NYTimes looks at Wii's software sales problem

by Kyle Orland { Apr 21st 2008 at 12:15PM }

Despite consistently strong hardware sales, the Wii has thus far lagged behind its competitors when it comes to the all important software tie ratio. The New York Times looked into the problem today, with an article highlighting Wii owners' reluctance to buy games at the usual rapid pace.

On average, Wii owners only buy 3.7 games a year, compared to 4.7 and 4.6 for the Xbox 360 and PS3 respectively. "These new gamers are content with the games they have, often going no further than the Wii Sports game that comes with the machine," the Times author states. "They don't buy new games with the fervor of a traditional gamer who is constantly seeking new stimulation."

Analysts say fixing the problem will require changing the way third parties market their games to the new audience of casual Wii gamers. "Advertising on Game Informer and 1up.com just isn't reaching this audience," Wedbush Morgan's Michael Pachter said. Advertising on Joystiq.com, though? Always a great idea!

Tags: new-york-times, nintendo, NYTimes, software-sales, tie-ratio, wii

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Reader Comments (Page 1 of 3)

Sir Fidlious Wong (Zeon Defense Force) @ Apr 21st 2008 12:21PM

THIS should be fun....

Markez @ Apr 21st 2008 12:37PM

I think it just boils down to the 'blue ocean' audience, and I don't think it's really anything Nintendo can do anything about. They just don't have the urge like people like myself do to keep buying games.

If you were able to somehow remove the blue ocean crowd and look at your more traditional gamers with Wiis (that sounds funny) obviously the attach rate would be much, much higher.

Sir Fidlious Wong (Zeon Defense Force) @ Apr 21st 2008 12:41PM

Oh I agree completely. Frankly, third parties haven't yet discovered how to advertise to those new customers yet. And this isn't a sign of Wii's death by a longshot. I'm just saying THIS thread should be fun. I'll be attacking both sides of thearguement....

SillyShiggy WSN (if it had one): lovsatan @ Apr 21st 2008 12:43PM

I've also posted this below, but more people will be able to read it if it appears near the top:

http://malstrom.50webs.com/

Yourself @ Apr 21st 2008 12:44PM

A 1 game per console difference doesn't seem to huge, but its really much more a matter of "more people own Wii" than "everyone buys less games for Wii."

I could explain more, but everyone capable of being reasoned with on this issue already knows what's going on, and that's what's key. Yeh don' argue wi' fanboys.

MN Guy @ Apr 21st 2008 1:30PM

I think the Wii has maintained its hardcore Nintendo gamers and their healthy attach rates from the Cube era. The only reason their software numbers are so low is because they have added many non-gamers and "Wii as a second system" type people that naturally won't buy as many games as a regular hardcore Nintendo fanboy.

I own a Wii and have only purchased Smash and Galaxy over a span of time that I have purchased well over 12 360 games. I don't see that changing at all in the future. Nintendo games appeal to Nintendo fans, but as far as 3rd party goes there isn't much quality or quantity there at all in my opinion.

Fernando Rocker @ Apr 21st 2008 1:50PM

This is bullshit:

Mario Kart Wii, Wii Sports, Wii Play, Super Mario Galaxy, Mario Party 8, Twilight Princess, Smash Bros, Mario and Sonic, Big Brain Academy, Super Paper Mario, WarioWare, Guitar Hero, Wii Fit, Resident Evil 4, Mario Strikers, Carnival Games, Rayman, Metroid Prime 3, Sonic and the Secret Rings, Resident Evil UC, Lego Star Wars, Red Steel, Rayman 2 and MySims.

There are 25 million sellers on the Wii, vs 11 million sellers on PS3...

And every month the Wii sell more software than Sony and Microsoft.

The game ratio may be lower, but the huge install base compensate that.

Hashbrown Hunter @ Apr 21st 2008 2:01PM

Actually Fernando, I think that is the main problem. I agree with your argument, but the undeniable fact that the Wii has a very widespread install base makes the software sales very hard to live up to the hardware sales.

Fernando Rocker @ Apr 21st 2008 2:06PM

Hashbrow

By that logic, God of War II should have sold 2 million, because the PS2 has an install base of 120 millions...

I don't why people have the courage to write that the Wii doesnt sell software... month after month, week after week, when they show the numbers, Nintendo outsell everything... since November from last year the started to outsell the 360 in softwares worlwide...

Fernando Rocker @ Apr 21st 2008 2:09PM

... should have sold *more than 2 million

Hashbrown Hunter @ Apr 21st 2008 2:17PM

I don't think you got my point Fernando. What I'm saying is that I do believe that the software sales are great, but because of the large install base the tie ratio is lower.

It's underperforming based upon it's hardware sales, but if you look at just the software it's doing great.

...I think I'm actually agreeing with you.

Fernando Rocker @ Apr 21st 2008 2:21PM

I understand you...

I always wanted to explain here in Joytsiq that, by simple math, the higer the hardware install base, the % of attach ratio is lower...

For example: 4% attach ratio of 24 million Wii, is a lot more than 5% attach ratio and 12 million PS3.

samfish @ Apr 21st 2008 2:21PM

We're well past the point where attach rate (which really doesn't matter all that much in the first place) matters in regards to the Wii.

That's all there is to it.

D_Average @ Apr 21st 2008 2:30PM

Given the amount of shovel ware, I think 3.7 is pretty decent. Just one game behind the other two, not bad.

upz PSN: heypaul @ Apr 21st 2008 2:31PM

Hey Fernando, I got some math for ya. How do you feel about the average score for Mario Kart being the same as the demo for Gran Turismo?

http://www.metacritic.com/games/platforms/wii/mariokartwii
http://www.metacritic.com/games/platforms/ps3/granturismo5prologue

Maxwell Ash @ Apr 21st 2008 2:35PM

Hey, Paul, what does that have to do with this subject? Just wondering here.

mr mobius @ Apr 21st 2008 7:54PM

Paul, I'd say he either doesn't care or feels great considering how many gave Mario Kart brillaint scores. I also don't see why a demo should matter, if it's a good game then it'll be good no matter the length - for example Portal.

I doubt he really cares as well as he is racing online with people and havign a good time, while you try to strain every single ounce out of a demo because the actual game is still many months away.

Kye - Joystiq Greybeard @ Apr 21st 2008 12:24PM

9 games bought for the Wii.
Planning to buy 3 more (including Wii fit) by or before the summer.

No shortage of Wii-Love over here.

Moffka @ Apr 21st 2008 12:45PM

You're also not the target audience of the Wii that the NY Times articles speaks of.

Maverick Saturn @ Apr 21st 2008 12:28PM

Hah! And I explained this to Fernando when he said it was better then 360s! Hah!

Nigeria - MK: 0430-8491-9123 @ Apr 21st 2008 1:05PM

And then you felt your penis grow.

Maverick Saturn @ Apr 21st 2008 1:26PM

Actually, I felt proof was enough :)

SillyShiggy WSN (if it had one): lovsatan @ Apr 21st 2008 12:30PM

As of December 31, 2007:

Wii Software Sales: 113.19 million
Wii Console Sales: 20.13 million

That's a roughly 5.6:1 ratio. But that includes Wii Sports. Taking out the 17.85 million for Wii Sports, you are left with a 4.7:1 ratio.

Remember, these figures are as of December 31 and don't include the spectacular sales of Wii Fit, Brawl, and Mario Kart. Since tie ratios go up over a console's life and not down, I wonder where the New York Times pulled their numbers from.

SillyShiggy WSN (if it had one): lovsatan @ Apr 21st 2008 12:33PM

Also, Guitar Hero III may have sold more units on the 360 and the PS2, but the game appeared bundled AND un-bundled. Of course, the Times also fails to mention the Wii version of GHIII is still appearing in the top ten each month while the other versions have dropped off.

Sir Fidlious Wong (Zeon Defense Force) @ Apr 21st 2008 12:36PM

Reading is awesome.. you find info like THIS gem...

"On average, Wii owners only buy 3.7 games A YEAR, compared to 4.7 and 4.6 for the Xbox 360 and PS3 respectively."

Also, how nice would that tie ratio be if companies weren't always bundling?

SillyShiggy WSN (if it had one): lovsatan @ Apr 21st 2008 12:40PM

I managed to read that line. The Wii has been out for roughly a year and a half, so a yearly tie ratio would more or less be the same as the Wii's LTD tie ratio.

Matt @ Apr 21st 2008 12:42PM

Doesn't every Wii come with wii sports? So then how does 20 million wii's sold only equal 17.8 million wii sports sold? And how many of those other games are Wii play, which barely counts as a game?

Yourself @ Apr 21st 2008 12:46PM

Japanese and other Asian Wii's don't come with Wii Sports.

Sir Fidlious Wong (Zeon Defense Force) @ Apr 21st 2008 12:46PM

In Japan, WiiSports is sold seperately.

SillyShiggy WSN (if it had one): lovsatan @ Apr 21st 2008 12:46PM

Wii Sports is not bundled in Japan. Also, if you really want to remove Wii Play (9.23 million units), the tie ratio would be about 4.3:1, but of course that is ignoring the several million copies of Wii Sports sold alone in Japan.

Vcize @ Apr 21st 2008 12:46PM

How many copies of Wiimote, errr I mean Wii Play were sold?

Vcize @ Apr 21st 2008 12:48PM

Damn you for mentioning that at the same time I was typing my post and making me look like a fool!

Shane Kim X3F (: Me love me 360 long time!) @ Apr 21st 2008 12:57PM

SillyShiggy

Buddy ole pal...

The Wii Sucks BALLS plane and simple.

:)

SillyShiggy WSN (if it had one): lovsatan @ Apr 21st 2008 1:03PM

Alright, who invited Shane? Ken, did he follow you? I told you guys to lock the door, whoever is the last one in.

Kye - Joystiq Greybeard @ Apr 21st 2008 1:19PM

SillyShiggy + 1 for the Paper Mario quote.

WiiSports Machine...Fernandos in disguise PSN: Killjebus @ Apr 21st 2008 1:26PM

Shane, welcome to the party. Is there any truth to the rumor (I have been told that you started it) that Reggie and Shiggy were "caught" holding hands coming out of the Manhole in Chicago's Boys Town by Wrigley Field? I also have heard that Reggie was in drag. (I know, scary, scary thought)

When me and Shiggs were growing up in Tachikawa Japan he used to STARE at those gay comics at the news stand that was in route to our school. He was late many times because he could not stop looking at those magazines.

Shane, any help you can give in clearing this up would be appreciated.

SillyShiggy WSN (if it had one): lovsatan @ Apr 21st 2008 1:41PM

I made a Paper Mario quote? Funny, you work with the man for so long and you subconsciously steal his material from time to time.

Fernando Rocker @ Apr 21st 2008 1:51PM

Zoesch @ Apr 21st 2008 5:47PM

Fernando, do you intend to keep repeating the same post over and over in hope that magically it becomes logical?

Oh wait...

That's what you normally do... nevermind.

FOXHOUND @ Apr 21st 2008 12:30PM

Though I could've sworn I said this last week... the problem lies with the wide spectrum of Wii owners preferences.

I personally bought one for myself, my brother and my dad since the system's release. My brother and I usually play the more skill-driven Wii titles or VC games we hadn't played since the years circling their original release... nostalgia.

My dad however, usually plays either WiiSPORTS or TIGER WOODS'07(he would've bought 08, but it wasn't online), despite buying GHOST SQUAD and the WiiZAPPER. He used to play arcade games heavily in his day, and even got the VC version of GALAGA... but these days; his reason for not playing anything more "hardcore" is mostly because he plays it casually. Maybe 3-5 hours at most a week. Thankfully, he's not the type of Wii owner out there buying those damned shovelware or half-ass ported titles (NINJABREAD MAN, CARNIVAL GAMES, FAR CRY, etc.)... but I'd be honestly surprised if I visited and saw him playing NO MORE HEROES.

Joeshie @ Apr 21st 2008 12:31PM

Not really that surprising. Wii is somewhat of an impulse buy for many people in that they pick it up because it's trendy, play it a couple of times, and never use it ever again.

I don't want to even imagine how worse it would be if Wii Sports didn't come free with it and Wii Play didn't come with a controller.

SillyShiggy WSN (if it had one): lovsatan @ Apr 21st 2008 12:35PM

Wii Remotes are in plentiful supply. There is no excuse for buying Wii Play simply for the remote when remotes have been widely available since summer. Those sales since then have been people genuinely interested in purchasing the software.

Sir Fidlious Wong (Zeon Defense Force) @ Apr 21st 2008 12:37PM

Or people like myself who use Buy 2 get 1 sales to get three copies of Wii play and say myself $20 overhead on the controllers only to also make $45 back selling that shit on a disc on Ebay.

Chris @ Apr 21st 2008 12:35PM

This is simple and a bunch of people have said this in different ways:

A lot of people buying the Wii are doing so because it is a novelty item. Something that is taken out like a board game when people have parties or during family get-togethers. This consumer isn't one that is going to buy more games because what they have is a novelty item that is good for 1-2 things.

The 'gamers' that buy the Wii want Nintendo games and are happy with Mario-anything. Not to mention, lets be honest here... how many Wii games are actually good?

I'd also go on a limb and say that 'gamers' that have the Wii also have a PS3 or Xbox360 and probably buy cross-platform games on those systems instead of the Wii.

I've said this in other places: I thin it is funny that people latch onto Hardware sales figures as the defacto statistic as to who is winning the Console War. To me it is which console is getting their users to interact and buy more games. The more games that are bought, the more the developers want to make games for that system. The more games for the system, the better it is for the consumer and the better it is for the console.

The Wii is a toy, accept that. Maybe 5-6 years from now, when casual gaming really has a foothold in the normal American psyche, will something like the Wii sell a ton of games.

SillyShiggy WSN (if it had one): lovsatan @ Apr 21st 2008 12:38PM

The Wii isn't targeting the "casual" audience. My company as a whole is focusing on downmarket consumers and gradually moving upmarket via bridge games like Mario Kart Wii. In time, we will have moved away entirely from minigame compilations. Unfortunately, many third parties assume that our success was earned purely on these "casual" titles and they completely ignore our underlying business strategy.

Markez @ Apr 21st 2008 12:40PM

Nice trolling, Chris.

Mr Khan @ Apr 21st 2008 5:13PM

"Wii is a toy"

So are PS3 and 360, they're all toys. One is a toy disguised as a "Interactive Revolution" and the other two are toys disguised as PCs

Jouten @ Apr 21st 2008 12:35PM

"...Advertising on Joystiq.com, though? Always a great idea!"

Marketing whores! How am I supposed to trust your people's 'unbiased' reviews now?!

=P

FrankTheCrank @ Apr 21st 2008 12:37PM

"4.7 and 4.6 for the Xbox 360 and PS3 respectively."

I thought the attach rate was higher on the 360. Wasn't it at 6.7:1 at one point?Another myth busted!

360, no place left but 3rd place. *sniff, sniff

But...XBL..but...down loadable movies...but...GTAIV DLC.