of that money just to create a buzz. No one is going to go back and buy madden 07 two years later.
Take that, Nintendo.
I found the Wii to be a over-hyped and underwhelming, I ended up selling it…
@ License to Ill
agreed. one good game every 3-4 months is pretty disappointing. if it weren’t for smash bros. brawl coming soon, i probably would’ve sold mine by now too.
ya know, if i wasn’t such a Sony fangirl i’d get a Wii.
but you know what?
Wii
is
for
f@gg0ts
!!
LOL on Wii fanboys