Nintendo Fils-Aime on Wii Supply: "No way to answer..."
Reggie not as bullish as usual.
Speaking to industry analysts recently, Nintendo America President Reggie Fils-Aime has been forced to admit that predicting when Wii supply will meet demand is beyond him.
While clever in its positive spin, the simple fact is that, despite years of planning and more than a year on sale, there are not even close to enough Wiis to meet supply. The masses of consumers who are demanding the hugely successful console will not be placated by clever spins
All this is despite Nintendo pushing manufacturing to 1.8 million Wiis per month. This level of production is not going to be raised either according to Reggie: "We'll keep producing at that level for quite a while."
SPOnG's consulted our business management manuals, and we just can't come up with a usable definition for the term 'while'. We think it's short than 'bloody ages' but longer than a 'moment'.
Apparently the production cock-up isn't Ninty's fault though - and yes, it is either a cock-up in management and planning, or it is a deliberate throttling of supply; Fils-Aime has already denied the latter.
"Production depends on components from a wide array of suppliers. If only one can't increase their capacity, then we can't increase ours", said Fils-Aime.
Apparently, Reggie is being bugged about this Wii supply from all angles, "I get personal calls from people wanting to know why we don't just manufacture more. Believe me, if it were that easy, we would."
That's okay then.
Retail, at least in the United States, isn't taking it lying down though. With the Wii in short supply everywhere this 'The Holidays' different retail outlets are taking different approaches to meeting demand. Some are taking small margins or losses even with bad bundles or no bundles at all. GameStop, however, has decided to offer what it's calling a 'Rain Check'.
According to Forbes, "The rain checks will be available at the regular Wii system price, $249.99, (£124.20) on December 20 and 21, and will entitle buyers to get the Nintendo console before January 29.
According to Reggie Fils-Aime, "many tens of thousands of rain checks" would be available. Clever, uh? Because he didn't actually say that, "Many tens of thousands of Wiis would be available".
Looks to SPOnG as if this is an excellent way for GameStop to receive the cash up-front. At least this is a straightforward and honourable way of not inflating the price purely as a cash-in though.
See also Forbes
"When will we finally meet demand? There is no way to answer that question until we finally meet it."
While clever in its positive spin, the simple fact is that, despite years of planning and more than a year on sale, there are not even close to enough Wiis to meet supply. The masses of consumers who are demanding the hugely successful console will not be placated by clever spins
All this is despite Nintendo pushing manufacturing to 1.8 million Wiis per month. This level of production is not going to be raised either according to Reggie: "We'll keep producing at that level for quite a while."
SPOnG's consulted our business management manuals, and we just can't come up with a usable definition for the term 'while'. We think it's short than 'bloody ages' but longer than a 'moment'.
Apparently the production cock-up isn't Ninty's fault though - and yes, it is either a cock-up in management and planning, or it is a deliberate throttling of supply; Fils-Aime has already denied the latter.
"Production depends on components from a wide array of suppliers. If only one can't increase their capacity, then we can't increase ours", said Fils-Aime.
Apparently, Reggie is being bugged about this Wii supply from all angles, "I get personal calls from people wanting to know why we don't just manufacture more. Believe me, if it were that easy, we would."
That's okay then.
Retail, at least in the United States, isn't taking it lying down though. With the Wii in short supply everywhere this 'The Holidays' different retail outlets are taking different approaches to meeting demand. Some are taking small margins or losses even with bad bundles or no bundles at all. GameStop, however, has decided to offer what it's calling a 'Rain Check'.
According to Forbes, "The rain checks will be available at the regular Wii system price, $249.99, (£124.20) on December 20 and 21, and will entitle buyers to get the Nintendo console before January 29.
According to Reggie Fils-Aime, "many tens of thousands of rain checks" would be available. Clever, uh? Because he didn't actually say that, "Many tens of thousands of Wiis would be available".
Looks to SPOnG as if this is an excellent way for GameStop to receive the cash up-front. At least this is a straightforward and honourable way of not inflating the price purely as a cash-in though.
See also Forbes
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Comments
deleted 17 Dec 2007 13:24
1/5
My local Cash Generator (Wigan) has somehow landed its hands on at least 20 Brand Spanking new Wii`s, and they are selling them for £349.99 each, the funny thing is, my local Game & Gamestation also have Wii`s in stock and although you must buy bundles at least they arent inflating to rip off rate.
DoctorDee 17 Dec 2007 13:26
2/5
haritori wrote:
My local Cash Generator (Wigan) has somehow landed its hands on at least 20 Brand Spanking new Wii`s, and they are selling them for £349.99 each
There's a shocking development, Cash Generator ripping people off. Who'd have thunk it?
I would never have believed it if I hadn't read it right here, in black and white (depends what skin you are using) with my own eyes.
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deleted 17 Dec 2007 13:50
3/5
i know i was as shocked as you, but as game and gamestation have them they arent selling any lol.
SuperSaiyan4 18 Dec 2007 12:23
4/5
I like the part where it says this:
Production depends on components from a wide array of suppliers. If only one can't increase their capacity, then we can't increase ours", said Fils-Aime.
Now surely the parts cant be that hard to obtain...Sony had serious issues with the blue laser for its blu-ray drive and all the parts in the PS3 and 360 are far superior to the parts in the Wii...So why are these parts that difficult to get hold of?
Sounds like crap, what he is saying is 'We are making tons of cash, why should we spend millions in opening another manufacturing plant?'
Anyways I bought a Nintendo Wii for £180 brand new in Zavvi its still boxed, who wants it? £230.
Production depends on components from a wide array of suppliers. If only one can't increase their capacity, then we can't increase ours", said Fils-Aime.
Now surely the parts cant be that hard to obtain...Sony had serious issues with the blue laser for its blu-ray drive and all the parts in the PS3 and 360 are far superior to the parts in the Wii...So why are these parts that difficult to get hold of?
Sounds like crap, what he is saying is 'We are making tons of cash, why should we spend millions in opening another manufacturing plant?'
Anyways I bought a Nintendo Wii for £180 brand new in Zavvi its still boxed, who wants it? £230.
Hypnotoad 19 Dec 2007 23:51
5/5
The REAL shocking part here is that the darn things aren't worth owning anyway. Seriously, 1 good game on the thing it's entire life (Mario Galaxy in case anyone was curious). Everything else the cube was doing just as well.