Wii has become a surprise hit of the holiday season for several reasons and has become the darling of those seeking a frugal option to the higher priced PlayStation 3 from Sony.:
"In fact, the Wii -- pronounced we -- has proved more popular and harder to nab than Sony Corp.'s higher-tech, higher-price and highly touted PlayStation 3, which has superior graphics and a built-in, next-generation DVD player. The Sony machine comes in two models, priced at $500 and $600....The Wii, which retails for $250, has emerged as this year's biggest must-have game console for Christmas.
Here are a few frugal and marketing lessons I've pulled out of this electronic drama and hype.
1. Price matters. People care about value
2. Cool commercials count. (Those Wii commercials are good!).
3. Simplicity, scarcity and hype can turn consumers into sheep.
"It may be because the PS3 is so scarce, consumers have given up looking for one and are going after the Wii with a vengeance," theorizes John Taylor, a videogames analyst at Arcadia Investments Inc., in Portland, Ore. He says that reports of Sony's production problems and consumer confusion over some of the PS3's technology has driven shoppers to the simpler and less-expensive Nintendo machine. -- Wall Street Journal
The Frugal Duchess Boutique