Nintendo Co., Ltd, a multinational consumer electronics and video game company.

Running head: UNDERSTANDING TARGET MARKETS 1

UNDERSTANDING TARGET MARKETS 5

UNDERSTANDING TARGET MARKETS

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Understanding Target Markets

Developing a marketing plan for a company is critical to the success of the investment. Multinational companies spend a lot of money on researching and finding out more about the target market. As long as there is going to be selling of products, those who buy them are top stakeholders of the enterprise. There is a lot of information that has to be well understood and be well established as a company develops a marketing plan. The advertisements that are generated are typically founded based on the target groups. If the company adequately attracts the target group, the sales are likely to be high and, as a result, more return and growth. In this material, we shall discuss the buying influence and behavior of Nintendo Co., Ltd, a multinational consumer electronics and video game company.

The Demographics

Nintendo, in recent years, has been developing video games. This has a management decision that has gone through a lot of changes in trying to get a business niche. Initially, the company was making toys for kids. But as technology opened new possibilities, the company shifted tp be a significant video game developer and distributor. The demand for video games has been on the rise among all age groups. The company has, therefore, ensured that they target all the age groups in a bid to make more profits and sales. The only way to make more sales is to have more exciting games for everyone. Individuals do not just buy Nintendo games, but they are purchased for a friend and family members as gifts and presents in their special days, including birthdays and New Year gifts.

The company developed a 3DS younger audience. These games were made for children and those who were now to the Nintendo products. Learning how to play the games was made easier for children by using 3DS. These children were mostly of the ages five to ten years old. For the older audience, Switch was made. Switch games are for those who have mastered the use of the Nintendo products; mostly they are youths and adults who love video games. The Nintendo Switch has been a top-selling product that satisfies the target customers (Wagner, 2019). By developing a platform for kids and adults, the company has managed to be inclusive in its selection of the target market. It is also important to note that as a multinational company, the products are sold globally, and this enables Nintendo to reach a broad audience to market the video games.

Psychographics

In marketing, it is not enough to understand the demographics of the target customers, and it is also imperative that information on psychographics also be gathered. This means that the information on the values and the desires, just to mention a few, come handy in the plan. It is for this reason that companies like Nintendo consider this aspect of production, making more sales. This very aspect has informed most of the developments that Nintendo has established. The needs in the video games among teenagers and hardcore gamers are different, and this means they are likely to make different choices in their selection of the games. To tackle this, the company developed different models that address these particular groups.

In addition to this, among the adults, their interests are highly influenced by their carrier choices. For example, young adults that are in the armed forces who are more interested in the gulf can find games that meet their need. In having different games that fulfill gaming desire among the diverse categories of customers, Nintendo has established a strong foundation in holding a strong network of clients. Again video game production can be a costly venture that could be very expensive to purchase even for the customers. Nintendo has focused on ensuring that they improve their services with less investment. This has not only helped them maintain their diverse customers but also ensured that they meet all the groups’ video gaming demands.

Insights of the demographics and psychographics

Nintendo, as a multinational company, has managed to grow and increase its sales by understanding the demographics and the psychographics of the target customers. Age, for example, has been a factor that has been adequately explored to ensure that both the young and the adults’ video gaming needs are addressed. The company also changed the rules of the games to ensure that both males and females enjoy the games (Cote, 2018). This change was after Nintendo realized that more customers mere young males. Change in rules of the games is among the indicators for the advancements made to capture the interests of every potential customer of the ages 5-65 years old. Different games have been produced for their dedicated systems. In doing this, the expansion of the market demand has been increasing, making the company a top video game company in the world. The only potential threat that the company has to deal with is the minimal use of high technology (Le, 2018). While its competitors are using high technology, this could pose a threat to the growth of the company in the future. The company will have to address these issues with the changing interests of customers and to attract those who love top innovations in video games.

References

Cote, A. C. (2018). Writing “Gamers” the gendered construction of gamer identity in Nintendo power (1994–1999). Games and Culture, 13(5), 479-503.

Le, H. (2018). Nintendo vs. Its Competitors in Marketing Efforts: From the Point of View of Customers.

Wagner, E. (2019). A Strategic Audit of Nintendo Co., Ltd.