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Nintendo not planning Wii U price cut

Nintendo has expressly ruled out the possibility of introducing a Wii U price cut in order to boost lower-than-expected sales of the recently launched console.

The company said yesterday that worldwide Wii U sales topped three million units between the console’s November launch and the end of 2012, but adoption has since slowed, leading Nintendo to cut its sales forecast for the business year ending March 31 from 5.5 million units to four million.

In a briefing republished on Nintendo’s investor relations website, global president Satoru Iwata discussed the console’s performance to date and the company’s position on pricing, noting: "With Wii U, we have taken a rather resolute stance in pricing it below its manufacturing cost, so we are not planning to perform a markdown. I would like to make this point absolutely clear.”

The executive went on to say of the console: "We have yet to communicate its value to the wider public. To put it another way, we delivered Wii U to those consumers who we thought would be the first to buy it, but information has not successfully been passed on to those consumers who we think will be the next people to buy it.

"In addition to this, because of some delays on the development side, we were unable to continuously supply software at the beginning of this calendar year. This has further upset our scenario for market penetration, for which momentum is the key."

Iwata added: "We are putting our lessons from Nintendo 3DS to good use, as I have already publicly stated. However, given that it has now become clear that we have not yet fully communicated the value of our product, we will try to do so before the software lineup is enhanced and at the same time work to enrich the software lineup which could make consumers understand the appeal of Wii U."

Last week Nintendo confirmed that it’s working on two new Mario games for Wii U - a 3D action title developed by the team behind the Super Mario Galaxy series and a new Mario Kart. Playable versions of both games will be present at this year’s E3 in June.

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6 comments

  • sxh967 - February 3, 2013 2:29 p.m.

    I think we should take these statements with a pinch of salt lol. Kaz Hirai said Sony wouldn't show anything before Microsoft but that looks to have been a complete lie LOL! I bet Iwata will only keep up this charade until either Sony or Microsoft (or both) come out with their next-gen offerings. As soon as Nintendo sees what they're up against, they'll have to make a proper decision about whether they really want to keep their console at this price point.
  • Squirrel - February 2, 2013 11:56 a.m.

    Of course not, was anyone calling for a price cut? I got the delux edition and thought it was a great deal when bought it. Plus they are losing money on each console as it is which is already nontraditional for Nintendo. Between Nintendo Land, the free digital rewards program, free Nintendo Tvii, and the social network Miiverse; where is the lack of value??
  • JarkayColt - January 31, 2013 12:53 p.m.

    I've been so indifferent towards the Wii U that I genuinely can't remember how much it costs anyway. I remember thinking the price was reasonably fair, but I still can't really say I want one just yet. I'm really interested in playing Rayman Legends and Pikmin 3, and the new Mario Kart and Smash Bros would push me closer to the edge, so yeah, it really is about how Nintendo can raise the "value" of it. But right now I think it's more the case that I'm wanting to see what Sony and Microsoft came up with. I've gotten more enjoyment in the long run out of my PS3 than the Wii. I'd like to say there's space for more than one console under my TV but...uh...actually, there isn't. So there's that.
  • ObliqueZombie - January 31, 2013 10:41 a.m.

    Can't complain much about that. Pretty cheap pricing compared to so many other things.
  • rainn'sgaydar - January 31, 2013 12:13 p.m.

    Agreed. It's quite on the cheap side for a 3 month old console. I'm not sure i understand why anyone is surprised...
  • jackthemenace - January 31, 2013 10:31 a.m.

    Aww, that's a pity; if they'd dropped it like they had the 3DS< I could probably convince the family to sell the Wii and upgrade to a Wii U; but, alas, it looks like I won't get to play Bayonetta 2. Not anytime soon, anyway.

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