| xerxesset said:
As we all know, the videogame business is an extremely competetive business. It attracts a lot of interest and, like sports team, each side has its share of fans and haters. It is also a multibilliondollar business to the three major players where design decisions made today will make or break them for the next 6-7 years. While the main external focus for Sony, Microsoft and Nintendo is on the performance of the present generation, they all have small teams right now making the critical decisions on how the next generation will look. Those decisions will shape what we play on 5 to 10 years from now. The internal development teams and their ideas are also some of the best protected secrets in the business. If we try to look at the 360/PS3/Wii generation from a business pespective, and try to leave out any preferences and biases, what are the critical lessons from this generation that will shape the next generation? I think we all realize that while us fans can be highly biased and very passionate, the three big companies see this first and foremost as a business and will all try to make as much money they can. I am extremely interested in what the knowledgeable VGChartz community thinks are the most important lessons learned from this generation and how that plays into the next generation. Since I have the advantage of being first, here are my three business lessons learned from this generation. Apologies in advance if since these are easy pickings: 1) Launch pricing is critical. After the disappointing PS3 launch performance, I think that no console in the next generation will launch with a price over $400. 2) Brand loyalty is lower than I thought. I would estimate that each brand can get a 15-20% market share on brand loyalty alone even if the console is unexceptional (for example Gamecube). This leaves about 50% to fight for among the competitors. Sony must be enormously disappointed at going from a 60-70% marketshare to a 20-30% share. 3) Launching earlier than your competitors doesn't give a great advantage but it does give an advantage, especially if the competitors are supply contrained. Microsoft touted the "first to 10 million" argument that they would win this generation most people will agree that they lost that argument and will not end up winning. Please post your three business lessons! ----------------------------------------------------- Longtim lurker, first time poster!
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Their are a lot of people surprised by that but it is not the first time we see this. SEGA had that problem before ,with the Sega Genesis they had a great console it even was marktleader in Europe but we didn't saw that group buying a Sega saturn.
