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Wii U Profitability (not a doom 'n' gloom thread)


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#1 TheDoritoKing

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Posted 25 April 2013 - 01:56 PM

The Wii U at its current price takes only two games to make a profit. If the 720 and PlayStation 4 are going to cost a reasonable amount (less than five-hundred dollars), they'll take at least four full retail games just to break even! So I'm saying that even if the Wii U sells less (about a 3:4 ratio) to the others it won't be the end of the world!  :laugh:



#2 Jeenaud

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Posted 25 April 2013 - 02:08 PM

problem is if the install base is too low wii u software won't make a profit



#3 MorbidGod

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Posted 25 April 2013 - 02:25 PM

problem is if the install base is too low wii u software won't make a profit


But that won't be that way forever.
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#4 BanjoKazooie

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Posted 25 April 2013 - 04:06 PM

But that won't be that way forever.

people just assume the system is going to magically start selling better, but I think the damage has been done. Sure, software will boost sales, but I think sales in the end will be around 35 million( N64) but, I could care less about system sakes, so long as I get my LoZ, Mario kart, 3D zelda, Xenoblade 2/ xenogears, Retro's new game, and pikmin 3.

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#5 tboss

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Posted 25 April 2013 - 05:58 PM

35 mil looks more accreat than the patcher 20mil prediction, mine is around 40 mil for wiiU and 720, 60-70mil for PS4, assuming normal life spam, extended life span would scale evenly.



#6 MorbidGod

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Posted 25 April 2013 - 07:58 PM

people just assume the system is going to magically start selling better, but I think the damage has been done. Sure, software will boost sales, but I think sales in the end will be around 35 million( N64) but, I could care less about system sakes, so long as I get my LoZ, Mario kart, 3D zelda, Xenoblade 2/ xenogears, Retro's new game, and pikmin 3.


Where is your proof? I've shown where the PS3 wad in this same spot. Nintendos own 3DS was is in this spot. Both ended up selling well. I just don't get why people assume Nintendo is going to do bad. Give them a chance to fix this mess. A year from today, if they haven't shown us any major exclusive, if no Mario has come up, Retro decides not to release their game and by some magic voodoo Bayonnetta 2 becomes a PS4 exclusive, then I will believe the Wii U is doomed.

We all know those things won't happen. Even Adam Sassler (sp?) believes Nintendo has games to show. Let them show their games, and then judge them. Not before.
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#7 SoldMyWiiUAndLeftTheForums

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Posted 25 April 2013 - 10:42 PM

I think there is still hope but Nintendo really did screw their 1 year head start up, talk about a massivley huge opportunity missed.



#8 Desert Punk

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Posted 27 April 2013 - 08:09 AM

Nintendo is in a far better position than Sony. The PS3 was incredibly expensive to manufacture at the beginning because it was state of the art. The wii u is an incredibly cheap design. Nintendo are trying to hand on to a high retail price point for wii u but if it fails and they have to drop the price they will likely still make a good profit. Just because Nintendo states the wii u is only profitable when a game is sold doesn't mean that is true. They said similar things about the original wii only just being profitable but their financial reports showed huge profits a year or so later.

 

It will be annoying for early adopters like myself if the wii u has a large price drop but Nintendo can do this very easily considering the low manufacturing cost of the wii u.

 

This is actually a good thing which we should be happy about. If the wii u was actually expensive to manufacture then Nintendo would be in a dangerous position of having to sell the wii u at a large loss to get market share but as it is they may just be forced into a situation where they can't make huge profits on the wii u hardware but it is still profitable.



#9 Alianjaro

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Posted 27 April 2013 - 08:16 AM

people just assume the system is going to magically start selling better, but I think the damage has been done. Sure, software will boost sales, but I think sales in the end will be around 35 million( N64) but, I could care less about system sakes, so long as I get my LoZ, Mario kart, 3D zelda, Xenoblade 2/ xenogears, Retro's new game, and pikmin 3.

Yo, it has been around for 6 month or so. It's next gen, yet the next gen has not started. When it'll start, when Sony releases their console, then more advertisement will be made, then games will be released. It's not magic, it's science...


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#10 BanjoKazooie

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Posted 27 April 2013 - 10:05 AM

Yo, it has been around for 6 month or so. It's next gen, yet the next gen has not started. When it'll start, when Sony releases their console, then more advertisement will be made, then games will be released. It's not magic, it's science...

the next gen has started, it started when the Wii u was released 6 months ago. The handheld generation started with the 3DS two years ago. Why woul it start when Sony releases their console, and not when the wii u was released?? Also, advertising would have worked a lot better the last six months, when it won't be drowned at by Sony and microrainbow adds. Right now I don't see a bright horizon for the Wii u.

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#11 Desert Punk

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Posted 27 April 2013 - 10:54 AM

Next gen means next generation of consoles and anything I guess that is released in a certain time window is next gen. The Ouya console is next gen because its released in the same window as wii u. Many don't see the wii u as next gen because of the gpu and cpu are modest performers and they see next gen as statement of power but you can buy a low performance laptop, mid range or high spec and they could all be released at the same time. Clearly the wii u is massively superior to ouya and the ps4 and xbox 720 will be superior to wii u.



#12 MorbidGod

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Posted 27 April 2013 - 11:15 AM

Nintendo is in a far better position than Sony. The PS3 was incredibly expensive to manufacture at the beginning because it was state of the art. The wii u is an incredibly cheap design. Nintendo are trying to hand on to a high retail price point for wii u but if it fails and they have to drop the price they will likely still make a good profit. Just because Nintendo states the wii u is only profitable when a game is sold doesn't mean that is true. They said similar things about the original wii only just being profitable but their financial reports showed huge profits a year or so later.

It will be annoying for early adopters like myself if the wii u has a large price drop but Nintendo can do this very easily considering the low manufacturing cost of the wii u.

This is actually a good thing which we should be happy about. If the wii u was actually expensive to manufacture then Nintendo would be in a dangerous position of having to sell the wii u at a large loss to get market share but as it is they may just be forced into a situation where they can't make huge profits on the wii u hardware but it is still profitable.


I do agree Nintendo is in a better place. They can afford the Wii U to totally flop. Sony can't afford the PS4 to fail. It's not like their other divisions are doing well. They are selling headquarters. Nintendo isn't.
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#13 DéliopT

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Posted 27 April 2013 - 03:37 PM

I`m not sure Wii U can make a profit on two games sold per console. I remembre reading that it might not be exactly like that.

Still, given that SW sales reached the 13 million mark, and Wii U is standing at 3.50 million, it`s making a profit.

 

With the incoming games and holiday season, things might look good for Nintendo this fiscal year.

 

I don`t know about PS4 or Xbox 720, but given that Xbox 360 - at least - and PS3 had good to very good attach rates at the start of their life and still lost all that money, no matter how many games they sell, they will lose money for a few years.


 

 


#14 Alianjaro

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Posted 27 April 2013 - 06:07 PM

the next gen has started, it started when the Wii u was released 6 months ago. The handheld generation started with the 3DS two years ago. Why woul it start when Sony releases their console, and not when the wii u was released?? Also, advertising would have worked a lot better the last six months, when it won't be drowned at by Sony and microrainbow adds. Right now I don't see a bright horizon for the Wii u.

Simply because concurrence hasn't truly started yet. When concurrence will occur, the big three will be forced to push their products to their limits. Marketing will also start. A company that has a monopoly would only change things if they need to, whereas concurrence forces each single company to improve their products. That's simple market basics. And no, ads wouldn't have helped in the past six months. It would only have given the Wii U an old feel when the competitors release their consoles. 

 

We're both 16-17, it's the first time we actually closely follow a console release (unless you did with the Wii when you were 10-11 years old). I used to be worried about the Wii U as well, but I learned that historically, only a couple of consoles have had an incredible release, like the Wii. Just give it time.


Edited by Alianjaro, 27 April 2013 - 06:12 PM.

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