Price Cut Announcement Halves 3DS Sales

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Price Cut Announcement Halves 3DS Sales

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Nintendo's recently announced 3DS price reduction has cut current sales by half.

It's no secret that the 3DS hasn't been doing particularly well. A lack of noteworthy games, including the rather obvious absence of a Mario title at launch, some poor design decisions and paranoid rumor-mongering about how the device's vaunted 3D effects might set people's eyeballs on fire, certainly haven't helped sell the system. Last week, in an effort to get the 3DS off of shelves and into consumer hands, Nintendo announced a very dramatic price drop, less than six months after the handheld's release. Rather predictably, 3DS sales in Japan have plummeted as potential customers wait for the price drop on August 12th. Last week Nintendo sold just 16,415 units, a near 50% decrease from the 31,826 sold the week before.

While savvy customers are obviously going to wait the extra week for a full $80 dollar discount on the hardware what of the remaining 50% still buying the thing? Either they're unaware of the impending price cut, or they're looking to take advantage of Nintendo's 3DS Ambassador Scheme, which offers 20 free games, cribbled together from the NES' and GBA's library, to customers who purchase the 3DS before the price cut. A poll of current 3DS owners on popular Japanese gaming blog 4gamer suggests it may be the former, as a large proportion of the 6468 respondents indicated that the free games did little to increase their "appreciation" of the 3DS. Over 30% of current 3DS owners claimed that the Ambassador program did little to remedy their "anger or regret" regarding the price drop.

The poll also gave some indication of why Nintendo's latest handheld isn't selling in the first place.

  • Nearly half of the respondents said that they thought the 3DS' current game line up is anemic and, despite the promise of future titles, they are still "disappointed" with the system.
  • Of the respondents who don't currently own a 3DS 42.1% cited the lack of games as their reason for not owning one and only 5.4% said the upcoming price drop has convinced them to buy the system.
  • 15.3% of those without a 3DS were miserable gits, and said they wouldn't purchase a 3DS regardless of price.

Nintendo President and CEO Satoru Iwata has already apologized both for the 3DS' poor sales (taking a 50% pay cut in the process) and the controversial price cut. A recent Nintendo product isn't selling and a CEO has apologized to customers for his company making its products cheaper? If that isn't proof we've slipped into some kind of terrible parallel nega-dimension then I don't know what is.

Source: Gameindustry.biz and Feitclub

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=( I'm a miserable git.

I think I shall wait til they release the second addition 3DS, like what the DS lite is to the DS, before I will get one...

bladester1:
I think I shall wait til they release the second addition 3DS, like what the DS lite is to the DS, before I will get one...

Then you might was well wait for the 3DSi... or the 3DS{new gimmick} after that. Same story as apple products.

Nintendowned?

Very few people I'm sure don't give a shit about console gimmicks and just want a good experience with their console gimmicks or no gimmicks, I'm calling this payback for the Wii.

Listen up nintendo:

YOU NEVER ANNOUNCE A PRICE DROP IN ADVANCE!

Just suddenly drop the price. This free-games scheme is a good program to tide people over who bought at the inopportune moment but this is just screwing everything up.

But 3DS's problem is more than hardware cost, it is software cost.

$40 is TOO MUCH for a handheld game! Especially with the current quality of games on 3DS, you know damn well if they charge $40 for Steel Divers then they are going to charge $60 for Mario. Take a queue from steam: half the price -> quadruple the revenue.

So people aren't paying extra money they don't have to? I am shocked, lol. of course no one is going to be buying a 3DS right now, smart people are waiting for the 12th.

Well there are already rumors of a second price cut to $99.99 for christmas so waiting seems like a good idea.

Treblaine:
Listen up nintendo:

YOU NEVER ANNOUNCE A PRICE DROP IN ADVANCE!

Just suddenly drop the price. This free-games scheme is a good program to tide people over who bought at the inopportune moment but this is just screwing everything up.

But 3DS's problem is more than hardware cost, it is software cost.

$40 is TOO MUCH for a handheld game! Especially with the current quality of games on 3DS, you know damn well if they charge $40 for Steel Divers then they are going to charge $60 for Mario. Take a queue from steam: half the price -> quadruple the revenue.

Agreed.
The only way any sales will happen between announcement and drop is if people haven't heard the announcement. And if about-to-be buyers aren't hearing news about your product, you're doing marketing wrong. The only surprising thing about this news is that they've only dropped by a half...

I hope the Wii U does better than this. I think what people are truly upset about is the quick lack of support for the wii. The fact that only a handful of titles are actually good on the wii plus the fact of thousands of crappy shovelware made, in my opinion, turned many people away from Nintendo afterwards. In addition, due to the lackluster line up and the awful eyestrain, I'm not surprised in the slightest by the 3DS' poor performance. Many of the titles set to release should just be ported over to the wii because there are many more Wii owners the 3DS' owners.

Along with that I believe that the market is saturated with all these gimmicks when all people want to do is just sit down and have fun. Sure the Wii had casual appeal but that appeal is quickly, if not already, disappearing. What Nintendo needs to do is after the launch of the Wii U is sit back from the console market for a while and just take a look at the technology around them. They need to take a while to truly see if consumers are looking for "innovation." If the answer is yes, then Nintendo can take that next step into the field of new technology and combine that with the hardware and processing power of that generation to make something the public will truly enjoy.

P.S. I really hope they port Luigi's Mansion 2 onto the wii I've been looking forward to a sequel forever.

Totally called it.

This is rather annoying. No matter who you are, there has to be games people want. I love Street Fighter 4, but I have it on my PS3. I don't need to play yet another edition of Ocarina of Time. I would gladly buy the system for games that I want, but there are none. The Wii's appeal out of the gates were it's ample supply of first party titles. This had none coming out of the gate, and the followup lineup is not going well for it either. The idea of 3D gives me a headache. I'll not play a game with 3D on. And while the price drop is awesome, there are still no games for it. If I make ashtrays out of dog shit, no matter how much I lower the price, I'll not sell them, because no one needs ashtrays made out of dog shit. No one needs a game system there are no games for.

Also, the anti Nintendo talk is just annoying. I dislike Sony because they shit on customers, there are too few exclusive titles I care about to own a 360, and if you didn't like the Wii because of it's dated tech and lack of quality third party support, that all makes perfect sense. But to hate a company just because they are who they are, that is just stupid.

Edit: Also, it is conceivable that the group of people who wanted the 3DS from the start is probably coming to an end, now you MUST RELEASE more games. This could also mean that the correlation is mere happenstance, and not indicative of what this article is pointing out. Correlation =\= causation.. and all that intellectual rubbish people like to throw about.

Price drop is the 12th. Payday is the 15th. If there are any even left, then I'm buying on the 15th. And like commentators have said above, the games could use a price drop.

I am reading a lot about Japan and North America price cuts, are they not cutting the price in Europe too?

Quellist:
I am reading a lot about Japan and North America price cuts, are they not cutting the price in Europe too?

From what I was reading apparently they are going down to somewhere around €180.

Veloxe:

Quellist:
I am reading a lot about Japan and North America price cuts, are they not cutting the price in Europe too?

From what I was reading apparently they are going down to somewhere around €180.

Ahh thats good to know, hmm....nah still gonna wait to see if Layton vs Phonenix Wright comes out before i buy one :D

I'll buy one when the price drops to about the same as a DS and I have enough to get OoT with it. (so by christmas bout and around.

Well, I was only interested in the LovePlus 3D for the console, and considering it's not going overseas and that piracy seems to be screwed... Looks like it's just not for me.

Treblaine:
Listen up nintendo:

YOU NEVER ANNOUNCE A PRICE DROP IN ADVANCE!

Just suddenly drop the price. This free-games scheme is a good program to tide people over who bought at the inopportune moment but this is just screwing everything up.

Good point.

I propose a possible explanation of their logic here:
Perhaps Nintendo was weighing cost of the Bad PR they would have received for quietly dropping the price after people had bought it. By announcing it overtly, Nintendo also purchased the power to assuage the wrath of early adopters BEFORE the press could chew them up.

Remember, reputation is at a premium when a system is still new; the more people who aren't bad mouthing you the better.

This Christmas will be make-or-break time for the 3DS; building goodwill now (because the 3DS is honestly not worth the cost now) pays higher dividends later.

I'm guessing that was Nintendo's strategy; whether it works or not I leave for this Christmas.

Give me good games, and I'll give you a reason to buy the system. Until then I'll hold out on buying one. Possibly for a very long time.

15.3% of those without a 3DS were miserable gits, and said they wouldn't purchase a 3DS regardless of price.

I'm one of those miserable gits.

*Taps foot while waiting on PS Vita.*

Marudas:
=( I'm a miserable git.

Me too, we should start a club. The only way I would "buy" one is if Nintendo started handing them out for free, or better yet paid me to take it.

I'm still waiting for new colors. Japan has red so I may break down and import that one for my foreign gaming needs but I know they should be announcing new colors at some point in the not too distant future.

"15.3% of those without a 3DS were miserable gits, and said they wouldn't purchase a 3DS regardless of price."

Well, that's a lie, technically... I would buy it for anywhere between $0.01 and $40. Just Nintendo isn't budging on this overpriced issue and coming down to my miserable git level :P

Probably the only reason why I haven't bought a 3DS myself is because I don't need to to play the games I want; Pokemon's about the only game series I still play on my handheld, other than the recent 'Solatorobo: Red the Hunter'.
It does make me wonder, what would of happened if Pokemon Black and White we're one of the 3DS's launch titles, instead of being on the original DS, would more people have bought it? 'cause it certainly of could used a bit more 1st party games that people could recognise.

Well, Nintendo, draw me in. $80 price cut? Great! Any games to play besides Ocarina of Time? No? How about that Paper Mario you promised last year? Where's that? What's that you say? 2012? Well, guess I won't be picking one up, price drop and all, until you entice me with a game I want to play. I already own Ocarina of Time, twice over, and Master Quest to boot. You're gonna have to give me something else. Pilotwings just won't cut it.

It's common sense that people are going to stop buying the 3DS when they know a price drop is coming. I'm sure the sells are going to go through the roof after the 12th, and more so once a Mario game comes out.

Also: lol internet polls. They're absolutely worthless. I can't help but to laugh when people cite them.

personally I just wanted mine for the 2 resident evil games. I have the first, (waiting on the second) but no other games yet. Im waiting for mgs3 (even though i finished it way back, I only borrowed it so its good for me :)

already own ocarina of time twice... pilotwings is tempting because its cheap and i LOVED 64... but, i dunno... its not the same thing really...

ill probo get starfox 64 aswell but in honesty I am looking forward to the unique titles.
This was also the major problem with the psp at launch there was nothing on it but ports.

I got the system as a gift, so no skin off my bones. I still get the free game benefits and whatnot, so I could really give less of a damn. The inevitable semi-successor to the system is more likely to be an XL version rather than a Lite, seeing as the creators have been quoted as saying that they pretty much maxed out to make it as small as they could get it right off the bat.

It's a no-brainer that the sales have gone down so quickly, but that fact that they have is a surefire sign that they'll sell like crazy once the price drop does come.

As for the game prices, I believe all games should be cheaper in general. Given the current quality of the system's games, I wouldn't hold my breath for having them any cheaper.

What was I expecting from a system with an overdone gimmick that's worth fuck-all, a scarce selection of expensive games, some of which are plagued by bullshit save protection, and a ridiculously stringent region locking?

Treblaine:
Listen up nintendo:

YOU NEVER ANNOUNCE A PRICE DROP IN ADVANCE!

Just suddenly drop the price. This free-games scheme is a good program to tide people over who bought at the inopportune moment but this is just screwing everything up.

But 3DS's problem is more than hardware cost, it is software cost.

$40 is TOO MUCH for a handheld game! Especially with the current quality of games on 3DS, you know damn well if they charge $40 for Steel Divers then they are going to charge $60 for Mario. Take a queue from steam: half the price -> quadruple the revenue.

So true. I find myself dissuading myself from buying a 3DS game on the grounds that it's not worth 40$ for 3D. I'd rather just buy a DS game.

Atmos Duality:

Treblaine:
Listen up nintendo:

YOU NEVER ANNOUNCE A PRICE DROP IN ADVANCE!

Just suddenly drop the price. This free-games scheme is a good program to tide people over who bought at the inopportune moment but this is just screwing everything up.

Good point.

I propose a possible explanation of their logic here:
Perhaps Nintendo was weighing cost of the Bad PR they would have received for quietly dropping the price after people had bought it. By announcing it overtly, Nintendo also purchased the power to assuage the wrath of early adopters BEFORE the press could chew them up.

Remember, reputation is at a premium when a system is still new; the more people who aren't bad mouthing you the better.

This Christmas will be make-or-break time for the 3DS; building goodwill now (because the 3DS is honestly not worth the cost now) pays higher dividends later.

I'm guessing that was Nintendo's strategy; whether it works or not I leave for this Christmas.

The like $100-$150 in free games isn't too bad either. I have been looking at the prices for the DSi Store and the Virtual Console those games are not cheap.

Good heavens, I really don't like Nintendo. I sincerely hope the 3DS eventually crashes spectacularly and the Wii U turns out to be a cheap plasticy piece of tat that joins its predecessor abandonded at the back of the cupboard.

Hmm, I wonder what kind of response I could possibly get for this post? :)

I do believe this is relevant:

http://www.penny-arcade.com/comic/2011/8/1/

It's all based around gimmicks. And the breaking point here... It's just not a cool console to own... Nobody wants one. It's a very closed sub-culture that are the fan base for this sort of thing. Nintendo need to concentrate on getting the sheep to buy their stuff, by making machines bigger, more powerful, and prettier.

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