Posts Tagged ‘Apple’

Brand Loyalty is Alive and Well

Feb 2010

02

fanboy Brand Loyalty is Alive and Well

It’s been said many times in many places: brand loyalty is dead. Especially on the web. With incredibly low costs and short consumer attention span, it’s easy to see why people jump to this conclusion. Yet brand loyalty is alive and kicking – you just have to know where to look.

 

When companies provide a superior service, customers care. You can find evidence of brand loyalty in hundreds of companies operating in dozens of industries that affect millions of customers. In fact, even in technology and on the web, where prices can be most cutthroat and products can be hardest to differentiate, there are plenty of examples of brand loyalty. Techies just might not use the term “brand loyalist”, as much as they use the term “fanboy”.

Fanboyism in Gaming

 

Everyone is a gaming fanboy in one way or another. If you love Mario, Sonic or Master Chief, you’re a fanboy. If you hate Solid Snake, Donkey Kong or Max Payne, you’re also a fanboy. People become brand loyalists very easily in gaming. They fall in love with a character, whether it’s because of their little catch phrases (”It’s-a-me! Mario!”), the way they look (Splinter Cell’s Sam Fisher is just cool), or the way the game is played. It’s these little things that endear an audience to a character or brand franchise, and it’s these things that create fanboys.

 

Go on any gaming blog or forum, and you’ll see militant brand loyalists who argue why the Xbox 360 is a better gaming platform than the Playstation 3 (”We’ve got Master Chief and Left 4 Dead!”), or why the Wii is a great games system (”Super Smash Bros! Mario Kart!”), or why it isn’t. This is brand loyalty at its core, and at its most antagonistic. On the surface, the games platforms are ultimately similar in cost (PS3 Slim = $299, Xbox 360 Elite = $299), and have ultimately the same games (at least 75% of all titles are multiplatform), yet that doesn’t stop the brand loyalists from arguing. The fights are about how you “have to buy a 360 because of Halo”, or how the “Playstation 3’s graphics blow the 360 out of the water”, or how “the Wii is the best because of its motion tracking”. These arguments aren’t going to stop any time soon, what with Microsoft’s Project Natal set to release during holiday season, and with the Playstation 3’s own motion controller coming out as well.

Tech Fanboys

 

apple fanboy alertI’m sure you’re already well aware of the biggest fanboys in tech: Apple. The empire that Steve Jobs built has created a veritable nation of dedicated brand loyalists. If you don’t know what I’m talking about, here are some easy ways to spot them). But Apple isn’t the only company. Google has begun to build their own following, with its search engine, Gmail, Chrome and the Android smartphone OS. Intel and AMD long had battles between brand loyalists, and both Nikon and Canon have passionate fan bases.

 

Each of these tech companies have amassed large followings not because they offer the lowest price. Or not even because they offer the best service or product. They build up brand loyalists because their marketers tell a story about their product. And about what they do. Apple talks about building beautiful, clean products that are easy to use and easy to appreciate. AMD caters to computer buffs interested in getting the most out of their processors (see: overclocking). Google is about simplicity and open source. Brand loyalty may be more difficult to obtain in the digital age, but it is absolutely possible.

 

I was an economics major in college. They told me that the consumer will eventually always find the lowest price, and that’s what drives competition. Frankly, that’s one of the greatest inventions of the internet – the access to pricing of a multitude of products right at your fingertips. However, in a world of extreme complexity, a low price is never the whole story. Sure, if you produce thumbtacks and your five biggest competitors are also thumbtack producers, you might not be able to differentiate and build brand loyalists. But companies who develop different products have always been able to build brand loyalty – from John Deere to Johnny Walker. Apple owners often pay 25% more for a computer with similar specifications because it looks better and their computer tells a story. People buy Harley Davidson motorcycles because it does the same thing.

 

If you know who Seth Godin is, none of this is news. Seth Godin is a marketer who I have always admired, and one who has built his life around creating and studying interesting marketing stories. A blogging master, New York Times Bestselling Author and the brains behind Squidoo, Seth’s one of the most best reads out there. Any non-believers in brand loyalty should read Seth. He’s been writing about remarkability and loyalty for years.

Re: iPhone gaming- Nintendo and Sony still have a lot to worry about

Apr 2009

19

iPhone - Handheld Games Invader

Since the launch of the Nintendo DS and the Sony PSP, the two devices have sold 100 million and 50 million units respectively. Though a large portion of gamers still remain in that 13-24 sweet spot, as gaming becomes more mainstream, the technologies appeal to more and more people. (In 2008 we saw casual games explode, and some great TV ads featuring the playable games on the iPod Touch.) Over the past few months, however, we’ve seen Apple begin to take a foothold in handheld gaming.

 

At this point, Apple is the ultimate Jack of All Trades, providing a decent, slightly above-average experience for all of its features. Now imagine if the were iPhone a specialist in each, with market-leading capabilities in all of its technologies. The DS’ market share has to do with its ability to deliver a superior handheld device. The Blackberry’s is because it’s the best smart phone. Apple has started slow, but is gaining momentum in every field. The iPod Touch already has many of the tools to become a superior device (easily-accessible app store, unique gimmick: accelerometer), but just needs to capitalize on some of its flaws. That’s why I’m extremely worried if I’m Nintendo or Sony.

 

The great thing about the iPod Touch is that its games are not even limited to children. I’ve seen people of all ages playing Tap Tap Revenge on the bus. Over the past year, Apple has made it clear that gaming is a priority, and that they’re working hard to have games developed for the device.

 

The two big issues that still present for competition are
1) price point; and
2) software development.

 

On Amazon, the 16GB iPod Touch still runs at $285, whereas the DS Lite goes for $129 and the PSP 3000 goes for $169. (Though the 8GB is closer at $239, for someone to be a heavy music and game user, they’ll likely go for at least the 16GB model.) That makes the price difference over $100 for the PSP and over $150 for the DS Lite. The price point will remain a looming factor for those looking for a simple gaming device. Especially considering both devices are adding, or have added audio playback. Besides, you can always use the DS to make a homebrew iPod.

 

Since the price point of the iPod Touch or iPhone (which is considerably more expensive) are unlikely to truly compete with the DS or PSP, the next most important thing for them to work on is software development. Currently the vast majority of games available for the iPhone are more casual/puzzler-type titles. (read: Shovelware) One big problem is that it’s very difficult to maintain quality control in the App Store. However, when game systems like the DS and PSP have much more in-depth titles for the more “core” audience, it’s certainly hard for the iPhone to compete on that level. As Apple decides what its audience is, and what it wants its audience to be, I believe that getting core games developed for sale at the App store will be crucial for Apple to break into this market. They’ve already had a couple more complex titles released (like X Plane), but there is still great room for growth. Additionally, there are a couple emulators available for the iPhone, but when developers like SEGA, Bungie or Rockstar start putting out games for the iPhone, things will get really interesting. In fact, that would be a great way for Midway to turn their business around. Make a Mortal Kombat port to the iPhone for $10.

 

Also, casual gaming doesn’t have to mean bad gaming. If games like Audiosurf come to the iPod Touch, it’ll give real gamers a real reason to play. Right now my iPod Touch is an MP3 player that happens to also play some games. Why can’t it be the other way around? The iPhone/iPod Touch is now at 30 million units sold and counting. It’s time for developers to start taking advantage.