Nintendo’s Digital Pricing Strategy
Nintendo recently announced a push in the digital space, but their pricing scheme doesn’t necessarily incentivise it.
The company’s president, Saturo Iwata, has said that the digital games will be priced the same as they are at retail. The reasoning behind this is obviously to create competition. Iwata also stated in a Q&A with investors that downloadable games have the same value as retail games.
We do not hold such a premise that digitally distributed software has less value.
I think this is the completely wrong way going about digital. It doesn’t make sense. One of the best things about digital is it’s immediacy and cost effectiveness. The removal of the middle man (retailer) and the fewer production costs in printing etc. makes the game cheaper. If the digital editions are the same price as the RRP, they’ll also be more expensive as many retailers sell below the RRP. A dangerous game Nintendo…