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[jarrod]

... what happnes? Do they look weak/desperate or aggressive/forward thinking? How much of a drop should they do? Should they drop before launch or next spring? Or should they just hold the fort and keep at the $149/14900 yen price? What about packing in Super Mario 64 DS as an extra incentive?

If Nintendo does drop, can Sony afford to match it? Or possibly throw in some pack-in software?

 

[sprsk]

100 dollars would be good, fuck competition with the GBA. most people come into my gamestop asking "whats that new gameboy" not "whats up with the nintendoods"

 

[Miburou]

Wouldn't they then be competing with themselves (with GBA SP)?

I'd choose "hold the fort and keep at the $149/14900 yen price".

 

[Cloudy]

Doomed if they do, doomed if they don't...I think. Sony is being really aggressive with the psp price..

 

[Goreomedy]

For the system to appeal to me at all, they should drop the price to $99 and support wireless internet in first party titles.

I don't think such a drop would be an act of desperation. They underestimated Sony's pricepoint. Now it's time to bare their teeth and take as big of a hit on the hardware.

 

[OG_Original Gamer]

I would try a price drop of 20 bucks, thats if the PSP takes off in Japan and preorders are real high in the U.S and Europe.

Or a bundle including a hot GBA game to go along with the MP:H demo.

 

[ge-man]

I was thinking about this earlier. Frankly, I think Sony is being too competitive to play lightly with. I say drop the the machine to 100 dollars and don't worry so much about canabalizing GBA sales. The DS is still GBA compatible, so they can still reap the benefits of GBA software.

 

[jarrod]

Well how about a drop to $129/12900 yen? That pushes the price advantage against PSP without really breaking the psychological barreir against GBA. What if they threw in Mario at that price?

Or even if they dropped to $99, how about dropping GBASP further to $69? Does Nintendo really have to worry about competing with GBA anyway, won't DS bee extremely supply restricted until next spring?

 

[Soul4ger]

I said all along that I thought $130 was the magic price for the DS, and I think, had they made it that initially, it would've saved them some grief now. Even though $150 is still pretty decent, I think they tried to get greedy, assuming that Sony wouldn't take too large of a hit on the PSP. A price drop definitely wouldn't hurt them, I think it's only smart business.

 

[snapty00]

They might as well keep it at $150. With Sony's machine at $200, they're not slowing down PSP with a mere $50 price drop. At $100, Nintendo would simply make $50 less per machine -- that's it.

If Nintendo could somehow add more graphics funtionality to the DS (more hardware effects such as mip-mapping, 8 megabytes of RAM, 133 MHz ARM9, 90 MHz ARM7, etc.), maybe they could make a dent. But as it is, there's way more than a $100 difference between DS and PSP.

 

[Spiritreaver]

I don't like the $100 price drop, $129 is more reasonable. They would look weak? Why? Only to the fanboys. Unless we can make such equal claims with Sony, as they've done the exact same thing here. If anything, Sony sees DS as a threat, but I'm sure GBA poses an even greater one, but they can't just combat with that. Hell, even at the price drop after the news of the DS release, it still sold like hotcakes. And I'm willing to bet GBA could survive yet another price drop.

 

[Insertia]

A drop to $99 wouldn't be a good decision. DS would directly eat into sales of their main bread and butter, it would give little room for another drop, and when it does drop in price in the future it wouldn't be a big deal because $99 is already a bargain.

$129 would be excellent. It's more then enough to distance itself from PSP.

 

[Matlock]

Maybe everyone here missed that Nintendo DS and PSP aren't exactly homogenous. I mean, sure they'll cannibalize each other's sales (naturally), but in the eyes of the consumer, they're two completely different products with completely different positioning statements.

That said, $129 "giving distance" is only in your dreams.

 

[SantaC]

There is no reason for Nintendo to drop the DS until Sony enters the US market which is spring 2005.

Drop the DS to $99 when Sony enters the western market.

 

[jarrod]

A drop to $99 wouldn't be a good decision. DS would directly eat into sales of their main bread and butter, it would give little room for another drop, and when it does drop in price in the future it wouldn't be a big deal because $99 is already a bargain.

Conversely though, if there's only 4 million DS units avaiable until next April, will it really eat into GBA sales? And would Nintendo really need another price drop in the foreseeable future (next year plus) for any reason? Wouldn't the lower immediate price drive media buzz and developer interest upfront, as it is for PSP?

Also, what keeping them from dropping GBA prices even further?

 

[Papi]

I reckon Nintendo should release some ninjas and KILL EVERYONE AT SONY!!!
Or like, yeah $100 would be mad.

 

[Miburou]

BTW, the DS before tax, is around 14,285 Yen, which is about $135.

 

[jarrod]

There is no reason for Nintendo to drop the DS until Sony enters the US market which is spring 2005.

Drop the DS to $99 when Sony enters the western market.

What about Japan?

 

[snapty00]

Maybe everyone here missed that Nintendo DS and PSP aren't exactly homogenous. I mean, sure they'll cannibalize each other's sales (naturally), but in the eyes of the consumer, they're two completely different products with completely different positioning statements.

Do you really believe what you just typed? I certainly don't.

 

[SantaC]

BTW, the DS before tax, is around 14,285 Yen, which is about $135.

so basicly the PSP is $185 before tax, and the DS $135...

 

[SantaC]

What about Japan?

Dunno. Didn't Nintendo say that the North American market is their main focus? Hence the early US release.

 

[Solid]

Dropping would be great.

YOU SEE HOW GOOD COMPETITION PAYS OFF? HAIL SONY!

 

[UltimateMarioMan]

If Nintendo lower the DS' price Sony is screwed. They cant afford to lose more money.

 

[Link316]

keep it where it is because Nintendo probably wouldn't want to also sell their handhelds at a loss, what Nintendo should really concern themselves with is taking steps to prevent any mass shift or exodus of 3rd party to the PSP, cause its over once that happens

 

[jarrod]

Personally, I think Nintendo should drop to $99/10,000 yen immediately before launch. They'll lose revenue (might even be taking a per unit loss at that point) but they need to aggessively push the price disparity against Sony, and really the ball's in Nintendo's court. They have the cheaper machine, use that to bleed Sony out of the market (like Sony did Sega with Saturn)... keep developers happy (which they seem to be doing) and use their clout in the handheld market to ensure big name exclusives.

Nintendo was willing to go as low as 10,000 yen before, might was well go through with it now.

Depending on the scale of Sony's loss, I wonder if Nintendo could make any headway through legal prosecution, claiming price dumping? If Sony takes a 50% bath per unit, how would that stack up under inspection by various authorities?

 

[snapty00]

keep it where it is because Nintendo probably wouldn't want to also sell their handhelds at a loss, what Nintendo should really concern themselves with is taking steps to prevent any mass shift or exodus of 3rd party to the PSP, cause its over once that happens

True. Sony is almost certainly going to be number one in the handheld industry a couple of years, so Nintendo needs to simply make the best out of a bad situation by ensuring that it at least has some significant third-party developers backing up the DS.

 

[SantaC]

Personally, I think Nintendo should drop to $99/10,000 yen immediately before launch. They'll lose revenue (might even be taking a per unit loss at that point) but they need to aggessively push the price disparity against Sony, and really the ball's in Nintendo's court. They have the cheaper machine, use that to bleed Sony out of the market (like Sony did Sega with Saturn)... keep developers happy (which they seem to be doing) and use their clout in the handheld market to ensure big name exclusives.

Depending on the scale of Sony's loss, I wonder if Nintendo could make any headway through legal prosecution, claiming price dumping? If Sony takes a 50% bath per unit, how would that stack up under inspection by various authorities?

True, but Nintendo's main goal as always is making a profit. If they dropped the NDS immediately to $99, (10000 yen) I bet they lose a lot $$$ per system.

 

[snapty00]

Depending on the scale of Sony's loss, I wonder if Nintendo could make any headway through legal prosecution, claiming price dumping? If Sony takes a 50% bath per unit, how would that stack up under inspection by various authorities?

That's not dumping. The price is similar in Japan. Go look up what dumping is.

 

[ypo]

nothing, the DS is DOA!!!

 

[Matlock]

Personally, I think Nintendo should drop to $99/10,000 yen immediately before launch. They'll lose revenue (might even be taking a per unit loss at that point) but they need to aggessively push the price disparity against Sony

If they do that, they'll not only get losses, but then the "aggressive price disparity push" you're citing would bring attention to Sony, who absolutely shits over Nintendo nowadays when it comes to brand equity and promotions.

Gotta keep 'em seperated.

 

[UltimateMarioMan]

True. Sony is almost certainly going to be number one in the handheld industry a couple of years, so Nintendo needs to simply make the best out of a bad situation by ensuring that it at least has some significant third-party developers backing up the DS.

Ha ha ha...no

 

[ge-man]

Personally, I think Nintendo should drop to $99/10,000 yen immediately before launch. They'll lose revenue (might even be taking a per unit loss at that point) but they need to aggessively push the price disparity against Sony, and really the ball's in Nintendo's court. They have the cheaper machine, use that to bleed Sony out of the market (like Sony did Sega with Saturn)... keep developers happy (which they seem to be doing) and use their clout in the handheld market to ensure big name exclusives.

This is what I'm think they should do. The balls in their court, but the also have a lot of wiggle room. I think making the DS GBA compatible gave them an extra option. Whether they decide to drop the price of the GBA SP or decided it's worth it to cut into those hardware sales, they still get to reap the profits GBA games in full. A price cut's affect will be dulled IMO by allowing the platform overlap.

 

[Ristamar]

I think launching at $129 and later dropping the price $99 - $119 in late February or early March would be a wise move...

 

[jarrod]

That's not dumping. The price is similar in Japan. Go look up what dumping is.

I don't want to, just tell me.

If they do that, they'll not only get losses, but then the "aggressive price disparity push" you're citing would bring attention to Sony, who absolutely shits over Nintendo nowadays when it comes to brand equity and promotions.

Gotta keep 'em seperated.

Can Sony really afford to go lower with PSP though? Can they afford to pack in a potiential killer app (like GT4m) for free and lose those software sales? Should Nintendo really keep their noncompetitive PR stance and simply insist on seperation?

 

[drohne]

i don't think nintendo can afford the kind of price drop it would take to make the ds look appealing alongside psp. both machines were the results of years of planning, and nintendo were outflanked. last minute maneuvering won't address the hardware disparity. really i think they should recommit to gba development. they've still got a good thing going there, and they shouldn't sabotage it.

 

[Matlock]

Drohne's last sentence is the truest in the thread, verily.

 

[BobbyRobby]

They have their own 1st party support, and Square Enix. DS will do just fine in Japan.

The US is a different story.

 

[sonycowboy]

... what happnes? Do they look weak/desperate or aggressive/forward thinking? How much of a drop should they do? Should they drop before launch or next spring? Or should they just hold the fort and keep at the $149/14900 yen price? What about packing in Super Mario 64 DS as an extra incentive?

If Nintendo does drop, can Sony afford to match it? Or possibly throw in some pack-in software?

I think this generation shows us that price is not an effective "weapon" anymore. Software is the key and if they try to compete on price, they'll only be hurting themselves in the long run. They've already got better 3rd party support than they've had for a looong time. What they need are the third party exclusives to complement their own, and to help developers with using the strengths and innovations of their system, namely the touch screen and the dual screen.

Lowering the price = Stupid & desperate

 

[kaching]

I think the current prices set for both devices are fine. It's just a matter of what your personal goals are for each device. I don't think the price of either device is in any way a detriment to their success in the marketplace at this point.

 

[Bishman]

Depending on the scale of Sony's loss, I wonder if Nintendo could make any headway through legal prosecution, claiming price dumping? If Sony takes a 50% bath per unit, how would that stack up under inspection by various authorities?

Someone please explain this or go into more detail.

 

[Mrbob]

There is no reason for Nintendo to drop the DS until Sony enters the US market which is spring 2005.

Drop the DS to $99 when Sony enters the western market.

Horrible idea. You don't drop the price four months after release once competition is out.

It makes your product look weak plus pisses off all the people who bought one. Either drop it before release or stay firm for awhile.

 

[snapty00]

sonycowboy is right for once. If price advantages (within reason) really made a significant difference, GameCube wouldn't be where it is today. GameCube has had a $50-or-greater price advantage ever since it was released, yet it's selling consistently less than the competition on a monthly basis.

 

[SantaC]

Horrible idea. You don't drop the price four months after release once competition is out.

It makes your product look weak plus pisses off all the people who bought one. Either drop it before release or stay firm for awhile.

uh so now a product would look weak if it has a low price? How should we settle this.

 

[jarrod]

This is what I'm think they should do. The balls in their court, but the also have a lot of wiggle room. I think making the DS GBA compatible gave them an extra option. Whether they decide to drop the price of the GBA SP or decided it's worth it to cut into those hardware sales, they still get to reap the profits GBA games in full. A price cut's affect will be dulled IMO by allowing the platform overlap.

Yep. I also think a later price cut wouldn't be good image wise... they should start out agressively at $99, then they really don't even have to worry about price dropping the first year probably (as Sony I suspect can't really go any lower for awhile). After that just counter whatever Sony drops (with MSRPs, not pack-ins) and keep the pressure on until their next GB is ready.

Sony's playing to win. At $300 I though PSP would be a modest success, and build a good amount of developer support and consumer attention over time, slowly growing userbase. At $200, they'll do all that almost immediately. Nintendo has to nip this in the bud, use what they've learned about Sony's strategies to stall PSP from the start. Otherwise DS will just be playing catch up like Saturn, N64, Xbox and GameCube have. Time to get serious.

 

[sonycowboy]

Personally, I think Nintendo should drop to $99/10,000 yen immediately before launch. They'll lose revenue (might even be taking a per unit loss at that point) but they need to aggessively push the price disparity against Sony, and really the ball's in Nintendo's court. They have the cheaper machine, use that to bleed Sony out of the market (like Sony did Sega with Saturn)... keep developers happy (which they seem to be doing) and use their clout in the handheld market to ensure big name exclusives.

Nintendo was willing to go as low as 10,000 yen before, might was well go through with it now.

Depending on the scale of Sony's loss, I wonder if Nintendo could make any headway through legal prosecution, claiming price dumping? If Sony takes a 50% bath per unit, how would that stack up under inspection by various authorities?

LOL. You're sounding extremely desperate yourself there, Jar.

Litigation for price dumping? I think that's the saddest thing I've ever heard come. Clearly, you feel that Sony has just pulled the rug out from under Nintendo and you.

Nintendo will be just fine.

 

[seismologist]

Why does Nintendo have to drop the price? Xbox already proved that people choose games over technology even if they were the SAME price I dont think it would change anything.

 

[SantaC]

Nintendo will be just fine.

Sounds like 95% the opposite in here.

 

[Mrbob]

uh so now a product would look weak if it has a low price? How should we settle this.

You leave the price where it is and wait till next xmas to drop the price.

 

[Insertia]

PSP at $199 basically gurantees it a stake in the handheld market and a true competitor of GBA. I don't believe DS at $99 wouldn't have much of an effect on PSP, so much as it would give it some breathing room.

 

[Suerte]

Hmmmm, i don't see them dropping the price, if anything they'll argue the price is justified due to the "innovative" features compared to the PSP.