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Want to know how much your retailer pays for Wii stuff?

The guys over at Engadget got a hold on some pictures of the Wii end caps (display fixtures located at the end of an aisle) along with zany accessories such as Wii dog tags, lapel pins, and controller “gloves.”

Also revealed are supposedly the CompUSA markups for Wii systems, accessories, and games. 

Product

MSRP in USD

Cost in USD

WII CONSOLE

249.99

237.50

WII REMOTE CONTROL

39.99

32.00

WII POINTS CARD

24.99

17.00

WII CLASSIC CONTROLLER

19.99

14.50

WII NUNCHUK CONTROLLER

19.99

14.50

WII GPAK ORGANIZER&TRAVEL

29.99

18.95

WII RAYMAN RAVING RABIDS

49.99

41.2

WII THE LEGEND OF ZELDA:TW

49.99

40.00

WII RED STEEL REVOLUTION

49.99

41.22

Nintendo has stated that it will make a profit on every system sold, which is not the modern day norm where the system is the loss-leader. So clearly, Nintendo’s cost to produce, package, and ship the Wii is less than $237.50.

Still, a profit margin of just over 5% for the console is nothing compared to 25% for a game. 

This explains the increasingly popular trend for retailers to force bundles on consumers during a hot console’s launch – the profits are in the software, not the hardware.





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