As part of a recent financial report, the President Nintendo Shuntaro Furukawa confirmed that the Japanese faced delays in deliveries Switch in connection with the suspension of factories in China in February. Despite this, the situation did not significantly affect the company’s business in the financial year ended March 31.
Furukawa mentioned that several unannounced projects planned for this year for the hybrid console are being prepared for release. However, he acknowledges that it may be difficult for employees to complete development in this situation, as some of them work from home. However, predicts that all games will be on time.
Nintendo also confirmed that about 50% of all Animal Crossing: New Horizon sales came from digital versions. The company understands that many factors contributed to this, and therefore do not expect such a high ratio to happen again in the future. However, it is predicted that the growth of digital sales will continue in large volume.
Despite the situation with the coronavirus, Nintendo still made a profit, which was counting on in January.
Other highlights from the report:
- Nintendo expects COVID-19 to further influence the industry, such as marketing. At the same time, she herself tries to be as flexible as possible.
- The gaming industry in Japan has never faced a COVID-19 crisis. As employees have to work from home, Nintendo is exploring opportunities to increase their productivity.
- Nintendo continues to manufacture new batches of Ring Fit Adventure and market them.
- At the start, Animal Crossing was bought mainly by fans aged 20-30, among whom there were many women. Players quickly started recommending the game to friends, telling their families about it, sharing information on social networks (the so-called word of mouth, approx. GameMAG), and all this further spurred sales. However, the hype has increased demand for the Nintendo Switch.
- Nintendo has not revealed the exact number of subscribers to the Switch Online online service. The company believes that their number will increase as new games with a multi-user component are released.
- The number of registered users of Nintendo accounts has exceeded the mark of 100 million.
- Nintendo intends to continue working with Tencent to increase brand awareness in the Chinese market.
- Nintendo Switch’s ongoing advertising costs exceed those at the launch of the hybrid console. Nintendo wants to reach people who rarely play or even ignore video games.
- For mobile devices, Nintendo will continue to support existing six applications. However, the company continues to develop new projects, although they are not going to announce anything yet.
- Nintendo will continue to increase brand awareness through the mobile market, which will enable it to attract new customers. Animal Crossing: Pocket Camp has seen an increase in the number of users associated with the release of New Horizons. Mario Kart Tour has been downloaded over 400 million times.
- Nintendo does not expect significant revenue growth from mobile applications this year.
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