Nintendo: Truth Is We Want Switch To Match Wii’s Base; There Could Be More Than One per Household
Nintendo's post-fiscal year earnings investor Q&A has finally been translated into English and posted on the official website. President Tatsumi Kimishima answered several questions, but we've highlighted one in particular where he admits the company's intention to try and match the lofty 100 million units installed base of the Wii console with the Switch.
He even suggests that some households may eventually get more than one Switch unit each. In another answer, he confirmed that Super Mario Odyssey will indeed be available in time for the Holiday season.
We set this fiscal year's 10 million shipment forecast for Nintendo Switch based on the fact that we were able to ship 2.74 million units during the last fiscal year, which was well above our initial forecast of 2 million units, combined with the response our sales offices around the world have reported from retailers and consumers about the software we will be releasing during this period.
Mario Kart 8 Deluxe was released today and although we did not cover it when creating our sales plans, it has gotten especially positive reviews. Feedback from consumers at our ARMS and Splatoon 2 preview events has been positive, as well. We have also gotten good feedback about 1-2-Switch, which has already been released, and offers consumers a new gaming experience that takes advantage of the unique strengths of Nintendo Switch. All this together gives me the sense that Nintendo Switch is going to outperform our initial expectations. For us, being able to reach an installed base of more than 10 million units is fundamental to creating a strong business in a number of different ways. Shipping 10 million hardware units this fiscal year, as planned, will give publishers and the rest of our business partners a sense that the future of Nintendo Switch is more promising. This is another part of the reason why we are planning to ship 10 million units this fiscal year.
The truth is we want to raise the installed base of Nintendo Switch up to the same level as Wii. As we mentioned during our presentation, Nintendo Switch in America had the fastest start of any Nintendo hardware, despite launching in March. In the video game business, it’s important for consumers to feel that a sales momentum is going to grow, and we are setting a standard with Nintendo Switch to release a continuous string of major software titles from now on.
And if our sales go according to our plan this fiscal year, we will be able to see Nintendo Switch gaining the momentum in which it can approach relative parity with Wii afterwards. Plus, considering that Nintendo Switch is a home console video game system that you can take with you on the go so you can play anytime, anywhere, with anyone, we think there will be households that feel as though one is not really enough. This is another point that drives us to match the scale of Wii's popularity with Nintendo Switch.
The Switch had a great start to say the least, but will it be able to keep momentum? Let us know your opinion below.
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