No Dock less Nintendo Switch for NA
Well, this is slightly depressing news. But not as bad to me as the lack of Virtual Console.
It seems like an obvious cash grab to me, which again, I'm not super keen on. This console generation for Nintendo definitely seems to not be about the end user so much as it is the profit margin. But, I do wonder if this is a missed opportunity.
My first point would be that, this far after the release of the console, I think that the market for people who are willing to fork out full price for a second console in the house is dried or drying up. They are impressively expensive. I'm not trying to bash Nintendo's price point here. I believe the console it worth it for what it is. But, it is far more expensive than previous gen handhelds, and the same cost as current gen TV connected consoles despite the comparative lack of power. It is REALLY hard to justify a second one for a household at the current cost.
At the current price point, it is much easier to think of it as a Wii, PS4 or XB1 like device than it is to see it like a 3DS like device, despite it's portability.
While I don't doubt Nintendo still makes some such number of sales, I think a cheaper package without a dock and charger would increase unit sales in a net positive way. Maybe they are waiting to see how things pan out in Japan. I hope so.
I also don't think it would drop average unit sales for first time buyers by enough to matter. Buying a dock and charger separately are unlikely to leave you too far in the black, if in it at all. Because... you NEED a charger and the dock is a large part of what makes the Switch the Switch. And 3rd party chargers have been notoriously bricking devices. It is pretty easy for a sales person to recommend you just pony up the extra cash for the package with the dock and charger if you don't already have one and easy for a customer to accept their arguments.
Yes, just as there are some number of people who will buy multiple consoles at the current price, there are people who will buy a first console without the dock and charger. But, if those sell separately for more than the price gap between the two packages, then I think you're set.
As I mentioned above, the Switch isn't the Switch without the dock. The 3DS is cheaper, has cheaper games and a far larger library, including Virtual Console support, so it isn't even the superior Nintendo handheld. PS4 and XBox One both have far more premium titles. If you're not buying a Switch to make use of it's "switching" capabilities, you're probably in a minority group. Or you just want to play the premium games like Zelda, Mario and the likes, which are always going to be better played on a TV (AKA, via the dock).
Households which are buying multiple Switches... are either going to buy the dock included version anyway, or they are buying it to play multiplayer with another person in the household.
And that leads into my final point. Hardware sales are a one time deal. And they come loaded with liability for warranty, etc... Where Nintendo really should be focusing it's money making is digital sales and licensing. If I buy a second dock deprived Switch for my household, chance are I'm interested in multiplayer. And that means buying multiple versions of games already owned in the household. It probably also means buying accessories to distinguish my Swicth from my (spouse/sibling/friend)'s. If I'm into online play, that probably also means additional Nintendo Online subscriptions once that hits. And lastly, no dock and charger in the box means 2 less things to worry about warranty on.
Like I said, it all feels like a cash grab. And it is sad, because I think the variant without the dock would actually improve North American sales. I would think that licensed products like cases, screen protectors, skins and controllers would be much more common purchases in households with multiple devices as there is a need to distinguish devices. It also promotes duplicated purchases of games and multiple subscriptions to their online service. It just seems to me that there is way more money to be made from related revenue streams if they can get the devices into more hands than by keeping the barrier to entry where it is.
Frankly, not including the charger is a brilliantly evil move. But it is totally in line with the proposed purpose of the package. Regardless, I would think that there are other ways to promote buying it as a second device if that is the goal. For instance, if you add support for a "primary account" and then allow titles purchased digitally on other Switch's from that same primary account to be repurchased at a slight discount you can both encourage digital purchasing and repurchasing. Both things which should drive money into Nintendo's pockets.
They could also work with partners to offer special prices for multi-packs of games for owners of multiple Swicthes. This would promote the purchasing of multiple hardware units.
Anyway, I hadn't planned to go off on that tangent. The conclusion for me is this; the current gen Switch isn't powerful enough to justify an Xbox One X/PS4 Pro like offering to refresh sales. The Switch is going to need to sustain unit sales until the next generation in some other way, and cheaper packages like this one in Japan feel like a good way to get there. Bundles with actual games would be nice too. With the upcoming Nintendo Online subscription service, their objective should be to focus more on quantity of sales, rather than margins. But, that's just my opinion.
It seems like an obvious cash grab to me, which again, I'm not super keen on. This console generation for Nintendo definitely seems to not be about the end user so much as it is the profit margin. But, I do wonder if this is a missed opportunity.
My first point would be that, this far after the release of the console, I think that the market for people who are willing to fork out full price for a second console in the house is dried or drying up. They are impressively expensive. I'm not trying to bash Nintendo's price point here. I believe the console it worth it for what it is. But, it is far more expensive than previous gen handhelds, and the same cost as current gen TV connected consoles despite the comparative lack of power. It is REALLY hard to justify a second one for a household at the current cost.
At the current price point, it is much easier to think of it as a Wii, PS4 or XB1 like device than it is to see it like a 3DS like device, despite it's portability.
While I don't doubt Nintendo still makes some such number of sales, I think a cheaper package without a dock and charger would increase unit sales in a net positive way. Maybe they are waiting to see how things pan out in Japan. I hope so.
I also don't think it would drop average unit sales for first time buyers by enough to matter. Buying a dock and charger separately are unlikely to leave you too far in the black, if in it at all. Because... you NEED a charger and the dock is a large part of what makes the Switch the Switch. And 3rd party chargers have been notoriously bricking devices. It is pretty easy for a sales person to recommend you just pony up the extra cash for the package with the dock and charger if you don't already have one and easy for a customer to accept their arguments.
Yes, just as there are some number of people who will buy multiple consoles at the current price, there are people who will buy a first console without the dock and charger. But, if those sell separately for more than the price gap between the two packages, then I think you're set.
As I mentioned above, the Switch isn't the Switch without the dock. The 3DS is cheaper, has cheaper games and a far larger library, including Virtual Console support, so it isn't even the superior Nintendo handheld. PS4 and XBox One both have far more premium titles. If you're not buying a Switch to make use of it's "switching" capabilities, you're probably in a minority group. Or you just want to play the premium games like Zelda, Mario and the likes, which are always going to be better played on a TV (AKA, via the dock).
Households which are buying multiple Switches... are either going to buy the dock included version anyway, or they are buying it to play multiplayer with another person in the household.
And that leads into my final point. Hardware sales are a one time deal. And they come loaded with liability for warranty, etc... Where Nintendo really should be focusing it's money making is digital sales and licensing. If I buy a second dock deprived Switch for my household, chance are I'm interested in multiplayer. And that means buying multiple versions of games already owned in the household. It probably also means buying accessories to distinguish my Swicth from my (spouse/sibling/friend)'s. If I'm into online play, that probably also means additional Nintendo Online subscriptions once that hits. And lastly, no dock and charger in the box means 2 less things to worry about warranty on.
Like I said, it all feels like a cash grab. And it is sad, because I think the variant without the dock would actually improve North American sales. I would think that licensed products like cases, screen protectors, skins and controllers would be much more common purchases in households with multiple devices as there is a need to distinguish devices. It also promotes duplicated purchases of games and multiple subscriptions to their online service. It just seems to me that there is way more money to be made from related revenue streams if they can get the devices into more hands than by keeping the barrier to entry where it is.
Frankly, not including the charger is a brilliantly evil move. But it is totally in line with the proposed purpose of the package. Regardless, I would think that there are other ways to promote buying it as a second device if that is the goal. For instance, if you add support for a "primary account" and then allow titles purchased digitally on other Switch's from that same primary account to be repurchased at a slight discount you can both encourage digital purchasing and repurchasing. Both things which should drive money into Nintendo's pockets.
They could also work with partners to offer special prices for multi-packs of games for owners of multiple Swicthes. This would promote the purchasing of multiple hardware units.
Anyway, I hadn't planned to go off on that tangent. The conclusion for me is this; the current gen Switch isn't powerful enough to justify an Xbox One X/PS4 Pro like offering to refresh sales. The Switch is going to need to sustain unit sales until the next generation in some other way, and cheaper packages like this one in Japan feel like a good way to get there. Bundles with actual games would be nice too. With the upcoming Nintendo Online subscription service, their objective should be to focus more on quantity of sales, rather than margins. But, that's just my opinion.
Comments
Post a Comment