Showing posts with label WiiU. Show all posts
Showing posts with label WiiU. Show all posts

Friday, 30 August 2013

Gaming Juggernauts Are Finally Listening!



Gaming Juggernauts Are Finally Listening







 Yes ladies and gentlemen, the big, brash companies that think they can dictate to gamers what they want with little regard to anything else have finally learnt they can't. I'm not just talking about the E3 backlash that Microsoft received, but it also seems it has had a knock on effect with other companies reacting too.



Customer service economy

Believe it or not, customers have a bigger choice than ever and it is up to companies to stand out in order to receive their custom. More importantly, people demand companies that care about their customers and aren't just seen to want that big wad of cash consumers get at the end of the month. Organisations around the world are employing customer service specialists to improve their overall offering and as a result, improve customer retention.



                 Customer service consultancies such as ShankmanHonig have been sprouting up in 2013





Maybe we got it wrong

Microsoft's success truly went to their head. Being market leader gave Microsoft the temptation to start milking the industry for what it's worth with the Xbox One. They thought,  ''The market love us and we can do what we want'', Wrong! We all know how E3 went. Everyone was gobsmacked - ''how could Microsoft be so arrogant!'', they thought they could get away with it. What they didn't realise is that the gaming community is one of the largest online communities, and one of the most passionate. The gaming community were baying for blood. Customers want to be appreciated, not taken for 'mugs', Microsoft were scared, they had made a huge mistake.


We're Sorry



Since then, Microsoft have done all they can to reverse the massive amount of damage they caused to the Xbox brand, and to be fair to them they have been quite transparent about it. The list of changes are as follows:

  • Used games allowed
  • More powerful GPU
  • Doesn't have to be always online
  • You don't have to use Kinect
So Microsoft have tried to rectify all the negative points regarding Xbox One. But let's not kid ourselves, they still have work to do. They have created a base to work on and now they are starting to create goodwill within the gaming community. In August, Microsoft Studio's CEO Phil Spencer stated that their changes on the Xbox One are part of a "two-way conversation we have with our customers". There you have it, Microsoft are clearly stating they made a mistake and are working on providing better customer service. Recently, Microsoft have said they would offer indie game studios free Xbox one development kits - good PR that will appease the gaming community. If Microsoft can keep this going and become even more transparent with it's customers, they could be starting to turn over a new leaf.


EA Too!?

EA also seem to be pushing forward with a PR push to try and build a bridge with their consumers. EA's origin service has continually been found to offer abhorrent customer service and the gaming community generally see EA as one of the 'bad guys'



One of  the 'famous' EA online support chats.


In recent months however, we've seen EA act in ways that have surprised the gaming community.
Recently, EA participated in the Humble Bundle sale which gives consumers a selection of games in exchange for a donation of the persons choice.







EA offered all these games for charity, with EA potentially receiving nothing from them


Firstly, you have to applaud EA for this, over $10 million dollars were generated for charity and many gamers agreed that it was the best humble bundle to date. EA also launched the 'Great Game Guarantee' which allows people who download digital titles on Origin to return the game within 24hours. What this shows is that they are trying to create a better brand image.

The gaming community can hold a grudge for a long time, but with EA finally reacting and trying to build bridges with their customers, they are heading in the right direction.


So, have they learned?

So, it seems the gaming juggernauts have finally learned, you can't keep milking customers for all their worth, offer shoddy customer service and expect to get away with for years to come. Given the chance gamers will boycott. The arrival of the new console generation provided the perfect opportunity to do this. PS4 was a much more attractive option and as such, people saw it as a perfect time to jump ship. I think it woke up the gaming juggernauts and they finally realised - 'if we want to be here in the long-term, it's time to start taking our customers seriously.'


Do you think things are changing, or is it simply a PR stunt from these gaming giants? Let us know in the comments.


Friday, 15 February 2013

Wii U in Dire Straights.

This article kicks off the beginning of a 3-part article looking at the three new consoles. With the PS4 being announced next week, Nintendo are in trouble. The Wii U hasn't taken off as they would have liked and with new consoles coming, Nintendo should be seriously worried. In fact, latest reports indicates that Nintendo sold less than 100,000 units with a figure of 59,000 being mooted. This is shocking for a new console and Nintendo should seriously be worried. The Wii U is already being sold at a loss, presumably because of the high cost of the controller.

This is a graph for Nintendo fanboys so that you can somewhat grasp what kind of shape the company is in. I know you go on Nintendo fan pages and see the upbeat version of a press release about the Wii U sales but they just aren’t great. There also isn’t much to indicate they will get better any time soon. The above graph is what the net sales & net income (in Yen) looks like for Nintendo over the last 4 years. 
Iwata (Nintendo’s CEO) has said there will not be a price mark down. That almost goes without saying. A price markdown in the 1st year or even 2 is likely a sign of collapse with any console. Nintendo lost almost a half of a billion last year and it looks like they will make a slight profit this (fiscal) year. If they don’t, who knows what the future holds. I understand the profits were really high in the past which makes the incline even sharper.  I know you might not want to think it but what you are seeing is a near catastrophic collapse of a company. 

This graph courtesy of Ron Workmans blog, (http://www.ronworkman.com/) highlights the trouble Nintendo are in. in the past 4 years sales and income has plummeted. The 3DS has taken a battering due to smartphone's and Nintendo's hope that the Wii U's innovative controller would lead them to the heights of the orginal Wii has not come to fruition.

The Big Worry

Some might say the Wii U has been out for a matter of months and therefore, they should be given more time to sort things out. It's clear to see now though, that Wii U will never reach the same popularity as the Wii did. The Wii did so well because of the innovative motion controller. Nintendo have gone for the same strategy but this time the casual gamers are nowhere near as excited as before and this,for me, provides the killer blow for Nintendo.

One year advantage?


The reason I really worry for Nintendo is that they have blown that year advantage. An opportunity that Microsoft used for the Xbox 360 to get some sort of foothold. Nintendo should have had a number of stellar games out during this year, yet Wii U owners have very little games to shout about.

The Position

What perplexes me is that they have a console that can't really be called next-gen or current-gen. Yes, it's slightly more powerful than the Xbox 360 and Ps3 but what about when the PS4 and next Xbox arrive? These devices will technically wipe the floor with the Wii U and will provide Nintendo with the same problem the Wii had once the hype died down. 3rd parties will be reluctant to release games on it while they focus development on the more powerful Sony and Microsoft consoles. The casual market is open to all now and Microsoft and Sony will make sure they take advantage of that market from the beginning.

Sony

Sony are going to hit next-gen hard with the PS4 and my next article examines this. That being said, Nintendo have got it all wrong. They never wanted to compete with Sony and Microsoft directly in technical terms, but the level of innovation doesn't catch the markets attention as it did with the Wii.

My Prediction


  • Nintendo start a big marketing push to combat the release of new consoles. Expect big games with a big marketing budget. Don't expect a price drop.

  • The next Xbox will pick up where the Wii left off and target the causal market leaving Nintendo in its wake.

  • The future looks bleak with both the Wii U and 3ds struggling too find a position in the market which appeals.

The next few years will be bleak for Nintendo. They might have already reached the point of no return. Will they be the next Sega? Leave your opinions on the comment section.