Nintendo Switch won't get a price increase 'at this point'
Unlike the Meta Quest 2, Nintendo isn't planning to raise the price of the Nintendo Switch
➡️ The Shortcut Skinny
❌ Nintendo has ruled out a Nintendo Switch price increase “at this point”
💹 Manufacturing and shipping costs have risen, which could result in a price hike
🧑🤝🧑 Nintendo wants to “avoid pricing people out”
💵 Several companies have raised the price of their products and subscription services
Nintendo has confirmed that the Switch won’t get a price increase “at this point” even though manufacturing and shipping costs have risen.
Nintendo president Shuntaro Furukawa said the company wants to “avoid pricing people out” and to avoid impacting software sales, even though costs have “increased for shipping not only by air, but also by sea.”
Speaking to Nikkei Asia, Furakawa said:
“We're not considering [a price increase] at this point for two reasons. In order to offer unique entertainment to a wide range of customers, we want to avoid pricing people out. Our competition is the variety of entertainment in the world, and we always think about pricing in terms of the value of the fun we offer.
“Our products also include software. Nintendo has sold more than 100 million Switch units so far, and it's important to maintain the momentum of our overall business. Generally speaking, a weak yen makes domestic Switch sales less profitable.”
Nintendo had a mixed first quarter, as Switch sales fell 23% and software sales fell 8.6%. However, Nintendo increased its overall percentage of first-party games sold and recorded its second-best first quarter for first-party games sold in the Switch’s history.
Nintendo has ruled out any new Switch hardware until at least April 2023, and Furukawa said the company will continue to sell all three Switch models over the next few years.
“Nintendo will continue to sell three [Switch] models: the standard model; the Switch Lite with reduced price, size and features; and the OLED model. We'll work out the best strategy as we go along. We're doing our best to procure high-quality products at an appropriate price with an eye toward the next few years.”
It feels like everything’s getting more expensive at the moment. Meta raised the price of Quest 2 by $100 in August, and we’ve seen streamers such as Disney+ and Hulu increase the monthly subscription price.
Even Sony has refused to rule out a PS5 price increase. During the company’s financial results, Sony’s executive deputy president and chief financial officer Hiroki Totoki said: “About a potential price increase for the PS5, at this point in time there is nothing specific I can share with you about prices.”
The Nintendo Switch currently costs $299, while the Nintendo Switch Lite and Nintendo Switch OLED price is $199 and $349, respectively.
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