News
Fils-Aime: We’re not ‘big fans’ of retail bundling
Ben Parfitt Dec 18 2007, 10:58am
Comments (7)
Nintendo’s American boss says that expensive Wii bundling to take advantage of demand is unwanted
Those who have been searching for an elusive Wii console in the run-up to Christmas will be all too familiar with some retailer’s tendency to only sell the console in expensive bundles, but Nintendo of America’s president Reggie Fils-Aime has hit out at the practise.
Speaking to news agency Reuters, Fils-Aime stated: "Retailers have already been given feedback that we are not big fans of that. We think it masks some of the price advantage we have versus our competition and, frankly, the consumer should decide what they want.
"We don't have to remind retailers of the strength we have right now. We are simply making an observation and that reinforces our point quite nicely with retailers.”
Reggie also spoke confidently about the prospects of the firm’s recent Wii smash-hit Super Mario Galaxy: "'Galaxy absolutely lived up to our expectations. It will have extremely long life and will have extremely large numbers throughout that entire life.”
Comments
“In other words...”
Posted by: Zed Zee - Dec 18, 12:31pm
We're making loads ot profit out of the Revolution and the DS, as well as the software at FULL prices for all of them.
Why spoil that by giving a discount and agreeing bundles with retailers and lose margin?
Stupid idea to even think we want to please our customers.
“Re: In other words...”
Posted: Dec 18, 1:09pm
That's a ridiculous way of looking at it. Grow up.
“Re: In other words...”
Posted by: MrJolly - Dec 18, 3:57pm
How's it ridiculous? Nintendo are in it to make money, they are better at it than anyone and someone else raking it in in this way probably really rankles.
“Re: In other words...”
Posted by: Woody - Dec 18, 4:41pm
I think they are more worried about the console losing it's price point. If you walk round any town now you won't see it at £179.99. You see it at £280 - £350 and that is putting it in the same bracket as the other two.
I don't begrudge people making a bit extra at this time of year, they support Nintendo all year and they have stock o***lobal phenomenon, they are not going to sell it with a free game are they?!
“Re: In other words...”
Posted by: ChoZanWan - Dec 18, 5:47pm
Give us the stock to sell then Reggie, and you won't see the money grabbing!
“Re: In other words...”
Posted by: Christopher - Dec 19, 7:09am
on the other side of the pond here in Cyprus at least the shops are giving it away at cost price even though there is a mass shortage as well.
they try to out do the other shops by slashing prices. its horrible for us that work in the business.
“Re: In other words...”
Posted by: Zed Zee - Dec 20, 11:50am
"That's a ridiculous way of looking at it. Grow up."
I think anyone that needs growing is Nintendo.
Do they not hold meetings at that company anymore?
I mean, if you're not making enough of a product because there's an alleged high demand for it by consumers, I'd hold a meeting with all the appropriate dept heads and decide to open up another manufacturing line or get a third party manufacturer to open up the extra capacity.
Nintendo have had this problem for ages...I remember when the PS3 launched in March, no one was buying them at the high price, yet Nintendo still had the original problem of being out of stock. That's what the retailers were telling me.
So why have they not done something about it? Unless, that is, it's a business tactic to keep the sales AND the price up, which is why they're not fans of bundles, because the latter dilute their profit margins.