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How can companies like Nintendo really combat scalpers and their bots?

The best thing they can do is just keep production up to combat scalpers while the stores try to implement ways to fight the bots. At least a Capcha and i'm not a robot would help a bit
 

Cepheus

Member
release the damn games as VC ffs.I don't need this classic thing if I can play those games on Switch.

EarthBound getting rereleased on the Wii U didn't affect the resale value of the original SNES cart at all. If these games are released on VC it will make more people want a SNES Classic because it would most likely work out cheaper than buying all the games individually on VC.
 
Nintendo is not in the business of making retro products, and they want to focus on the Nintendo Switch and 3DS.

They can't just simply "make more". Its not a viable option manufacturing wise.

Nintendo is in business to make money, and this plactic emulator box is very likely generating huge profit per unit sold. Yes, the only answer for this is to make more. It's not necessary for them to have 10m units at launch but they should at least commit to support this hardware for years to come. However, as we've learnt from NES Classic, Nintendo has no interest to do either of that for some goddamn reasons.
 

R00bot

Member
The WiiU strategy. Scalpers were selling at regular price or lower the first week. Probably taking a loss if they paid for shipping too.

This just isn't true. The Wii U was breaking records for like its first month before falling off a cliff. In the first week it outpaced the Wii.
 
1 per household for online orders. 1 per drivers license / ID in-store.

Implement a CAPTCHA system to stop bots.

All preorders opening are announced ahead of time. Retailers open allocations in waves. Something like 50% in the morning, and 50% after work, for the target region.

Make more.

Don’t stop making them until demand slows down.

People will still miss out, but it would go a long way toward making it feel fair.
 
Nintendo is in business to make money, and this plactic emulator box is very likely generating huge profit per unit sold. Yes, the only answer for this is to make more. It's not necessary for them to have 10m units at launch but they should at least commit to support this hardware for years to come. However, as we've learnt from NES Classic, Nintendo has no interest to do either of that for some goddamn reasons.

After manufacturing costs, licensing, storage, shipping and retailer cut, probably not.
 

Hazmat

Member
They just have to keep making them until demand dies down. They set a precedent with the NES Classic of discontinuing it despite probably more consumers still wanting to purchase than had purchased one. As a result, the people trying to preorder today weren't just people who had to have one at launch (I wouldn't care if I couldn't get one until next year), it was everyone who thought they might ever want one at all.
 
As a result, the people trying to preorder today weren't just people who had to have one at launch (I wouldn't care if I couldn't get one until next year), it was everyone who thought they might ever want one at all.

And people who have no interest but to flip for profit, of course.
 

Haunted

Member
They just have to come out and say these magic words

"Be patience, we are going to make enough until everyone who wants it gets it"

I guarantee you, no scalper will touch it.

But ya fuck Nintendo
No one wants to wait, you think kids will be happy with a note that says "be patient" under the christmas tree? people want that thing ASAP, preferably NOW.

If demand exceeds supply at any point during a product's lifespan (most likely launch window), there will be scalpers.
 

Hazmat

Member
And people who have no interest but to flip for profit, of course.

Definitely. These people will always exist to make a profit off the impatient who have to have it early (likely by Christmas), and the assumed finite nature makes it even more of a profitable investment. If people can flip these for $300, that's proportional to flipping a Switch for $1125 or a launch 60 gig PS3 for $2250 back in the day. Those numbers are insane.
 

CamHostage

Member
Easy, make first run exclusive to Nintendo Club members who earn points by playing games.

I guess, this punishes older folks who have been checked out of games for a while (or don't have strong connectivity, although A) how about a goddamned library, and B) doesn't Nintendo act so old-school that it still has a mailing list of some type?), but whatever, it could work. Some sort of Nintendo Club is my preferred way of getting SNES Classic access to the fans who want it. Limit the number of orders per customer, and have the initial batch accessible only to registered members who've actually played games (maybe they'd eventually have to meet some type of better business requirement and sell future editions later with no prior ownership, but it's not a lottery/contest so I'm not sure they'd be under "No Purchase Required" stipulations?) They could still have Best Buy/GameStop fulfill the orders (online stores would be harder than places you could walk into and scan a Club card or something, maybe Nintendo Club would have an access code of some type,) Nintendo need not do all the distribution and shouldn't cut out the retailers, it's more about just making sure the product isn't damaged by the after-market reputation and that Nintendo brand loyalty is rewarded. It might be hard to get going, but it could be a retail relationship that might build in the future if they implemented it with big-ticket items like this.

There's all the wrong buzz around the Nintendo Classic consoles, and it's affecting the brand IMO.
 

WhatNXt

Member
Premier Pre-order.

You must have a Nintendo account AND you can only order from your Nintendo Switch. Those with a Switch get to order first. Then a week later open it to everybody else.

This is best.

I like this idea.

The next tier should be only selling through their online store, zip code/address and credit card billing address needing a match, and one per customer.

The big retailers like Amazon really need a way to limit bulk purchasing on new items too.
 
Here's a method that would surely work: just auction the thing. They could even hide the production numbers if they hosted the auction themselves.
 
Bots exist for sneakers, way worse tbh

Ugh, the sneaker market has become a rotten field full with scalpers. Don't trigger me on that.

The 'problem' is not only the shortage of supply but also the created by the countless media outlets. Many people's first thought on such a item is 'how much can I sell it for'. This is just sad.
 

Roshin

Member
Nintendo is not in the business of making retro products, and they want to focus on the Nintendo Switch and 3DS.

They can't just simply "make more". Its not a viable option manufacturing wise.

They are in the business of selling product and the demand for these products is obviously very high. I refuse to believe this is a problem that can't be solved.
 

Neff

Member
There's a possibility that Nintendo has produced more units but is holding them back to feed stores over the coming months. This pre-release hysteria doesn't really tell us if they screwed up or not.

Things are different now. Make more SNES Classics (and Smash Bros Kirby Amiibo while you're at it)

I remember buying a Smash Bros Kirby Amiibo just because he was cheap due to selling poorly. What a world!
 
Lots of good points made in here, lots of not so productive "make more" as well. Making pre orders strictly though Nintendo.com is a good idea since they can limit one per person/address a lot easier and the people in the know and who really want one can get it. Then for the actual release, have it available though all retailers. The scalpers will be there either way, but it's really not possible to completely stop them, the bots are a bigger issue I feel. To those saying make more and citing amiibos just need to look at store shelves these days. Amiibos were only valuable because they were initially so hard to find, and now we have almost all widely available for MSRP and a ton just collecting dust on store shelves.

Either way, a lot of the outrage is premature still I feel. Yes it's not unrealistic to believe this will be just as hard to find as the NES classic after it releases, but the fact that this time around we actually had preorders from all major retailers shows that there's definitely more stock. Until we have some hard numbers of units shipped and how the restocks look after few months, we're all basically yelling in a vacuum. It's just too early to legitimately be outraged.
 
Simple answer, don't make X number of units and then put them up for pre-order, put it up for pre-order and then make the amount of units ordered, plus the usual batch for consumers. Obviously manufacturing times mean this can't be exact, but after a solid 2 months of pre-orders they'll be able to estimate how many more would be needed to cover the rest of the pre-order period.

Scalpers make money from gobbling up all the stock of a product the general public wants, if the general public has no trouble ordering theirs then there is no profit to be made and scalpers won't be taking the stock in the first place.
 

Rezbit

Member
Is one per customer not a thing in the States? That seems really weird. SNES mini is sold out here but most people didn't have a drama getting one if you were ready when the pre-orders opened.

Also surprised that a simple account system that you see on a lot of websites wouldn't stop bots. Crazy stuff.
 

Apathy

Member
There are actually two answers that were already covered and are tied to each other. One make more but also they don't care who buys them if they can't do the first one. And this isn't just a Nintendo line of thinking but a every company line of thinking.
 
Just to recap my prior suggestion and tie it directly to this situation. This is IMHO what Nintendo could have done:

1. Reveal the SNES Mini in June to be released late September, announce that preorders will be handled exclusively through Nintendo initially for a two week period. Start taking orders effective immediately, one per customer/address, must have a Nintendo account and deposit( minimum $10 up to full prepayment). Immediately you've taken the power from scalpers because you've opened up the process with a reasonable amount of time for anyone who GENUINELY wants one, to grab one. Nintendo's now got firm initial production numbers and you are guaranteed a unit since, well, they took your money upfront. Start shipping them out to customers in waves late September on first order, first serve basis until all orders are fulfilled.

2. At the same time as the reveal, also announce that an additional 2/3 million units will be made available to retailers on November 1st( or split that number between November 1st and December 1st), leaving it to best buy/amazon/Toys r Us/Walmart etc to communicate with customers whether there will be preorders or in-store pickup only. This 'should' take care of any remaining demand in the lead-up to Christmas.
 

rackham

Member
Allowing direct sales through Nintendo.com would probably not please retailers because everyone would go there, especially if guaranteed which means they would be taking significant sales away from them. It's the same principle as to why the PS Store sells digital games at the same price as retail games so that there isn't an unfair advantage which would cause harm to their retail distribution.

Again, bullshit. Nintendo is the only company in the world incapable of doing it. It's artificial scarcity and they've deluded you. It's sad.
 
The reason bots and scalpers are so high right now is because like the NES mini the stock levels are low, we can only guess what Nintendo are thinking.

Either Nintendo do not want to sit on SNES minis for too long worried they will not sell, they might be scared about them being hacked like the NES mini, their agreements for building them might be limited also... or it's just Nintendo being Nintendo and making X amount and calling it a day.
 
Either Nintendo do not want to sit on SNES minis for too long worried they will not sell, they might be scared about them being hacked like the NES mini, their agreements for building them might be limited also... or it's just Nintendo being Nintendo and making X amount and calling it a day.

That's why they implement an exclusive preorder/deposit program. Only make as many as they've taken money for, with a small buffer on top. Once they'll filled those orders take preorders from retailers and allocate shipments to cover those people who didn't get to it the first time. There's no way they're going to be sitting on these things, I mean how much more obvious does the demand need to be at this point?

As for the hacking thing, if they were that concerned about it then why even make the SNES mini at all?
 
They could make these year-round items if they wanted to. Scalpers wouldn't be a problem after a while.they don't, and handled a second product the same way as its predecessor, so they must've gotten what they wanted from the nes classic despite the scalpers. Whether that was a small low risk profit or media hype, IDK. So I guess they'll just keep accepting whatever benefit they see in feeding scalpers like this.
 

zelas

Member
Provide more supply. Wait until you have enough supply. Problem solved. There is no reason why they have to launch these products so early.
 

Dehnus

Member
So with today's SNES classic pre order events and the NES classic last year, it's obvious that there's a lot of malice and discontent with Nintendo and retailers handling of pre orders and selling of the consoles. It's obvious that bots are the ones buying up a majority of stock for scalpers, but what do you honestly do to combat that in a free market? Nintendo could ask retailers to limit to 1 per customer, but that's ultimately the retailers choice, Nintendo can't force them to make a decision like that (if Nintendo did force that stipulation, a retailer could simply refuse and not stock the item since it's more effort for possibly less profits). Should there be some vetting process that the person buying the product is someone that actually wants it, like some are suggesting (which also isn't legal in a free market). Should Nintendo invest in more factories and make these consoles for years and allocate money and resources for something that honestly won't sell for more than a year or two and won't net very much profits in the long run? Honestly, at this point it would've been better if Nintendo just never created these things since it's not possible to logically (in a business sense) or legally meet demand. But the main reason these things are so sought after is because scalpers. I mean you look already on gaf, I feel like at least half of the people who bought them are never going to open or play their consoles. Why should a company mass produce a product that is more sought after for its value rather than its intended use. Half the reason these things are so rare is because they're limited run items and scalpers know they can exploit that, this isn't a new concept. If they did just make millions and millions of units just to defeat the scalpers, what business sense does that make when consoles are eventually just sitting on shelves with no more demand (see all the similar Atari and Sega classic consoles). Retailers are gonna make their money off scalpers and they don't really care that gamers couldn't get the product since they already made their profit. It's just frustrating to see people getting ulcers from the stress of not getting a pre order (we still have no idea how available these will be at launch and subsequent shipments). I understand that people are rightfully mad and it's that period of venting for a lot of folks, but let's get real and look at this situation from a business perspective. Because that's what Nintendo and any corporation is, a business, not your friend.


I'm guessing this thread might be locked due to tensions still being high, but please read the OP before responding try and have a logical discussion, people.

Also please don't talk shit about OP for not responding to whatever argument you have and me not defending my case. It's past 3am where I am and I'm going to bed now, just needed to get this out there.
One per customer, and a gang of rough cloned Reggies to beat up those that don't follow that rule.

Scalpers too get a lessson from the "Reggie BeatDown Squad!".
 
Why should a company mass produce a product that is more sought after for its value rather than its intended use. Half the reason these things are so rare is because they're limited run items and scalpers know they can exploit that, t

Your first question was answered in your next sentence. The system is sought after for its value precisely because of Nintendo's handling of supply and distribution.
 
I actually would have thought this sudden and random pre-order thing would have combated bots as they had no idea when they would go live.

Sellers using captcha and limits on how many you can buy in one transaction.

Neither really matters in the sneakerhead world. Scalpers are far, far more prepared for this than the average person is.

Immediately, at a financially viable production cost, yes. You don't set up a production line for something that can make a million a day if you expect the total sales to be 10 million, it would be a colossal waste of set-up costs.

You're thinking too hard.

It's not just "make more". It's "make more over a longer production run".

The issue with the SNES Classic is Nintendo has (correctly) set the expectation that it will only be be produced for so long and then it's gone. So, the perception is that these pre-orders are far more important. This is entirely Nintendo's issue.

Move the SNES Classic towards something that's produced for longer than the next four months and while the early issues still happen, there's less demand at launch and prices come down as systems become commonplace.

And the extra stock problem is a non-issue, as retailers don't have issues with PS4s or Xbox Ones sitting in stock, because the expectation is they'll be sold. Overstock can be a problem, but to the level of Nintendo's consistent issues? No. The SNES Classic isn't the Wii U and the reception to the NES Classic should have shown them that.
 
Call me crazy but I think there's an answer between "Make tens of millions of items and end up with a ton of overstock" and "Make enough to satisfy a tiny fraction of demand so that the item sells out in seconds."
 
Make more
This would be the answer, in a world without supply constraints.

At some point, building enough to meet demand would require Nintendo to invest in their own production facilities - rather than using existing ones. That dramatically changes the math on profitability.
 
Again, bullshit. Nintendo is the only company in the world incapable of doing it. It's artificial scarcity and they've deluded you. It's sad.

So you don't believe there's a relationship between a company and the retailer? Then explain why digital releases are the same price as physical ones despite the cost difference? It's not bullshit at all that game companies have always had to make sure not to screw over the retailer in the process.

It's not just "make more". It's "make more over a longer production run".

Yep, this is the right way to go about it and I think it's the problem Nintendo made on their own by limiting it for a small window.

And the extra stock problem is a non-issue, as retailers don't have issues with PS4s or Xbox Ones sitting in stock, because the expectation is they'll be sold. Overstock can be a problem, but to the level of Nintendo's consistent issues? No. The SNES Classic isn't the Wii U and the reception to the NES Classic should have shown them that.

But the difference is, those other systems weren't immediately available either because they didn't do some insane over production in the beginning. Sure production was maxed, but they didn't do something that would have had way too many lines going to waste down the road. They produced in a way that made sense over the longer term which made systems scarce up front until things normalized. Once it normalized, it makes it so that stores do have stock, but not a ton on hand but with regular resupplies.

Call me crazy but I think there's an answer between "Make tens of millions of items and end up with a ton of overstock" and "Make enough to satisfy a tiny fraction of demand so that the item sells out in seconds."

Sure, so tell me what that number is. The problem is finding that answer in the middle isn't as simple as people want to make it out to be.
 
Sure, so tell me what that number is. The problem is finding that answer in the middle isn't as simple as people want to make it out to be.

Nintendo is so far from the number that this almost no longer works as a counter argument.

There are certainly ways to get closer to the number, as Nintendo and other companies are adept at making estimates for other products.

None of this is outside of the company's scope.
 
Make more, but controversial opinion, maybe these companies secretly employ scalpers. Make limited items, then sell them outside of retail to make larger profits. I'm joking of course, but I wouldn't put it past some people.
 

muteki

Member
The individual stores certainly could protect their checkout processes by bots (captcha, etc), but it would need to be elaborate and would take a lot of effort for just a handful of items every year.
 
Sure, so tell me what that number is. The problem is finding that answer in the middle isn't as simple as people want to make it out to be.

"More" is closer to the number than what we have now.

I grant that we don't know how many are coming, and that Nintendo stated that they'd make significantly more, but that they've been silent on the topic after yesterday - and they know what's going on - isn't exactly an indicator that they're interested in getting closer to demand.
 
This would be the answer, in a world without supply constraints.

At some point, building enough to meet demand would require Nintendo to invest in their own production facilities - rather than using existing ones. That dramatically changes the math on profitability.

And? It's not some unsolvable puzzle. Most companies that sell consumer electronics, including Nintendo, are able to find a reasonable match between supply and demand. Nintendo has been doing this for decades. If they wanted to make enough of these to satisfy preorder demand, they would, period. For whatever reason, they are deliberately choosing not to.
 

MisterHero

Super Member
Last E3's Nintendo thread was called something like "Amiibo Shopping Network" and it was funny. What's even funnier is that such a thing, were it to actually exist, could be nice.

1. Nintendo presents products X y and z
2. Preorders go up right after product presentation. Everyone knows exactly when preorders go up, problem solved. Nintendo also knows how much product to make at a minimum, another problem solved.
3. Keep preorders up for like a month if possible so everyone can have a shot. Take money right away and enforce "No refunds" to prevent people bulk ordering and winding up with wasted inventory. Except if their product is broken of course.

The problem is that Nintendo probably gets pretty good deals having exclusives with varying retailers so they probably don't want to do direct sales. Then maybe the preorder page should have "Preoder with..." and list the retailers so shoppers can choose the store account they want to buy with.

I think it would also be a huge hassle to have immediate preorders for any country that isn't the Big 3. Maybe that's where retailers like Amazon come in.

All in all I wish Nintendo was more transparent with preorders and also they would do direct sales. It's them I want to give my money to, after all.
 

Arkeband

Banned
Scalping is exacerbated when:

1)There is a hysteria for a product
2)There will be low supply to meet demand
3)There is a precedent that supply will never meet demand.

Nintendo can't control scalpers, that's retail's fight if they feel the need to have it, but they can absolutely curb point 3 by extending production. That creates an environment where scalpers may take a hit as demand is moderated by most rational people having patience, whereas right now people know Nintendo will suddenly pull the rug out from everyone so they have to have it now before it's too late.

Remove the "too late" fear and you dramatically reduce the presence of scalping.
 

krae_man

Member
1 per household for online orders. 1 per drivers license / ID in-store.

Implement a CAPTCHA system to stop bots.

All preorders opening are announced ahead of time. Retailers open allocations in waves. Something like 50% in the morning, and 50% after work, for the target region.

Make more.

Don't stop making them until demand slows down.

People will still miss out, but it would go a long way toward making it feel fair.

Fair = I got one
Unfair = I didn't get one

This will be peoples opinion no matter what.

Producing enough to meet demand is the only thing they can do to make people think things are "fair".
 
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