Saturday, April 21, 2007

Nintendo Wii Out of the Gates Fast with Market Positioning

When Microsoft's Xbox 360 and Sony's Playstation 3 were released there was so much amazement and excitement. However, Nintendo released their Wii gaming console to much less hoopla than the others. Everyone expected Microsoft and Sony to battle for the top selling game console. But the underdog, the Nintendo Wii, has outsold both giants since the first of the year. Sales in February reveal that the Wii sold 335,000 consoles to Xbox 360's 228,000 and PS3's 127,000.

The Xbox 360 has sold the most at a total of 5 million consoles since its release but has been on the market for a whole year before the Wii and PS3. The PS3 and Wii hit stores in November of 2006 and since then 1.1 million PS3 and 1.86 million Wii consoles were sold.

The Wii is the cheapest of the 3 consoles at $250. The Xbox 360 is $400 and the PS3 is $600. Nintendo offers less multimedia options than the others, but Nintendo focuses on the games. The Nintendo Wii has redefined the video game industry with its innovative Wii controller. The Wii controller is a motion sensitive wand that controls the action with the player's movement rather than a traditional controller.

I don't believe people should be too surprised that the Wii is dominating this year. Don't get me wrong, I didn't think they had a chance either. However, the Wii had perfect market positioning. Nintendo priced their console as the cheapest of the three and decided not to offer all the latest gadgets. Also, the Wii wand has taking a lot of the complicated button strokes out of gaming. The Wii wand makes gaming a fun and physical activity for all ages. From grade school children to retirees and everything in between, the Wii has become the popular choice. Many hardcore gamers, Xbox 360 owners, and PS3 owners enjoy the Wii and some of them own one, as well. These hardcore gamers like the Wii because it is different and innovative. Nintendo's positioning appeals to a much wider demographic than Sony and Microsoft's target market. It is more likely that a hardcore gamer would own a Nintendo Wii than a little kid or a senior citizen owning a PS3 or Xbox 360.

I love my PS3, but I am going to get a Wii too. Why?....because I like it! I can play it and have fun with people that aren't really into gaming. Unfortunately, Wiis are not in stock and I am on a waiting list.


HTMBaLLuH
(Wii Bound)

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