Why Nintendo didn’t raise the price of the Switch 2 (yet)
- Nintendo has avoided raising the price of the Switch 2 despite other hardware increasing in cost.
- The company made these changes ahead of Trump administration tariffs set to go into effect in August.
- Nintendo’s strategy appears to be one of largely avoiding risk, rather than taking a gamble on the success of new consoles.
- Raising the price of a new console may not be the best look for Nintendo, so they’re trying to claw back costs in safer ways.
- This approach is consistent with Nintendo’s business strategy across its various ventures and products.
Just about every piece of hardware that Nintendo sells is getting a little more expensive in the US – with the exception of the Switch 2. That includes all models of the original Switch, a bunch of accessories, and even a motion-activated alarm clock. The changes were made ahead of sweeping Trump administration tariffs that are scheduled to go into effect in August, and they show Nintendo is leaning on a strategy that it has employed across its business: largely avoiding risk. Raising the price of a new console isn’t the best look, and so the company is trying to claw back some of that money in safer ways, without gambling on the success of …
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Q. Why is Nintendo avoiding raising the price of the Switch 2?
A. Nintendo is trying to avoid risk by not raising the price of the Switch 2, as it may not be the best look for a new console.
Q. What changes were made to hardware in the US ahead of Trump administration tariffs?
A. All models of the original Switch and some accessories had their prices increased ahead of the tariffs going into effect in August.
Q. Why did Nintendo increase the price of other items, such as an alarm clock?
A. The price increases for these items were likely made to claw back money that would have been lost due to the tariffs, rather than raising the price of a new console.
Q. What is Nintendo’s strategy when it comes to pricing its hardware?
A. Nintendo is employing a largely risk-averse approach, avoiding price hikes on new consoles and instead finding safer ways to recoup costs.
Q. Why did Nintendo decide not to raise the price of the Switch 2?
A. The company likely decided that raising the price of the Switch 2 would be too risky, given the uncertainty surrounding its success.
Q. What tariffs are scheduled to go into effect in August?
A. Trump administration tariffs are scheduled to go into effect in August.
Q. How is Nintendo trying to recoup costs without raising the price of a new console?
A. The company is finding safer ways to claw back money, rather than taking on the risk of a potential price hike for a new console.
Q. What has been the impact of these changes on Nintendo’s business strategy?
A. These changes show that Nintendo is prioritizing caution and avoiding risk in its pricing decisions.
Q. Why did Nintendo choose not to raise the price of the Switch 2?
A. The company likely chose not to raise the price of the Switch 2 due to concerns about the potential impact on sales and consumer perception.
Q. What does this say about Nintendo’s approach to new console releases?
A. This decision suggests that Nintendo is taking a cautious approach to new console releases, prioritizing stability over risk-taking.