Two former Nintendo employees have provided their insights regarding the company’s game pricing strategy and the rarity of sales.
Nintendo has a reputation for being notably secretive among video game developers, leaving much of its business practices in the dark. Therefore, when individuals with direct experience of the company’s marketing share their views, it’s important to take note.
Following the unveiling of the Switch 2, which has stirred up discussions primarily due to pricing issues and pre-order complications in the U.S., ex-Nintendo marketing leads Kit Ellis and Krysta Yang have been reflecting on their experiences with the company during their podcast, Kit & Krysta. In a recent episode, they noted that the Wii U’s poor performance made it challenging to secure third-party support for the Switch, but they believe the upcoming Switch 2 marks an era where “there’s no more proving yourself.”
In the episode (timestamp), they explored Nintendo’s pricing philosophy, which they summed up as “respect the value.” Ellis mentioned that influencers often approached them for Nintendo titles for giveaways, only to be met with lengthy explanations when they forwarded these requests up the chain.
“Nintendo products hold tremendous value, and we must always acknowledge that value,” Ellis explained. “That’s why these items rarely go on sale. The value is the value, and we’re seriously committed to the idea of ‘respecting what we have created, because it is something special.’
“This isn’t Ubisoft,” he quipped.
Yang added, “As a Nintendo customer and fan, you’re somewhat trained to think, ‘If I’m interested in this, I might as well buy it now, because it’s unlikely to go on sale.’
While she posed a slightly ambiguous question regarding the company’s rigid pricing approach, stating, “How far do you take this idea of your product’s worth?”
“It’s a Nintendo tax,” concurred Ellis, advocating that from Nintendo’s view, “Our games are priced at $60. Many other games that cost the same are subpar. They don’t exhibit the level of quality, polish, or detail that Nintendo delivers, so we need to convey the premium nature of our titles through our pricing, and eventually, consumers will recognize that.”
Although neither Yang nor Ellis explicitly mentioned the Switch 2, the backdrop of their discussion seems to relate to Nintendo’s decision to introduce $80 games, including Mario Kart World. The reaction to this elevated pricing has been quick and widespread, yet Nintendo has responded by asserting that the racing game is “likely the most comprehensive Mario Kart experience” fans will ever encounter.
Additionally, it seems unlikely that $80 games will become the norm for Nintendo, as major titles like Donkey Kong Bananza continue to be priced at the traditional $70 mark.
For a comprehensive look at what’s arriving with Nintendo’s new console on its June 5 launch, check out the list of all the Switch 2 launch games we currently know about.