Baird Equity Research analyst Colin Sebastian believes that the Wii U genuinely lacks broad appeal beyond the core Nintendo fan base. Sebastian listed this as an issue in the latest note to investors from Baird Equity Research. He went on to say that Nintendo really need to market their major franchises and also retain third-party developer support in order for the console to flourish.
“We remain concerned that Nintendo’s innovative Wii-U console will lack broad appeal beyond the core Nintendo fan base.”
“Following a somewhat lackluster launch and holiday selling season, Nintendo will need to bring to market major first-party releases (Zelda) and retain the support of key third-party developers to reduce market share losses. In a negative scenario, Nintendo will be forced to prematurely lower the Wii-U price, and over the course of this cycle, we expect consideration will be given to extending first party franchises to other platforms.”