Why is it so difficult to buy a Nintendo Switch on lock?

On the list of essentials that have emerged in the coronavirus pandemic are nail clippers to trim unruly hair, huge bags of paste, TV streaming services and, for many, a return to computer games to escape the reality.

And among all that, it’s up to Nintendo to go back up. It has been one of the main beneficiaries with an increase in the popularity of its game console as if the 1980s and 1990s had never left us.

Much of my youth was spent playing Nintendo consoles. First a Gameboy gateway, followed by a Super Nintendo, and finally an N64, with excellent controllers and 3D graphics.

(The editor, Simon Lambert, who has been with me for a few years, also feels the need to make an honorable mention of the original NES here.)

I still have the first and third on my list, but unfortunately I lost the SNES at some point: a pity, in my opinion not a gaming expert, it’s the most enjoyable console I’ve ever lived in and I occasionally regret it.

But Nintendo, a giant of Japanese games, got a bit lost. In the early 2000s, Gamecube was overshadowed by Playstation 2 and Microsoft Xbox.

However, like all great stories, Nintendo has recovered. Repeatedly.

The Wii was briefly very popular in the late 2000s, then people lost interest in the trick of being the controller.

Meanwhile, Nintendo also played a decisive role in the Pokemon Go phenomenon, a fiery madness that briefly raised its stock price and then faded away.

A year later, at a pressure point in its history, squeezed by its rivals Sony and Microsoft, who had adopted online multiplayer games, in 2017, Nintendo released the Switch.

No one really knew if Nintendo would accomplish this, but in various ways, it has already sold more than SNES. At the end of 2019, it had changed 52.5 million consoles, and this has likely increased by a few million since then.

It’s fair to say that the Switch has been a huge success and could end up being its best-selling console of all time. And now, amidst the coronavirus crash, the Switch is working even better than before.

The USP is that it can be played on the go as a portable console (not a necessity for most at the moment) and also at home plugged in via the TV, with games stored in the middle so you don’t lose progress.

It has been one of the great success stories of the running of the bulls. They are largely sold in Britain and other countries, with listings in online markets up to three times the original price.

Amazon UK, for example, had fresh stocks on Thursday. Within hours, he was gone.

And it’s not just Britain. A friend of mine in California says he recently sold his Switch, with two games and a Ringfit device (which adds an exercise item to the Switch) to a buyer desperate for the device for $ 700, having accumulated all the items for $ 400 .

Meanwhile, as manufacturers around the world shrink, Nintendo has had to increase production in an attempt to keep up with demand, which has been tricky given that most consoles are made in China.

What is driving this increase towards games and Nintendo? Consumer Trends take a look.

Nintendo is family friendly and easy to play

Last year, at my bachelor party, my best man brought his Switch, and after a great night, we came back and played Mario Kart.

It instantly transported me back to my childhood. Late at night, as a teenager, he played Mario and college years playing Mario Kart with friends. It likely has the same appeal to those in their 20s, 30s, and 40s who are currently taking one.

Mario Kart is a classic, and I must have played it on five different Nintendo machines.

What’s appealing to me is that it’s cartoonish and a complete escape from reality. In contrast to the realistic shoot em ‘up games that dominate other consoles.

It’s also quick to load and if you’ve played it in any format before, you can come back directly, without an explainer about the controls, the concept, or what’s going on.

This is where I think Nintendo has capitalized on blocking.

It’s great for families – you don’t have to worry as much about young children playing and they tend to be simplistic, but challenging games.

Ideal for those looking to dispel boredom while out of school.

Games like Mario and Animal Crossing, their latest hit, are pretty silly: they transport players to worlds that are now less terrifying than ours. It is a way to disconnect.

I don’t really play computer games anymore. Mainly because I don’t have time, even in closing. But this week, the Association of Investment Companies explained the rise in popularity.

It read: “ Lockdown will have seen many previous players dust off old consoles, as well as giving regulars more time to play.

“We may be confined to our homes, but once a player sits at a console, he enters a new world.”

I have to admit, I’ve been tempted to get the N64 out for the first time in a long time. Play with Mario, Goldeneye and Diddy Kong Racing, transport me back to easier and carefree days.

I’ve even considered buying a Switch as a way to stay social with my sponsor, but it’s incredibly difficult to get one.

As the AIC points out: “Even before Covid-19, the expansion of digitizing and processing power has helped drive the growth of gaming worldwide.”

Machines are becoming more powerful. Players are connecting globally. It’s a long way from the early days of solo gaming, or, having friends for multiplayer, a concept in today’s climate is impossible.

Bank of Nook lowers interest rates

I raised my eyebrows during the week when I saw Animal Crossing appear on the cover of the Financial Times.

These are strange times in which we live, but for the FT to have a characteristic in something called Bank of Nook, it took the cookie.

This is a game, which takes place on an idyllic island, where players perform relaxing tasks, such as collecting shells.

Last month, the title sold 5 million digital copies, most digital copies of a console title in a single month, and there are more than 12 million players.

Bank of Nook, which has a raccoon-like manager, Tom Nook, allows players to sell items, such as turnips, at an inflated price to continue unlocking things in-game.

The FT story revealed how savers at the Bank of Nook were mimicking global central bankers, by cutting interest rates from 0.5 percent to 0.05 percent. Reality that mimics art and all that, especially considering the nearly two decades of near zero interest rates in Japan.

Total interest available on any amount of savings has now been limited, with a Reddit forum revealing the player crisis.

The move was made to prevent players from letting the game down and keep it ‘realistic’, in the most flexible way.

All of this reminds me a bit of the folly of Pokemon Go, which, when it came out in 2016, created one of the shortest frenzy I can remember.

For some weird weeks, zombie smartphone users walked around staring at a screen in hopes that a Pokémon would jump in order to collect.

It remains to be seen if a game like Animal Crossing will also be a fad that fades and disappears when the novelty wears off.

At the time, several experts recommended buying Nintendo stock. It was on the way, but the problem was that Nintendo was struggling to make money from it.

It is listed on the Tokyo Stock Exchange. It hit a record high of 70,500 yen in November 2007, before the financial crisis.

It dipped below ¥ 10,000 in 2013, before riding a bit of a Switch wave from 2016, peaking at almost ¥ 50,000 in early 2018. It dipped a bit, before a recent surge has put it around ¥ 45,000.

This is still a long way from the 2007 peak, a peak that has never been close to reaching since.

The investment case for Nintendo

Buying stocks on Nintendo is pretty straightforward with stock trading websites, but the big question is, should it?

Alexander Windsor-Clive, analyst at Lindsell Train Investment Trust, said: ‘Covid-19 has been a mix for Nintendo’s operations.

‘On the positive side, the locks that have been implemented around the world have fueled a greater commitment to video game content; Animal Crossing is a Nintendo title that has had a particularly strong performance over this period.

“On the other hand, the increase in demand has encountered some problems with supply, given the effect of the outbreak that alters global supply chains, making it difficult to produce and distribute Nintendo’s console and Switch games.”

“We believe Nintendo will continue to flourish in the long term, fueled by both industry trends and the enduring resonance of its ubiquitous intellectual property, which has entertained literally hundreds of millions of people worldwide over a span of several decades.” . .

‘Companies like Nintendo with dominant intellectual property are better placed to capitalize on digital change and future innovations in the sector.

“Developments in cloud games, virtual reality, augmented reality, and e-sports are still in their infancy, but they have the potential to fundamentally reshape the industry.”

Will Nintendo’s trend continue after the crash?

Nintendo is the current world market leader and sells more consoles than Microsoft or Sony. This is a turnaround for books, even in the world of the hit game console soap opera.

One of the key things to consider is the end of that Alexander comment. Virtual reality games and e-sports, in particular, are not what the Switch is all about. That is more of a market for its rivals.

So where are they Well, Microsoft and your Xbox haven’t released a new console since 2013. But, your Xbox Series X is likely to arrive before Christmas 2020.

For Sony and Playstation, it is a similar story. The PS4 arrived in 2013 and the PS5 is expected to fight the new Xbox for holiday sales.

In short, the Switch is likely to benefit from those awaiting the new consoles from Microsoft and Sony.

This competition is likely to push Nintendo aside.

But, if the release dates are delayed due to the pandemic, and Nintendo continues to release the escape from reality titles that keep players coming back for more, it could continue to prosper.

These powerful new consoles are also likely to offer a completely different gaming experience than the Switch.

A further push towards realism, the realism that Nintendo game players are leaving behind. It only depends if the novelty wears off.

The Switch console itself is likely to remain below the price of the new Xbox and PS5, and when the world returns to a bit of normality, the portability of the Switch will be yours once again.

Nintendo will launch unit sales during its next earnings call scheduled for May 7; it’s likely to have sold more than 2 million consoles in March alone, according to analysts.

Will Mario & Co continue to be an essential element after the blockade? It remains to be seen, but the brave plumber has definitely helped players forget about the world’s troubles for a while.