Nintendo on Supply Issues: "Sometimes we Get it Wrong"

[Steven Bogos]

Nintendo on Supply Issues: "Sometimes we Get it Wrong"

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Nintendo's Reggie Fils-Amie admits that while the company tries its best to meet supply and demand, sometimes it gets it wrong.

Nintendo has been having a bit of an issue with supply over the last year. First, the NES Classic Edition, released in September, had some The Verge [http://www.escapistmagazine.com/news/view/169278-Nintendo-on-NES-Classic-Scarcity] spoke with Nintendo of America president Reggie Fils-Aime about the intricacies of supply and demand, during which he admitted that yes, sometimes they get it wrong.

"We create a plan, we build our programs against that plan," Fils-Amie said of the process. "But based on what we see in the marketplace we make adjustments, and we go from there."

Speaking of the Nintendo Switch as an example, he explained: "As we began the ramp up with our communication activity, starting with the video we released in October, then the hands-on events that we did in January, clearly we began to see a consumer response that was very positive, and there was a lot of excitement. So at that point we began to improve on our production capability."

He explained that a new console doesn't necessarily affect production issues. The new 2DS likely won't have a dramatic impact on Switch production, just as Switch didn't greatly impact the NES Classic. "It's not a direct, one-for-one effect," says Fils-Aime. "Certainly there are some components that are common within a particular platform ... But what we try and do, is manage the overall business to deliver as much financial results as we can, and also as much consumer satisfaction as we can."

Finally, Fils-Amie talked about day one demand. "We get it right more times than we get it wrong. But sometimes we get it wrong," he said, going on to promise that "We think we've estimated for New Nintendo 2DS XL pretty well, and we're confident that the consumer who wants to buy it on July 28th is going to be able to do that."

Source: The Verge [http://www.theverge.com/2017/4/28/15474262/nintendo-switch-2ds-xl-supply-issues-restock-reggie-fils-aime-interview]

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[TelosSupreme]

You'd think these guys would've learned from the Amibos fiasco, but apparently not. Good ol' papa Nintendo seriously needs to get their poop in a group.

 

[Saelune]

Who cares what Nintendo of America says?

Unless they do production in the US...which I doubt.

 

[Vausch]

You'd think these guys would've learned from the Amibos fiasco, but apparently not. Good ol' papa Nintendo seriously needs to get their poop in a group.

No, they learned plenty from the Amiibos. "If we keep the supply short, it drives up demand and guarantees every unit we put out will sell!"

 

[RJ 17]

"We get it right more times than we get it wrong."


"Sometimes" you get it wrong? You got it wrong with Amiibos. You got it wrong with NES Classics. You got it wrong with Switches. I've got a strong feeling you're going to "get it wrong" with the SNES Classic.

At this point you can't say that you "sometimes get it wrong" considering your most recent track record is comprised entirely of "getting it wrong." Best case scenario: there isn't some bullshit PR scheme going on where you just want to make headlines of "Nintendo product sells out in minutes! Look at how amazingly popular they are!" and you honestly underestimate the demand for your product. If that's the case, then you really...really...REALLY need to get a better market research department, because the people handling it for you now are apparently a bunch of pot-heads.

Worst case scenario, it is indeed some bullshit PR scheme to manufacture artificial scarcity in an attempt to make your brand seem much more popular and sought-after than it actually is. If that's the case, fuck you. No one believes it, and all you're doing is shooting yourself in the foot by refusing to make money by providing enough supply to meet the demand.

Either way: you've got to pull your heads out of your asses and put a stop to this. It's never a good thing to turn a flaw of your brand into a meme, and that's exactly what you've done. It's gotten to the point where people are saying "I'm not going to bother even trying to get this Nintendo product considering there's only going to be like, 6 in all the stores in my area combined."

 

[pookie101]

they get it wrong enough for it not to be an accident or they are incompetent

 

[Quellist]

And sometimes you double down on being wrong and keep at it!

Fuck sake Reggie, you get it wrong dark more often than not

 

[Zontar]

"Sometimes" you get it wrong? You got it wrong with Amiibos. You got it wrong with NES Classics. You got it wrong with Switches. I've got a strong feeling you're going to "get it wrong" with the SNES Classic.

Don't forget the Wii, that thing could have outsold the PS2 had they actually kept a proper supply of it when the thing was selling out around the world. That's when they consistently started having supply problems.

 

[Guffe]

I'm wondering where they are getting it wrong. Not in Europe as far as I know, in Finland the shells are full of amiibos and I've seen Switches still in store shelves. The only one that actually sold out was the NES classic. Went recectly to Liverpool and I am currently in Scotland and same situations there as at home A few mates said they have the same situationsin southern parts of Europe as well, so everything is selling quite well but not completely out of stock. So everyone wanting one of the Switches or Amiibos, come over to Europe on holiday and leave space in your bag
I am not saying the too low supply isn't happening, but it just isn't happening to any major degree over here apparently.

 

[FalloutJack]

Yeah, and sometimes, I breathe air.

Wait...what?

All the time?


Yeah...

Nintendo, you're a bunch of idiots.

Hang your heads in shame.

 

[CaptainMarvelous]

Not to put too finer point on this, but the Switch sold quite impressively well and all the way up to the build-up the most common responses I saw were from the ever-present Nintendo-Hate Train and general ambivalence of 'I'll pick it up later'. Soooooo I can kind of see why, assuming Nintendo's market response was anything like this forum, they might under-stock stuff.

Still, they could do better with this sh*t.

 

[Johnny Novgorod]

You're god-damned right you do.

 

[Kreett]

Sometimes we get it wrong*

*on purpose

 

[008Zulu_v1legacy]

So they get it wrong, on "accident", then rather try to meet demand, they cancel the product? To quote Fils-Aime; "What's wrong with you?"

"We think we've estimated for New Nintendo 2DS XL pretty well, and we're confident that the consumer who wants to buy it on July 28th is going to be able to do that."

Is this accurate, for America? The Australian release for the 2DS XL is June 15th.

 

[Canadamus Prime]

Nintendo, there's getting it wrong and then there's screwing the pooch so hard that the pooch needs a body cast and physical therapy.

 

[Aiddon_v1legacy]

Gee, it's almost like there are only so many hours in the day to create units and that the only way you can truly gauge demand IS WHEN THE PRODUCT IS RELEASED. Not that people have ever let facts get in the way of gossip

 

[Bad Player]

Gee, it's almost like there are only so many hours in the day to create units and that the only way you can truly gauge demand IS WHEN THE PRODUCT IS RELEASED. Not that people have ever let facts get in the way of gossip

It's also almost like if you have a range of estimates for what the demand will be for your product that is used long-term by consumers and is in a highly differentiated market, it's safer to producer according to a lower estimate rather than higher, since if you undersupply you'll likely be able to sell the same amount over the long run whereas if you oversupply you'll end up losing money on your unsold units.

But nah, this is all way too silly.

 

[AzrealMaximillion]

"Sometimes.

3 Nintendo console generations in a row is now "sometimes." Cool.

 

[gmaverick019_v1legacy]

"We get it right more times than we get it wrong."


"Sometimes" you get it wrong? You got it wrong with Amiibos. You got it wrong with NES Classics. You got it wrong with Switches. I've got a strong feeling you're going to "get it wrong" with the SNES Classic.

At this point you can't say that you "sometimes get it wrong" considering your most recent track record is comprised entirely of "getting it wrong." Best case scenario: there isn't some bullshit PR scheme going on where you just want to make headlines of "Nintendo product sells out in minutes! Look at how amazingly popular they are!" and you honestly underestimate the demand for your product. If that's the case, then you really...really...REALLY need to get a better market research department, because the people handling it for you now are apparently a bunch of pot-heads.

Worst case scenario, it is indeed some bullshit PR scheme to manufacture artificial scarcity in an attempt to make your brand seem much more popular and sought-after than it actually is. If that's the case, fuck you. No one believes it, and all you're doing is shooting yourself in the foot by refusing to make money by providing enough supply to meet the demand.

Either way: you've got to pull your heads out of your asses and put a stop to this. It's never a good thing to turn a flaw of your brand into a meme, and that's exactly what you've done. It's gotten to the point where people are saying "I'm not going to bother even trying to get this Nintendo product considering there's only going to be like, 6 in all the stores in my area combined."

lol perfect video, but I completely agree.

This has happened *too* many times from nintendo to be any sort of an accident/coincidence, you shit heads are fucking terrible at having any sort of proper supply, or you're really just that scummy that you create artificial supply to be fucking assholes.

but please, keep saying sometimes.

 

[RaikuFA]

"Sometimes" you get it wrong? You got it wrong with Amiibos. You got it wrong with NES Classics. You got it wrong with Switches. I've got a strong feeling you're going to "get it wrong" with the SNES Classic.

Don't forget the Wii, that thing could have outsold the PS2 had they actually kept a proper supply of it when the thing was selling out around the world. That's when they consistently started having supply problems.

Don't forget someone died trying to win one. Plus, this issue can go back to the NES with Mario 2 and Zelda 2. The pulled the same shit with Earthbound.