I. Overall Tabulation
02/. Which 1 or 2 platform(s) do you most often play with? (choose 1
or 2 only)
| N64 |
20% |
|
X Box |
10% |
|
Dreamcast |
17% |
|
GameCube |
3% |
|
Playstation 2 |
73% |
|
Playstation |
40% |
|
Misc./Others |
17% |
03/. Which genre(s) of video games do you prefer? (choose a max. of
3)
| Action |
27% |
|
Adventures |
40% |
|
Fighting |
23% |
|
Racing |
23% |
|
RPG |
40% |
|
Strategy / War Games |
27% |
|
Sports |
43% |
|
Misc. / Others |
13% |
04/. How often do you play video games in a week?
| 0 - 6 hrs. |
60% |
|
7 - 14 hrs. |
27% |
|
15 - 22 hrs. |
7% |
|
23 hrs. or more |
7% |
05/. Have you ever completed a role-playing game by Squaresoft Inc.?
06/. How much do you enjoy playing Squaresoft's games?
|
most negative |
1 |
2 |
3 |
4 |
5 |
most positive |
Mean Response |
3.76 |
07/. How likely are you going to play Squaresoft's games again?
|
most negative |
1 |
2 |
3 |
4 |
5 |
most positive |
Mean Response |
3.76 |
08/. How much do you enjoy playing games by:
|
Capcom USA Inc. |
|
worst |
1 |
2 |
3 |
4 |
5 |
best |
Never
Played |
Mean Response |
3.5 |
|
Electronic Arts |
|
worst |
1 |
2 |
3 |
4 |
5 |
best |
Never
Played |
Mean Response |
3.07 |
|
Koei Corp. |
|
worst |
1 |
2 |
3 |
4 |
5 |
best |
Never
Played |
Mean Response |
3 |
|
Nintendo |
|
worst |
1 |
2 |
3 |
4 |
5 |
best |
Never
Played |
Mean Response |
3.20 |
09/. How old are you?
| 16 - 20 |
47% |
|
21 - 24 |
43% |
|
25 - 28 |
10% |
10/. What is your gender?
III. Cross Tabulation
Identify Segment - Loyalty Status
Segment - Respondents with high satisfaction rating for Squaresoft,
rating 4 or 5
Base - 17
03/. Which genre(s) of video games do you prefer?
|
Brand Loyal
(17) |
Overall
(30) |
| Action |
41% |
27% |
|
Adventures |
41% |
40% |
|
Fighting |
24% |
23% |
|
Racing |
24% |
23% |
|
RPG |
65% |
40% |
|
Strategy / War Games |
24% |
27% |
|
Sports |
12% |
43% |
|
Misc. / Others |
18% |
13% |
08/. How much do you enjoy playing games by: Brand Loyal Overall
| ¡@ |
Brand Loyal
Mean Response |
Overall
Mean Response |
|
Squaresoft, Inc. |
|
worst |
1 |
2 |
3 |
4 |
5 |
best |
Never
Played |
4.91 |
3.76 |
|
Capcom USA Inc. |
|
worst |
1 |
2 |
3 |
4 |
5 |
best |
Never
Played |
3.41 |
3.5 |
|
Electronic Arts |
|
worst |
1 |
2 |
3 |
4 |
5 |
best |
Never
Played |
2.71 |
3.07 |
|
Koei Corp. |
|
worst |
1 |
2 |
3 |
4 |
5 |
best |
Never
Played |
3.13 |
3 |
|
Nintendo |
|
worst |
1 |
2 |
3 |
4 |
5 |
best |
Never
Played |
3 |
3.20 |
¡@
IV. Comparison of Cross-Tabulation results to Overall results
In the overall tabulation, the most preferred genre of video games is
sport, however, it is the least preferred genre in the cross-tabulation
of Squaresoft's loyal customers. In addition, RPG's preferences went up
even higher in the cross-tabulation while adventure stay steady.
Squaresoft's position is high in the overall tabulation, and it is even
higher in its brand loyal customers' mind. Both of the two globally
popular companies, Capcom and Nintendo have a steady mid-range ranking.
Koei Corp., the developing company is the only competitor out of the
four has an increase of ranking in the cross-tabulation.
V. Conclusions
In terms of preferred genres of games in the macroenvironment of gaming
industry, sport has a higher potential market in the America; therefore,
the overall tabulation tells that sport has the highest percentage.
However, the product categories of Squaresoft are RPG and Adventure,
which is emphasized in the cross-tabulation by its brand loyal
customers. In the entire gaming industry, RPG has a second highest
potential market share while majority of RPG preferred consumers are
Squaresoft's loyal customers.
According to the overall tabulation, Capcom Inc. is the major competitor
of Squaresoft, followed by Nintendo, Electronic Arts and lastly, Koei
Corp. However, Electronic Arts, whose product line is specific on sport
has a rather low ranking in the cross-tabulation. Consumers who are
interested in Squaresoft's product, mostly likely would not interest in
Electronic Art's products. Which in another word, it is not a relative
competitor.
Koei has more popularity in the Squaresoft's market. Although six out of
the thirty respondents had never played the game, the number of
respondents that had never played the game has decreased to two.
Moreover, the latest product line of Koei is a graphic-concentrated
RPG-like combat game, which overlaps with Squaresoft's differentiation
in the market. Koei will be a potential competitor and may be a
substitute of Squaresoft for the recent years.
Another conclusion drawn by the same question is that the persuasive
sub-segment of Squaresoft's product line has a higher awareness of the
industry. There are only a very few of them that had never tried any of
the competitors' products. This implied that another specific behavior
variable to segment Squaresoft's customer is experience, most of them
are at least moderate experiencers.
VI. Actionable Recommendations
- Continuous Innovation - add 'Adventure' as part of the major product
categories
Since adventure has the second highest market share as RPG does, and the
two categories are similar that could be combined in one game, it could
be a good opportunity for Squaresoft to cultivate an addition customer
base by adding adventure in their current developing new products. With
this continuous innovation, Squaresoft can widen its customer base
without losing its market share in the current persuasive sub-segment.
- Continue with the secondary market of 'Action RPG' for ages 5-11
RPG is a special genre of video games that can be combined with some
other genres, which let Squaresoft has the opportunities to develop new
product lines easily for different target audiences. Squaresoft had a
success by presenting the new product, Kingdoms Heart, which combined
action and RPG in addition to change the content of the story. Since it
had already been started and created certain awareness in this target
market, it would be a great opportunity for Squaresoft to develop this
secondary market.
- Create Awareness & Recognition - be a well-known company as Capcom
/ Nintendo
Popular companies in the gaming industry like Capcom and Nintendo have a
stable customer base either in the overall tabulation or in the
cross-tabulation, because they have certain popularities for many years.
Their products are not being promoted in the industry alone, but the
overall publicity. The only way to compete with these competitors is to
be more popular. Promotion is the key to create certain awareness. For
the past few years, Squaresoft had not been advertising its product
widely in the public. Therefore, it is a well-known company in the
gaming industry, but not in the public. There are only a few TV
commercials done for Final Fantasy VIII two years ago that successful
attracted some beginners. However no more public advertisements are done
after that. Squaresoft needs to promote its product to all audiences in
the entire country as well.
- Global Popular Alliances - Just like Disney & Coca-Cola
The fastest way to promote is to team up with popular alliances.
Squaresoft did gain more popularity with the joint forced product with
Disney and the Coca-Cola & Final Fantasy IX advertisement. More
popular alliances should be tied up in order to earn even more
popularity and awareness. It does not have to be another video game
developer. Global alliance like Coca-Cola is also a good choice, but the
advertisement was only shown in Japan, where Squaresoft is already a
well-known company. Squaresoft should also focus a little more in the
American market where there is more population and higher potential for
higher revenues.
- Product Enhancement & Placement - Ancillaries
Video games are sold in video game store is like an invisible rule.
However, video game ancillaries like posters, models or plush could be
sold in some other places, like a poster, toy or collectibles stores
like Toy 'R' Us. Ancillaries are enhancements from the genetic product
and served as extra benefits, but it could also be a tool to attract
people to use the original product. Ancillaries from a video game could
be easily be differentiated from other products selling there and
attract consumers. Consumers who bought these ancillaries would be
curious about its origination and tracked the genetic product - the
video game.
Squaresoft has manufactured many ancillaries for its trademark - Final
Fantasy, like posters, jewels and models. However, the publicity of
these products is also limited. You could not find them easily other
than in the game stores. Squaresoft should reconsider the placement for
these types of ancillaries that is a great tool to increase traffic and
force frequencies.
Written on: Nov. 18, 2002
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