How to sell next-gen consoles, Marketing, Positioning, and Pricing [2020]

I think we have a few Brazilians on here. I knew prices over there are crazy for this sort of thing but that’s just crazy.

All my friends in Brazil buy their consoles during trips abroad, or get someone else to do so. There are some folk who sell new units in craigs-list equivalents who travel a lot for whatever reason and bring in electronics as a side hussle.

Even then, these things are still extremelly costly, specially now that our currency has gone down the gutter. USD > 5 BRL. outch.

And the reality is, few people buy these things. They are very much an elitist posession in this country. Very few mid to lower income people buy current gen consoles, and when they do, it is because they REALLY like videogames. A cousin of mine, for example, is a well payed lawyer and likes gaming, and he still cannot justify to himself buying this stuff at their prices. He only got himself a used PS2 in 2006, when ps3 was lauching. Did the same with ps3, a few months after ps4 launch. He does have a ps4 now though, but he bought it while he lived in france for a year...
 
All my friends in Brazil buy their consoles during trips abroad, or get someone else to do so. There are some folk who sell new units in craigs-list equivalents who travel a lot for whatever reason and bring in electronics as a side hussle.

Even then, these things are still extremelly costly, specially now that our currency has gone down the gutter. USD > 5 BRL. outch.

And the reality is, few people buy these things. They are very much an elitist posession in this country. Very few mid to lower income people buy current gen consoles, and when they do, it is because they REALLY like videogames. A cousin of mine, for example, is a well payed lawyer and likes gaming, and he still cannot justify to himself buying this stuff at their prices. He only got himself a used PS2 in 2006, when ps3 was lauching. Did the same with ps3, a few months after ps4 launch. He does have a ps4 now though, but he bought it while he lived in france for a year...
What is video gaming largely on in Brazil? PC?
 
Those prices there seem outrageous. I'm surprised any higher end consumer devices even sell there, compared to what the typical incomes are. It's so vastly different from what we're used to.
If you look at Brazil's import tariffs which are passed on to consumers in taxes, you'll understand why Xbox and GamePass are popular there. GamePass currently skirts that although the Government are working on taxing digital platforms in the same way. This is not limited to Brazil, it's not uncommon for import taxes in South America to be high. The Government's know most 'luxury' goods are imported so it's an easy cash grab.
 
Looks like it, yeah - PC.

https://www.statista.com/statistics/1079331/gaming-revenue-platform-brazil/

After mobile gaming, but I'd hazard a guess that's true of everywhere. If PC gaming is more popular in Brazil, I can see why they'd be more inclined towards Xbox. Gamepass might actually work out as incredible value there.
reminds me of when Korea refused all consoles post world war from Japan and PC became the main form of video gaming and the rise of esports/Blizzard titles there.
 
What is video gaming largely on in Brazil? PC?

Well, the people that call themselves "gamers" are indeed mostly on PC, playing strategy games or Counter Strike.
Yet, there is a lot of people that I'd call sporadic-core-gamers for lack of a better terminology. They know how to play a complex console game, and enjoy sitting down with a controller in hand for hours if they have the oportunity. They grew up playing Super Mario and Street Fighter. Yet, their gaming habits are sporadic, almost like those of a casual, only they know better than to waste time on candy-crush. Those people really prefer the console experience, and if they don't have the $ for it, they rarely turn to pcs. They just stop gaming altogether, until they happen uppon an opportunity to get a play station for a price that does not cost them an arm and a leg. What I mean is Brazil is full of potential gamers that are simply innactive because the prices aren't worth it for most of them. I'd guess that's comparable to many other 3rd world countries and probably most of south america too, but Brasil is what I know best.
 
Well, the people that call themselves "gamers" are indeed mostly on PC, playing strategy games or Counter Strike.
Yet, there is a lot of people that I'd call sporadic-core-gamers for lack of a better terminology. They know how to play a complex console game, and enjoy sitting down with a controller in hand for hours if they have the oportunity. They grew up playing Super Mario and Street Fighter. Yet, their gaming habits are sporadic, almost like those of a casual, only they know better than to waste time on candy-crush. Those people really prefer the console experience, and if they don't have the $ for it, they rarely turn to pcs. They just stop gaming altogether, until they happen uppon an opportunity to get a play station for a price that does not cost them an arm and a leg. What I mean is Brazil is full of potential gamers that are simply innactive because the prices aren't worth it for most of them. I'd guess that's comparable to many other 3rd world countries and probably most of south america too, but Brasil is what I know best.
Curiousity subject now for me: is purchasing gaming software expensive over there? Or just the console hardware? and how would that compare to building an effective gaming PC in your mind?
 
Curiousity subject now for me: is purchasing gaming software expensive over there? Or just the console hardware? and how would that compare to building an effective gaming PC in your mind?

Games are also pricey. Some people bite the bullet, others shop games abroad as well, and many have their machines modded to run pirated software. That's become harder with every gen though. Game pass did indeed prove popular with console gamers over here. And even more so did EA pass for the MANY gamers who mostly play Fifa (yuck) and the occasional UFC or NFS comes as a happy bonus.
 
https://www.gamesindustry.biz/artic...unts-for-72-percent-of-us-next-gen-pre-orders

A study by VGM showd that 72% of next gen consoles preorders in US were for PS5. 29% of the people couldn't preorder one next gen consoles.

PS5 accounts for 72% of US next-gen pre-orders

29% of the respondents to a VGM study said they tried to pre-order a next-gen console but were not able to do so.


A study from market research company VGM indicated that US players who have pre-ordered a next-gen console have predominantly gone for the disc edition of the PlayStation 5.

The study was conducted from September 23 to 25, 2020, using a sample of 511 US-based respondents, representative of the US general gaming population.

Among them, 15% said they managed to successfully pre-order a next generation console. Within this group, 72% went for the disc edition of the PS5, 30% went for the Xbox Series X, 10% for the PS5 digital edition and 8% for the Xbox Series S.

29% of the respondents said they attempted to pre-order a next-gen console but were not able to do so. Among them, 58% were trying to pre-purchase a PS5 disc edition, 40% an Xbox Series X, 21% a digital edition of the PS5 and 11% an Xbox Series S.

The sample was also divided into three categories: casual gamers, midcore, and hardcore. In the latter segment, 28% said they preordered a next-gen console, while 42% said they were unsuccessful in their attempt to do so.

Looking at the next-gen game offering, 52% of the respondents who have pre-ordered a PS5 (or who intend to buy one by the end of 2020) said that Marvel's Spider-Man: Miles Morales was the exclusive game that encouraged them to do so, followed by God of War: Ragnarok (42%) and Final Fantasy XVI (32%).

For the Xbox Series X and S, Halo Infinite was for 45% of the respondents who pre-ordered (or intend to do so by the end of the year) the exclusive game that motivated the purchase decision. It was followed by Fable at 26% and Forza Motorsport 8 with 24%.

Looking at non-exclusive titles, 45% of the respondents who have pre-ordered either of the upcoming consoles (or intend to do so by the end of 2020) said Call of Duty: Black Ops Cold War was the title that motivated their decision, followed by Assassin's Creed: Valhalla at 31%.

EDIT. Surprising
On a completely separate note, 63% of the respondents said they were unaware of the recent purchase of ZeniMax by Microsoft.

EDIT:

https://www.resetera.com/threads/ga...f-us-next-gen-pre-orders.302516/post-47938403

Better than the gameindustry headline

Its actually 72% of people with pre orders have preorderd the PS5 Disc.

10% have gone digital
22 series x
10 for series s

Yes 120% because it seems 1 in 5 have preordered 2 consoles.

If you wanted to know the correct title it would be

82/120 to calculate the % of next gen preorders are ps5.

So 68.3% of pre orders are PS5. And there fore 31.7% are Xbox.

Alternative headlines could include PS5 Preorders over 200% of xbox pre orders. %'s are crazy.
 
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However, when it comes to loyalty, the research suggests that Xbox One owners may be switching sides, with over 51% stating they are considering purchasing the PS5, whereas just 22% of PlayStation owners would consider purchasing the Xbox Series S or X.
I’m very sceptical about this
I would expect them about even or perhaps a slight favouring towards the Xbox,
As Sony seems to be doing pretty much what they did last gen, delivering great games, it’s MS that have made the most changes. Then again they don’t seem to be showing as many games, but that’s no different than the PS4 generation
 
I’m very sceptical about this
I would expect them about even or perhaps a slight favouring towards the Xbox,
As Sony seems to be doing pretty much what they did last gen, delivering great games, it’s MS that have made the most changes. Then again they don’t seem to be showing as many games, but that’s no different than the PS4 generation

But you need more than this to change. I think Sony needs to fuck up to make people change. People buy consoles for games and for the beginning of the gen, Xbox doesn't have big exclusives game for example.

With the rise of digital sales for hardcore gamers and early adopters switching is more and more difficult. And brand count, you live in Spain like me you know than in continental Europe Sony and Nintendo are far above Xbox as brand.

In UK, US or Mexico Xbox is as good as Playstation or Xbox. And this is only one retailer Currys in UK maybe this is different in other retailers.
 
anecdotally, I found the pre-order line to be larger for ps5 vs xsx when I went in person.
But it wasn't such a difference that it would be too much write home about. I would say it keeps the ratio of 2:1 for now at least from what I saw. Both have completely sold out, and I was already told that my unit while guaranteed, is not guaranteed for launch day. So I'm not sure if Sony is just selling more and more units now and Xbox is just waiting to put out their next block Nov 10. I have no clue what the demand is like since they are approaching this differently.
 
I’m very sceptical about this
I would expect them about even or perhaps a slight favouring towards the Xbox,
As Sony seems to be doing pretty much what they did last gen, delivering great games, it’s MS that have made the most changes. Then again they don’t seem to be showing as many games, but that’s no different than the PS4 generation
Sony has shown what most people will consider more compelling games. I'm not saying better games. They just show better.

Their messaging was also better, even if they trip over them recently.
Better if you want people to buy/upgrade to your new console anyway.

MS still has chances, as even though momentum and mindshare is important in my eyes, there's opportunity to still build it during launch period, but they can't rely on selling out early days as everything is fine and good.
XSS, XSX, some decent patched, and early look at games could give them a good push.

They need to also get GP, All access, as well as the games out to the general public not just rely on xbox twitter feeds and DF and few outlets.
 
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