PlayStation 5 vs. Nintendo Switch: A Marketing Strategy Comparison

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This report provides an overview of marketing principles and applies them to a comparative analysis of the PlayStation 5 and Nintendo Switch marketing strategies. It examines the target market, product features, pricing, distribution channels (place), and promotional activities of both companies. The report highlights the differences in their target demographics, product offerings (including game support, graphics, and controllers), pricing models, distribution strategies in different geographic regions, and promotional techniques. The analysis concludes that understanding and effectively implementing the 4Ps of marketing is crucial for sustaining a competitive advantage and driving revenue generation in the gaming industry. Desklib offers a variety of resources, including solved assignments and past papers, to aid students in their studies.
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Principles of Marketing
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Executive summary
This report provides a brief introduction of marketing and the four p's that needs to be taken in
account while preparing a marketing strategy. Further marketing strategies of Play station 5 and
Nintendo switch are considered such as target market , product , place , price and promotion of
the organization. By the end of this report the user will be able to analyse the marketing
strategies of respective companies.
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Table of Contents
INTRODUCTION...........................................................................................................................1
FINDINGS.......................................................................................................................................1
Comparison on the basis of target market..............................................................................1
Comparison on the basis of product ......................................................................................2
Comparison on the basis of Price...........................................................................................2
Comparison on the basis of Place...........................................................................................3
Comparison on the basis of Promotion..................................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................6
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INTRODUCTION
Marketing is considered as one of the important pillar of the organization as this department is
responsible for enhancing the brand image(Bespalko, Voronov and Martynenko, 2019). This
activity follows a process of creating goodwill of the organization by communicating the usage
of products offered by the company. There are certain principles of marketing which are
connected with each other, these principles are also known as marketing mix (Zulhit, Yasri and
Abror, 2019). The two organisation considered in this report for application of principles of
marketing mix are Play station 5 of Sony Interactive Entertainment and Nintendo.
PlayStation are video game console introduced in the year 1994 and the recent successor of this
product was launched in 2019. Nintendo is a tablet shaped gaming console which can be docked
with the television or can be used individually.
FINDINGS
Comparison on the basis of target market
Target market refers to the territory or a group of customer where all the marketing strategies of
the company are aimed (Dumitriu and et. al., 2019). These are determined after an extensive
research conducted by the marketing team of the company. Following is the target market of the
respective companies:
Basis PlayStation Nintendo
Age group They aim their products at the people
of age group 18-30, they offer wide
range of games which attracts the
people.
Their target audience is the
students who are in the age
group of 15-24.
Income of the
consumer
They are generally priced higher so
their target audience are the people
who have good amount of income.
They are cheaper than
PlayStation, So these products
are aimed all classes of
income.
Preference of the
consumer
PlayStation only offers only one genre
of gaming that is console gaming on
Nintendo offers three kinds of
gaming genres which help
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the television. So only those people
who are interested in this kind of
gaming are targeted.
them target every kind of
gamer in the society.
Geographically The highest region of sale of
PlayStation is Europe, almost half of
their revenue is generated from
Europe.
Nintendo's major sale always
comes from North America ,
so now the major strategies of
the organisation is targeted
towards this market.
Comparison on the basis of product
Product refers to the goods or the services that the company is willing to offer. A product should
be ideal enough to fulfill the needs of the customer(Paley, 2021). The gaming industry in a
nutshell is made to entertain their customers so their products should provide consumers with
various features that no one in the industry is offering. Product of Sony and Foxconn are further
compared in terms of features and supportability.
Basis PlayStation 5 Nintendo Switch Game
No. of games supported Hundreds of games are
supported in PlayStation 5, this
attracts a huge customer base.
Nintendo Switch is
comparatively new and
supports very few games.
Features PlayStation 5 can be played in
only one way that is the
conventional console version.
Nintendo Switch Game can be
played in three genres that is
handheld portable genre ,
conventional and the joystick
version.
Graphic quality This offers a high graphic
quality.
The graphic quality in
comparison is pretty low.
Controller It uses PlayStation move or
Dual-shock 4 controller.
This uses a Joy-con or pro
controller.
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Comparison on the basis of Price
Price is the most essential aspect of the business, these are the considered as consumer drivers in
the business (Zhao and Ma, 2017). A good pricing of the product according to its features will
definitely be appealing the market. The pricing component is not just a one time thing as the
pricing of the services and accessories provided by the company is also a part of the product.
Basis PlayStation 5 Nintendo Switch Game
Product price The price of PlayStation 5 is
comparatively higher and the
product's supply is less which
results in wrong increase in the
pricing.
The price of the product is
comparatively lower than the
PlayStation.
After services The services are often costly
and hard to find.
The services are generally of
less price but in some cases
even higher than PlayStation.
Price of Accessories This require a smart television
or monitor , which costs even
more than the gaming console.
This console requirements are
optional as one of its genres
can be played in the gaming
console itself.
Comparison on the basis of Place
Place refers to the strategies that the businesses are developing to distribute their product. This
refers to the place where the company is offering the product and the means of offering the
product (Sholekhah, Widodo and Wahyono, 2020). The means of offering the product could be
online or offline or in some cases both. The company who can easily make their products
available to the customer has a competitive advantage.
PlayStation 5 Nintendo Switch Game
Major marketing of PS5 is done in the parts of
Europe as almost half of their revenue comes
Their highest amount of revenue is generated
from North America which accounts to almost
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from there. After this their major strategies are
applied in northern part of America. Their
loyal customer base is from these regions only
and they are working on it expand it more as
they have gained a good amount of popularity
in these regions.
This product is offered by Sony that is why it
is available worldwide. It is available offline in
few cities and can be easily purchased online
from their own website and amazon.
30% of their total revenue and then their
marketing strategies are applied in the cities of
Europe and Japan. Their market share is
currently low as compared to PlayStation 5. To
dominate the market, they need to come up
with good plans for their business.
They are a product of Foxconn, they are not
available worldwide but can be easily
purchased online.
Comparison on the basis of Promotion
Promotion is the most essential task of the business as the product produced would be of no use
if the potential customers are not informed of the product (Suharko and Melinda, 2021).
Promotion are the strategies that give the organization competitive advantage to the organisation.
Every organisation follows different marketing and promotional techniques to increase the sales,
few works phenomenally where as few struggles in this competitive market.
PlayStation 5 Nintendo Switch Game
They use aggressive marketing strategies in
promotion, their spend a significant amount of
their total expenditure in advertising their
product. They come with catchy slogans such
as 'Play has no limits' which attracts the gamers
worldwide. Their most of the marketing
strategies are directed towards the teenagers.
They come up with set of campaigns and
events while launching their new products in
the market, this creates a hype in the gaming
world which results in pre-booking of the
products.
Nintendo Switch on the other hand spends
comparatively less amount in advertising.
Nintendo's marketing campaign is based on the
attributes of sharing and interaction between
multiple players. Their competitive advantage
in promotion is the three genres that their
gaming console offers. Their advertising
videos explains the experience of playing on
Nintendo as lifelike, this idea attracts a lot of
customer looking for a diversified gaming
experience.
Their promotional technique is to show their
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Their promotion technique is to show their
product as a prime luxuries product.
products as affordable and the best alternative
of gaming console.
CONCLUSION
By above report it can be concluded that every organization needs to set their target customer
and apply marketing principles in order to sustain in this business environment. Every
organization has different set of target audience which makes their advertising and promotional
technique unique. 4 p's of any organization is important to attract the customers and sustain in
the environment. Every principles is important enough to consider in the business as these
aspects helps in generation of revenue for the company. An effective marketing mix of a
company would be considered that in which the managers are putting emphasis on every
principle and they are continuously working on developing the techniques to enhance these
areas.
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REFERENCES
Books and Journals
Bespalko, V.A., Voronov, A.A. and Martynenko, O.V., 2019. Marketing and operational aspects
of the strategy of industrial import substitution.
Dumitriu, D., and et. al., 2019. A perspective over modern SMEs: Managing brand equity,
growth and sustainability through digital marketing tools and techniques. Sustainability,
11(7), p.2111.
Paley, N., 2021. The Manager's Guide to Competitive Marketing Strategies.
Sholekhah, I.M., Widodo, J. and Wahyono, W., 2020. The Effect of Social Capital and Learning
Organization on Marketing Performance Through the Marketing Strategy. Journal of
Economic Education, 9(1), pp.1-8.
Suharko, A. and Melinda, T., 2021. Analysis of the Effect of Marketing Communication Mix on
Consumers’ Buying Interest of OE Bold. KnE Social Sciences, pp.1-12.
Zhao, S. and Ma, J., 2017. Research on precision marketing data source system based on big
data. International Journal of Advanced Media and Communication, 7(2), pp.93-100.
Zulhit, R.A., Yasri, A. and Abror, A., 2019. April. Influence of Marketing Mix to Customer
Loyalty in Sari Anggrek Store. In 2nd Padang International Conference on Education,
Economics, Business and Accounting (PICEEBA-2 2018) (pp. 295-303). Atlantis Press.
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