Nintendo is expanding the console market with Switch by attracting new consumers to gaming, according to a report from market research firm Interpret.

The company’s New Media Measure survey, which is fielded quarterly to over 9,000 consumers, found in 2019 that 12% of Switch owners had no other console in their household. That figure more than doubled to 25% of Switch owners in 2020.

“We can infer from this that Nintendo has been expanding the overall console pie (much as it did with the original Wii) as new console gamers enter the marketplace,” Interpret said.

“In fact, there’s a likelihood that consumers age 45 and up (many of whom grew up on the original NES) drove a good portion of spending on Switch – Nintendo has cited parents as a sales factor, too.”

Switch launched in March 2017 and had sold over 68 million units as of September 2020, according to Nintendo, which will provide an updated sales figure when it reports its third quarter earnings on February 1.

The company launched the portable Switch Lite console in September 2019, shortly after the release of an updated flagship Switch console. There have also been persistent claims that Nintendo will launch an upgraded Switch console mid-cycle.

Nintendo said in November 2019 that Switch Lite was attracting a higher percentage of female first-time buyers than the flagship model did prior to the handheld’s launch.

And in January 2020, company president Shuntaro Furukawa said games like Ring Fit Adventure were helping Nintendo grow its audience.

“There is a higher ratio of female consumers playing Ring Fit Adventure compared to other titles, and a wide range of ages regardless of gender, as families play the title at home, giving a real feel for how our consumer base is expanding,” he said.

In May 2020, Nintendo said it planned to increase its advertising budget during the mid-stage of Switch’s life cycle in a bid to attract consumers who don’t play games.

Switch has been the best-selling console in the US for 25 consecutive months, according to research firm NPD Group.

And several analysts recently predicted Switch will be the best-selling console of 2021 worldwide, with two expecting a new model to launch this year.



Posted: Jan 24, 2021 7:58 pm
Related Forum: Gaming Discussion

Source: https://www.videogameschronicle.com/news/nintendo-switch-is-expanding-the-console-market-research-suggests/