Nintendo on retailers: They're important

by Gaetano 'Xbot' Prestia Featured 7 Comments 19 Votes 792 Views 16/07/2012 Back to News

Nintendo still has faith in "high-street" retailers, despite growth in digital distribution and cloud gaming.

Nintendo president, Satoru Iwata, said that Nintendo wasn't looking to increase its margin by cutting out retailers and distributing its games exclusively over digital.

“I think it’s more that with traditional packaged products we need to produce them, ship them, there’s the stock keeping loss risk, and loss associated with products being sold out or you can have certain items overstocked,” he said.

Mr Iwata believes that digital distribution "will allow [Nintendo] to be more efficient in distributing content".

“I think the games that we make with this improved efficiency we can use to maintain our profitability or, even if software development costs improve for some reason, we balance it out that way; that’s what I’m hoping for from digital distribution,” Iwata continued.

He referred to Apple's method of skipping retail and working digitally, allow it to expand its profit margin. However, Nintendo takes a different road.

“Our way is quite different, we still think retailers are important,” Iwata explained.

Source: The Independent

By Gaetano Prestia - Bio

Link to us http://wii.mmgn.com/News/nintendo-on-retailers-theyre-important
Vote for this article Log in with Facebook

Nintendo on retailers: They're important Comments

Leave a comment Log in with Facebook
If I was Nintendo, I'd go straight to digital.

Nintendo said: If I was Nintendo, I'd go straight to digital.



Tell us why? You're on the clock.

jeopardywaitingtheme.mp3
Gaming has changed forever and the sooner Nintendo get on the all digital distribution/download front, the better.
Nintendo fans around the world cannot play Nintendo games (the latest Mario, Zelda, etc game) on any other competing console, so therefore will have to get used to the fact that they only have one way of acquiring said game, and that is to... download it from the Nintendo eShop.
In short, Nintendo may be able to trap their fans this way, because it's not like a Nintendo fan is going to suddenly say, "awww, I only buy physical-retail Nintendo games...I'm going to switch sides now..."
And if they happen to want to leave the Nintendo ship, then I say...Good luck on finding these great Nintendo exclusives on other consoles...
Using Apple as an example for DD is always silly. Come next gen console games are going to be upwards of 15 gb. Makes sense to compare a 15 gb download to a 5 mb one on the app store *sarcasm*.

I love DD, but i don't get why people are so aggressively against physical media as well. Is there really any harm in them co-existing?


In relation to the article ... yes Nintendo ... the people who sell your games are kinda important.

Nintendo said: Gaming has changed forever and the sooner Nintendo get on the all digital distribution/download front, the better.
Nintendo fans around the world cannot play Nintendo games (the latest Mario, Zelda, etc game) on any other competing console, so therefore will have to get used to the fact that they only have one way of acquiring said game, and that is to... download it from the Nintendo eShop.
In short, Nintendo may be able to trap their fans this way, because it's not like a Nintendo fan is going to suddenly say, "awww, I only buy physical-retail Nintendo games...I'm going to switch sides now..."
And if they happen to want to leave the Nintendo ship, then I say...Good luck on finding these great Nintendo exclusives on other consoles...


I don't get your point.

Nintendo said: If I was Nintendo, I'd go straight to digital.



You are Nintendo. :P

I don't think that the market is ready for DD yet. Too many people still don't have the Internet quota, or live in a place with a dodgy connection. I just don't see a DD market being just as strong as a Physical market at this point in time.

Steam, however, is working amazing and it proves that DD can work.

But even then, I cannot see DD working as well as physical distribution on consoles at this point in time.
Im 100% all for digital, but Aussies that are not hard core gamers like us have no idea really what digital distribution is. Nintendo must do both.. I work in retail and Nintendo's first party titles sell fast and, for long periods of time are out of stock with hundreds of customers asking for the product and none available. if Nintendo was to ship both physical copies and digital distribution cards. when the physical ones sell out, it may swing people to jump on the digital copies when they don't have another option. also having individual cards for each title will help attract peoples attention towards digital when looking for a sold out title. Nintendo just needs to make sure they supply adequate download cards.

Post a comment

Leave a comment Log in with Facebook

Recently Read

Featured Wii Content

Favourite 2014 game so far?

Favourite 2014 game so far?

19/06/2014 Polls 22 31
5 Reasons Conker’s Bad Fur Day was set up to fail

5 Reasons Conker’s Bad Fur Day was set up to fail

Gryllis 3 hours Articles 1 7
Lego Batman 3: Beyond Gotham trailer
Tano 4 hours News 0 2
Friendly Fire Show 64: Nintendo 64 Special

Friendly Fire Show 64: Nintendo 64 Special

Podcast 10 hours Articles 0 2
5 Bullshit characters that should be in Smash Bros

5 Bullshit characters that should be in Smash Bros

PaulV 4 days Articles 18 12
Mad man speed runs Ocarina of Time in 18 minutes

Mad man speed runs Ocarina of Time in 18 minutes

Gryllis 5 days News 1 7
UK pirates get warnings for illegal downloads in 2015

UK pirates get warnings for illegal downloads in 2015

Gryllis 5 days News 8 9
FIFA 15 trailer gets intensely emotional
Gryllis 21/07 News 3 7
Friendly Fire Show 63: It is Thor Destiny

Friendly Fire Show 63: It is Thor Destiny

Podcast 21/07 Articles 0 18

Community Content

My proudest individual achievement

My proudest individual achievement

3 days ago Blog 7 0

MMGN Updates

Status
Updating..
Username

Flyverson got flower, Resogun, Blacklight Retribution, Strider and other 6 games

Flyverson 12 mins ago
Username

Flyverson just unlocked the The Collector achievement!

Flyverson 13 mins ago
Username

commented on Win Transformers: Rise Of The Dark Spark!

Macomb 49 mins ago
Username

commented on Dark Souls 2: Crown of the Sunken King DLC review

Macomb 2 hours ago
Username

Macomb just unlocked the Welcomed achievement!

Macomb 2 hours ago
Username

Pilot is now Level 14!

Pilot 6 hours ago
Username

Tano, Gryllis commented on Mad Max: Fury Road - Comic-Con First Look

Tano 9 hours ago
Username

K4ZMA made a change to Space☆Dandy S2

K4ZMA 12 hours ago
Username

K4ZMA made a change to Akame ga Kill!

K4ZMA 12 hours ago