Marketing Spotlight - Microsoft

Microsoft 's Marketing Strategy for Xbox 360

Microsoft has generally been considered a dominant but less innovative company when it comes to marketing . However , the company has sought to change its traditional approach its approach towards marketing Xbox 360 Microsoft 's marketing strategy for Xbox 360 revolves around direct-to-consumer interaction . It was therefore launched at a prime-time MTV special Thursday program - four days before the official entrance into the industry through the E3 (the Electronic Entertainment Expo

This approach of introducing the Xbox 360 in MTV allows Microsoft several advantages

: it gives them an opportunity to talk directly to potential consumers - the MTV generation . Microsoft will be an early entrant into the field and with respect to competition from Sony , it will have a one year advantage (McDonnell and Jackson , 2005 . By interacting with consumers and launching the Xbox 360 in stores before its competing products from Sony or Nintendo arrive , will give Microsoft a huge lead in the market . Further competitive advantage has been obtained through carefully planned publicity activities for the past six months through : occasional press quotes from Bill Gates , leaked images and viral messaging spread via Microsoft 's Ourcolony .net site . By revealing and promoting its new console through nontraditional means with multiple partners and six months before shipment , Microsoft stands to create goodwill with demanding gaming consumers and beyond (McDonnell and Jackson , 2005 . This will accrue in terms of brand equity . By stockpiling consumer sales from potential switchers in the months prior to launch and by maintaining sales of current-generation Xbox games it ensures their compatibility with the Xbox 360 . Ourcolony .net is Microsoft 's gateway into viral marketing . Another interesting tactic has been Microsoft 's recent agreement with Samsung to collocate next-generation Xboxes with its high-definition TVs in retail stores (McDonnell and Jackson , 2005 . This allows the console to escape the intimidating--and often poorly laid-out--gaming aisles and attach itself to the cool new world of HDTV (McDonnell and Jackson , 2005 . Thus innovation , target marketing , branding , early entry , clever product positioning , cutting short the life of the current generation of hardware and a keen sense of timing are the key elements of Microsoft 's marketing strategy with respect to Xbox 360

What are the similarities and differences compared to past product rollouts within Microsoft and compared to the rest of the industry

Microsoft 's history shows that the company 's marketing calendar was determined by major product launches . Microsoft has never been a great marketer according to experts . In fact , its marketing inability is attributed to the failure of its robot toys such as the animatronic Barney and the Robosapien . Microsoft Bob is the programmable cartoon interface /shell which was one of the many unique products the company developed was also a market failure mainly because it was targeted at the wrong group . In the words of John C . Dvorak , This product , which would have revolutionized computing for children , was mismarketed and sold to adults . Dvorak says that Microsoft generally has a tendency to jump...