299 UK Pounds for a Wii U... REALLY?

I walked past GAME earlier today, I noticed they have a deal going "Trade in your console for 150% trade-in value towards a wii u"

I thought "oh great! I barely use by Xbox 360 Slim 250gb... being a poor mans pc with barely any unique games, I could upgrade!"

Then I saw the price for the first time. £45 for mario bros wii-u. £40 for normal controller. £50 for wii-mote+knunchuck.

While the deal would be good for me as it will save what... I dunno £150 off a wii-u. £299 for a barebones console that isnt much of a graphical or hardrive push (32GB..... YAY.) it is still a friggin crazy price for EVERYTHING related to it.

How the hell do they think this will be anywhere near as successful as the Wii was at this price level? and now games that cost as much if not more than xbox/ps3 brand new games.

Blows my mind.

was really interested but damn, can anyone justify this?

That Pad Controller.

That Pad Controller.

LegatoSkyheart

[QUOTE="LegatoSkyheart"]

That Pad Controller.

MBirdy88

point is: Dat Pad Controller costs lots yo. Said yourself Microsoft Surface costs $299.

damn, that like $480 dollars, LMAO

this console will flop, not to mention it HAS NO GAMES

damn, that like $480 dollars, LMAO

this console will flop, not to mention it HAS NO GAMES

humpmasterflex

That is not good, the WII U has low hype the press is not on its side, and many of its game are just re releases of games already out. If it does come out a 400+ price range in the US it will flop

That is not good, the WII U has low hype the press is not on its side, and many of its game are just re releases of games already out. If it does come out a 400+ price range in the US it will flop

James161324

[QUOTE="James161324"]

That is not good, the WII U has low hype the press is not on its side, and many of its game are just re releases of games already out. If it does come out a 400+ price range in the US it will flop

APiranhaAteMyVa

i doubt it, there hasn't been a word about it in the main stream press, and even the gaming press has pretty much ignored it

wiiuniversity is last gen console with a $60 GPU so just walk away.

[QUOTE="APiranhaAteMyVa"][QUOTE="James161324"]

That is not good, the WII U has low hype the press is not on its side, and many of its game are just re releases of games already out. If it does come out a 400+ price range in the US it will flop

James161324

i doubt it, there hasn't been a word about it in the main stream press, and even the gaming press has pretty much ignored it

[QUOTE="James161324"]

[QUOTE="APiranhaAteMyVa"] They've already announced the US price as $300 and $350 for the premium. I can see the hype building over the next month or so in the mainstream press. ultraking

i doubt it, there hasn't been a word about it in the main stream press, and even the gaming press has pretty much ignored it

but still the wii only had it success becuase it blew up on main stream press it was every where. The Wii U is not

The only way to justify a price is to know sort of where the break-even point is.

If the price is close to the break even point, then it's justified (imo)

How do we know that? Well we don't (yet) so we can't say. Simply comparing its (supposed) horsepower to other similar products is not the correct way to go about since different products have different expenses; I mean PS3 is roughly on par with 360 yet it was much more expensive to produce, so a horsepower comparison in general is flawed.

--

Maybe you are refering to the fact that the base unit costs $299 in the US and that translates to £299 in the UK; that's usually the way things are, the exchange rate is not 1:1. People in, let's say the UK, have to pay "~40%" (or whatever it is) more for the same product, just because.

--

So in conclusion the whether the price is justified has yet to be determined, in the second case the dollar to pound exchange is normal for products i.e. it's not a Wii U only phenomenon.

Yeah £299 is certainly questionable, I can't see it lasting at that price for long. The 360 launched at £270, Wii launched at £180, so £299 seems way too much.APiranhaAteMyVa

The 360 was being sold at a loss so it's not an apt comparison. Unless you are of the opinion that companies should loose money for the sake of consumers.

Nintendo is typically close to the break even point, it's either a small loss or a small profit.

Nintendo can do what ever they want, just put a pokemon game next to it and it will sell

to be honest its a bit steep for the tech in the box.

In the state Britain's in as an economy, i dont see it performing to well this Christmas not many folks are going to jump and shell out for a new pricey console.

[QUOTE="ultraking"][QUOTE="James161324"]

i doubt it, there hasn't been a word about it in the main stream press, and even the gaming press has pretty much ignored it

James161324

but still the wii only had it success becuase it blew up on main stream press it was every where. The Wii U is not

to be honest its a bit steep for the tech in the box.

In the state Britain's in as an economy, i dont see it performing to well this Christmas not many folks are going to jump and shell out for a new pricey console.

razgriz_101

Luckily the appeal of a gaming product is not proportional to the tech under the hood. Other factors determine its value.

See 3DS @ $250 and PSV @ $250.

3DS outsold Vita by a large margin if you align their first two quarters on the market.

[QUOTE="razgriz_101"]

to be honest its a bit steep for the tech in the box.

In the state Britain's in as an economy, i dont see it performing to well this Christmas not many folks are going to jump and shell out for a new pricey console.

SuperFlakeman

Luckily the appeal of a gaming product is not proportional to the tech under the hood. Other factors determine its value.

See 3DS @ $250 and PSV @ $250.

3DS outsold Vita by a large margin if you align their first two quarters on the market.

im not shelling out sicne its an overpriced turd with a gimmick controller, moneys tight so its surplus to requirement.If it was £200 like the wii i might have taken the plunge.

People will buy because its Nintendo and will probably do really well over Christmas, but I reckon by at the most one year after release it will be closer to £200.

[QUOTE="SuperFlakeman"]

[QUOTE="razgriz_101"]

to be honest its a bit steep for the tech in the box.

In the state Britain's in as an economy, i dont see it performing to well this Christmas not many folks are going to jump and shell out for a new pricey console.

razgriz_101

Luckily the appeal of a gaming product is not proportional to the tech under the hood. Other factors determine its value.

See 3DS @ $250 and PSV @ $250.

3DS outsold Vita by a large margin if you align their first two quarters on the market.

im not shelling out sicne its an overpriced turd with a gimmick controller, moneys tight so its surplus to requirement.If it was £200 like the wii i might have taken the plunge.

Okay, that's how things are in your case, but this doesn't refute my point.

If the value relative the price is there, people will line up, if it's not, then the system won't perform well.

But the tech/price ratio, historically speaking, is not a major contributing factor when determining a product's value. In your case it seems to be, so you are apparently part of the minority.

I'm not saying Wii U will have a monster holiday but its tech compared to its price is not what will determine how the system will perform. It's other things, for example software, accessibility, features, touch interface, social network, etc. In the same way 3DS was a more appealing proposition than Vita when both were priced $250.

Theyre banking on the success of the Wii to be honest.
The fanboys will buy em but getting many casuals to re-buy the Wii is another matter, let alone the gamers.

It is overpriced and I doubt the tablet is better than Ipad, Surface, Galaxy Note etc.

Stop complaining I believe it Costs more in Australia. But yeah I doubt believe it will sell as well as the Wii but no doubt it will sell alot. I'll be interested to see how much more powerful the Nextbox is and PS4 compared to the WiiU considering the number of factors.Blake135

its a hundred quid more than its comparatively powered competitors, so sure as hell im not shelling out that kinda extra cash just cause its "next" gen.

So i have a right to complain, why in gods name am i gonna shell out for it? i could find way better ways of spending that kinda dosh.

[QUOTE="Blake135"]Stop complaining I believe it Costs more in Australia. But yeah I doubt believe it will sell as well as the Wii but no doubt it will sell alot. I'll be interested to see how much more powerful the Nextbox is and PS4 compared to the WiiU considering the number of factors.razgriz_101

its a hundred quid more than its comparatively powered competitors, so sure as hell im not shelling out that kinda extra cash just cause its "next" gen.

So i have a right to complain, why in gods name am i gonna shell out for it? i could find way better ways of spending that kinda dosh.

[QUOTE="APiranhaAteMyVa"]Yeah £299 is certainly questionable, I can't see it lasting at that price for long. The 360 launched at £270, Wii launched at £180, so £299 seems way too much.SuperFlakeman

The 360 was being sold at a loss so it's not an apt comparison. Unless you are of the opinion that companies should loose money for the sake of consumers.

Nintendo is typically close to the break even point, it's either a small loss or a small profit.

[QUOTE="delta3074"]Thats only 20 quid more than the 360 Premium cost at launch , and thats the premium Wii-u, the standard white Wii-u is only 259.99 http://www.game.co.uk/en/white-wii-u-basic-console-186639MBirdy88

It will sell well in Japan since all that's needed for that is a Nintendo name-plate but I'm thinking in the rest of the world there's a good chance of it being floppity flop floperzz. :o :P

We shall see.

[QUOTE="delta3074"]Thats only 20 quid more than the 360 Premium cost at launch , and thats the premium Wii-u, the standard white Wii-u is only 259.99 http://www.game.co.uk/en/white-wii-u-basic-console-186639MBirdy88

Yeh but 360 and PS3 were being sold at significant losses.

It's unfair because those are mega corporations who can afford that, Nintendo needs to be close to their break even point, that's why their systems have the worst tech/price ratio out of the big three. Luckily value isn't proportional to tech (outside of a minority), that's why 3DS sold miles better than Vita even at $250.

At least Sony won't be able to afford putting out a beast system while remaining affordable to consumers since their company has tanked, so the play field has been leveled. They need to be profitable day 1 this time around. Oh, and Blu-ray will still be the movie format next gen, so PS4 will lack a media selling point its predecessors had (CD, DVD, BR). Doesn't bode well for Sony.

[QUOTE="SuperFlakeman"]

[QUOTE="APiranhaAteMyVa"]Yeah £299 is certainly questionable, I can't see it lasting at that price for long. The 360 launched at £270, Wii launched at £180, so £299 seems way too much.MFDOOM1983

The 360 was being sold at a loss so it's not an apt comparison. Unless you are of the opinion that companies should loose money for the sake of consumers.

Nintendo is typically close to the break even point, it's either a small loss or a small profit.

Uhh link?

There's no way to know that.

[QUOTE="MBirdy88"][QUOTE="delta3074"]Thats only 20 quid more than the 360 Premium cost at launch , and thats the premium Wii-u, the standard white Wii-u is only 259.99 http://www.game.co.uk/en/white-wii-u-basic-console-186639SuperFlakeman

Yeh but 360 and PS3 were being sold at significant losses.

It's unfair because those are mega corporations who can afford that, Nintendo needs to be close to their break even point, that's why their systems have the worst tech/price ratio out of the big three. Luckily value isn't proportional to tech (outside of a minority), that's why 3DS sold miles better than Vita even at $250.

At least Sony won't be able to afford putting out a beast system while remaining affordable to consumers since their company has tanked, so the play field has been leveled. They need to be profitable day 1 this time around. Oh, and Blu-ray will still be the movie format next gen, so PS4 will lack a media selling point its predecessors had (CD, DVD, BR). Doesn't bode well for Sony.

Nintendo can do what ever they want, just put a pokemon game next to it and it will sell

Meeeper282

Yes, but MS wants to attract adults.

MFDoom, a huge part of the equation is the dollar-to-yen or euro-to-yen exchange rates.

They need the extra markup to prevent losses attained from a simple currency exchange.

Wii U's yen price is equivalent to $250, $300, which is $50 less for either SKU in NA. This is because they need the extra ~$50 markup to compensat for the exchange loss.

In fact all Japanese companies do.

So MS has a huge advantage over Nintendo and Sony in the west.

[QUOTE="MFDOOM1983"][QUOTE="SuperFlakeman"]

The 360 was being sold at a loss so it's not an apt comparison. Unless you are of the opinion that companies should loose money for the sake of consumers.

Nintendo is typically close to the break even point, it's either a small loss or a small profit.

SuperFlakeman

Uhh link?

There's no way to know that.

[QUOTE="SuperFlakeman"]

[QUOTE="MFDOOM1983"] Nintendo tends to sale their hardware for profit at launch. They made upwards of $75 on wii and 3ds for example. MFDOOM1983

Uhh link?

There's no way to know that.

Manufacturing cost =/= total cost of producing a unit.

It doesn't factor in marketing, R&D & other expenses, the number you have is only a part of the total, which is uknown, but sometimes we can deduce an interval.

[QUOTE="MFDOOM1983"][QUOTE="SuperFlakeman"]

Uhh link?

There's no way to know that.

SuperFlakeman

Manufacturing cost =/= total cost of producing a unit.

It doesn't factor in marketing, R&D & other expenses, the number you have is only a part of the total, which is uknown, but sometimes we can deduce an interval.

No company factors in R&D into their products MSRP. :|

[QUOTE="SuperFlakeman"]

[QUOTE="MFDOOM1983"] Google is your friend. Nintendo was losing a few dollars for every 3ds sold, when they cut the price to $170. Wii's manufacturing cost was $158 and was cut down to $88 in 2009. MFDOOM1983

Manufacturing cost =/= total cost of producing a unit.

It doesn't factor in marketing, R&D & other expenses, the number you have is only a part of the total, which is uknown, but sometimes we can deduce an interval.

No company factors in R&D into their products MSRP. :|

When gaming companies speak in terms of "selling at a loss" or "making a profit" in that context they include all expenses related to the console.

3DS in March 2011 was probably pretty close to its price, so no crazy $80 markup like you think. Maybe $20-$30, probably less due to the horrible currency conversion.

I'm just giving (realistic, or rather, probable) examples, we don't know the actual break even point to know how much they made per unit sold @ $250.

---------

IGN:

"Think about that $103.25. You pay $249.99 plus tax. But as with anything in business, a simple breakdown of a product's core components doesn't paint the full picture. Let's take a further look."

"Of course, there are a number of costs surrounding this figure that aren't factored into IHS's breakdown. Packaging, marketing and R&D play an enormous role in determining the price of a system, not to mention software development."

---------

Venturebeat:

"Does that mean Nintendo is gouging consumers with the hefty price?

Not necessarily, since the cost estimate is simply an estimate of the raw materials for the 3DS. It doesnt include the very real costs of marketing, advertising, research and development, retailer margin and other costs that go along with a worldwide product launch."

---------

Bolded is key. We just don't know, but your 'guess' is imo unrealistic.

---------

Kotaku:

"It's not including research & development costs, shipping costs, advertising costs, the cuts retailers may take"

This stuff is key to understand why consoles are heavily underpowered relative to PCs for the same price range.

Why PS3 cost Sony $800 to produce per unit, but they sold each unit for a $200 loss.

This is also why PS4 will be medium powered, since Sony has to think about a) the exchange rates b) that they can't afford to sell at a loss c) they have to copy the gamepad, that's an extra expense. So they are fcked.

And also why next gen AAA engines will only run at 720p natively on PS4 and Xbox 3, you can quote me in a couple of years.

Wii U doesn't come with hard drive so add another 50 pounds to that price