Analyst - Wii U GameStop sales below expectations, made f...

[robometal cowboy]

Analyst - Wii U GameStop sales below expectations, made for 'slightly disappointing' launch
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The following info comes from Sterne Agee analyst Arvind Bhatia...

- Wii U hardware and software sales at GameStop during the holiday season were below expectations
- Wii U availability at GameStop continues to be "abundant"
- Deluxe model is selling at a greater clip than the basic version
- software attach rate at GameStop is "low"
- "Our conclusion is the Nintendo Wii U launch has been slightly disappointing."

Link

[Gamingboy]

We're doomed!

[ddddd]

Shocking news...

[Shaanyboi]

Frankly, to assume this launch was going to go well would be REALLY ignorant to the reality of the situation.

[Ragnarokstorymaker]

Wow, you know the trolls are going to have a field day with this one.

[gatorboi352]

That's what happens when people expect Wii-like sales numbers. The 2 different SKUs don't help at all either. It will be interesting to see Nintendo's approach to the whole idea of the basic model in the coming months. I'm sure they're piling up quick.

[ridleysaria]

I wonder what Gamecube games we're going to get in the Wii U ambassador program.

[coffeewithchess]

Frankly, to assume this launch was going to go well would be REALLY ignorant to the reality of the situation.

What situation? NoA's commercials for the Wii U were horrible IMO. If they can't sell the Wii U well in a holiday season, when are they going to sell the Wii U well?

Sure, the economy is in the tanker for many, unemployment (real unemployment) is high and has affected (effected? Grrrrr!) many, but the stores in our area were jam packed with people the week before Christmas. Wii U's were sitting on the shelves during that week.

I really hope for some of the staff at NoA that sales numbers in other stores were better than expected, because if analyst continue to report these things, investors get grumpy...which may lead to more "We're cutting our pay.", of the execs, or worse for other employees.

[Serebii]

Do we actually have facts for this or is it juast an analyst guessing?

[CCFanboy]

Am I the only one who read the title and thought

http://www.edge-online.com/wp-content/u ... evelop.jpg

this guy.

[LegendofSantiago]

from everything I have seen it is still selling well. Not sure what the person's expectations are. There being plenty of stock is probably because nintendo was (not sure if they have been doing this regularly) restocking daily. I do think Nintendo should focus more on making the delux Wii Us since the basic wii u isn't selling that well. I get why it exists, although it is being sold at a loss not including a game with the basic set pretty much forces the consumer to buy at least 1 game and that makes them not take a loss. It also makes the wii U in general sound cheaper. "Wii U, starting at $299.99" sounds much better than "Wii U, starting at $349.99". The sales are still good, it had a better start than the 360 and the ps3, but is behind the wii and ps2. Not sure if people should have expected otherwise given the wii u's higher price point. On the software situation I heard that NSMBU alone sold more than the entire PS3's library (at launch) so it doesn't sound too bad. It is doing really badly in the UK though, Nintendo needs to get their sh#t together there.

[Tork110]

That would explain the stacks and stacks of Wii Us I saw at various stores. Good thing there's a bad economy to blame.

The interesting thing is how Microsoft and Sony reacts. Introduce a new console or run those PS3s and 360s to the ground?!

[gtt]

There was no killer app. no real reason, outside of future promise of software, to buy the system now. It does nothing exceptional, and offered nothing to the cast amount of people waiting on the next gen to start. The messaging was weak, the Wii branding probably hurt them more than it helped now that the casual audience is gone. How many people outside of those people who buy all the systems, and hardcore nintendo fans bought this thing? I'm willing to bet it isn't a lot.

They have a pretty tough row to hoe with this system going forward. especially in the face of what will be vastly more capable hardware and stronger 3rd party support and much better online services in the ps4/720. They have roughly a year lead time, it's probably too late to get all the first half multiplatform games, so they need to bring the goods.

I don't think they will, I hope they do, but with the current leadership and culture there, I just don't see it happening as quick as it needs to.

[Jet Pilot]

If they can't sell the Wii U well in a holiday season, when are they going to sell the Wii U well?

That's going to be the problem going forward. As I said with the 3DS and again with the Wii U...it's too expensive. It will sell to the core Nintendo fan initially and then sales will plummet until Nintendo drops the price. That's exactly what happened with the 3DS and now we are seeing the beginnings of this with the Wii U.

Nintendo should discontinue the basic package and clear out the remaining stock with a fire sale. Then they should re-price the deluxe package at $249.99. They also need to do a much better job at marketing the Wii U. I still hear people saying that the Wii U is just a new Wii controller.

If they want to do another ambassador style program, it would be easier to just credit all Wii U eShop accounts with $50 in store credit (Although, to be fair, they really don't have to do anything like that. Anyone who purchased the Wii U for $350 - including myself - knew what they were getting and knew that they were likely paying more than they would if they had waited, which is normal for most retail products).

[ddddd]

I wonder what Gamecube games we're going to get in the Wii U ambassador program.

Without analog triggers? Not the most popular ones

Do we actually have facts for this or is it juast an analyst guessing?

Its information from an investor about gamestop sales.
Thought unrelated, check the UK sales chart from yesterday, cant get a clearer picture of WiiU's performance.

[LegendofSantiago]

@ddddd The UK's performance is not indicative of the Wii U's overall performance worldwide.

[ecco6t9]

Drop the basic SKU.

Drop the price to $249-$299.

Hire a new marketing department.

Expect to beat Gamecube sales but shoot for N64 numbers.

Anyone expecting the Wii U to meet or beat the Wii is in the wrong business or should be ignored if they are analysts.

[lynnvin]

I don't know - I have the Wii U and really like it. Yeah, people may wait until next year and get their 720 or PS4 -but -what really is going to change gameplay wise....nothing....you will definitely have better graphics but that is just about it...Once people realize that the "so-called" next gen machines from Sony and MS do not jerk you off while you are playing - this may make the Wii U look more attractive.

[Gamingboy]

Anyone expecting the Wii U to meet or beat the Wii is in the wrong business or should be ignored if they are analysts.

Exactly. For some reason a lot of analysts always just assume MORE, MORE, MORE, when in reality that just isn't going to happen and everybody knows it. I'm guessing the Wii U will settle somewhere between the N64 and Wii as far as sales go. Not a runaway success, but hardly a failure either. It'll start selling more once more A-level Nintendo games- such as a 3D Mario, a Zelda and a Super Smash Brothers- are released. It'll also probably sell more if the 720 and PS4 are too expensive for cash-strapped families - a true possibility based on the history of console pricing, where Nintendo consoles are usually the cheapest at retail.

[stealth]

an analyst hating on nintendo without fact? shocking

[kdognumba1]

Software attach rate of course is going to be low when the majority of the games are already out on other systems. This is a no brainer.

[drew]

I rarely agree with Jet Pilot, but he is exactly right on this one. This is essentially the 3DS all over again. I wonder if Nintendo has discontinued the standard 3DS in favor of the XL? If not, they should. I've seen piles of the white WiiU but haven't seen a black one yet (and I've been looking.) The people who really want to buy a WiiU don't want the stripped down version. I certainly don't. If- and it's a big if- they were to implement sort of ambassador program that would sweeten the pot, but giving me old NES games I've already bought on the Wii VC isn't going to cut it. Same with GC games. Most of those I want I already have. If they were to release Japanese only Wii games or something like Earthbound, or Saturn/Dreamcast titles than that might help those on the fence. But as someone else pointed out,there is really no "must have" game for WiiU as of yet. There are some interesting titles, but nothing I really feel the need to play. I do plan on getting a WiiU eventually, but in the meanwhile I'm keeping busy with my Wii/GC/VC backlog (where is Contra, Bionic Commando, Golden Axe 4, X-Men arcade, Rush N' Attack, Demon's Crest, Decapattack, etc?) never mind the Wii titles I somehow missed(I bought Fishing Resort a few months back and it's a lot of fun) and I still have a DS and 3DS library to keep me busy. The point is, Nintendo needs to do something not only to draw the *sigh* "hardcore" but keep the longtime players happy, and right now I'm not seeing it.

[LegendofSantiago]

@drew " This is essentially the 3DS all over again"
No

[OmicronTurtle]

Nintendo need to wake up and realise the market has change drastically since the Wii launched.

Not just the gaming market but the entertainment market in general. They've all but lost their casual crowd to iOS/Android devices. No one is going to pay €40+ for their casual fix when they can get it for €1 or free. That also effects Microsoft and Sony but less so, considering their less dependence on the casual market the last few years.

They also need plan and prepare aggressively for Q4 2013 when we can expect the next systems from Sony and Microsoft to hit. I'm talking third party support, otherwise it'll be dropped. That is, if they can build the support in the first place.

They will need to slash the price of the Wii U at E3, at the very latest. Drop the basic SKU. Then create some form of bundle/incentive later when the other systems launch.

[WesFX]

I bought not a single one of my 8 Wii U games from GameStop (not including the Nintendo Land pack in, including download only titles).

They didn't have the best deals, if they even had any.