Showing posts with label Kinect. Show all posts
Showing posts with label Kinect. Show all posts

Thursday, 17 January 2013

Next Gen: The Generation of Casuals and Blockbusters


As you've noticed on this blog, my posts are starting to focus on the next generation of console's. Looking back, this gen has seen some new trends. The casual market has really picked up with the Wii and Kinect. However, there has been question marks regarding the longevity of the casual market. Wii's sales quickly took a nosedive while Kinect and Move have been criticised for the lack of games that really utilise the technology. We have seen the rise of blockbuster titles that have smashed records and put video games's on par with movies. This article looks at why the next generation of consoles will focus on blockbuster titles and improving the casual market.

Companies investing in blockbusters

As is seemingly the case with every new generation, costs rise as developers invest more in graphics, sound, research and marketing. Publishers are looking for the next big thing, an existing franchise or a new IP that can last a whole console generation. The risks are high but the rewards can be huge. It will mean that we will see a lower number of games coming out, with a focus on a few big budget, blockbuster titles. In the first couple of years of the next console cycle, expect to see new IP's look to quickly establish themselves.











Next-gen game Watch Dogs has all the hallmarks of a blockbuster title.

Along with the new IP's, the successful current franchises will continue to sell incredibly well. The next Assassins Creed trilogy will continue on next-gen consoles and so will Call of Duty. These are cash cows that don't look like dwindling.












Of course, expect Activision to invest heavily in the COD franchise

Simply put. Publishers will be less inclined to invest in lots of different games. Instead they will hedge their bets on a fewer number of blockbuster titles.

The Casuals are here to stay


Disney Infinity was announced a few days ago and is set to combat the extremely  popular, Activision owned, Skylanders series. The concept sees video games crossed over with real action figures. Unlike Activision, Disney have access to a wide range of Disney, Marvel and Star Wars characters. The casual market will eat this game up. Although the game is set to be released on current-gen consoles, expect it to be on next-gen consoles when they are announced.










Disney Infinity will capture the casual markets attention for years to come.

Developers and publishers will continue to find concepts like this that look to keep the casual market engaged. The problem with party games such as 'Just-Dance' and 'Wii Sports' is that the casual market got bored of these titles quickly and therefore, there wasn't longevity when it came to usage. Just Dance rolled out the sequels to great success but eventually people will get sick of it, the market for these types of games are already saturated. Games like Disney Infinity will add DLC and extras to maintain sales and interest of the casual market for years.


What new trends do you think will arise from the next generation of consoles? Let me know in the comments below.


Monday, 19 July 2010

Is Microsoft's Kinect strategy hit or miss?


The Video games market is currently expanding into many different segments thanks to the Nintendo Wii, no longer is gaming targeted towards the 13-40 Male consumer. There is the 60+ elderly market who love to get active by playing Wii bowling or the 30-50 range that are losing weight by using Nintendo Peripheral’s such as Wii fit. Both Sony and Microsoft must applaud Nintendo for expanding a previously narrow market.  With Nintendo monopolising these market segments Microsoft and Sony have been quick to react. Microsoft is introducing a camera that can track your body movements without the need to hold anything in your hand whilst Sony are going down a similar path to Nintendo by offering motion controllers. So what’s the deal with ‘Kinect’? Who is it targeted at? And how on earth will they provide competition to the extremely popular Nintendo Wii? This article will aim to answer these questions.

There is no doubt that Microsoft are after the casual market. This newly developed market has massive potential and is worth millions to Microsoft. Microsoft revealed the Kinect brand at E3 this year and for the first time ever it was broadcast in Times Square for everyone to see. Furthermore, they commissioned a show by the exquisite Cirque du Soleil to show of Kinect which was also broadcasted on MTV. These communication channels are not commonly used in the video game industry to show of new hardware. By broadcasting their E3 press conference live via time square it indicates that they want Kinect to entice the casual gamer into the Xbox experience.  However, is this the  right group to target? The marketing manager of Xbox recently said “I think we know that hardcore gamers will be the first to go out and buy it, as they are with any product”. This statement underlines their intentions to push Kinect onto the hardcore gamer but the thing is none of the software for Kinect will appeal to them. Casual games such as Kinect sports or Kinectimals will never a system seller for the hardcore gamer. In fact until Microsoft release a Kinect game that the hardcore can get excited about then the chances are they will hold off the purchase. Microsoft built its brand on offering a hardcore experience and it might be unwise to neglect them.

The pricing of Kinect has become a hot talking point in recent weeks. Although not confirmed it has been widely regarded that the price of Kinect will be around $150. Compared to the Nintendo Wii ($180) the value of Kinect could seem very poor. Why would the consumer who currently owns a Nintendo Wii part with a significant amount of money to purchase a peripheral that is essentially a very similar product? Microsoft needs to create a value proposition that warrants the $150 price tag and controller free gaming could be the answer. The unique selling point of Kinect is the fact that they offer a way of interacting with a game without the need to hold anything in your hands, this is something Nintendo Wii and playstation move don’t offer. Microsoft must therefore highlight this advantage when advertising this piece of hardware.  In fact by looking at Microsoft’s marketing strategy you could see why they are charging $150. They have to penetrate the market and get the casual market to take notice of this new product. Microsoft have already spent a huge amount on marketing Kinect through the Cirque du Soleil show and by displaying Kinect in various Macy stores. Make no doubt about it, they paid through the nose to do so. Marketing of Kinect is set to increase as they creep towards the release date and therefore costs will increase. Microsoft will aim to recuperate this cost and therefore will set the price as high as $150 however it is doubtful that they will make a profit on every unit sold as according to ‘Develop’ it is costing Microsoft $150 to manufacture the Kinect camera.



The casual market is here to stay and its going to grow and grow. Microsoft are entering a market in which they are determined to gain significant market share, they are in this for the long term. Kinect is just the beginning for Microsoft. It is expected to be bundled with the Xbox slim when it launches in order for Microsoft to get Kinect into homes across the world. Microsoft will initially want to focus on market share rather than profit so expect Kinect’s price to decrease and decrease quickly. Kinect or maybe an upgraded version will be bundled into the next generation of Xbox console because this will force the consumer to use it.  Consumers are more likely to see the value of Kinect and therefore use it if it becomes bundled in with the console rather than just on its own. Microsoft have a massive opportunity with Kinect and if sales are slow in the first year don’t expect Microsoft to drop Kinect. It is here to stay and if they do it right it could become a huge success just like the Nintendo Wii. Microsoft’s core customer is the hardcore gamer and they should not ignore them. Nintendo have currently realised their mistake of neglecting their hardcore consumer and rectified the issue by announcing numerous hardcore friendly titles. If Microsoft can maintain that balance then they could satisfy the hardcore whilst becoming a big player in the  lucrative casual market.

James Foti.
Contact me: jamesfoti1@hotmail.com