Nintendo is prepping for the debut of the Nintendo Switch 2, and it's set to be an exciting release. After years of rumors, an official reveal and the promise of more details in April could hardly be more welcome. Despite what appears to be an early success for the Nintendo Switch 2, the scale of its long-term success is more complicated, and one of the most important factors in determining its future is pricing. The original Nintendo Switch has been a massive success, thanks in no small part to how its affordability helped it find a place in homes worldwide.

As Nintendo moves forward with its next console, one significant change stands out: price. A $400 or more price tag makes sense in today's gaming economy, especially when inflation and higher production costs are factored in. Still, it could also present challenges in attracting as many people as the original Nintendo Switch did. The Switch 2 will certainly stand out at launch, but the real question is whether it will stay at the top of the industry over time.

Nintendo Switch 2 Should Be A Big Success At Launch

Nintendo Dominates Portability And On-The-Go Gaming

One thing is for sure: Nintendo knows how to make a splash with a new console launch. The original Nintendo Switch shattered expectations when it debuted in 2017, and history will likely repeat itself with the launch of its successor, according to Bloomberg, which reports expectations for record-breaking sales at a $400+ price point Hardcore and casual Nintendo fans alike will likely waste no time securing their pre-orders, and Nintendo will likely sell plenty of units right away.

I know I will be one of the first in line to secure my own Nintendo Switch 2, as I am a huge fan of both Pokémon and Zelda games. The Switch 2 will undoubtedly bring Nintendo success, at least in the short run. However, that doesn't guarantee that it will follow the Switch's path to massive long-term success.

A big reason for this early success is Nintendo’s loyal fanbase. While other companies focus on high-end hardware, Nintendo is known for creating fun, accessible gaming experiences. People buy Nintendo consoles because of the unique gameplay, iconic Nintendo exclusives, and the family-friendly vibe that other consoles can't quite match. Nintendo has essentially dominated the portability and handheld gaming scene for years, building a legacy in advance of the Switch that even the Wii U's struggles as a home console didn't destroy.

The original Nintendo Switch has sold over 150 million units.

Speaking of its iconic exclusives, if Nintendo launches with some great games, such as Pokémon Legends A-Z or a new Zelda or Animal Crossing, the Switch 2 could sell out even faster than its predecessor. Also, the fact that the Switch 2 will backward compatibility means that players can trade in their original Switch and still enjoy the same library of games. While it's suspected that the Nintendo Switch 2 will do well at launch, however, early buyers won't keep the Switch 2 selling in the long run.

A $400+ Switch 2 Price Could Hurt Perennial Sales

Short Term Success Does Not Guarantee Long Term Success

A $400+ price tag on the Switch 2 might not be too shocking in today's gaming world, especially when compared to the prices of something like the Asus ROG Ally or the PS5. Even when you consider AAA titles that cost $50-$70 or more, a higher price makes sense, and it's likely that the manufacturing cost will be close to the price. Yet, the higher price might hurt perennial sales.

The original Switch launched at $299, a sweet spot that made it an easy choice for families, casual gamers, and even people who wanted a secondary console alongside a PlayStation or Xbox. Even the $299 was a steep price for some, and Nintendo later took the opportunity to release the Nintendo Switch Lite for a lower cost at just $199.99. Of course, the Nintendo Switch 2 could follow suit, releasing its own version of the Lite, but like the original Lite, the Nintendo Switch 2 Lite would likely be limiting and not offer the full Nintendo Switch experience.

The $400+ price tag might not be a huge deterrent for hardcore Nintendo fans, and a flat $400 isn't far off from the Switch's original price when adjusting for inflation. Only eight yearrs later, though, it certainly looks less appealing. While other Nintendo consoles have often been even more when adjusting for inflation at launch, they also tended to drop in price over time, and concerns over tariffs and the precedent set by recent consoles suggest that may no longer be the case.

A huge part of Nintendo's market also comes from parents and grandparents buying consoles as gifts, and younger children are unlikely to be able to purchase consoles on their own. While $400+ consoles have never struggled to sell, the price point could be a deal-breaker for a huge part of the Switch's audience. Many households also bought multiple Nintendo Switch consoles, whether to build an additional Animal Crossing island or so that there was no fighting over whose turn it was on the Switch. If the Switch 2 costs significantly more, people will be less likely to purchase multiple.

Replicating The Switch’s Success Is An Uphill Battle

The Original Switch Was Highly Successful

The Nintendo Switch was a huge success, but while this gives the Switch 2 an easy platform for its launch, repeating its continued sales feats could be harder. The original Switch hit the mark with perfect timing, a good price, and a great game library. The big question now is whether the Switch 2 can do the same, especially with changes in the market. One challenge is the price. A higher price might make casual gamers and families think twice, whereas the original Switch was affordable and appealing to everyone.

Another challenge is whether the hybrid console idea will still feel fresh. The Switch was exciting in 2017, but after several years, it’s hard to say whether people will still be excited. The Switch 2 will need to offer new features and must-have games to keep people interested. Nintendo also needs to keep releasing great games to maintain interest over time. The Switch 2 will likely start strong, but its long-term success will depend on how well it handles price, innovation, and game .

Source: Bloomberg