Principles of Marketing : Marketing Mix Product, Price, Place and Promotion

PRINCIPLES OF MARKETING
The Marketing Mix Product, Price, Place and Promotion (4Ps).
A case of PlayStation 5 and Nintendo Switch game consoles.
Table of contents Page
no.
1. Executive Summary 3
2. Introduction 3
2. STP Strategic Approach 3,4
3. Findings 4
4. Target Market 4
5. Product 4,5
6. Price 5,6
7. Place 6
8. Promotion 6
9. Recommendation 7
10. Conclusion 7
11. References 8
12. Appendixes 9,10

Executive Summary
The report presents a detailed account of the differences and similarities of Sony’s
PlayStation 5 (PS5) and Nintendo Switch gaming consoles based on the 4Ps
marketing mix strategy. The PS5 now has a 52 percent market share, with Nintendo
and X boxer gaming consoles as its main competitors. Both PS5 and Nintendo tend
to have similar promotion and distribution strategies. However, they significantly
differ in the features and pricing of their product. Nintendo should develop an
exclusively new product with modern and advanced features to retain a better
market share. On the other hand, Sony should invest more in advertisement ad
promotion so that it maintains its competitive advantage and market share.
Introduction
Game consoles are inevitable for the majority of us today. However, to a significant
extent, they are expensive and every game console provides a unique experience

whether in terms of design, graphical power or availability of the game. According to
DiDomenico, (2021), the Play Station 5 (PS5) is primarily a representation of the
next generation gaming pinnacle, offering solid 4K@60fps gameplay altogether with
fast load lighting times with the inclusion of custom-designed SSD. It has an
unmatched dual sense controller with an extravagant design. Presently PS5
occupies 52% of the market share. On the other hand, Nintendo Switch (OLED) has
a limited boost towards graphical power as perceived by a majority of consumers.
However, it does have a bigger Tin OLED display for a more improved hand-held
gaming experience with deeper blacks and vivid colours. Nevertheless, Nintendo
presents a relatively large OLED display, smaller bezels as well as better battery life.
It is also less expensive and does not boost graphic power as compared to the PS5
console. The report compares and contrasts Nintendo Switch and PS5 gaming
consoles.
STP Strategic Approach
The STP Model (segmentation, targeting, positioning) it's a three-step process that
allows businesses to create a focused and actionable marketing strategy. It allows
more effectively position a product or service to attract distinct categories of
customers. Sony and Nintendo's primary segmentation approach is demographic
segmentation. Gamers are those between the ages of 15 and 40. People that are
interested in gaming are the major target market for the Nintendo and PS5 game
systems. Nintendo has a different positioning technique than Sony. Nintendo's
gaming systems are marketed as being suitable for both casual and serious gamers.
Findings
Target Market

The target market for Nintendo Switch is relatively straightforward. They target
individuals who are between the ages of 15-30 years and those who are mostly
interested in playing video games at certain places. The prospective groups include
men, women, educated families together with cohorts who are enthusiasts and
interested in playing videogames and at most times they have their presence online.
The Sony PS5 target market is primarily males within limited females aged between
17 and 40 years. Typically, the major target markets are males who have just exited
the stages of serving under gatekeepers and appear to have more freedom as
compared to teenagers or children. Nevertheless, it is worth mentioning that both
consoles consumer segments primarily constitute the middle and the upper-class
members (Arruda Filho & Gammarano, 2018).
Product
According to Levitt’s (1980) on total product concept, every product has three
primary layers: Core layer prescribing what the buyer is really buying. Actual layer,
turning the core benefit into the actual features, quality styling, packaging and brand
name of the product. Lastly, it is the augmented layer which provides additional
consumer benefits and services. The underlying total product concept can be
summarised as showing in appendix 1. Nintendo Switch console and PS5 console
also have the three layers as pointed by Levitt. Considering their branding, design
and the physical appearance, both products are used by gamers. They core
relevance is confined their benefits to gamers who prefer PS5 to Nintendo
regardless of prices while the underlying correlation and needs to be fulfil sets on the
business limits and provide the most experience to gamers. The Sony PS5
manufactures home consoles for children and adults to play video games. PS5
provides an SSD drive with 4K resolution with 120fps with faster performance for
smooth high-quality video. Consequently, it is compatible with some of the initial
versions of PlayStation consoles including PS4, 3, among others. Nintendo Switch
presents a great experience in gaming with relatively high levels of graphics and a
faster frame rate. According to Rand, Kizony and Weiss (2018), Nintendo is quite
popular with their underlying dual handled screens systems for virtual reality and
augmented games. Typically, Nintendo switch is much smaller version of the console