Nintendo on its approach to pricing
Posted on February 9, 2018 by Brian(@NE_Brian) in General Nintendo, News
One topic brought up during the Q&A portion of Nintendo’s latest financial results briefing. President Tatsumi Kimishima and Shigeru Miyamoto both weighed in.
Kimishima noted that Nintendo looks to avoid selling hardware at a launch. Additionally, the company thinks about a price that “consumers will consider fair value and Nintendo-esque.” For software, Kimishima said “it is important that the software contain content of value, and that the value of the content not vary even if the way it is provided changes.”
Below are Kimishima’s full comments on pricing, with some brief words from Miyamoto:
Nintendo develops products that integrate hardware and software with the goal of providing consumers with a fun experience. Because our central mission is to provide our consumers with a fun experience, it is important not only that a product look interesting, but that we consider the kinds of interesting experiences that people can have with the product. When you consider the hardware that can provide a certain experience, I expect people look at a Nintendo product and figure it is priced the way it is because it is a Nintendo product. But for us, because we are conducting a business, we do not want to sell the hardware at a loss. When we price hardware, we consider a price range that will not create a loss and which consumers will consider fair value and Nintendo-esque.
The same goes for software, which we develop so our consumers can have fun. Whether in package form or download form, we are providing software that is fun to play, so it is important that the software contain content of value, and that the value of the content not vary even if the way it is provided changes. That same thinking forms the basis to our pricing decisions.
We are a company that treasures ideas, so we are always mindful of providing the highest possible value-added products.