PowerPoint Presentation

MarketingKristina MillerCatherine HenryBradley Mortensen

Situation Analysis

Started in 1889 as a trading card company.First to release a video game console in 1972.Sells a gaming console and a series of handheld gaming systems. Heavily relies on famous characters such as Mario and Luigi to attract and keep their users playing.A little about Nintendo

The Competition

Nintendo competes in two different markets within the same industry. Nintendo competes not only as a contender as in the video game console market, but also as a video game software publisher. Nintendos primary key competitors as a video game software publisher are Rockstar Games and Ubisoft (Dietz, Metacritic.com). Microsoft Corporation, Activision Blizzard, Electronic Arts, and Sony Corporation are also considered competition for Nintendo in publishing. As a console producer, Nintendos key competitors are Microsoft and PlayStation 4

Figure 1 - Top Video Game Publishers, 2012

Figure 2 Best Selling Consoles by Company, 2014

Microsoft Corporation is an American multinational corporation founded in 1975 and based out of Washington (Microsoft.com). While it publishes games, Microsoft is primarily a threat to Nintendo in the console market. Microsoft, however, is the exclusive publisher of the popular Halo games (Xbox.com).Founded in 1946, Sony is a Japanese multinational corporation mainly operating within electronics, entertainment, and financial services (Sony.com). With its industry leading graphics and memory, the Sony PlayStation is a strong console competitor for Nintendo. PlayStation was created by Sony and has been around since 1994 in Japan.

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Strengths: Market share, handheld gaming systems, Famous characters, occasional gamers systemWeaknesses: Lack of innovation and change, not much product differentiation, looked at as the retro company, Console graphics and memory components are way behind competitors Sony & MicrosoftOpportunities: expand on new and innovative gaming; discover better hardware features, such as graphics and memoryThreats: Sony, Microsoft, Apple iPhone and Android phones

SWOT

Nintendo is an industry leader in the handheld gaming industrydeclining in home console game sales. Nintendo is still the second most popular brand for home entertainment consoles behind Microsoft and ahead of Sony. Luckily for Nintendo, they have a very loyal user base, history, and some very famous characters to keep them alive in the console world. With the introduction of the Kinect and PlayStation Move, Nintendo has been one-upped with better motion detection technologythis poses a weakness where they have the opportunity to be innovative with the next best video gaming thing, whatever that may be.mobile smartphones pose a threat to game consoles and handheld games, due to the accessibility and popularity of mobile games.

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Over the course of one year, Nintendo should campaign to target primarily Millennials and their children, as well as aim to increase Wii U sales by 10% within the next 6 months.

Strategic Managerial Objective

Strategic Objectives and Budgeting

Segmentation and Targeting

MillennialsSize of Segment:76,169,292, totalin the U.S.(ACS, 2013)Early ChildhoodSize of Segment:23,925,036, total in the U.S.(ACS, 2013)ChildrenSize of Segment:53,616,231, total in the U.S.(ACS, 2013)FamiliesSize of Segment:64,594,807, total in the U.S.(ACS, 2013)WomenSize of Segment:52,579,127, total in the U.S.(ACS, 2013)

Statement of Brand PositioningThe ultimate gaming company for any member of the family, Nintendo systems deliver a one of a kind gaming experience immediately recognized as classic and unique. Its perfect for the young and young at heart.

Unique Selling PropositionThe ultimate gaming company for any member of the family, Nintendo systems deliver a one of the kind gaming experience, which is immediately recognized as classic and unique. Its perfect for the young and young at heart. A key benefit that will be a driving factor in Wii U sales is the versatility of the console, in that it is appropriate for the entire family.

Budget Planning

The budget will stay the same as it was in 2014, $200 million divided up amongst the Nintendo Wii U, 3DS, and games.The difference being how that money is split up and put to use.The Wii U budget will rise as the more popular 3DS budget will drop slightly.Also majority of these ads will be shown in Quarter 4 during the holiday season.

Summary of Advertising Objectives and Strategy Perception Eye catching ads Emotional Create want, desire and excitement for the Wii U Cognition Create an understanding of he Wii U Association Form connections Persuasion Make consumers believe

Advertising ObjectiveTo promote family time and trigger emotions and a sense of nostalgia with Millennials; to make children desire hip, mobile, & fun games; to make parents realize the educational learning benefits that Nintendo offers to its little ones; and to appeal to the busy, working woman who wants to stay fit.

Media Strategy

Over the course of one year, Nintendos campaign to reach the millennials and their children will focus on frequency by a primary use of television advertising. Since Nintendos target market is such a large and all-encompassing one, frequency will be best suited. Families and the womens segment can be targeted during daytime and primetime television, when a) housewives are watching daytime talk shows and b) when families are home together, preparing or eating dinner in the evening.Media Objective

Scheduling & Timing Plan, Metrics of Audience Delivery, and Media Flow ChartTV ShowMetricsCalendar Apr-15May-15Show LengthNeilson RatingTotal GRPmtwthfSasumtwthfsasuThe Big Bang Theory1hr10.61399.2XXThe Voice 1hr1hr8.71044XXWheel of Fortune1/2 hr7.71386XXXX60 Minutes1 hour6.7603XXSpongeBob Squarepants1/2 hrXXXXXXTotal ads/month 10499

Jun-15Jul-15mtwthfsasumtwthfsasuXXXXXXXXXXXXXXXXXXXXXXXXXXXX150145

Aug-15Sep-15Oct-15Nov-15mtwthfsasumtwthfsasumtwthfsasumtwthfsasuXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX9893104145

Dec-15mtwthfsasuXXXXXXXXXXXXXX150

Jan-16Feb-16Mar-16Apr-16mtwthfsasumtwthfsasumtwthfsasumtwthfsasuXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX93908888

Begins April 1st, 2015Pulsing Schedule30 second TV Ads18

Day of WeekCost to air AdCBS - Big Bang TheoryMon$327,885.00 Thurs$322,891.00 NBC - The VoiceMon$262,041.00 Tues$254,485.00 CBS - 60 MinutesSun$97,433.00 ABC - Wheel of Fortuneweekly avg.$121,879.00 NickelodeonAvg. ad cost$50,000.00

Total Campaign Budget$780,000,000.00

TOTAL TV ADVERTISING COST BASED ON MEDIA FLOW CHART$236,178,924

Media Budget

Brand character = clasisic and nostalgic with a fresh fun twist on gamingAssociate with family and young at heartAppeal to consumer nostalgia and innovationRelative to the seasoned or rust gamerEmphasize group playEmphasize the competitive advantage of the family-oriented gaming experienceEmphasize social media; consumer interactionCelebrity endorsementCelebrity image must fit with the Nintendo brandCreative Direction

Creative DirectionThe brand character should be classic and nostalgic with a fresh, fun take on gaming. Nintendo should be associated with the family and young at heart, as well as really show them why it is time to come back to their modern day nostalgic console.As for emotions we want to appeal to the consumers nostalgia and innovation.These ads need to be relative to the target market while showing how much fun the modern age of gaming can bring to a seasoned or rusty gamer, yet also to the group style of play. The Nintendo Wii U is different from PlayStation and Microsoft because we are more about the nostalgia and the family gaming experience and atmosphere.Nintendo wants to be social with its community and potential consumers with an emphasis on social media and getting the fans to interact and ask their questions.A celebrity endorsement would go over well if the celebrity is all about Nintendos core values and is associated in the world the same way as Nintendo. Getting a big time sports athlete would help show the world that the Wii U also has sports games.Nintendo wants to instill good faith with our endorsements by making sure whoever or whatever is hired is a good solid fit with the Nintendo brand.

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Creative Execution

Never Grow Up/#KeepingItOldSchool

Close up of boy playing with the Wii Wide side shot of little brother coming into playShot of boys beginning to fight over the controllerDad comes in with Wii U, and shows that now everyone can playThey all start playing together, laughing, and having a good times. Shots of the family hugging flash intermittently.The screen fades to blackness with the faint sound of the happy family, as the closing title appears Wii UBringing families togetherWii Bring Families Together

Wii Get Fit With U

Evaluating and Measuring Effectiveness

Message EvaluationBefore: SWOT focus and discover Nintendos StrengthsDuring: Tracking Studies, Recall & RecognitionAfter: Was the band built effectively?Consumer responseScanner ResearchWho is buying?

Media EvaluationMedia EfficiencyAudience ShareReach and Frequency

Overall Campaign EvaluationROIIncreased sales on Wii U10%

GAME OVER

Questions?