What are the main reasons for Sony PlayStation’s profitability? Essay

What are the main reasons for Sony PlayStations profitability?In the year 1994, Sony launched its own video console called thePlayStation which is now nonpareil of the most well known and best sellinggaming consoles in the whole world. The PlayStation has been even moresuccessful since the product has been re-launched and innovated in2000, called PlayStation 2. The secret lavatory the success of highprofitability will be discussed in this coursework, primarily the mainreasons have been Innovation, the Advertising Strategy applied and therest of the marketing ruffle used by the Sony Corporation.One of the main reasons behind the PlayStation being a winner forthe Sony Corporation is Innovation. Innovation is the process ofbringing a new desire to the marketplace. Sonys PlayStation revealedthe CD-ROM gaming technology for the starting line time in the market insteadof the cartridge-based technology which was used by its respectivecompetitors, Nintendo 64 and Sega Saturn. This psyc hoactive technologyhelped to im base the nontextual matter providing a 3D multimedia view alongwith the incorporation of a 1024K dual-parted VRAM which allowed thepicture displayed on-screen to change quickly. These high qualitygraphics proved to add value to the product and thus many consumersdecided to go for the PlayStation. To Sonys delight, PlayStation soldmore than 300,000 units in the first 30 long time a great achievementwhich boosted up the profitability of the company, leaving thecompetitors thoughtless.Another reason which has helped to subjoin PlayStationsprofitability is the advertising campaign approached by Sony. ThePlayStation is commonly advertised through magazines and TV adverts.This time it did not aim at the traditional 8-16 years old demographictarget audience. Although, this time the product was aimed at an olderaudience so that higher consumer awareness could be achieved. The goodthing about the PlayStations TV adverts is that it tries todifferentiate the product from the competition whilst in any case generatinginterest and awareness of the new product launch. Also, Sony tries tosponsor certain big and famous events such as 1995 MTV Music Awardsand the UEFA Champions League in order to improver more profitability.Furthermore, all this advertising has helped to create a positiveimage about the company. This strong and po... ...his has helped to satisfy the demand better which has increasedSonys sales and therefore led to higher profitability.Apart from all these things, Sonys PlayStation has had otherinnovative ideas which have increased profitability. The PlayStation 2also has a DVD worker incorporated with it. This means that now theconsumers enjoy the added value of a DVD player and they do not needto have a separate one. Moreover, Sony was the first one to introducemore than four players gaming through the Multi Tap. This meant thatnow consumers could play with each other just using one console whichhelped to increase flexi bility. Furthermore, it also introduced theMemory Card which allowed users to save their game data in it. Likethis, the user could continue the game from last saved stage or couldtake it to a somewhere else and play there. What is more that,PlayStations remote control have more better design which make iteasier to play and prove to be more comfortable. All these innovativeideas have helped to make the PlayStation much more appealing than thecompetitors products. The profitability has again been affected dueto these factors by incrementing it.