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BU602 Marketing - GT One - Nintendo

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Rich Dang

on 1 March 2014

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Transcript of BU602 Marketing - GT One - Nintendo

Nintendo Co., Ltd. is engaged in the manufacturing and distribution of interactive entertainment products.
The company's manufacturing
plants are
located in Japan
and it operates
through subsidiaries in the US, Canada, Spain, Germany, France, Korea, the Netherlands and Australia.
Customer Decision-Process
Wii would like to play

Particular emphasis on the Product Search Stage

Two resources:
Online review
Recommendations from family and friends

Important Pre-Purchase Evaluation Stage:
This determines customer satisfaction with the product and have influence over customer attitudes to the brand

Purchase decision is influenced by customer’s behavioral and
Psychographic inputs
Low cost

All genders

All age

Whole family

Casual players

Body interaction gaming

Popular Wii exclusive games
The Legend of Zelda, Mario Kart, Wii Sports
Nintendo’s Segmentation

Industry Growth
Global game market revenue : US $ 65 billion. Grows 4% globally

From 2005 to 2009,
the entertainment software
industry's annual
growth rate > 10%,

Meanwhile the U.S. economy
grew at a rate of < 2%

In 2009, the entertainment
software industry added
$4.9 billion
to U.S. GDP.

Computer and video game companies directly and indirectly employ more than 120,000 people in 34 states in US.

The average salary: $90,000
Resulting in total national
compensation of $2.9 billion.

Direct employment for the industry grew at an annual rate of 8.6 percent between 2005-2009

has the
largest video game industry in terms of employment numbers.

Toronto, Vancouver & Montreal have attracted world leading game developers and publishers studios such as:

Ubisoft, EA, Eidos Interactive, Artificial Mind and Movement, Bioware, Warner Bros. 

Increasing competition
Brand loyalty for casual gamers
Aging Population for hardcore gamers
Game censorship
F2P Games
Leverage extremely LOYAL fan base
Untapped mobile market
Aging population creating a new segment
Partnerships with companies non-game related
Key Success Factors
Development of more game developers (indie/publisher)
Clear advertising
Strong brand
Kick ass technology
Distribution improvements
New business development methods
"Virtual Swag", in-game/in-app purchases, "F2P"
Market Segmentation – Behavioral

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