The History And Background Of Sony Marketing Essay

The History And Background Of Sony commercializeing EssaySony is one of the largest hazard device take into accountrs in the homo. It get crackinged at 1946 in Japan. Initially, Sony was conducting the electronic harvest-feasts and electronic devices such as television, headquarters video, home audio, camera and otherwises. In 1994, Sony begins to sell their archetypical gaming cabinet implemented by them which is Playstation (PS) 1. more than versions of Playstation such as PS 2 and 3, other comparable console, PS portable and PS Vita were released to issuing on customers postgraduateer(prenominal) expectations. During the chivalric few years, Sony has put its effort on the innovation of virtual reality headdress. With the find of movies and animation such as Sword Art Online, the public hope to interact and suffer a more realistic graphics in the plot of land. Since there is a demand for this, Sony decides to make out this intersection point.2.0 Current M arket SituationVarious technologies have been developed and innovated to simplify daily tasks. One of the most signifi go offt set up of development of technology is in the gaming industry. Ever since in the 90s, companies such as Sony have been maturation various gaming consoles that provide better have intercourse to its users with for each one new design. From the first Playstation, to the soon to be released Playstation 4.Since the development of mobile gaming such as smartphones and tablets, the demands for gaming consoles has been declining. However, according to DFC Intelligence Analyst, New console dodgings from Nintendo, Microsoft and Sony be expected to help the console segment regain some momentum in the 2014 to 2015 timeframe (Cole D. 2012). It in force(p) means that, as long as gaming companies can develop a better console systems, the groceryplace result resume its growth. Therefore developing Cita-Vita is essential to place Sony back in the game.The importa nt competitor for Sony impart be the Oculus VR Inc. as they are developing a product similar to Cita-Vita which is the Oculus Rift. The Rift too provides a more realistic game bend by al starting timeing the user to experience a 360 full point videogame environment. In addition, Adhesive plot of grounds had developed a game, Hawken, which is said to be very compatible with Rifts gameplay. Moreover, turn Cita-Vita is still in the researching stage, the Rift developers kit had been completed and will be launched anytime soon. And non long later that, the consumer version will too be released.Even so, the technology used in Cita-Vita is different from The Rift. In addition to the 360 degree game environment experience, this product consists of a new technology that allows the user to play without lifting a finger (this technology will be further explained in the product strategies). Gamers will be keen to accept this technology as it is a great improvement from the past consoles and it had only been seen in comics and animations.3.0 SWOT Analysis3.1 StrengthAfter years of researching and developing and at this juncture, Sony becomes the pioneer to concept, implement, and create the world first virtual reality gaming headgear. The products objective is to embolden intellectual course of til nowts that enable users to experience different life and are suitable for anyone due to its intuitive usage. The complexity but extremely nice technology, which contains a 4 dimensional sensibility view function by the main core, processor XG1 with 1 THz ,and integrate with a graphic chip to project Ultra High Definition (Ultra HD) ,and the in style(p) cloud gaming system which benefit the firms profitability. Sony could be dominant over the scathe strategy nurse in the market.3.2 WeaknessSome aspects that need attention are uncertain incidents that affect the stability of the system operation, the high be of the parts and technology for the product, and pifflinga ge of technical staff for this system. Fatakia K., (2012) stated that the high cost of media production, especially in its television business, has affected the companys set strategy. Frankly, Sony lost about $6.3 billion in the past eight years due to this which lead to lose of market shares to Samsung and LG.3.3 OpportunitiesSony could penetrate into a new market of gaming consoles in gaming industry for a long term. It is because it is marketed to both novice and expert gamers and is not restricting to the age of individuals. With this technology in hand, Sony would consider having partnership with military, aero industry and space industry to create field or cosmic simulator for teaching and training purposes. Moreover, there would be an evolution in oblation a platform for social networking.3.4 ThreatSeveral factors that concern Sony regarding the launching of Cita-Vita are the interference of competitors relating to the preventive of this product causing consumers to have difficulty to accept. The impact of compliance regulations on health and safety as well as economic condition in different areas would also delay the recognition of the product and to be widely used. Even before, the companys Playstation network was hacked, resulting in leakage of customer information, such as credit-card info (Fatakia, 2012) and Sony was fined for 250,000. Sony needs to enhance securities to protect gamers personal details.4.0 Marketing objectiveWith the development and production of Cita-Vita, Sony wishes to increase the market share significantly during that period which can be seen by sales. As reported by an indite in Seeking Alpha, it is said that the soon to be released PS 4 by Sony will take away the market share from XBOX (Anon 2013). The new product Cita-Vita will be able to take even more shares as PS 4 is nevertheless an extension of the existing Playstation models. Sony should opt for a 70% increment for a year. This can be done by increasing the ma rket share and customer value. The increasing in the shares value indicates that the company is having a positive prospect. By giving satisfying customer values, the revenue of the sales will increase which lead to the increase in companys standings hence, the share expense. Other than that, the companys strategical planning and making decision to set appropriate recourses, business environments, and human resources, like serving customers through suitable staff and retailers, who can deal with customer more efficiently will guarantee higher customer satisfaction.5.0 Strategies5.1 Product StrategyThe gaming headgear, Cita-Vita consists of 3 levels which are core benefit, actual product and increase product.5.1.1 Core BenefitCita-Vita is a product which is specially make to provide virtual reality experience for all users especially gamers. Virtual experience can be says as the stimulation to enable concourse to interact with the artificial 4-dimensional visual or other sensory e nvironment in games. It provides a 360 degree game environment experience.5.1.2 Actual Product5.1.2.1 Product NameThe name of this gaming headgear is Cita-Vita. Cita has a meaning of other in Latvian while vita means life in Latin. This name represents the arcminute life or another life that users will experience.5.1.2.1 FeaturesCita-Vita comes in two colours which are threatening and white because these colours are regard as trendy by most people.The design of the headgear looks like a helmet. It has a single interface which covers the players face. This headgear stimulates five main senses of humans with high frequency electromagnetic microwave transmitter. It controls the users consciousness by redirecting the signals which the brain sends to the body to the machine itself and replace its have got waves to stimulate the senses.This headgear uses electricity as its main source of indicant. The charger is plug-in at the socket provided on the left(a) side of the headgear. The headgear also contains its own batteries which acts as a backup.Headgear also contains the USB port for induction of games and other software. The software or games can be installed by connecting with computer.Moreover, the headgear contains three indicators which are power (PWR), wide area network (WAN) and BLK. PWR will light up after the charger is plug-in. The other two buttons will also light up after the respective system requirements are fulfilled.5.1.3 increase productThere will be two-year warranty that comes with the product. The warranty covers most damages of the product except damage cause by the carelessness of the buyers such as improper handling of the product.5.2 forwarding StrategiesTwo strategies are applied based on the introduction stage. Sony should use push strategy to promote product through dispersion channels to final consumers. First, Sony will provide the product display stands or signs to retailers to create awareness to consumers. Trade deals which are price discounts given for meeting certain purchase requirements (Peter, Donnelly, 1997, pg156) are also offered, e.g. 10% off for 1 unit of Cita-Vita only after selling 50 units each time.For pull strategies, Sony relies on product advertising or consumer sales promotion (Peter, Donnelly, 1997, pg157) to build up consumer demand. Sony could take events to induce consumers to try the product and give out free merchandises such as batteries if purchase is made on the spot. Another way is to use Sonys website to promote a price deal for pre-orders for limited time.Sony will use informative advertising, to introduce Cita-Vita to unaware consumers of its purposes, features and brand. Certain people are needed such as expert gamers or renowned individuals to promote the value of the product and develop desire or wants of other potential consumer that are moved by those who believed in the products value. Sony may use objective and task order for the promotional budget as Sony has la rge funds to achieve its promotional results globally. The advertising message of Cita-Vita is to provide life experiences. And it is executed with interesting style, format, words and tone. Medias such as television that covers mass audience and game magazines like PC Gamer which draw the readers attention and has high demographic and geographic selectivity could be use.Sony can air Cita-Vita and announce its release in press conference. This public relation cost lesser without including fees for time or space and has vigorous impact to the public. Medias would pick up the news and report about them. The public will have more trust in the product as it seems more credible.5.3 Pricing StrategyAs a new product being launched where competition does not exist, what price should be set for such cases?It is important to target the right customer and to develop the market growth for the purpose of being feasible on the certain product.As Sony plans to introduce a new device, Sony has to set a base price level that covers the costs of sales while maintaining its reputation which is to provide high quality products. After estimating the number to be spent on the production of this product and comparing the price of other consoles made by Sony, Sony should set the base price of Cita- Vita as $580. Basing on this, the sales of 7 million units is the break-even point for Cita-Vita where the cost of research and production is covered. As technological product are said to have a low product life cycle, Sony ought to use price skimming strategy. While taking into account psychological proposition such as image pricing, higher prices which represent higher quality and odd even pricing will attract people to purchase the device. Thus it is recommended that Sony set a higher price during the first few months which is $699. Price strategies must be amended based on the market in short and long run, to retain sales. In the end, the success of the ideas is directly related to customer satisfaction. When consumers are satisfy with product, price can remain in the higher level.5.4 Distribution strategyThe last strategy to be discussed is the distribution strategy. This strategy involves looking into certain aspects such as where to make the product available and when to do so (Dibb. S, et al., 2006). There are times Sony is unable to deal with the customer personally due to reasons such as the cost, time and the geographical distribution of the customers. For this reasons, Sony ought to look for certain distribution channels that can help to sell Cita-Vita to more customers.As this is a new product, Sony is encouraged to start with exclusive distribution. Therefore, Sony should sell Cita-Vita directly via online or through a Sony Centre. Sony could start by allowing pre-orders from customers through their website. By doing so, Sony can then get a clearer picture on the type of customers who are interested and generate feedback from them. At the Sony cente rs, there will be expert staff that are able to explain the product functions and specifications to customers who are interested. Furthermore, Customers are certain that they can get the original version of Cita-Vita from the centers.After the feedbacks from the customers have been studied, Sony can then made final adjustments to Cita-Vita and start using other distribution strategies such as selective. Sony can sell the product in bulks to other electronic companies especially gaming centers. These retailers can help Sony to sell the product to a larger sort out of people all across the world. In addition, gaming centers are not only experts in this form but they as well have connections with a variety of customers and other businesses as well as understand how to deal with them well.Lastly, Sony could distribute them to internet cafes. Most young gamers go to these cafes to play computer games. By having Cita-Vita there, these young gamers are able to experience the thrill and e xcitement provided. This will pick their interest and it will be easier to persuade them to buy the product.6.0 Recommendation and ConclusionSince this is a new product, there are legion(predicate) aspects which are still unstable as stated in SWOT analysis. Therefore, Sony has to hire more narrow down workers in this and related field to make this product more secure with minimal defects. This will unimpeachably attract more attention and develop more trust from customers to purchase Cita-Vita.In a nutshell, Cita-Vita is a highly potential product that allows Sony to maximize their sales. It has drawn the attention of many even though it is just an idea. This shows that there will be a demand and market for this product. It can be said that Sony is moving in the right direction with the development of this product. As to date, the research and development department of Sony has begun researching on this product.7.0 authorAnon, 2013, Top of FormAnon, 2013, Sonys PS4 Looks To Ta ke Market Share From The Xbox online open at Accessed 20 February 2013Dibb S., et al., 2006, Marketing Concepts and Strategies, U.S.A., Houghton MifflinFatakia K., 2012, Sony friendship Strengths, Weaknesses, Opportunities, Threats online, My Daily Finance, Available at Accessed date 8th March 2013tail fin Star Equities, 2012, Video Game Industry Set for Growth Global Game Market Forecasted to Grow to $82 Billion Five Star Equities Provides Stock Research on Sony and Majesco Entertainment Press Release 31 July 2012. Available at Accessed 13 February 2013Sony Malaysia, online Available at Accessed 25 February 2013Virtual Reality, onlineAvailable at Accessed 17 February 2013