The Success of the Nintendo Entertainment System in the U.S. Market

The Success of the Nintendo Entertainment System in the U.S. Market

After a time of turmoil for the video game market in the early 1980s, Nintendo introduced a brand new console that took the world by storm. This system was the Nintendo Entertainment System or NES for short. The NES launched with 17 black box titles and critics may have thought that this system would fail like its predecessors. However, Nintendo succeeded in dominating the home console video game market for several years to come. There were many reasons for the NES console's success, but perhaps the most memorable thing about this system is its fun to play and well developed game library which many retro gamers and collectors enjoy to this day. 

Nintendo was careful to do extensive market research before entering the U.S. market, which had nearly collapsed in 1983 due to an overflow of poor quality games and a large quantity of inferior systems. So, Nintendo tread the U.S. waters carefully when they decided to enter this now booming gaming market. In October of 1985, Nintendo released a limited number of the NES consoles (approximately 100,00 or less) into select U.S. cities. Perhaps, they were trying to gauge whether the North American market was a good place to do business. How would consumers respond to this new NES console and should Nintendo invest in expanding their operations in America? 

By limiting the number of systems available in America to the public, Nintendo created exclusivity for their product. Consumers wanted what they couldn't have (Sort of like Eric Cartman's denial to customers at his amusement park). Nintendo was very careful to present their new system and its affiliated launch titles in a new way that would build trust and intrigue for American consumers who had become disillusioned with the failing home video game market of the early 1980's.

So why was Nintendo so successful? Their packaging was deliberate and consistent across all NES releases. The NES console featured a black box and so did the original 17 launch titles and the 13 black box titles released shortly after. (See our detailed blog on boxed games). This simple artwork with 8 bit graphics and a black background stood out in contrast to the elaborate video game artwork of the time, so it grabbed people's attention. In addition, Nintendo went a step further building trust by putting an official seal of quality on every game, console, and accessory they sold. This seal assured consumers that the content purchased met Nintendo's rigorous standard of quality. 

Nintendo even backed their products with a dedicated phone line for customer support. This way consumers could trust Nintendo to be there if they experienced any issues with a product because they always included a phone number and address where they could be reached for support.