Toy’s R Us Find’s Wii Profitable

The success of the Nintendo console, the Wii, has proven to change the industry in many new and creative ways including reinvigorating slow product sales at Toys R Us. “The company went from a loss of $42 million at the same time last year to a profit of $13 million for the three months ended August 2nd,” says Gamasutra who spoke with CEO Gerald Storch.

Revenue was up 6.3%, in part, thanks to the Nintendo and its hot moving Wii and Wii Fit products. While Nintendo struggles to supply enough units for the strong demand, Toys R Us has no problem emptying their stores of any hardware they receive.

Months after the Wii launch we witnessed parents waiting in lines before the store opens just to see if they had Wii’s arrive for the opening. Although we’re sure it was a hassle to answer the phones with the typical response, “no, we’ve got no Wii’s in stock,” the long term plan has proven successful.

Have you finally managed to get yourself a Wii? Did you pick it up at Toys R Us?

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Nintendo Wants More Wii and DS SalesNintendo Wants More Wii and DS Sales

At E3 Reggie Fils-Aime let the world know he wasn’t satisfied with the sales progress of the Wii or DS in 2007 and hopes Nintendo can do better this year. Perhaps Nintendo is playing the humble card? No doubt they bragged about their 10 million sales of the Wii and 20 million sales of the DS but quickly followed it by saying they’re not satisfied.

Or, is this a threat?

Nintendo has built some steep competition while both Sony and Microsoft scoff at their product and tell everyone its a novelty and it doesn’t really “count” in this next-generation console battle. It doesn’t count… really?

Perhaps Microsoft and Sony are right; maybe every Wii owner that wanted a PlayStation 3 and/or an Xbox 360 purchased their console too. There may be some truth to that as hardcore gamers may purchase a Wii for many reasons:

  • They want every console so they have the widest array of game purchases
  • They’re hardcore nature forces them to spend money on all products
  • They want to get their kids in on gaming early, to grow them up in their image
  • Mob mentality, if everyone has a Wii you must as well!
  • The technology is cool and you want to be there for its inception

It seems they don’t feel a threat because Wii is a non-gamer console and thus attracts a different crowd… yet they’re both mimicking some of the motion sensing in their own controllers and playing nice towards “casual games” and non-gamers of late. Maybe their not threatened, but impressed?

Fils-Aime isn’t impressed with their sales figures, perhaps because he expected a higher degree of Wii sales by now, but the fact that people cannot purchase them two years into production has hurt sales figures. Although 10 million units sold is an impressive figure, knowing you had such higher potential if the product was actually on the shelves has to hurt a bit of your pride.

The DS sales were impressive considering the product has been in the market for awhile and is easier to find (minus the holiday rush). We’re not sure why he’s not satisfied with the figures, but inspiring a higher degree of DS sales will require some work. Perhaps this is why they’ve gone with the GTA Chinatown approach; using the GTA name to grow their DS sales figures?

It will be interesting to see how Wii does through the next few quarters and if sales slow down now that we’re a few years into the product. What was the last home console Nintendo owned to get this high of a demand?

Perhaps none.

Episode 403: Jam and the HooligansEpisode 403: Jam and the Hooligans

The episode is a day late, sorry about that, folks. In this episode, we wish Paul was with us to discuss what he thought of the release of Jem and the Holograms in theaters. The banter is strong, but not overstuffed like last week.

Lots of news this week, however:

  • Konami insists Hideo Kojima still works at company
  • 343 Industries not ruling out PC port of Halo 5
  • Rebellion rescues Kickstarter backers from GRIN’s bankruptcy
  • Classic car combat RPG Autoduel may be making a comeback with inXile
  • Pete Hines: Entire game not on Fallout 4 PC disc
  • Vivendi seeking more shares of Ubisoft, board seats

The Question on the Week: Do you prefer first person or isometric RPGs?