Fils-Aime Sets Eyes on Market Expansion

Fils-Aime Sets Eyes on Market Expansion

Nintendo of America president and COO Reggie Fils-Aime says that the Nintendo Wii will expand the console market the same way the DS expanded the handheld market, as Microsoft and Sony "go down the same path."

In an interview with USA Today, Fils-Aime reiterated how the Wii will cater to a new kind of audience, saying, "Our goal is to have as many teens and young adults as we have 40-plus-year-olds excited about the platform. We’re trying to expand this business here in the US in a way that it really hasn’t been expanded … for the health of this industry."

Fils-Aime added that a market expansion strategy has two prime advantages. "The interesting thing is if you do expand the market, you [attract new customers and take share from Microsoft and Sony]. You grow the category, but you’ll also dramatically increase your market share.

"As an example, Nintendo DS in Japan outsells all of our competitors by a factor of five to one. We are so far in advance of our handheld competitors that they’re not even on the map. That’s all based on a market expansion strategy. And that’s what we’re looking to do with home consoles."

It’s well-known that Nintendo is aiming to attract new gamers and former gamers who gave up on videogames, but Fils-Aime also said that it’s also Nintendo’s goal to keep core gamers interested as well.

Fils-Aime also pointed out the similarities between Microsoft and Sony’s console strategies. While the Xbox 360 and PS3 have their differences, the consoles do share similar philosophies for technical prowess, online play, controller layouts and gameplay.

"Our competitors are both going down the same path," Fils-Aime stated. "Both believe that more and more performance with a higher and higher price tag are their keys to success. So what do I see? I think our two competitors will trade share between them, while we go off and grab share in a completely different way."

Fils-Aime also commented on Xbox boss Peter Moore’s remarks about being able to buy a Wii and an Xbox 360 for around the same price as a PS3.

"I’d much rather have the consumer buy a Wii, some accessories, and a ton of games, vs. buying any of my competitor’s products."