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Nintendo @ E3: WAT


On 04/25/2013 at 10:34 PM by gigantor21

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Okay, so let me get this straight.

Last quarter, the WiiU only sold 400,000 units globally. Software sales were only at 1.7 million, including bundles and digital sales. Moreover, Nintendo said in a recent investment meeting that they've given up on the WiiU gaining momentum before July, when Pikmin 3 is set to come out in Japan.

E3 is the biggest gaming show in the entire year. Every year, the conferences serve as the highlight of the media's coverage, which extends beyond the usual gaming sites into mainstream news. Sony and Microsoft are both set to steamroll through with more info on their latest consoles. If Nintendo doesn't expect much out of the Wii U until late summer, they're set to go all out to prove that the WiiU is a viable option for this holiday season right?

Nope.

Iwata himself said that they aren't doing a big conference. Instead, they're going to be doing separate closed door meetings with distributors and a small press contingent, alongside the usual floor demos and the like. Rather than face the other two hardware makers head-on, and proving that they can make a big splash and prove the Wii U deserves a seat at the table, they've instead decided to shrink away.

I don't get it.

Nintendo expects to sell 9 million more WiiUs and 40 million more Wii U games this year. They've given up on the next 2 and a half months. Yet they don't want to do a full court press at E3? Why? Why would they give even more room to Sony and MS to make their own noise when they were likely to struggle to stay in the conversation to begin with? E3 is NOT the place you should be lowering your expectations and presence, especially when both of your competitors are launching new hardware this year.

And no, the Nintendo Directs do not justify this. Those are primarily enthusiat affairs. And it's not like they're working from a position of strength; the Wii U just barely managed to hit the PS3's sales in the same timeframe, despite it being $600 and not being out in Europe until mid-March. The PS3 NEVER had a quarter with numbers that shitty, either in hardware or software. Nor have Nintendo's recent E3 showings been much to write home about, despite being out with their own new console first. Thus you'd think they'd take any opportunity they could to fire on all cylinders on a much bigger stage.

I just can't understand why they can't do a conference AND the closed door meetings and floor demos all at once. They need to be pulling out all the stops right now if they really want to turn the WiiIU around. This doesn't convince me that they get that.

And before anyone asks; no, I'm not saying this because I think the PS4 or the 720 will wreck the Wii U at Christmastime. If anything, I'll be surprised if either sells more than the Wii U in the same timeframe. I did an earlier blog on why I think Sony and MS may well struggle just as much; you should check it out. ;) 


 

Comments

Serraxor

04/25/2013 at 10:37 PM

At the same time though, people are shitting thier collective pants (for no real reason IMO) over the million Mario and Zelda games that are coming out that were announced via Nintendo Direct, so... yeah. Thay actually don't seem to need E3 anyway. 

gigantor21

04/25/2013 at 11:12 PM

Yes, and they're largely Nintendo fans who went in already hoping for, say, release dates for Bravely Default or Animal Crossing or something. If Nintendo really wants to push units in a big way, they need to get a lot more people outside that group excited. 

SanAndreas

04/25/2013 at 11:26 PM

Meh. E3 is an anachronism anyway, a relic from a bygone era. Most companies show their stuff at their own events nowadays, and E3 gets more and more boring with every passing year. The console makers show non-gaming apps, the game companies show stuff we've already seen a million times before. I don't think it will make much difference one way or another. Nintendo never participated in TGS.

gigantor21

04/25/2013 at 11:34 PM

It's been shitty the past couple of years because the companies have been trying to wring relevance out of outdated hardware--both for gamers and investors simultaneously. This is the first time in years that E3 will actually matter for once. (They almost never announce new consoles at E3 first, either.) 

SanAndreas

04/26/2013 at 12:00 AM

E3's been shitty since the generation started, TBH. The last E3 I remember being excited about was E3 2006, when they showed off the PS3. That was the year before they tried their two-year fiasco that was the "E3 Media and Business Summit," where they stripped away the booth babes and just held press conferences with business suits. But by the time they reinstated all the excess of E3s past, the magic was gone. Microsoft spent E3 2009 talking about Netflix on the 360 and showing off that creepy Milo demo for what would become Kinect. Nintendo had some games, but nothing people didn't already know about, and I don't even remember Sony's E3 2009. It went downhill from there.

gigantor21

04/26/2013 at 12:54 AM

Huh. I didn't know about any of that. I only started watching them a few years ago. :p

SanAndreas

04/26/2013 at 01:52 PM

Like I said, E3 is largely a convention for another day and age. Originally, video games were shown at CES until E3 was launched in 1995. And back when all we had was gaming magazines and online interaction was limited to CompuServe and FIDONet, E3 and CES were exciting, because there was pretty much of a media blackout at all other times of the year imposed by the technology of the times. But even back in E3's early days, it largely took a backseat to the Tokyo Game Show even among American gamers, given how heavily Japan dominated the gaming landscape on PS1. Nintendo never participated in TGS, preferring to highlight their stuff at Shoshinkai/Spaceworld. It did become important on the PS2/Gamecube/Xbox because of the steady shift of the game industry from Japan to the US at the time, but even when the 360 and PS3 made their debuts at E3 2005 and E3 2006, E3's attendance was dropping year-on-year. Eventually, the publishers decided that the old overblown E3 format of the past was too expensive and not worth it.

E3 '95 was entertaining. Sega announced that instead of its original projected launch date in September, the Saturn had already been shipped to retailers. Then Sony countered that by announcing the PlayStation would be $100 cheaper than the Saturn. :)

Super Step Contributing Writer

04/25/2013 at 10:44 PM

That actually makes it sound like Nintendo might finally bow out of the console race. I know it's speculative, but the thought makes me sad.Maybe they don't even feel they have enough to make a big E3 splash? I'm saying that as a person who has no idea what was slated to come out for the system except the Pikmin game you mentiond, though, so I'm an ignorant party, as with most things in this new generation.

gigantor21

04/25/2013 at 11:14 PM

I don't expect anything that dramatic, TBH. It's not like they won't be there, and not selling enough WIi Us has caused enough trouble without giving up on the damn thing entirely. I do agree, though, that it comes off as a lack of confidence in their ability to generate any real buzz this year.

Super Step Contributing Writer

04/26/2013 at 07:30 PM

Well, I didn't mean during this gen, but maybe it would convince them to wind down and maybe not release another home console in future.

I'm sure the Directs can serve their purposes without a big E3 press conference, but it just seemed odd when I read this. In all honesty, as long as they keep making software and handhelds, I'm good, and I'm pretty certain they'll be doing at least one of those long after next generation ends.

Vice's Assistant

04/26/2013 at 12:58 AM

Actually this completely has to do with Nintendo Direct, as they have been really sucessful. Nintendo annouced so much good stuff on there it would really make an E3 apperance redunant. Plus, it allows Nintendo to go at there own pace. Why wait till June to announce something when you can do it at your lesure. Really I have to agree with SanAdreas, E3 is loosing its importance. The luster it once had is pretty much gone because the large scale speciticals it puts are aren't really worth the trouble or money. Besides Nintendo isn't the one whose not seeing the importance of E3 this year. Sony announced their PS4 before E3 and Microsoft is announcing the next Xbox on the 21st of May, even though the PS3 and 360 both premiered at E3. It's no really worth the effort anymore to go all out when other conventions, like PAX and GDC, have proven to be better and more suceessful avenues.

Cary Woodham

04/26/2013 at 05:37 AM

Yeah I don't really think they need to do the big press conferences now that they have their Nintendo Direct thing.  Just as useful and lots less costly. 

Plus, I'm still bitter that after 15 years of being able to get a press pass to E3, and then being denied one this year for some reason, so I don't really care as much that Nintendo isn't doing a press conference.  At least I got to go to the one last year.

gigantor21

04/26/2013 at 09:39 AM

A more core-centric approach to getting their message out is way too Gamecube-ish for comfort. If they're going to be at E3 regardless, why not take full advantage?

Travis Hawks Senior Editor

04/26/2013 at 08:01 AM

Don't forget that Microsoft revealed 360 outside of E3 too.  Remember this mess?

gigantor21

04/26/2013 at 09:18 AM

NOOOOOOOOOOOOOOOOO

Seriously, I don't. I was myopically focused on the PS3's launch back in high school. I only saw clips of it last year. :p

How often do hardware companies wait until E3 to talk about their new hardware, anyway? The last one was the Gamecube back in 2001, right? 

angelfaceband42

04/26/2013 at 10:12 AM

My thoughts:  Nintendo debuted the Wii U at the last E3.  Nobody really cared enough and sales didn't follow.  Nintendo has the software and is very capable of doing well at E3 but I don't blame them for bowing out.  I think they are changing their marketing to better fit what works best for Nintendo and E3 is not it.  I love all 3 systems at this point but Nintendo belongs in a category by themselves and always has.

gigantor21

04/26/2013 at 10:49 AM

I don't know how Nintendo managed to screw that up. Having a new console when the other two didn't should've given them a huge advantage--I was super excited at seeing what they'd bring to the table. And yet I walked away from the E3 coverage more interested in what Sony was doing with their 7 year old box. In that context, giving up on the keynote makes more sense. :/

Nick DiMola Director

04/26/2013 at 10:22 AM

I think it's worth mentioning that Nintendo's strongest points are always on the show floor. Forget the big conference, the stuff they have out always makes the most waves and has the best press. It seems that they are controlling the media flow by putting them in front of the most important piece of the puzzle: the games.

I agree with San Andreas. E3 is quickly losing relevance and the past two years have really been awful. This whole charade we call E3 was once an entertaining spectacle, but these days it's the source of much undue stress to meet pointless deadlines and a huge money pit for already hurting publishers. I'd say it'll be better for the industry to just kill the event or make it a real trade show where media doesn't have such a presence.

Anyway, that's just my 2 cents..

gigantor21

04/26/2013 at 10:46 AM

Oh, yeah, recent E3's have been excruciatingly bad. But for me, it's largely due to the fact that they're still trying to wring a sense of freshness and excitement out of old ass hardware. This year, we're going into an E3 in which all 3 companies will be talking about new consoles for the first time in 8 years--and all three companies are clearly holding back info just so they can show it there. 

It just bothers me that Nintendo seems to be shrinking away from opportunities to put the Wii U back in the conversation. It's doing shittily right now, and they expect it to keep doing shittily even after E3. This comes off like they don't think it's worth trying to compete with Sony or MS this year head-on, even though they're going to in the marketplace anyway. Like..they're conceding that the Wii U is simply a lesser device than the other two, so they don't see the point of putting it on the same stage.

Nick DiMola Director

04/26/2013 at 10:54 AM

I can't really speak for Nintendo, but I do think that they're done competing with Microsoft and Sony in this war of attrition. Reality is, they aren't competing on the same terms, so why try?

Every year Nintendo has to bat down the bad PR spin that results from their conference, so I think it makes sense to just remove that x factor. Compare that to the Nintendo Directs and the stark contrast is really apparent. Regardless of whether or not they have their dog and pony show, they are going to get press from their floor showing, especially if they are showing off some big content.

Also, I wouldn't think it out of the realm of possibility that there will be a Nintendo Direct for everyone at home to show off what's going to be on the show floor, along with stuff going into the eShop for consumption.

I think it's a little too early to make a judgment on Nintendo's strategy, but I think it's at least smart to shake things up and do something different. Whether or not it pays off, we'll see soon. I expect that they'll return to form next year if this is a bust. If it's successful, 2012 may have very well been the last briefing they'll ever do at E3.

gigantor21

04/26/2013 at 11:13 AM

Are they really competing on different terms, though? Like Sony and MS, they still need to convince people to buy their new console, even if they're doing it by focusing on new experiences rather than the best specs and most features. And with the sales they had this quarter, they're still having a hard time convincing people that their vision for the WiiU is worth the investment. I just worry that doing something like this will give credence the bleating of the doomsayers who don't even consider the WiiU to be a next-gen console.

Nick DiMola Director

04/26/2013 at 11:30 AM

I don't think that Nintendo doing a presentation is going to change that perception. The media and publishers continue to perpetuate it, so I think the damage is already done. By the standards of the media, better graphics, more horsepower = next gen, not new features.

I think the sad truth (depending on your perspective), is that Nintendo is on their own and will have to justify the existence of their home consoles from now on.

It's been my long held belief that Nintendo is striving towards merging their home and portable console markets, which will change their place in the industry forever. Wii U is the first step in that direction and I wouldn't be surprised if the next iteration of Wii U and 3DS come together into one console that can be docked at home or played on the go.

gigantor21

04/26/2013 at 12:05 PM

That's the model I expect the entire industry to go along with the generation-after-next TBH. Considering the WiiU's design, and their merger of the console and handheld divisions, I'm sure they're going to be the first out of the gate. The way things look now, I'm sure mobile technology will be more than capable of allowing such a big paradigm shift.

I think you just gave me an idea for my next blog. :p

But maybe you're right. Maybe they really isn't anything they can do to change the narrative right now, big press event or no. But I just can't shake the feeling that this decision is going to make that perception much worse than it would've been.

Temperance

04/26/2013 at 02:50 PM

There's so much going on behind this that it's difficult to pinpoint the problem.  I think Nintendo is making a big mistake, though, by reducing its presence at E3, regardless if they or the third parties have little to show.  I understand they might have reservations about drawing attention to that, but the media and gamers are going to find out anyway.  Any press is better than conceding to the competition at this point, especially now that competition is at its fiercest.  Even if Nintendo didn't want to talk about the Wii U, they could still focus their energy on the 3DS as I'm certain there is quite a bit to talk about.  Are they sure they just want to address those who already own the hardware and ignore the general audience by staging closed meetings (Nintendo Direct or otherwise)?

smartcelt

05/05/2013 at 03:07 PM

I think it is a big mistake on the part of Nintendo to skip E3. I still try every product they put out there,but they need more than just me!  Games are the only thing that can save the Wii  U now. I hope they have something up their sleeve at those conferences.

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