Sony to focus PSP marketing on teens

Chris Kohler has an interesting article on the Wired games blog about a shift in Sony's marketing strategy for the PSP towards focusing on 13-17 year old consumers as well as the recent price drop for the handheld. It looks like they're finally coming to terms with the fact they're losing miserably to Nintendo and the DS. From the article:

"There were a few reasons," says Koller, for dropping the PSP's price now. First, Sony "received some savings on the cost of goods, which we wanted to get to the consumer." Second, "Wal-Mart sold 110,000 units in five days on Black Friday [last year] when they dropped the price to $169." Finally, the aforementioned shift to the 13-17 year old market.

The desire to more directly target that 13-17 year-old market was what led to the All I Want For Christmas Is A PSP campaign last year, Koller said. "That campaign clearly did not work," he said, but it was an attempt to "identify ways of speaking and marketing to that 13-17 year-old consumer. It was an effort to be able to target that individual in a more quiet manner and not go out and promote it and have it be something that was found. The way it was done is not correct... In the future, we'll be more clear and transparent to the consumer."

Going forward, Sony will unveil the "Dude, Get Your Own" campaign.

The idea this year, says Koller, is to "break out of the home cycle." A significant amount of PSP users in that 13-17 group play the device at home. "The teens that are doign this value the ability to utilize the portability," Koller notes paradoxically. By portability, he clarifies, he means "I can play it upstairs while my parents are watching the TV downstairs."

This, of course, is of little value to adults with their own apartments and TV sets. For teens, it is a big draw, which is one reason for the high sales in that group.

But Sony wants them to get it out of the house and "into more of a lifestyle focus." That's the reason for adding the T-Mobile hotspot functionality that Sony touted last month. Koller says that Sony will "regularly launch" firmware updates this year with functionality that is strongly directed at that 13-17 market, although he could not reveal details on any of them.

Sony has found that more and more PSP owners are using the device for multimedia applications, specifically, downloading music and movies from their PC to the PSP. "There's a lot of that," says Koller. In fact, Sony says the "second most valued use of PSP" is as a music playback device. "Music shot up substantially" over the holiday season, he says.

As for releasing a new hardware redesign of PSP that includes more onboard storage, Koller would not say.

Chris Kohler
April 4, 2007

Source: Wired
posted on Thursday, April 05, 2007 9:50 PM by Auri

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