This information comes from Nintendo president Shuntaro Furukawa…
As you can see, we will constantly release new titles during the fiscal year ahead. And there are still more titles that we haven’t yet discussed. We intend to continue to expand the lineup of software that can be enjoyed by consumers around the world and that will keep people playing Nintendo Switch.
In addition, we will continue with efforts designed to keep consumers playing software long after it has been released. For example, we released a major free update to Super Smash Bros Ultimate that adds a Stage Builder and the ability to edit and post gameplay videos, simultaneous with the release of the first set of paid add-on content this month. Mario Tennis Aces was released back in June of last year, but we have continued to hold tournaments and distribute new characters, and in a major free update added a new kind of gameplay, also this month. By releasing content online and holding events that build excitement for a game, we are making the game fresh for consumers and
encouraging them to keep playing.
This information comes from Nintendo president Shuntaro Furukawa…
We also released a fourth Nintendo Labo kit this month, Nintendo Labo Toy-Con 04: VR Kit. Users can construct five Toy-Con from cardboard parts, including a Toy-Con Blaster, Toy-Con Camera, and Toy-Con Bird, then pair them with Nintendo Switch to enjoy unique experiences in a VR space through their body movements. For example, while controlling the in-game action, users can press a pedal with their foot to create and feel an actual breeze. This is probably different from the image you have of a VR device. Users can also create their own games in VR.
The three Nintendo Labo kits released last year received an Innovation Award at the Game Developers Conference in the US this March, and a BAFTA Family award and Game Innovation award at this month’s British Academy Games Awards. The product has been recognized for its innovation in many countries and we are exceptionally proud of these achievements. Nintendo Labo is even being used in schools, and we are continuing to pursue sales so that even more
consumers can enjoy the series.
This information comes from Nintendo president Shuntaro Furukawa…
Super Mario Maker 2 is scheduled for release in June. This title is a completely new sequel to Super Mario Maker, which was released on the Wii U and Nintendo 3DS systems.
This title is filled with new gameplay mechanics and new ways to play that were not previously available in the series. The game takes full advantage of the features of Nintendo Switch to allow anyone to freely create and play their own custom Super Mario levels.
This information comes from Nintendo president Shuntaro Furukawa…
One pair of major titles being released this new fiscal year is Pokémon Sword and Pokémon Shield.
These new titles, first announced in a Pokémon Direct in February, have generated a huge response from consumers. Pokémon: Let’s Go, Pikachu! and Pokémon: Let’s Go, Eevee!, which were released in November of last year, are designed to highlight the fun of Nintendo Switch in TV mode, for example by waving the controller at the TV screen to capture Pokémon. Pokémon Sword and Pokémon Shield are being developed to emphasize the fun of playing Nintendo Switch in handheld mode. We want these games to be played not only by longtime Pokémon fans, but also by consumers whose first encounter with the series was on a dedicated video game platform with Pokémon: Let’s Go, Pikachu! and Pokémon: Let’s Go, Eevee!.
Nintendo expecting increased Switch hardware adoption, evergreen and new titles will provide a boost
This information comes from Nintendo president Shuntaro Furukawa…
Currently, the Nintendo Switch business remains in a growth phase. This term, we can expect hardware adoption to once again expand at a faster pace than the previous fiscal year.
Nintendo Switch is a home gaming system that can also be brought away from the front of the TV and played on the go. If we can specifically and more broadly convey messages of what kind of play experiences this game system can offer in what kind of situations in the consumers’ everyday lives, we believe more and more people worldwide will come to view Nintendo Switch as something relevant to them.
In the new fiscal year, in addition to the evergreen titles that have been enjoying long, continued sales, Nintendo
and other software publishers will release many new titles, including the ones that I will introduce shortly, that can convey the fun of playing Nintendo Switch to even more people. We will make efforts to bring the broader awareness of a variety of different entertainment experiences that the unique combination of Nintendo Switch hardware and a variety of different software can offer, not just among video game fans but even among people who have never before been interested in video games.
This information comes from Nintendo president Shuntaro Furukawa…
Digital sales have expanded greatly since the launch of Nintendo Switch. This graph compares sales of digital content within our dedicated video game platform business over the years. Sales nearly doubled in the fiscal year ended March 2019 compared to the previous fiscal year, and exceeded 100 billion yen for the first time ever. The Nintendo Switch business has expanded over the previous year not only in download versions of packaged software, but also in download-only software and add-on content, plus contributions from Nintendo Switch Online.
I’d now like to address the Nintendo Switch business from a slightly different angle. One conventional metric used in the dedicated platform business is the tie ratio, or the attach rate of software per unit of hardware. This is calculated by dividing the number of software units sold by the number of hardware units sold. However, with the rise in digital sales, we are witnessing the rapid sales growth of indie titles at a wide range of price points, and add-on content sales that cannot be counted with the number of software units sold. As a result, software attach rate calculated using conventional methods no longer adequately reflects the actual state of our business.
This information comes from Nintendo president Shuntaro Furukawa…
Finally, let me talk about the E3 video game trade show that will be held in Los Angeles this June. Once again, Nintendo will not be hosting a large-scale conference for institutional investors, securities analysts, and the media. Instead, we plan to continue our practice of the past few years, which is to release a video presentation discussing the games that are planned for release during the fiscal year, provide hands-on opportunities, and so on. The world championship tournaments for Super Smash Bros. Ultimate and Splatoon 2 will be held on June 8, right before the start of E3.
This information comes from Nintendo president Shuntaro Furukawa…
Sell-through of first-party Nintendo Switch titles has remained good, with both new and previously-released titles performing well even after January subsequent to the holiday season, and ultimately exceeding last year’s Q4 growth by 50%.
This graph shows the trend in cumulative sell-through over one year. The pace throughout the fiscal year ended March 2019 was better than the previous year, and it accelerated considerably during the holiday season. Full-year sell-through was up 70% over the previous year.
New Super Mario Bros. U Deluxe sold over a million copies within two weeks of its release in January 2019, and has continued to maintain a steady pace. As of the end of March, cumulative sell-through had passed 2.5 million units globally. It has also helped drive hardware sales since the start of the year, and we have confirmed that it is contributing to active engagement with Nintendo Switch.
Initial sales of Yoshi’s Crafted World, released at the end of March, have like many of the other Nintendo Switch games released so far, outperformed that of past titles in the series. In addition, the percentage of female consumers is relatively high for this title compared to other Nintendo Switch titles, both in Japan and overseas.
This information comes from Nintendo president Shuntaro Furukawa…
After the start of the calendar year, the title driving the most hardware sales is Super Smash Bros. Ultimate. This is a list of titles played by consumers on their first day after purchasing Nintendo Switch, between January and March 2019. As you can see, Super Smash Bros. Ultimate was the title most commonly played by users with new Nintendo Switch systems.
When Super Smash Bros. Ultimate was first released, it was played by people within a wide age range, and particularly by men in their 20s to early 30s. As time has passed, however, the range of consumers playing this game has widened even further. Our data shows that the range of consumers showing interest in this game is also increasing, which means the title draws such a broad range of people.
This information comes from Nintendo president Shuntaro Furukawa…
I’ll start with the current state of the Nintendo Switch business. Nintendo Switch has continued to gain momentum after January subsequent to the holiday season. Business is going well, and we expect continued growth. Let me discuss these points in order.
As mentioned at the February corporate management policy briefing, sales of the Nintendo Switch system were strong during the holiday season, and sell-through has continued to be solid through the start of this year. This slide shows combined sell-through for the Japanese, North American, and European markets. As you can see, sell-through from January to March was 35% higher than the same period of the previous year.
