In the wake of some pretty poorly financial results, Nintendo has pledged to leverage its strengths. I’m not convinced that’s really the best plan of action for the company. Nintendo has increasingly been drowning in its own deep history, and is under threat of stagnating to the point of inconsequence. Nintendo’s plan for the future seems to be sticking to it’s cores though; it’s existing IP and family-friendly entertainment.
Nintendo has published its financial report for the fiscal year ended March 31, 2014 – and everything, even the 3DS is below expectations. The company has sold 6.17 million Wii U consoles and 43 million 3DS systems to-date. Overall, the firm has seen a 10% year-on-year decline in revenue, with losses of ¥23.2 billion / $228.6 million.
The company has since issued a statement on how it plans to “leverage its strengths.“
“In the belief that the true value of entertainment lies in individuality, Nintendo continues to provide unique products and services by positioning as its core management strategy the dedicated video game platform business of hardware and software integration, in which Nintendo can best leverage its strengths.
“In addition, by introducing Nintendo Network IDs and taking advantage of smart devices, for example, Nintendo strives to strengthen its efforts to build a long-term relationship with its consumers and expand the market of its own platforms.”
“Moreover,” it continued, “by redefining entertainment as something that improves people’s QOL (Quality of Life) in enjoyable ways, Nintendo aims to deploy a new platform business that improves people’s QOL in enjoyable ways in a new field that is different from that of dedicated video game systems. The first theme will be health, and Nintendo plans to capitalize on being an entertainment company in devising a unique approach of its own.
“In addition, Nintendo strives to utilize its abundance of character IP more actively, providing its IP with more exposure in places other than video games, while achieving a certain level of profit from its licensing business at the same time.
“With its mission to pleasantly surprise consumers and put smiles on the faces of everyone it touches, Nintendo will continue to offer new and unique propositions and contribute to the development of the home entertainment industry.”
So it’s going to stick to using its already established IP, and focus on “quality of life” stuff like Fitness products. It’s something that worked for the company with the Wii – but the casual gaming bubble has very nearly burst. Nintendo very desperately need to move with the times, and modernise a little. Nintendo’s sticking to what it does best – but what it does best isn’t good enough anymore.
Last Updated: May 8, 2014