Nintendo Already Anticipating Holiday Wii Shortages [Slashdot]

[DP ServBot]

As we approach the holiday season, Nintendo has already said that they don't expect to keep with demand for the Wii console. In an interview with the LA Times, Nintendo president Reggie Fils-Aime said they're ramping up production by 33% already, with further increases planned. They're hoping to avoid the scarcity of Wii's that occurred last year, which cost them a great deal of money in potential sales. "We're now producing 2.4 million units a month worldwide. Last year, we made 1.6 million a month. So we've made a 33% increase. One of our competitors projects they will sell 10 million consoles worldwide this year. For us, that's three months of production. We're producing an unprecedented level of hardware to try to meet demand."http://games.slashdot.org/slashdot-it.pl?from=rss&op=image&style=h0&sid=08/10/28/0326209 (http://games.slashdot.org/article.pl?sid=08/10/28/0326209&from=rss)
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[slip81]

same story, different year. i'm still wearing my tin foil hat and saying that nintendo is intentionally not filling demand to ensure that all their consoles are sold and not left on shelves collecting dust.

[Frankie_Says_Relax]

Without implicitly accusing Nintendo of purposefully limiting supply (though, from my retail experience - that's what I suspect they're still doing) the fact of the matter is this:

For a console to be nearly THREE DAMNED YEARS into production and STILL this limited/hard to come by in the retail market is downright ridiculous (and I was saying that at the two year mark).

THREE YEARS and you still can't just "go to a game store a buy a Wii" on a whim.

I don't care what the reason is.

That's just ridiculous.

[Bojay1997]

Without implicitly accusing Nintendo of purposefully limiting supply (though, from my retail experience - that's what I suspect they're still doing) the fact of the matter is this:

For a console to be nearly THREE DAMNED YEARS into production and STILL this limited/hard to come by in the retail market is downright ridiculous (and I was saying that at the two year mark).

THREE YEARS and you still can't just "go to a game store a buy a Wii" on a whim.

I don't care what the reason is.

That's just ridiculous.

Agreed. It makes no financial sense or logistical sense at this point. I also find it hard to believe that the demand is going to be as heavy this year. Are there really millions of people who still don't have a Wii?

[mailman187666]

Agreed. It makes no financial sense or logistical sense at this point. I also find it hard to believe that the demand is going to be as heavy this year. Are there really millions of people who still don't have a Wii?

I was just thinking the same thing. Is the wii really as in demand as the previous years? I thought they were easy to find lately but I guess not. Then again, you never know how many people held off on buying a wii who wanted one from the start.

[icbrkr]

The Wii came out in November 2006, so we're effectively at 2 years. But, if you're talking about ramp-up time, probably closer to 2.5 years.

That said, went into Best Buy the other day and they had a huge ol' stack, and a bunch more on the shelf.

[carlcarlson]

Well I've got two to sell, so here's hoping these things are freaking unicorns come December.

[calthaer]

I have never actually seen a Wii on store shelves where I live. Therefore, I have not yet purchased one.

[j_factor]

same story, different year. i'm still wearing my tin foil hat and saying that nintendo is intentionally not filling demand to ensure that all their consoles are sold and not left on shelves collecting dust.

That doesn't jive with the number that they're selling, and the number they're producing. Also, consider the fact that Nintendo makes a profit on every unit sold; that seriously reduces any motive for limiting supply.

[kedawa]

"We're now producing 2.4 million units a month worldwide. Last year, we made 1.6 million a month. So we've made a 33% increase.
Nice math. Going from 1.6 to 2.4 is an increase of 50%.

[Frankie_Says_Relax]

The Wii came out in November 2006, so we're effectively at 2 years. But, if you're talking about ramp-up time, probably closer to 2.5 years.

That said, went into Best Buy the other day and they had a huge ol' stack, and a bunch more on the shelf.

You're right ... what I meant was third HOLIDAY SEASON. Which is not only the most important sales segment of each year, but the end of the last financial quarter.

[smokehouse]

What's pushing these units anyway? Seriously...what must have titles are there for the system to drive these sales. I can see it a year or so ago but the drought of good titles should be enough to scare anyone away...Lord knows if I hadn't picked one up some yr+ ago...there's no way in hell I'd get one now.

[TonyTheTiger]

consider the fact that Nintendo makes a profit on every unit sold; that seriously reduces any motive for limiting supply.

I agree. I'm having a hard time coming up with any reason why Nintendo would intentionally hold back the supply when you have a 360 model out there that now costs less than a Wii and another 360 model that is within a reasonable range. If you aren't getting Wiis to the store shelves you're guaranteed to lose sales to the competition.

I think the most likely scenario is that they never anticipated the demand would be so high for so long and so the factories were never outfitted to produce consoles in such high numbers and there's only so many you can produce while A) retaining quality standards and B) remaining within the realistic carrying capacity of the factories themselves. And investing in more avenues to get consoles made is a gamble because at any moment this bubble could burst.


What's pushing these units anyway? Seriously...what must have titles are there for the system to drive these sales. I can see it a year or so ago but the drought of good titles should be enough to scare anyone away...Lord knows if I hadn't picked one up some yr+ ago...there's no way in hell I'd get one now.

It's probably a combination of things but the relatively inexpensive price tag of both the console and software is an especially strong selling point. This is especially true in today's economic situation.

[PSony]

I saw a wall full of Wii's at my Best Buy two days ago. Too bad I never had any interest in one.

[XYXZYZ]

THREE YEARS and you still can't just "go to a game store a buy a Wii" on a whim.

I don't care what the reason is.

That's just ridiculous.

What gets me is this, coupled with the fact that every Wii owner I know, myself included, never uses the damn thing.

[RyanMurf]

Im looking at two in the store rite now and they have been in the same spot for the past week and a half. I can tell the interest level has gone down significantly. Almost forgot to mention. They sat through NAVA which was pretty amazing.

[Rob2600]

Are there really millions of people who still don't have a Wii?

Of course there are. Nintendo sold 62 million NES and 49 million SNES consoles worldwide. The Wii is up to, what, 38 million so far?

For all we know, there could be another 25 million people who buy a Wii during the next three years.

[8bitCaged]

WHAT I just picket up 300 wiis to sell on X mess eve now what am I going to do why nintendo one year you have no wiis and thay sell for 400 + now I am fucked dam you Nintendo

[smokehouse]

What gets me is this, coupled with the fact that every Wii owner I know, myself included, never uses the damn thing.

QFT...

[roushimsx]

Still don't own one and I guess I won't be getting one this holiday season since they're completely incapable of keeping up with the demand or some such. Oh well, guess I'll just finally buy a 360 (and hope it doesn't red ring on me).

[SpaceHarrier]

I'm finally seeing them in stores on a regular basis. Still never seen one at Target though. That is the holy grail of Wiis for me LOL

I want one but it isn't in my financial plan right now.. someday I will be added to that 25 million though. So far I haven't invested in the current gen console systems. With my limited resources, I am desperately trying to keep my other children fed; i.e. PS2 (odds and ends), JPS2, PSP and DS. No need to rush in and miss the goodies already available to me when I've already paid the doorman.

[Oobgarm]

I've been seeing large numbers (25+) of them come in weekly at Best Buy.

I'm in the agreement boat in regards to limiting supplies. They're stretching the demand for the system out over time, which should translate into a more steady stream of profit. It's not feast or famine, more like a buffet. And at a buffet, you don't go nuts and eat as much as possible on the first trip. You spread it out over multiple trips.

[Press_Start]

I agree. I'm having a hard time coming up with any reason why Nintendo would intentionally hold back the supply when you have a 360 model out there that now costs less than a Wii and another 360 model that is within a reasonable range.

The Wii has many appealing qualities over the 360 besides price:

-Reliable console system. (Won't break in the first 3 years.)
-Family-friendly image (w/ family-friendly characters like Mario and Zelda)
-Wiimote's new style of game interfacing.
-Practical usage (i.e. WiiFit)
...and the lists goes on and on.

But from what I hear, the beastly demand for Wii has finally showed signs of taming. With the increased production Reggie is promising, it looks like everyone who wanted a Wii is going to get one this holiday season and hopefully by June, we'll see at least a few in stores nationwide.