Why the Wii needs to chop its price soon

Jeff Balakar | Aug 28, 2009

(Credit: Nintendo)

With both Sony and Microsoft dropping the price of the PS3 and the Xbox 360 Elite, the Wii is beginning to look like an overpriced console.

There a few reasons Nintendo needs to drop at least US$50 off the company's bestselling home console and fast.

The shortage is over
Anyone who wants a Wii has one by now. Consumers in the market for a console will no longer look to the Wii for its affordability over the competition. In fact, an Xbox 360 Arcade can be had for less than the price of a Wii already.

The competition
Now that the Xbox 360 and PS3 battlefield has been leveled, the Wii stands alone with arguably less value. If the Wii remains at US$250, it will be only US$50 cheaper than two gaming consoles that offer high-end HD graphics, huge internal storage, and video marketplaces. Even the soon-to-be released PSPgo--while considered expensive--matches the Wii's US$250 price tag.

The incentive
Consumers are concerned with value more than ever. At US$250, the Wii does not offer enough of an added incentive packed into the box. Don't forget that this is also the console with the most accessories for sale. At least include MotionPlus, Wii Sports, and Wii Sports Resort in the box to sweeten the deal.

Maybe Nintendo is satisfied with the Wii's performance and will keep the console's price where it stands now. It's by far the bestselling console of this generation, so maybe there's nothing left to prove. That said, we can't imagine that console sales will continue to remain consistent when there's two consoles that offer so much more for only an additional US$50.

If there was ever a time for a Wii price drop, it's now. If anything it will put Nintendo back in the news after what seems like months of nothing but Sony and Microsoft rumors, announcements, and SKU changes.

What do you think? Should Nintendo drop the Wii by at least US$50?

Via Crave CNET

Filed under: Games and Gear, Home AV
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ferdiei

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ferdiei says...
NO. there'll be a psychological effect to the consumers, especially Wii fans. the most that they can do is to slash profit margin by bundling the set with at least one-free game (any title a customer wish to) at the same price point, but not hurriedly until the last quarter of the year, nearing the holiday season. when general consumers are at the verge of impulse-buying versus the worry of early-adoption of say, a PS3-slim.

Aug 29, 2009 15:44

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Devlin

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Devlin says...
The Wii really isn't anything more than an updated GameCube designed to accept standard-sized discs and recognize gesture-based inputs. If Nintendo really wants to stay on top they should begin by at least updating the hardware even by a little bit: built-in DVD playback, increased internal storage, Bluetooth support for peripherals such as keyboards, and support for virtual memory cards for GC game saves. If they added these then even if they kept the price the same the Wii wouldn't look like such a bad deal when compared to the competition.

I know adding both Bluetooth and more storage would add costs but I don't think it'll be enough to eat into their very healthy profit margins. Everything else, I'm sure could be added via software update. That said, Nintendo has a very real chance of closing the gap between the Wii, the PS3 and Xbox 360 with HD output being the omission. If they added all that and still cut the price then I don't expect the Wii's runaway sales figures to slow down anytime soon.

Aug 31, 2009 06:28

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