The REAL reason behind Nintendo's "casual" E3 2008

Click here. It's another one of Sean Malstrom's informative articles that I found.

If you're the type of person who couldn't be bothered reading it, here's a summary, to the best of my knowledge. You're better off reading the article though. Also, if you can make a better summary, I'll quote it and put it here.

Some stuff you need to know first:

Think of the console war as a battlefield, part of which is expanded audience territory, and part of which is "hardcore" territory.

1. Nintendo is using the expanded audience as a foothold into the more "hardcore" territory, in which Sony and M-soft are entrenched. They can do this, because it does not hurt Nintendo much if they lose a piece of the "hardcore" territory, they just retreat back into the expanded audience territory (which is more profitable) for a while. Then they attempt to regain "hardcore" ground again once they have recovered. They will eventually (gradually) win any "hardcore" ground because they have a better business model.

2. Sony and M-soft cannot do the reverse and use the "hardcore" territory as a foothold into expanded audience territory, as it is less profitable (notice how M-soft only started making a profit on 360 maybe less than half a year ago and Sony still loses money, while Nintendo almost made a billion in profit one year), and if they are forced further back into less profitable "hardcore" territory, where they effectively gain less (not necessarily lose) money.

3. However, if Nintendo loses this expanded audience foothold, in an unexpected attack from behind, they are DEAD. They have nowhere to go forward, as Sony and M-soft currently own that area, and they cannot retreat, as whoever attacked them from behind has cut them off from the expanded audience territory. Nintendo cannot attack Sony or Msoft from behind because, well, there's TWO of them.

This last point is important, as it shows that Nintendo will aggressively protect themselves from being attacked from behind, i.e. from Sony or M-soft stealing the expanded audience from them.

Why is this important? Because, according to Sean Malstrom, there were strong rumors of a motion-sensing controller from Sony/MS sometime before E3 2008.

Assuming that most of Nintendo's current (not saying anything about the future here) success comes from the motion-sensing Wiimote's appeal to the expanded audience, and also assuming that any motion-sensing controller Sony or MS could come up with would easily be technologically superior to the Wiimote, one could deduce that this motion-sensing controller could, and would be made to, steal the expanded audience from Nintendo.

Nintendo's "casual-based" showing (including MotionPlus) at E3 was a defensive move against this. Notice how Nintendo unveiled MotionPlus before Microsoft's conference (according to Malstrom), as if it were a pre-emptive strike against any motion-sensing controller MS could come up with. Also notice how Nintendo focussed slightly less on M-Plus after E3, as if the threat of Sony and MS stealing the expanded audience was nonexistent.

Effectively, it was all YOUR fault Nintendo's E3 2008 stunk (stupid rumors).

More information about Nintendo's true intentions for the Wii can be found in the article above, and here.

Also, two things to add to this are:
1. Nintendo is still in the early stages of "gaining hardcore ground" for the Wii.
2. As Iwata mentioned once, good core games take time to make.

Also,

Originally Posted by Artemicion

You [Double A] are forgetting the central statement of the article, the part that shows how the focus on casual gamers is justified:

As casual gamers become more familiar with downstream (casual) games, production slowly but steadily moves upstream (hardcore). Nintendo can still retain the types of gameplay casual gamers are used to, but add more elements of the hardcore.

To demonstrate this in action:
They started with the Wii
and gave us Wii Sports and Wii Play
then released Metroid Prime (hardcore success)
then developed Wii Motion Plus
and gave us Wii Sports Resort
next, the future?

They also started with a weak online system, but are gradually moving toward more "hardcore" online support.

You're forgetting the central statement of the article, the part that shows how the focus on casual gamers is justified:

As casual gamers become more familiar with downstream (casual) games, production slowly but steadily moves upstream (hardcore). Nintendo can still retain the types of gameplay casual gamers are used to, but add more elements of the hardcore.

To demonstrate this in action:
They started with the Wii
and gave us Wii Sports and Wii Play
then released Metroid Prime (hardcore success)
then developed Wii Motion Plus
and gave us Wii Sports Resort
next, the future?

They also started with a weak online system, but are gradually moving toward more "hardcore" online support.

^ QFT in my OP.

I've known this for a while now, really. Sean Malstrom (though he might come off as somewhat... harsh towards the hardcore) makes pretty valid points upon Nintendo and the road they're taking.

However, there are rumors of motion controllers coming from Sony and Microsoft this year too.

I'd also like to point out that Malstrom means the Wii is taking a different route from Sony and Microsoft in terms of online, i.e. PC online.

Originally Posted by Abyss Master

However, there are rumors of motion controllers coming from Sony and Microsoft this year too.

I bet you're not looking forward to Nintendo's E3 2009 so much, are you?

/smug

I've been keeping my expectations to a minimum for a long time. I have MadWorld (played it already, not sure what I'd do if my mum walked in on me sawing a fella's nads off) and I'm looking out for Radiant Dawn, No More Heroes and The Conduit when that arrives.

I honestly don't care right now, I'm in no position to demand that games are being released when I have no money to buy them with. Some Zelda info would be nice though, if only a little more info on Spirit Tracks.

Regardless, should Sony and/or Microsoft reveal motion controllers that are supposed to rival the Wii remote, then expect to get a good taste of the new generation console war.

I'm eager to see the reaction of someone who doesn't know this stuff...

The disruption approach works like this: You hook the "blue-ocean" audience with Wii Sports, you reel them in with Mario Kart, and you catch them with Metroid Prime 3 or Super Mario Galaxy. It was never just about satiating some new market of potential gamers. The casuals have always been around. In fact, most people who owned and played a NES were probably, by today's standards, casual gamers.

Nintendo just noticed how gaming was slowly becoming a more closed-audience affair over time, and decided to try to bring things back to the way they were. They targeted the kinds of people who aren't serious gamers and are satisfied with the occasional game of Minesweeper, or are satisfied with some simple flash game on the internet. They then developed games that could satisfy "everyone." Kart, Smash, and Galaxy are all games that more casual-oriented people could get into, but would have enough depth for more hardcore-oriented gamers to enjoy. Even Wii Sports is like this (since, I, a lifelong gamer, enjoyed that game very much), though to a lesser extent.

I think Nintendo's learned, over time, that their best success comes when they give everyone a reason to be excited for their games. Iwata has mentioned that he knew of the flaws of E3 2008, and that's why in October we saw a much better presentation at Nintendo's media summit with games like Punch-Out and Sin & Punishment 2. I think at this year's E3, we'll definitely see a more favorable presentation.

I'll agree that I don't see Nintendo slowing down. Their approach with Wii already worked. I do think that we're finally entering "stage 2" of Nintendo's strategy with the advent of MotionPlus and the release of games like Wii Sports Resort and Tiger Wood '10.

However, there are rumors of motion controllers coming from Sony and Microsoft this year too.

I hope so because when the novelty of the Wii dissapears Nintendo will be forced to step up the pace.

War tactics and video game marketing.
What?

this is kind of true...they released mad world without saying anything about it

We've known this since last year's E3...

Originally Posted by Phazon goron

War tactics and video game marketing.
What?

The Art of War can be applied to many areas of life. Not just war itself. We have a competitive market economy, Businesses are at war over who buys their products.

The way I see is that nintendo has gained an upper hand by appealing to the non gaming community. But they need to start appealing to the gaming community and keep the half ass titles from flooding their system. Otherwise its going to kill them in the long run. The same thing almost killed gaming in the 80s.

Gamers know where to go to weed out the bad titles. We do our research and know which games to pay, which will be fun, and which not to buy. The "New Gamers" brought in by Nintendo don't know this. So companies are using their lack of knowledge to make half ass games to make a cheep profit. Just yesterday I saw two golf games in the store. A new gamer would just grab one. I would go home and see it one is any good.

Once the new gamers get sick of spending their money on crap. They will stop gaming instead of getting better titles worth the money.

This makes me hope Nintendo will pull out a bunch of titles this time around that will heavily utilize Wii Motion Plus's capabilities. They might need to if Sony and/or Microsoft decide to take the motion sensing route.

Originally Posted by Teekay

This makes me hope Nintendo will pull out a bunch of titles this time around that will heavily utilize Wii Motion Plus's capabilities. They might need to if Sony and/or Microsoft decide to take the motion sensing route.

That's the big debate in itself. At first, a lot of people automatically concluded that Wii Motion Plus would be a success and potentially the new standard, but going into its release, there has been slowly growing reason to doubt that ever happening. But there is still a chance.

Thats interesting. Rash pretty much summed up my feelings about the whole gaming market particularly with this paragraph:

Nintendo just noticed how gaming was slowly becoming a more closed-audience affair over time, and decided to try to bring things back to the way they were. They targeted the kinds of people who aren't serious gamers and are satisfied with the occasional game of Minesweeper, or are satisfied with some simple flash game on the internet. They then developed games that could satisfy "everyone." Kart, Smash, and Galaxy are all games that more casual-oriented people could get into, but would have enough depth for more hardcore-oriented gamers to enjoy. Even Wii Sports is like this (since, I, a lifelong gamer, enjoyed that game very much), though to a lesser extent.

Nintendo is pretty much sitting pretty right now, but many people (including me) know it wont last forever. Since i really wasnt aware of what Wii Motion Plus was i googled it. It seems that this will appeal to the Core market but who knows? I for one do not consider myself a hardcore gamer.

Originally Posted by Double A

Click here. It's another one of Sean Malstrom's informative articles that I found.

It was an ok article, nothing particularly new. I'm going to have to disagree with him on the idea that the "core" audience is shrinking. I really don't see it.

1. Nintendo is using the expanded audience as a foothold into the more "hardcore" territory, in which Sony and M-soft are entrenched. They can do this, because it does not hurt Nintendo much if they lose a piece of the "hardcore" territory, they just retreat back into the expanded audience territory (which is more profitable) for a while. Then they attempt to regain "hardcore" ground again once they have recovered. They will eventually (gradually) win any "hardcore" ground because they have a better business model.

I wouldn't say that Nintendo has a better business model. Just one that is targeted towards a different audience.

2. Sony and M-soft cannot do the reverse and use the "hardcore" territory as a foothold into expanded audience territory, as it is less profitable (notice how M-soft only started making a profit on 360 maybe less than half a year ago and Sony still loses money, while Nintendo almost made a billion in profit one year), and if they are forced further back into less profitable "hardcore" territory, where they effectively gain less (not necessarily lose) money.

I actually think Microsoft can gain a foothold in the "expanded" audience. There are rumors that Microsoft will announce a motion controller, and with Xbox Live Primetime launching sometime by the end of spring, I think Microsoft can potentially cut into Nintendos profits.

3. However, if Nintendo loses this expanded audience foothold, in an unexpected attack from behind, they are DEAD. They have nowhere to go forward, as Sony and M-soft currently own that area, and they cannot retreat, as whoever attacked them from behind has cut them off from the expanded audience territory.

True. But, while I think Microsoft can gain a foothold with the "expanded" audience, I don't think they or Sony would ever be able to land a killing blow.

Effectively, it was all YOUR fault Nintendo's E3 2008 stunk (stupid rumors).

I still blame Nintendo. I don't think E3 is the right venue for them to be so much information for the "expanded" audience. Does the "expanded" audience really pay attention to E3?

Originally Posted by Artemicion

You're forgetting the central statement of the article, the part that shows how the focus on casual gamers is justified:

As casual gamers become more familiar with downstream (casual) games, production slowly but steadily moves upstream (hardcore). Nintendo can still retain the types of gameplay casual gamers are used to, but add more elements of the hardcore.

I agree with this.

They also started with a weak online system, but are gradually moving toward more "hardcore" online support.

I don't agree with this. I don't think Nintendo realized how big online support really was when they launched. IMHO Nintendo needs to study what Microsoft did in regards to online support, if they want to be competitive next generation.

Originally Posted by Eternal Paradox

I don't agree with this. I don't think Nintendo realized how big online support really was when they launched. IMHO Nintendo needs to study what Microsoft did in regards to online support, if they want to be competitive next generation.

QFE.

Being both a 360 and a Wii owner, I can safely say that Microsoft have online support down to a fine art. They WILL release a motion controller next generation, so Nintendo need to be thinking about how they'll stay ahead of MS when that happens. They need to match the online capabilities, and they need enough processing power to accomodate the big-name games that 3rd party developers like to make, but which they don't bother releasing on the Wii (Street Fighter 4, Soul Calibur 4, GTA 4, etc) because of its lesser gfx capabilities.

I forgot to mention this from the article:

In the beginning, there was the PC gaming market that began to be disrupted by flash gaming and other alternatives to the 3d video card games. Sims is a good example of this momentum of an expanded PC game market appearing and overwhelming the core games. World of Warcraft is another example.

PC gaming didn't decline because of flash games or games like the Sims. PC gaming decline because of the consoles. It's so much easier to get into console gaming than it is PC gaming.

Originally Posted by Evilsbane

QFE.

Being both a 360 and a Wii owner, I can safely say that Microsoft have online support down to a fine art. They WILL release a motion controller next generation, so Nintendo need to be thinking about how they'll stay ahead of MS when that happens. They need to match the online capabilities, and they need enough processing power to accomodate the big-name games that 3rd party developers like to make, but which they don't bother releasing on the Wii (Street Fighter 4, Soul Calibur 4, GTA 4, etc) because of its lesser gfx capabilities.

QFE?

But, yeah. Nintendo is going to have to step up the pace for next gen, if they want to compete.


A couple of you guys have mentioned the Wii Motion Plus, and I'd just like to say; the Wii Motion+ is what the Wii controller should have been in the first place.

Originally Posted by Eternal Paradox

I don't agree with this. I don't think Nintendo realized how big online support really was when they launched. IMHO Nintendo needs to study what Microsoft did in regards to online support, if they want to be competitive next generation.

You'll notice I avoided making a qualitative statement about Nintendo's approach to online. ;D

I don't really think they knew what they were doing with online, either; all I said was that they are starting to implement more "hardcore" elements such as (apparently) a payment program.