Nintendo is seeing significant growth outside of Japan, with Asia (Japan excluded) becoming the company’s fastest-growing market.
This comes from a recent Nintendo investor Q&A, in which Nintendo president Shuntaro Furukawa responded to a question about sales in Nintendo’s “other” region (a term Nintendo uses to refer to Australia, New Zealand and regions of Asia
“Looking at growth in regional sales compared to the same period of the previous fiscal year,” said Furukawa, “we see that whereas sales grew by 67% in Japan, 61% in the Americas and 72% in Europe, sales for the “other” region grew by a huge 152%.”
One driver of this success is Ring Fit Adventure, which has proven remarkably popular in China, and is even pushing sales of the Nintendo Switch.
“We hear from Tencent that, in mainland China, Ring Fit Adventure got off to a great start when it was released by them on September 3 and it continues to sell well. In some cases, Ring Fit Adventure is driving sales of the Nintendo Switch hardware.”
The Switch itself has also been a huge driver of sales in this area, with sales up significantly in the region since the console’s launch in 2017.
“Sales in the Asia region excluding Japan were 6.7 times higher in the fiscal year ended March 2020 compared to the year ended March 2017, when Nintendo Switch was launched. At the time of the Nintendo Switch launch, it was only available in the “other” regions of Hong Kong, Singapore and parts of the Middle East. Since then, the sales regions have broadened to include South Korea, Taiwan, mainland China (sales by Tencent) and other parts of Southeast Asia.”
This growing success in Asia has prompted Nintendo to improve its localisation efforts, with many Nintendo titles now releasing on the same day as in the company’s major markets.
“In looking at how our sales in the Asia region have grown to be a larger part of our business, we are now able to release many Nintendo titles at the same time they debut in the major markets of Japan, the U.S. and Europe, as we have been trying to more efficiently localize our software with more languages in accordance with the increasing sales in regions such as South Korea and Taiwan”