Some internet sources are calling Nintendo Switch the company's bestselling home console in history, as a courtesy to its Q3 financial reports. However, contrary to popular belief, its digital sales and strategies reflect bad growth.
Nintendo is one of the biggest video game companies in the world which directly competes against Sony and Microsoft. It is popularly known for iconic series like "Super Mario," "Super Smash Bros.," "Legend of Zelda" and even "Animal Crossing."
For over three decades, Nintendo's biggest market strength is its physical entertainment goods. This includes all forms of game merchandise like physical game copies, figurines, cards, memorabilia, and other similar tokens. Note that Nintendo's physical sale numbers usually surpass Sony and Microsoft's performance.
Best Selling Home Console: Nintendo Switch
According to Washington Examiner, Nintendo is also recognized as the "bestselling home console" in history as of February 3. This is because Nintendo estimated more than 10.67 million Switch units being sold in 2021 third quarter. Note that this brings Nintendo Switch sales a grand total of 103.54 million units sold since its launch in 2017!
Nintendo President Shuntaro Furukawa emphasized that "Switch is just in the middle of its life cycle, and the momentum going into this year is good. The Switch is ready to break a pattern of our past consoles that saw momentum weakening in their sixth year on the market and grow further," per Bloomberg.
Nintendo forecasts there might be a decline in Switch sales due to supply chain problems and chip shortages. However, they still expect the gaming console to sell 23 million copies in 2022 first quarter.
Nintendo Switch managed to beat Nintendo Wii as the highest-selling home console, with the latter selling an estimate of 101.63 million units at its peak. However, Switch has yet to surpass Nintendo DS as a handheld console, with the latter having 154 million sales at its prime.
Nintendo Sales Go Down: Digital Growth Problems
Nintendolife noted that if Switch "rules" the physical media space, then it also performed poorly on the digital sphere. To emphasize, their overall revenues from the digital sale were also up in Q3. However, its growth is lagging compared to its physical market boosts.
Nintendo offers a myriad of digital services on the internet. It has online gave vouchers, a gold point system, a subscription service, and an expansion pack. However, these offers continue to struggle to win over any fans. Fans argue that Nintendo's retro game thematic doesn't suit the drip-feed system used in most modern games.
It is important to note that if gaming is heading towards a future where online services are critical, Nintendo might fall short of expectations. So Nintendo might need to review its approaches and improve modern infrastructure regarding their digital growth. Hopefully, the company will come up with some sort of solution in the coming months.
Related Article: Nintendo Switch Hits 100M Sales Despite Chip Shortage; 10 Best-Selling Games in 2021
