From the latest Q&A from the Feb. 1 2021 Investors briefing
Q8: You've talked about extending the Nintendo Switch lifecycle and further expanding the installed base, and that the user base has already become quite diversified. Where do you think there is room to grow, for example, demand for a second system, sales expansion in other regions, or expanding through something like Nintendo Switch Lite, which just completed its second holiday season? I heard news that you have no plans for a new model for the time being, but I'd like to hear more about your strategy for the Nintendo Switch family of systems.
A8: Furukawa: Starting with the subject of new Nintendo Switch models, we will be releasing Nintendo Switch – Mario Red & Blue Edition (as a set including a carrying case and Nintendo Switch console with special Mario designs) alongside the release of Super Mario 3D World + Bowser's Fury on February 12. We also plan to release a special design of the hardware as Nintendo Switch MONSTER HUNTER RISE Edition in March. With this release schedule for new hardware and Nintendo Switch having just marked its highest sales in its fourth year on the market, we do not have plans to announce a new model. Moving on to future expansion of the installed base, we believe that as the number of Nintendo Switch users continues to grow, this will also drive increasing demand for a second system among the Nintendo Switch family of systems. In addition, sales in the "Other" region, which includes Asia, are increasing with an even higher growth rate than Japan, North America and Europe, so we want to further expand these sales. When we look at a percentage of new demand for Nintendo Switch so far, while we have made significant progress in some countries and regions, certain places have an even greater capacity for further growth. Looking at population size, for example, I think there is still plenty of room for new demand in the U.S. and Europe, even more so than in Japan. That said, there are already many people in these regions who have purchased the hardware in these past four years, and so for sales to grow even further, we will need to communicate the appeal of Nintendo Switch as a video game system to people who have not yet bought one as a result of our past initiatives. We will need to continue to create opportunities that lead to a purchase. I believe these initiatives will continue to be very important going forward.
Q8: You've talked about extending the Nintendo Switch lifecycle and further expanding the installed base, and that the user base has already become quite diversified. Where do you think there is room to grow, for example, demand for a second system, sales expansion in other regions, or expanding through something like Nintendo Switch Lite, which just completed its second holiday season? I heard news that you have no plans for a new model for the time being, but I'd like to hear more about your strategy for the Nintendo Switch family of systems.
A8: Furukawa: Starting with the subject of new Nintendo Switch models, we will be releasing Nintendo Switch – Mario Red & Blue Edition (as a set including a carrying case and Nintendo Switch console with special Mario designs) alongside the release of Super Mario 3D World + Bowser's Fury on February 12. We also plan to release a special design of the hardware as Nintendo Switch MONSTER HUNTER RISE Edition in March. With this release schedule for new hardware and Nintendo Switch having just marked its highest sales in its fourth year on the market, we do not have plans to announce a new model. Moving on to future expansion of the installed base, we believe that as the number of Nintendo Switch users continues to grow, this will also drive increasing demand for a second system among the Nintendo Switch family of systems. In addition, sales in the "Other" region, which includes Asia, are increasing with an even higher growth rate than Japan, North America and Europe, so we want to further expand these sales. When we look at a percentage of new demand for Nintendo Switch so far, while we have made significant progress in some countries and regions, certain places have an even greater capacity for further growth. Looking at population size, for example, I think there is still plenty of room for new demand in the U.S. and Europe, even more so than in Japan. That said, there are already many people in these regions who have purchased the hardware in these past four years, and so for sales to grow even further, we will need to communicate the appeal of Nintendo Switch as a video game system to people who have not yet bought one as a result of our past initiatives. We will need to continue to create opportunities that lead to a purchase. I believe these initiatives will continue to be very important going forward.