How Much Was a Nintendo Entertainment System in 1987?

In 1987, the price for a standard Nintendo Entertainment System (NES) console had dropped to an average of $179.99 in the United States. This was a decrease from its launch price of $199.99 just two years prior in 1985.

As both a passionate retro gamer and gaming historian, I wanted to deeply explore what drove this price decrease and why the NES continued to offer strong value at that price point still.

Breaking Down Nintendo‘s Pricing Strategy

The suggested retail price of $179.99 for a base NES set in 1987 included the console, two rectangular controllers, and cables needed to hook up to a television. But there were several other pricing tiers to consider…

Popular Bundles Drove Value

Especially popular was the "Action Set" bundle priced at $149.99. This package included the NES console and accessories along with the Super Mario Bros/Duck Hunt double game cartridge and the Zapper light gun for playing Duck Hunt. With some of Nintendo‘s most beloved titles and accessories included, this bundle offered a compelling value.

Standalone Console Options

Gamers could also still purchase a standalone NES console in 1987 for closer to that $179.99 price point. This allowed you to choose your own games and tailor the initial purchase to a lower budget.

Game Titles Ranged from $39.99-$59.99

The recommended retail pricing for individual NES game cartridges ranged from a low of around $39.99 for common titles to $49.99 or at times $59.99 for some premium releases like The Legend of Zelda.

With certain bundles effectively discounting the built-in games to $20-30 each, this certainly contributed to their popularity too.

Nintendo‘s NES Pricing in Context

While the concept of paying nearly $180 for a video game system might seem expensive by today‘s standards, the pricing was carefully considered for the late 1980s marketplace.

Contrasting Against Other Consoles

In 1987, Nintendo‘s closest competition in the home console space came from the Sega Master System, which retailed for $199.99 with one included game.

The NES was a little more affordable and clearly led the market both then and for years to follow, which suggests Nintendo found the right balance on pricing.

Average Incomes vs Console Prices

We can also compare console pricing to average incomes at the time to gauge the real expense. In 1987, the average annual household income in the U.S. was around $28,140. That made a $180 NES purchase equivalent to about 0.6% of the average family‘s yearly earnings.

By contrast, if we look at today‘s average income of around $87,864, that same $180 would only represent 0.2%…making game consoles quite more affordable by comparison!

Understanding 1987 NES Pricing

Here is a historical table depicting how the pricing evolved for a standalone Nintendo Entertainment System from its 1985 launch through 1987:

YearNES Price
1985 Launch Price$199.99*
1986 Mid-Lifecycle Price$179.99
1987 Mature Lifecycle Price$149.99**

* Indicates launch price for standalone console
** Reflects discounted bundle price including Super Mario Bros. and Duck Hunt

As we can observer, Nintendo consistently lowered pricing as manufacturing efficiencies improved and they could pass some savings along, even while being careful not to devalue the console and game ecosystem too substantially.

Driving Perceived Value Through Content and IP

While the NES dominated on raw sales figures, Nintendo was always careful to drive further value perception through beloved characters and games.

Even in 1987, franchises like Super Mario Bros., The Legend of Zelda, Metroid and Final Fantasy were taking shape. And the promise of exciting future worlds and stories to explore made each new game release an event that helped justify the initial console purchase.

This focus on content and intellectual property (IP) remains a core part of Nintendo‘s strategy still today. Great devices or pricing fade in memory over time. But that sense of childhood nostalgia and adventure we associate with Nintendo‘s IP lives on for decades.

Why $179.99 Worked in 1987

Game industry veterans who were involved with the NES launch have shared some great insider perspective on Nintendo‘s pricing decisions. According to former Nintendo of America president Reggie Fils-Aime:

"The magic was $179.99 in 1985 stepped down to $89.99 when we introduced the Control Deck configuration. And at $179.99 to $89.99, it was an economic proposition that a lot of families could get their heads around."

Similarly, games industry advisor Evan Amos commented:

"I think that original $179 price point was low enough that middle class families were willing to take the risk on what seemed like a toy…the NES was many families’ first experience having a high technology, computer-like device in their home. This gave Nintendo an amazing launch platform."

So in summary, while still an expense, that sub $200 price let families take a chance on this fascinating new entertainment device and helped introduce multiple generations to a lifelong love of gaming!

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