Your last sentence plus the brackets say it all, their brand awareness and positive image could be way better, if they wouldn't come off as the makers of "yet another endless runner", that is polished but not worth what it costs! Defintely not that much more than all the other endless runners from the likes of Ubisoft for example.
Nintendo should have made THE most charming, best playing endless runner, make it $3 for all levels and have ads for the Switch and how much more awesome and charming Mario will be on that device. "If you liked the looks here, you MUST get a Switch".
People are ok with paying money for something if it's common in a context/platform, they would have been ok with paying 40 bucks for a "real" Mario game on a console, because that's what they agreed to buying a console - extra awesome gameplay at extra cost.