Zelda's a nintendo brand name--so yeah it still sells just like other brand names (like Myst, CoD, ect), but a genre is defined dying when the majoriity of gamers skipped over them especially with scores in the 90%.
Heavenly Sword was released 9 months after the PS3 launched :0--no it sold well because it was hyped to by a God of War killer, didn't hurt that it was a good game on it's own.
Like I stated many times, Nintendo should try to get this game noticed, it's great and it'll add another "user" group to the existing WII users. Microsoft actually "tries" to do this with it's bundles (namely MS has tried to attact the younger generation with titles like it's own in house Pinta series and the Lego Indian Jones). For example, the "new bundle" will most likely have the motion control plus with WII Sport Resorts so why not toss in Madworld as well? I'm sure they can work out a deal with Sega (MS done it before with Sega Rally & Jet Set Radio Future bundle on the Xbox) and it'll saturate the market.
With KRD thinking, people didn't buy Eternal Darkness: Sanity's Requiem becuase they didn't want to play it :0. Damn nearly brings tears to my eyes thinking we won't get a freaking sequel to this great game. There's a special place in hell for those that skipped over this gem.