Xbox 180 And The New Coke
Posted on Wednesday, June 19 @ 19:54:19 Eastern by Heath_Hindman
Hey, remember the 80's? He does.Coca-Cola had no choice but to return to the ways of old. The reaction was an instant, huge boost, which left both the roof and the floor forever raised. Its sales problems were over, thanks to what appeared to be a tremendous blunder. The New Coke is commonly looked upon as a marketing disaster, yet, consider the effects. Not only did it achieve the goal of getting Coca-Cola out of its sales valley, but it attached a ferocious nostalgia to its name. From this move, Coke gained a victory bigger than most marketing experts can even hope for, let alone predict. This has led many to speculate if the company saw the New Coke move as a win-win situation right from the beginning. If people like the New Coke, the company wins; if it backfires they demand the old stuff, the company wins; sales were already on the way down, so there wasn't much to lose.
Join me on a journey to 1984 — not the Orwellian robot world that Microsoft almost took us into, but the one that actually existed couple of decades ago. The Coca-Cola company had been watching sales slump year after year, despite being a market powerhouse for as long as anyone could remember. It seemed no amount of ad campaigns, marketing approaches, or packaging adjustments could pull Coke out of its downward spiral. Pepsi, meanwhile, was the choice of a new generation.
I knew it. I ####ing knew it. When Microsoft was making all those stupid announcements about DRM, used games, the online check-in, and so on, something just felt like this was not reality. A great number of people obviously felt some kind of disbelief, but I mean that I looked to the future and easily pictured Microsoft turning it around to paint this picture of being a company that "listens to the people" and "places more value on you, the customer, than anything else," and "is always striving to deliver the quality experience you've come to expect." That way, they get to look like pillars instead of pills. (I totally just thought that up.) I need to write things when I actually think about them instead of later, when my predictions have already come to pass. Welp.
Since the Xbox One reveal in May, I've been wondering if a New Coke move wasn't on the way. I wondered if Microsoft would keep digging a deeper and deeper grave with every feature revealed, and then "listen to your voices" (read: switch to Plan B, which has been in the playbook all along). The 24-hour online check-in is gone, the leash on second-hand games has been loosened, and suddenly the Xbox One has a second chance.
One might say that the Xbox brand wasn't in the same danger as Coke was, but to look around at sales charts and gamer buzz, Sony has clearly been gaining momentum in recent years. PlayStation handily won two straight generations; no one is invincible, but a competitor like that should never be underestimated. Microsoft easily could have been trying a long shot here. It might not seem realistic or imaginable to you, but when you're the guy wearing the $6,000 suit, you'll try some drastic things to keep it that way.
Have we been played? Has this all been one big experiment? Has the Xbox brand endured too much damage to the brand already, making a comeback impossible? It does, after all, still have that extra $100 on its price tag, and certain comments by MS executives still burn on the skin of many gamers. We'll never know for sure, but what I know for sure is that I need to go buy a Coke right now.
That's the power of branding, my friends.
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