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1.

Introduction
PlayStation is an iconic video game brand that develops and sells gaming consoles for a
range of audiences, however predominantly gaming orientated consumers. The brand was
created by Sony Computer Entertainment in December 1994 and since then the brand has
released a total of four consoles, including two handheld consoles (Inc., 2017). Since its
release in 1994 the brand has become a world-wide phenomenon. Brand awareness among
brand enthusiasts and everyday consumers have increased exponentially over the last
decade (Inc., 2017).

PlayStation had several successful advertising campaigns including, but not limited to, “It
only does everything” for their PlayStation 3 in 2009 and “All I want for xmas is a PSP” for
their handheld device called PlayStation Portable (PSP). However not all PlayStations
campaigns have been met with completes success; their “It Only Does Everything” campaign
received complaints from the Nigerian government regarding its reference to the 419 scams
originating from Nigerian. Sonly quickly responded with an official apology and changed to
their commercials to be less offensive (qj.net, 2017).

PlayStation isn’t the only brand in the console market. It competes with other big console
brands such as Microsoft’s Xbox and Nintendo’s Wii. The rivalry between the brands have
been common place throughout a large part of the console market history. However, it must
be noted that the rivalry has not been limited to the console market only and the personal
computer has recently started to become a rival to the console market.

PlayStation released their fourth and latest instalment of the PlayStation dubbed “PlayStation
4”. The release of the PlayStation 4 proved to extremely popular with the market, outdoing
its largest competitor; the Xbox (Sony Interactive Entertainment, 2017).

This paper aims to create a complete comprehensive Integrated Brand Promotion (IBP) plan
for PlayStation. The plan will compromise of a complete advertising campaign that will run for
12 months, commencing on 01 January 2018. An in-depth analysis will be done on the
brand, its history, the situation analysis, a description of the target market, competitors and
objectives. Furthermore, objectives will be set, and advertising programs will be created to
reach those goals.
The purpose of this IBP plan not only to create brand awareness in a market of highly loyal
consumers, but to ensure current brand enthusiasts of the brands prestige and the
recognition of their support.
2. Situation Analysis
In the following sections an attempt will be made to distil the situation down to the most
important points and how they are connected as suggested by O'Guinn, Allen, Semenik, and
Close (2015). The analysis will cover the most important and/or notable elements of history,
events, competitors, previous budgets and trends in order to describe a picture of
PlayStations situation and how they relate to the advertising task at hand.

2.1. Background and History


PlayStation was originally the brainchild of Ken Kutaragi, dubbed “The Father of PlayStation”.
He was previously an executive from Sony who had finished managing on of the company’s
hardware engineering divisions at the time (Ashcraft, 2010; Magrino, 2009). Although
PlayStation was only released in the mid 1990’s it has origins dating back to 1988 where it
had been a part of a joint project between Nintendo and Sony (Bellis, 2017; Cohen, 2016).
However, after a disagreement between the two companies the partnership was terminated
in 1991. Soon after, Sony appointed Kutaragi with the responsibility of developing the
PlayStation (Bellis, 2017; Cohen 2016).

Sony Interactive Entertainment introduced the


PlayStation brand in December 1994 with the
release of their first console the PlayStation (PS).
The PS was the first of a series of console and
hand-held devices and part of fifth generation of
console games. The “PS One” which was later
released as a slimmed down version of the PS (Sony Interactive Entertainment, 2017). The
PlayStations largest rivals at the time was Sega Saturn and the Nintendo 64. Regardless, by
the end of 2003 the PS and the PS One had shipped more than 102 million units, later
becoming the first video game console to sell more than 120 million units world-wide (Sony
Interactive Entertainment, 2017; webcitation.org, 2017; Inc., 2017).

The PS One was released along with its successor the “PlayStation 2 (PS2)” July 2000. The
PS One was had a completely different from the PS, most notably its size. The PS One went
to outsell all the other consoles, including the original PS. The PS One also included a new
Graphical User Interface (Sony Interactive Entertainment, 2017).
The PS2 was released a year before any of its competitors such as Xbox and the Nintendo
GameCube. All of which form part of the sixth generation of video game consoles. PS2 also

received a slimmer redesign, the PS2 Slimline, similar to the PS One (Sony Interactive
Entertainment, 2017). The PS2 is the most successful console in the world, having sold
more than 155 million units as of 2012 (Munarriz, 2007).

“PlayStation 3 (PS3)” was released late November 2006 (Sony Interactive Entertainment,
2017). The PS3 was part of the seventh generation of consoles which included Microsoft’s
Xbox 360 and the Nintendo Wii. The PS3 had a major advantage over its competitors being
the first to introduce motion sensing technology. The PS3 also supported Blue-ray disc
capabilities. The PS3 sold more than 80 million units as of 2013 (Parfitt, 2013). The PS3 slim
was later introduced in 2009 (Sony Interactive Entertainment, 2017).

The brand announced their eighth-generation system in 2013. The PlayStation 4 (PS4) was
released along with the PlayStation App which allows the console to be controlled via
smartphones and tablets. PS4 also
included a series of new features that
enables better social media interaction and
sharing (Sony Interactive Entertainment,
2017). The slim model for the PS4 was
revealed in September 2016 (Sony
Interactive Entertainment, 2017) The PS4
slim model did not feature a new name
similar to its predecessors.

2.2. Industry Description and Competitors


The video game and console industry may form part of the most lucrative industries in
entertainment. When compared to the music and film industry, the console and video game
industry has surpassed them both (Sieberg, 2011). In 2012, revenue reached more than $70
billion (Meulen & Rivera, 2013). The fast growth of the market was partly due to the eighth
generation of consoles which included the PS4, the Xbox One and Wii U. It was also
estimated that 59% of Americans play video games and that every household owns at least
one platform on which to play games with average age around 35 years old (ESA, 2014).

The console industry can almost be described as an oligopoly, being almost completely run
by the 3 largest console brands for the last decade; namely PlayStation by Sony, Xbox by
Microsoft, and Wii by Nintendo. Out of the 3, Nintendo was the first to enter the market.

To get a complete picture of the PlayStation brand in


the console industry and their competitors, a complete
analysis is done on Porter’s Five Forces Model.
Michael Porter introduced a model of competitive
strategy, in 1980, to explain an industry’s position in
complex strategic environments (Porter, 1997). The
forces of the model are 1) the power of the supplier, 2)
the buyer power, 3) the barriers to entry 4) the threat of
substitution, and 5) the degree of rivalry (see Fig. 1).

1) Suppliers Power
Suppliers power indicates the ability of the of the suppliers to control resources and the
bargaining power to raise prices (Porter, 1997).

Suppliers have a low to medium power within the industry. This is the result of multiple
reasons of which we will discuss the most notable points. Firstly, the console industry is
centred around the 3 giants that is PlayStation, Xbox, and Wii as discussed previously. This
creates a situation where we see classical symptoms of an oligopoly. The suppliers are
presented with little bargaining power as they cannot simply change consumer, in this case
one of the three console brands. The suppliers are forced to meet the demand of their
consumers to ensure a healthy and lengthy relationship. Secondly the because the console
brands create revenue through both hardware and software, which means most suppliers
only play an integral role.

2) Buyers Power
Buyers power is the ability of the buyers to bargain down prices and raise costs through
demanding better quality (Porter, 1997). The most important aspect that determines the
buyers power is the size and concentration of customers (Porter, 1997).

Buyers may also have little bargaining power as the number of consoles are limited to three
and therefore little option is left for the buyer to change. Consoles games are also only
limited to the platform to which they were bought. This means that if the consumer has
previously bought his games for PlayStation he will be unable to play them if had had
switched to Xbox, for example. The consoles themselves are also expensive, this means
consumers are generally hard pressed to change their consoles due to the high transition
costs. It has to be noted that with the release of every new generation of consoles a
consumer may find it easier to transition due to their expectation for the new release of
consoles. Purchases are also typically made by households in large volumes and therefore
the power of the consumer is limited.

3) Barriers to Entry
Threat of new entrants is indicated two factors barriers to entry and reaction of the
companies within that market (Porter, 1997).

The barriers to enter the market are extremely high. The established brands have dominated
the market over the last decade, with each brand having a deep history and large following.
These elements discourage new entrants, specifically because of the rivalry and brand
enthusiasts within the console market.

Most probably the largest reason for the high barriers to entry are the high capital cost
involved. Sony took more than 4 years before they were able to turn a profit on the PS3 due
to the large capital requirement in its development and production (Ricker, 2010; Hesseldahl,
2013).

4) Threat of Substitution
The threat of substitutes may compromise a firm’s ability to maintain sales and profit ratios
as consumers easily switch to competing brands (Porter, 1997).

The threat of substitution within the console market may be low but the threat of substitution
in the entertainment industry as a whole is large. Although there may only little substitutes in
terms of consoles, this may not necessarily provide us with an accurate indication of the
environment. Consoles are simply a form of entertainment, which means there are various
other options for buyers. Substitutions may include forms of entertainment such as movies
and television, although they pose a low level of threat as a form of substitution. However,
the largest threat may be the Personal Computer (PC). The PC Gaming industry has also
dominated as a form as entertainment, with constant annual growth (Boswell, 2013).

5) Degree of Rivalry
When there is strong rivalry between established brands it poses a large threat to probability
(Porter, 1997). In other words, when companies start competing because of rivalries the
result may pose a threat to the brands profit margins.

Because the console market is constantly growing and dominated by the three console
brands, rivalry is extremely high. The market is extremely competitive with each brand
competing to outsell the other in order to increase market share. This rivalry is further fuelled
by all three brands competing for the same buyer and the same resources.

The Wii has managed to better separate itself in terms of direct competition with the
PlayStation and Xbox; targeting casual gamers and more family orientated buyers. Although
they may lack in terms of technical superiority of their hardware, they offer unique features
and unique games with regards to motion sensor technology. This allowed them to beat both
Xbox and PlayStation in terms of sales (Sandoval, 2014).

PlayStation and Xbox are similar in both hardware capabilities and software, this means that
there is a greater rivalry between the two brands.

Conclusion
To conclude this analysis, competition is getting more aggressive with each generation of
consoles. With high competition and high barriers to entry the market it is highly unlikely that
a new console will emerge in the coming future. The three brands must work hard to
differentiate themselves from their counterparts to stay competitive and profitable.

2.3. Current Problems


The console market faces a unique problem. Consoles traditionally compete with PC
indirectly. This is slowly changing as technology advances. With every generations of
consoles get more technologically advanced. With the latest generation of consoles more
features have been added such as access to the internet and social media activities. Other
features also include media such as music and movie capabilities. The issue is that all these
functions have traditionally been covered by PC including unique features such as live
streaming. Therefore, as time passes and technological advancements are made consumer
perception is becoming confused on positioning and roles of consoles in both the console
and entertainment industries.

PlayStation and other consoles need to be sure to differentiate themselves from the PC
market, so that consumers don’t get confused on positioning. As more technologies develop
PlayStation should take special care to find features more exclusive to consoles. Branding
for PlayStation should also take care to differentiate the kind of hardcore gamer on console
and the hardcore gamer on PC.

With VR becoming more and more popular, PlayStation should also take care not to compete
directly with PC’s functionality and features. Brand positioning and image will play a crucial
role in separating PlayStation form its competitors.

2.4. MARCOMS
Since the inception of PlayStation in the early 90’s a number of campaigns have been
released for the brand. PlayStation’s initial advertising was to separate itself from the
Nintendo consoles at the time. Their first campaign “ENOS” included a series of cryptic
messages to confuse and inspire hype among consumers. Sin then PlayStation had a
number of campaigns. Some of which was met with success of some which had no real
significant impact.
Only with the release of the PS3 did PlayStation increase its efforts in its advertising
campaigns to compete with the Xbox 360. Sony released a number of videos through
Europe. The campaign, named “SAPS” or Society Against PlayStation adverts was met with
huge success after PlayStation managed reach demographics that other consoles had failed
to do in the current changing society.
2.4.2. Current MARCOMS Messages
The communication objectives for the PS4 was to become the most discussed entertainment
launch of the year and to demonstrate harcore gamers that the PS4 is the best platform to
game on. The campaign started well in advance to the launch the PS4 using the cost
effective digital centric channels at the launch announcement and the consumer shoe E3 and
Games.com. This was primarily focused on hardcore gamers with high brand loyalty, which
also resulted in their reception being the highest.

The campaigns for the PS4 all


focused on one primary
consumer: hardcore gamers. All
efforts were placed to hype up
the launch of the PS4, budgets
were increased, and more
advertising was placed on
television and social media.

PlayStation narrowed its target market to


exclusively the gamers while Xbox One
stressed being the essential living room
entertainment system. The PS4 launch was
exceptionally well received after PlayStation
announced that no restrictions would be
placed on second hand gaming or connectivity
to the internet, PlayStation also announced
that it would be selling the PS4 at a significantly lower price compared to the Xbox.

Since the release of the PS4, PlayStation has had two marketing campaigns, namely
“Greatness awaits” and “This is for the players”.

PlayStation’s emphasis on gamers paid off with only a year after its release around 30 million
consoles was sold, more than twice its nearest competitor (Mortamire, 2015).

PlayStation spent more than 59 million dollars on advertising in five months of the advertising
campaign in 2014 (CINEMABLEND, 2017).
2.5. Current Trends
The gaming industry has been through multiple trends over the last decade. While the
release of the PS2 brought more attention to the gaming industry, several other
contributions, such as virtual reality gaming, augmented reality gaming, movement capture
games, are also noted for transforming the way people see and perceive the gaming
industry.

Characteristics of games and how users interact with those games are factors that have a
large impact on the gaming industry and therefore the console industry. When technologies
develop and become popular, consumers expect brands to keep up to date with these
trends. How well brands are able to maintain the ability to keep up with the latest trends, is a
large deciding factor for consumers. For example, virtual reality games are starting to
become popular with gamers and has grabbed the attention of the market, how well console
brands are able to adapt to such trends will determine their ability to stay competitive.

ESA released their latest report, ‘Essential Facts’ 2017, that revealed large shift in consumer
perceptions on what characteristics are important when purchasing games. A large
difference is observed from the same report released in 2015.

2.5.1. Product, Industry and Consumers


According to ESA (2017), gamers have started to care more about the quality of graphics
than other elements. This is the opposite of the results received by the same report in 2015.

Source: Entertainment Software Association (2017). Essential Facts About the Computer and Video
Game Industry. theESA
In the 2015 report, the quality of graphics only rated as the sixth most important factor in the
consumer’s decision to purchase a game.
The quality of graphics has been a large part of media focus over the last few years,
especially when the same game on different platforms was concerned. Hardcore gamers are
typically active in their search for comparison pictures and videos, most commonly YouTube,
for games on different platforms.

Consumer are currently highly fixated on quality of graphics and will possibly conduct large
about on research in order to find the most suitable product to meet those needs. Multiple
other factors continue to stay relevant, such as price which has stayed in the top two most
important factors influencing decisions to purchase video games.

The quality of graphics and price of the PS4 most likely played a role in its success over its
competitor, Xbox One. Xbox One titles have not done well compared to the PS4 titles.

In general gamers often view games as providing more value entertainment compared to film
and music (ESA, 2017). According to the ESA (2017) report, the most popular category of
games was shooter games at 27.5% of units sold. Action games followed closely with 22.5%,
role-playing with 12.9% and sports with 11.7%.

Virtual Reality (VR) games have been gaining traction and popularity the last couple of years.
Ownership of VR is currently low with 90% and more existing on PC and console (ESA,
2017). The most popular VR to date have been single player games (ESA, 2017). However,
it should be noted that this may be due to technical constraints currently limiting VR
functionality.

3. Target Market Description


Games are defined as hedonic products, in that, they entail emotional reaction and creates
fantasy while being multisensory (Hirschman & Holbrook, 1982). As such games, inherently
entail emotional reactions, the creation of fantasy, and is multisensory (Hirschman &
Holbrook, 1982).

The large growth and interest in the in the gaming industry is directly related to the massive
broadening of the relevant consumer groups. During the earlier years of console generation,
the focus was mostly placed on children and male teenagers. Later generations also
attracted young men (PlayStation), females and families (Wii and Kinect by Xbox).
Because of a lack in research for console consumer demographics in a South African
context, this section will make use of most accessible information as a reference point from
which to gather conclusions, in order to grasp the consumers identity as a whole.

Marchand and Hennig-Thurau (2013) reported that the average age of console game
consumers in the United States is 37 years old. They also reported that 42% of gamers were
female, contrary to the typical stereotype suggesting a very small group of female gamers
compared to male gamers; of American households, approximately 3/4 of them spend
money on games today (Marchand & Hennig-Thurau, 2013)

Source: http://www.businessinsider.com/how-people-use-xbox-one-vs-playstation-4-chart-
2017-6 [Accessed 13 Oct. 2017].

Games have developed into much more than just simple entertainment. Along with casual
gamers, the gaming industry has become competitive, such as League of Legends and Dota
tournaments which are among many others. Gamers participating in such events are referred
to as competitive gamers. Recently, the gaming community has expanded to live television
on channels such as ESPN to showcase major gaming tournaments (Cheung & Huang,
2011; Marchand & Hennig-Thurau, 2013).

Casual gamers are considered to be gamers that do not engage in serious gaming platforms
and games. They will typically play lower tier games in terms of difficulty and strategy, such
as Facebook games. These gamers are also classified according to the platform which they
engage in, such as phones, computers, consoles. Typical, console gamers are considered
serious gamers but are not exclusive to consoles nor are console gamers exclusively serious
gamers.

Serious gamers are considered to be more engaged and informed on the gaming community
and its trends. The serious gamers play higher tier strategy games such as Skyrim. The
serious gamers typically engage on platforms such as PC and consoles.

It is important to note that although the serious gamer is considered to be the primary
consumer of consoles, some consumer do engage casual gaming on consoles with games
such as My Little Big Planet. Furthermore, consoles have developed into more than just a
gaming platform and offers other entertainment such as music, movies and even allows for
internet access and web surfing. Dunn (2017) reported on the different uses of consoles that
indicated consoles are used more frequently for other forms of entertainment than originally
thought than originally thought. Dunn (2017) Showed more than half of console functions are
being used for entertainment other than games.

3.1. PlayStation Current Target Audience


With the launch of the PS4, alongside its primary competitor Xbox, focus was placed on
hard-core gamers and mainstream gamers (Mortimer, 2015; McDermott, 2013).

Hard-core gamers should typically be in their late twenties, single and mostly male. For the
most part, gaming is their primary source of entertainment as a leisure activity. They game
on a regular basis engaging in popular mainstream games such as Call of Duty (Mortimer,
2015; McDermott, 2013).

Mainstream gamers fall in the slightly older category while being less male-biased. Most of
these gamers have children and are typically cautious spenders (Mortimer, 2015;
McDermott, 2013). They also engage in gaming on a regular basis while also playing
mainstream games like Call of Duty, Halo, and Skyrim. The mainstream gamer also tends to
be digitally savvy while not obsessing over the latest technology, they make extensive use of
mobile and social channels extensively (Mortimer, 2015; McDermott, 2013)
4. Analysis of Competitors, Positioning and Brand Personality
This section will provide an analysis PlayStation’s competitors, current positioning in the
market and brand personalities. The aim of this section is to provide a clearer picture of the
brands image relative to its competitors.

4.1. Analysis of competitive products and their MARCOMS Strategies


As previously noted the console market is dominated by PlayStation, Xbox and Wii. Although
these three brands compete with each other directly, Wii has managed to separate itself from
the PlayStation and Xbox by positioning themselves for more wholesome family
entertainment.

Although PC gaming offers gaming on a different platform, it poses a major threat to the
console market. As the console generations continue to evolve, their similarity to PC grows
exponentially; providing similar features and functions.

In this section, the analysis take place at the eighth generation console. In other words, when
comparing the three brands, only the eighth generation consoles and the MARCOMS
strategies for those consoles will be done. This is because a competitive analysis between
previous generations is beyond the scope of this paper.

4.1.1. Microsoft’s Xbox


Xbox was created by Microsoft and introduced in 2001
during the sixth generation consoles, close to the release
of the PS2 (Xbox.com, 2017). Xbox has since released
two more consoles for the seventh and eighth
generations.

The Xbox was the first console platform released by an


American company (Xbox.com, 2017). The first Xbox
sold more than 24 million units as of 2006 (Xbox.com,
2017). Their second console, Xbox 360, was released in 2005 and competed with the PS3;
the seventh generation (Xbox.com, 2017). The Xbox 360 did well and gained traction against
the PS3 and eventually became the market leader for the console industry (Xbox.com,
2017). However, with the eight generation of consoles, when Xbox released its new console,
consumers were displeased with a number of issues, namely the inability to play second
hand games. This followed by a series of poor decisions allowed the PS4 to overtake Xbox in
terms of popularity and become the new industry leader.
Strengths
 Xbox live services offer superior value and services
 Technologically advanced
 Xbox live services supports integration with Windows 10
 Strong entertainment features for music, movies and other forms entertainment than
gaming
 Strong support from Xbox 360; Xbox 360 was the market leader for seventh
generation consoles

Weaknesses
 Xbox physical movement feature compete directly with Wii
 Less emphasis on hardcore gamers has had negative impact on support
 More expensive than PS4
 Less streaming and social features for gamers

Opportunities
 Marketing efforts with Hollywood studios has proved to do well in raising brand
awareness
 With correct positioning new VR technologies and capabilities may turn into
advantages in regards to competitors
 More integration with PC may help provide new options for positioning; this can
prevent consumers from getting confused on consoles and PC positioning

Threats
 Microsoft’s focus of other entertainment features instead of gaming may confuse
consumers
 Although integration with PC may provide opportunities, consumers may also get
confused on brand positioning
 Xbox has lost support from the hardcore gamers and may be difficult to regain
support

The Xbox One was released competing directly with the PS4. Anticipation for the release of
the Xbox One and the PS4 was the highest to date (Warman, 2014). This is both due to the
growth in the console market and the rivalry between Xbox and PlayStation. Most hardcore
gamers also actively compare and discuss the brands online (Warman, 2014; Gilbert, 2015;
Tassi, 2013).
Xbox One’s release was followed with bad press and angry consumers. Xbox One included
features that did not resonate with consumers (Warman, 2014; Gilbert, 2015; Tassi, 2013).
Some highlights that caused such reactions are:
 The Xbox One would require constant internet connection to play games.
 Xbox One would not allow users to play second hand games. This was significantly
problem since a large portion of gamers relied on the second hand market for their
games.
 Every Xbox One would include a Kinect motion sensor. This meant that the price for
Xbox One would be comparatively more expensive than the PS4. It also meant that
consumers would be forced to pay more regardless if they made use of the Kinect.
 The Xbox One was significantly more expensive than the PS4

4.1.2. Nintendo’s Wii


Although Wii was not Nintendo’s first console, it could be said that the Wii is a rebranded and
beautifully repackaged GameCube (Wii.com, 2017). The Wii was released in 2006 as part of
the seventh generation of consoles. The Wii was exceptionally well received among
consumers and outsold both the PS3 and Xbox
360 worldwide (TV Tropes, 2017). Nintendo stated
that Wii would target a broader demographic than
that of PlayStation and Xbox (TV Tropes, 2017).
Wii also released the Wii Remote controller which
allowed consumers to physically interact with
games and the console (Wii.com, 2017).
PlayStation and Xbox eventually mimicked Wii
releasing their own versions of the Wii Remote;
Kinect and PlayStation Move.

Wii U was released as part of the eighth generation of consoles and is the successor to the
Wii. The Wii U is the only Nintendo console to date that enables HD graphics (Wii.com,
2017).

The Wii U had a generally positive reception from consumers (TV Tropes, 2017). However, it
the Wii U was met with a slower consumer adoption. This could be due to the weak line-up of
gaming launch titles. Wii U production ended in 2017 shortly before the release of Nintendo’s
flagship home console the Nintendo Switch.
Strengths
 Established brand; Nintendo started releasing long before its competitors
 Brand reputation and recognition from dedicated brand enthusiasts
 Unique innovation and product features
 Positioned away from the common demographics of PlayStation and Xbox
 Most affordable out of the consoles

Weaknesses
 Few well known gaming titles exclusive to the brand
 Brand hasn’t established its relevance among emerging technologies unlike its
competitors, for instance online streaming
 Limitation to enforcing intellectual property; PlayStation and Xbox quickly adapt to
new features provided by Wii

Opportunities
 More integration to social media and streaming may make Wii more competitive
 Relaunch of big game titles exclusive to Wii in progress
 More social media interaction can provide more brand interaction and awerness

Threats
 High threat of substitutes
 Changing industry environment
 Lack of diversification with current gaming trends

Although Wii is a direct competitor with PlayStation, their unique positioning separates them
from the other consoles. Thus, even though the brand competes directly with PlayStation and
Xbox, they are almost seen as an entire different platform by gamers.

4.1.3. PC as Indirect Competition


The war between PC and consoles have continued through the last decade. Arguments from
both sides have gotten more extreme and have pushed most consumers to choose either-or,
meaning most gamers will pick a platform and stay dedicated to that platform (North, 2011;
Cobbett, 2015). These arguments however are beyond the scope of this analysis, it is only
important to note that there is no general consensus and that the war continuous (North,
2011; Cobbett, 2015).
However, as technology continues to grow the Pc gaming industry is slowly moving to
compete directly with the console gaming industry (North, 2011; Cobbett, 2015). Consumers
are starting to find it hard to differentiate the two.

PlayStation will need to differentiate itself not just from its competitor but also from its
approaching adversary. Many gamers believe that consoles will ultimately become obsolete
with the continuous growth of the PC gaming industry (North, 2011; Cobbett, 2015). The
survival of the console industry will not simply be determined by new innovative technologies
but more importantly how to separate itself from the PC gaming industry, similar to how Wii
managed to separate itself from PlayStation and Xbox.

The ideal situation is when the consumer or gamer believes that the ownership of a PC or
gaming on PC does not result in the decision to refute console gaming. In other word,
consumers must believe that console gaming and PC gaming to be entirely separate
activities; the same way mountain biking and cycling are considered entirely different sports
despite using the same method. Furthermore, consumers should also not compare the two
platforms even when the same game is played.

4.2. Overview of PlayStation’s Competitive Advantage and Positioning


To understand PlayStation’s competitive advantage and positioning, a SWOT analysis is
done followed by applying the Symantec Brand Opportunity model to understand the brands
positioning.

4.2.1. PlayStation’s SWOT Analysis


In order to capture PlayStation’s competitive advantage, a SWOT analysis will provide an
insight the Brand’s ability to compete and succeed in the console market. The analysis will
consider a wide range of aspects related to the brand’s characteristics, history, products, and
environment.

Strengths
 Large following of dedicated consumers
 Large network of gaming licenses
 Large following from the success of the PS2 as a market leader
 Strong market position globally
 Blue-Ray exclusivity
 Strong multimedia support systems
 Best Cell processor for computing power
Weaknesses
 Lack of game exclusivity
 Xbox and Wii have a very large audience
 Not as innovative as Wii
 Lack in online services compared to Xbox-Live

Opportunities
 Blu-Ray is becoming high definition standard
 Most inexpensive Blue-Ray player available
 Compatible with other products developed by Sony
 Exclusive games in development

Threats
 HD-DVD may become threat to the Blue-Ray
 Wii has innovative technology such as their
controllers which may capture the PS4 market
 Microsoft is improving on their online services
 Sony must become more attractive as a platform
for game developers
 Mixing the image of Blue-Ray and console may
confuse consumers

PlayStation is a strong brand with a number of strength and opportunities. However, attention
should be placed on innovative technologies by competing brands. PlayStation’s marketing
strategies should focus its efforts on brand loyalty in order prevent loyal consumers to be
swayed by competing brands. Once loyal consumers have been assured focus can shift to
growing the market share. It should be noted that with strong rivalry between the brands it
becomes imperative that the brand assures consumers on their choice of product.

4.2.2. Positioning and the Symantec Brand Opportunity Model


To understand PlayStation’s positioning, the Symantec Brand Opportunity Model will be
applied along with a positioning map in order to contrast PlayStation with its competitors.
Bahr-InterBrand Positioning Opportunity Method
InterBrand is the largest and most successful brand consultancy in the world. The model was
developed by their former CEO Ann Bahr (O'Guinn et al., 2015).

The model shows demonstrates that a brand’s best opportunity for success is an overlap of
four important factors relevance, stretch, credibility, and differentiation (O'Guinn et al., 2015).
The four factors are demonstrated in overlapping circles. The overlap of these circles is
considered to be the brands best position (O'Guinn et al., 2015).

1) Relevance
Relevance reveals the strong connection between consumers and the brand and the
revealed needs of the consumer (O'Guinn et al., 2015).

PlayStations connection is predominately on its focus of games. While the Xbox seeks to
expand its services in different areas such as Xbox-Live, PlayStation’s focus increases on its
core competencies; the gaming industry (Mortimer, 2015). This approach was well received
with consumers as PlayStation’s popularity continues to rise compared to its competitors
(Byford, 2015; Mortimer, 2015; McDermott, 2013).

2) Stretch
The stretch circle questions the brands ability to sustain meaning in changing times and if it
can foster brand extensions (O'Guinn et al., 2015).
PlayStation is owned by Sony. Sony sells and develops different technologies such as smart
phones, televisions, sound systems, and other innovative technologies. PlayStations backing
of Sony as a company whose focus is on the development of new technology for
entertainment is essential. It allows PlayStation access and support to the latest technologies
in the market.

With gamers continually seeking more advanced features and immersive experiences it is
essential for PlayStation to make use of these resources. Without a continuous stream of
innovation and support from Sony the brand may find it difficult to keep its position as market
leader (Byford, 2015; Mortimer, 2015; McDermott, 2013).

3) Credibility
Credibility is the likelihood that consumers will believe the brand (O'Guinn et al., 2015).

The PlayStation brand was established more than two decades ago, as previously
discussed. With a long and rich history, the brand has developed a large consumer base and
following. The brand stands tall among one of the three largest console platforms in the
world.

The PS2 was the world’s most successful console to date, which allowed for the growth of an
exceedingly large consumer base (Mortimer, 2015; McDermott, 2013). The recent PS4
seems to be following in its predecessor, completely dominating the console market (Byford,
2015).

PlayStation is well established in the minds of both PlayStation and competing brand
consumers, known as a high-quality gaming product (Byford, 2015; Mortimer, 2015;
McDermott, 2013).

4) Differentiation
The differentiation circle demonstrates the brands ability to stand out significantly from other
brands (O'Guinn et al., 2015).

The PlayStation brand is standing tall among its competitors, while overshadowing them. The
PS4 is a futuristic gaming experience as much as it was with the release of the PS2.
Although the PS4 isn’t an all-you-can-do-box, it is amazingly efficient at its intended purpose;
gaming (Byford, 2015). While offering an unbeatably experience at a competitive price.
Although Xbox continues to do well in North America, PlayStation is at the forefront of the
console and video game industry with its focus on Hard-core gamers (Byford, 2015;
Mortimer, 2015; McDermott, 2013)

Conclusions for the Symantec Brand Opportunity Model


All four factor’s underlines the necessity to continue PlayStations focus on Hardcore gamers.
The ability to maintain a more immersive gaming experience than its competitors will provide
an essential edge to the brand when compared to its competitors. PlayStation positioning
should continue to focus on gamers, however, it is important to note that competitors such as
Xbox who compete will eventually refocus its efforts to regain market acceptance by focusing
on the same positioning. PlayStation needs to continue to innovate and build strong
consumer loyalty while their position is advantageous.
A positioning map reveals PlayStations current position to its competitors. While Wii
maintains a threat in terms of innovation, their positioning does not fall in the region as
PlayStation. Xbox, however, is closer to the same position as PlayStation. Although
PlayStation and Xbox compete directly, their current positions have left PlayStation with a
more advantageous position in the market (Byford, 2015; Mortimer, 2015; McDermott, 2013;
Fera, 2014).

High Price Hardcore Games


Games
Casual

Low Price
4.3 Summary of Brand Personality and Archetype
Both the brand personality and archetype will be reviewed in this section. PlayStation’s
personality and archetype will be discussed through thorough evaluation and analysis.

Brand Personality
Brand personalities may often be developed and relied on by consumers who have had
extended relationships with brands. According to Doyle (1990) it’s imperative to establish
distinct brand personalities, so that customers will have a stronger connection to the brand.
Unique brand personalities may help foster relationships between brands and their
consumers (Palomba, 2016).

Aaker (1997) describes 5 categories of brand personalities; 1) sincerity, 2) excitement, 3)


competence, 4) sophistication and 5) ruggedness.

A study by Palomba (2016) was done in order to determine the personalities of consoles in
the entertainment industry. The study was comprised of two-hundred ninety-eight
participants.

The study found that PlayStation comprised of brand personality traits such as up-to-date,
intelligent, confident, leader and upper-class (Palomba, 2016). These traits fall under three
brand personality dimensions:

1) Excitement
2) Sophistication
3) Competence

It should be noted; PlayStation owners tend to be generally older and conceivably could be
viewed as upper-class by other consumers (Palomba, 2016). According to Palomba (2016)
consumers would expect that consoles to be advanced in technology and leaders in
innovation and that PlayStation’s personality traits have come closest to this perception.

Brand Archetype
Brand archetypes are basic, recurring symbols across a collective unconscious (Roberts
2010). In other words, brand archetypes are intrinsic images within perceptions that may
reoccur across different cultures and generations.
Roberts (2010) conducted a study with 399 college students on perceptions of companies
and their perspective brand personalities and archetypes.

PlayStation was categorized 53% Jester and 18% Creator (Roberts, 2010). Wii was
categorized 45% Jester and 16% creator (Roberts, 2010). Xbox was categorized 40% Jester
and 13% Creator (Roberts, 2010).

5. Objectives
COMMUNICATIONS OBJECTIVES
• Be the most talked about entertainment launch of the year
• Drive desirability and advocacy for PS4, both at launch and beyond • Be seen as
“Liberating play”
MARKETING OBJECTIVES
• Deliver Market Leadership of the Next Generation, in terms of market share and awareness
• In the UK specifically, close the gap between PlayStation and Xbox, the market share
leader

Framework for the subsequent tasks in an advertising plan


- To crease consumer awareness of and curiosity about its brand (moreexamples
on slides texbook
o Brand awareness
o Top-of-the-mind awareness
 Name and explain SMART Objectives of Marketing Communication (Promotion) Plan
(make it clear how the measurement of the objectives’ success can be done)
(important to enable the evaluation of objectives.
S - specific
M - measurable
A - achievable
R - realistic
T - time-specific

Overall objectives
Creative Objectives
Media objectives

6. Integrated Marketing Communication (Promotion) Strategy


(how to acheve objectives)(chapter 10)
6.1. Key Insights and Big Ideas
maybe add brand analysis here – Brand key or Resonance Pyramid

6.2. Creative Strategy


> Composition of advertising message, copy and creative execution ( check
the brief for more information)

Composition of Advertisement Message


Copy and creative execution
 In other words, what message to be presented to the target market
 How it will be worded in the advertising
 And advertising material for the specific media chosen
The console gaming experience had become cumbersome for most users.
Long download times and constant system updates made console gaming a limiting
experience. People’s passion for gaming was stronger than ever, but the experience wasn’t
living up to what people truly wanted. Gaming just wasn’t as fluid and intuitive as the rest of
their tech and media.
The PS4 experience had to match people’s expectations of what “next gen” consoles should
deliver. The strategy for PS4 was to go back to the roots of the brand and declare that it was
for gamers, by putting them at the very heart of everything. The campaign could help PS4
distance itself from the entertainment one-stop-shop that Xbox One was becoming. The
campaign needed to prove that PS4 is the place where gamers could truly play – not just be
entertained. PS4 gamers were branded as “players”. The “This is for the Players” campaign
was born. It kicked off with two online teaser films to get fanatics buzzing and speculating
about what was coming. The second film was a celebration of how PS4 had liberated play for
everyone, but as a special reward for the fanatics, it was also crammed with 50 hidden
references for them to find – references and tributes to the past, present and future of
PlayStation Play. An interactive version ran online with a contest to find them all, leading to
game trailers, product tutorials and giveaways.

6.3 Media Strategy


>(chapter 13 look at the powerpoint slides)
> Complete media plan for 12 months
> with indication of the media that is
recommended
media space that will be bought
number of advertising spots
inserts and ect
> Evaluation and measurement of media campaign, with respect to the
number of people ( audience) and the targer market who will be exposed to and reached

6.4 Media Schedule


> (chapter 12 reach and frequency)
> media flow chart example end of chapter 12 slides

7. Budget

Excel page with detailed bidget (in the addendum)


Summary of the budget
% of sales
Market share / share of voice
Response models
Objective-and-task method (NB p.301)

8 Conclusion
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