It’s reasonable to assume that a massive company like Microsoft wouldn’t have difficulty investing heavily in promoting its Xbox brand globally, yet this hasn’t always been the reality. In Europe, for instance, PlayStation has historically held a significantly stronger position than Xbox, reflected in a substantial gap between their respective sales and marketing expenditures.
In a recent interview with Adweek, Microsoft’s EMEA advertising lead, Michael Flatt, discussed the latter as one key aspect of Xbox’s strategy. According to Flatt, Xbox must operate with limited funds for European advertising, making it necessary to adopt “scrappy” marketing strategies, unlike PlayStation’s ability to spend vital quantities of cash on advertisements in Europe due to its deeper pockets.
“According to Flatt, from a financial standpoint, we must exert significant effort to surpass our rivals in the gaming industry, specifically in comparison to PlayStation.” While they’re fortunate enough to have substantial advertising resources at their disposal, which is undoubtedly an advantage. We adopt a more financially responsible approach to media investments. Without substantial media budgets, we must be resourceful and persistent to compete for limited funds that could potentially be diverted elsewhere.
A recent report suggests that Microsoft is reassessing its advertising strategy for Xbox in certain European, Middle Eastern, and African (EMEA) markets, primarily due to historically poor sales in those regions. The corporation reportedly plans to redirect its advertising efforts towards Recreation Go, PC and cloud gaming, as well as Xbox controllers. Discover more information on that topic by clicking here.
