Bus 3030 Promotion

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Date Submitted: 05/04/2014 08:02 PM

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BUS3030 u03a2

Promotion – Xbox 360

The Xbox Launch and Promotion

After conducting numerous global studies and focus groups, Microsoft determined that in 2001 its target audience’s attributes were “passionate gamers ages 16 to 26, predominantly male” (Elkin, 2001). Armed with a $500M global marketing budget, Microsoft was not only ready to launch itself into the console gaming market, it was bent on making their brand #1 in the gaming mindshare.

Having had successful launches in the US through traditional gaming expos, Ryan Mugford, marketing lead on the Xbox project, wanted to reach a new audience; gamers who love music. With that goal, and their demographic in mind, Ryan Mugford, chose Mtv as the launching point for the Xbox in Canada (Prophet heralds xbox campaign, (2001). With three, 30 second commercial spots, Microsoft married gaming with Music television, broadening their audience and entering the mainstream.

In 2005, as the Xbox 360 was set for release, Mtv was again chosen by Microsoft to showcase the new console. Complete with celebrity fanfare and a party like atmosphere broadcasting to millions of households, Microsoft began showcasing the new console 6 months before its release date, not as a conventional commercial, but as a full-fledged event with Xbox as the headliner.

The AIDA concept lays out the stages of “consumer involvement with a promotional message” (Lamb, 2012). By employing popular celebrities to play with the console on a channel popular with its customer base, Microsoft was able employ 3 out of the 4 steps of the AIDA concept at launch. By choosing a television channel popular in its target demographic to host the launch party, a popular movie star to emcee and other popular stars to attend the party and play the games, focusing on the fun and technology enhancements; Xbox gained Attention, Interest, and Desire even before the consumer could act – creating Demand.

Strategies Change as Targets Change

Since its splashy...