The fact it doesn't have internet is going to be a plus for parents. Now they can let their kids play games without having to worry about listening to a tirade of profanity from half way around the world. The older people that play this, probably aren't getting on-line either.
It's also about $50 cheaper than the full size Wii which is the price of a Mario game.
For cost conscious parents whose kids don't have a modern video game system yet, this is a solid option for Christmas. There is a huge library of excellent titles for the Wii. The LEGO games are all about $20 now, there are plenty of very popular Wii games that are $20 now.
If I didn't already have a Wii, I'd buy it. While I use the Virtual Console, I could live without it. It's not an essential feature for the system. I just buy the old classics, Something that most kids don't care about.