I can only speak for myself here. Being an older gamer who grew up with an nes and snes, etc, this approach is of little value to me. Frankly, I'm tired of the recycling that goes on at Nintendo. This is also admittedly a position of circumstance. I would imagine kids today would find this approach pretty enticing as they haven't had the last 20 years with these legacy titles.
Having said all that, I have no doubt Nintendo is going to be just fine, regardless of the title drought. This is frankly NOTHING compared to the lanch cycle of the PS3. Plus, Nintendo has a long history of delaying games that are hot ticket items to make sure they're done right. They acknowledge a need to work towards the quality of their product as opposed to rigid adherence to timetables. I would argue this has been a key factor in the routinely high quality of their games. I have also said in other threads that I'm getting tired of the big three franchises (mario, zelda, metroid) being recycled each new console. However, I do still admit that each round of these games has been more or less well done every single time. Other M is arguably a failure as far as the Metroid series goes, from the perspective of gameplay content. And still, it's a pretty playable game, despite it's flaws.
Not to mention, E3 is going to be a hardware event for their competition. For Nintendo, it's all games games games. We're going to see a stellar software display from Nintendo this year. I'm sure it will more than make up for the current drought.