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Analyst - 3DS software should be $25, third party support needed, more digital support

by rawmeatcowboy
08 August 2011
GN Version 4.0
The following comments come from M2 Research analyst Billy Pidgeon...

"Nintendo needs to change its business fundamentally. With Wii and DS, Nintendo built large installed bases but failed to energize those bases. Selling in hardware is important, but Nintendo must increase attach rates and third party opportunity dramatically. Lower 3DS hardware prices only address part of the problem. It's more important to sell more software as packaged goods and paid digital downloads to each customer who buys a hardware unit. I would like to see Nintendo cut the retail price of packaged software to a range of $20 to $25 for the 3DS. DS software should be $20 or less. At the same time, Nintendo must increase uptake of paid downloadable software per hardware unit. And this isn't just a 3DS problem, this is the problem with Wii, and will be the problem with Wii U unless Nintendo can turn around its attach rate and third party publisher problems."

I don't see Nintendo dropping 3DS software to that price anytime soon. Nintendo wants to convince us that software should maintain its high price.

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