Umm, honestly there isn't anything I can take from that video that I could feel optimistic about. It looks 'nice' like there's a lot of work put into it, but is there any hint of the character of Golden Axe in it? Looks like a very generic, sluggish, connect the dots sort of stab at the genre. There's only been a handful of western developers who have ever proven that they actually understand the true DNA of Japanese style beat-em-ups... and I can't see any hint of evidence this crew might have. Plus the financial prospects for anything on Wii U are still not very good, even something / much less this niche-y.
So setting impulsive nostalgia aside, in this case at least, it's kind of easy for me to imagine what SEGA might have been thinking. And not as the wrong call. /imo