Rethink your product’s price, packaging, and promotion

A few weeks ago, memory chips got more expensive. This would affect pricing for a lot of companies that needed these chips for their devices. Nintendo was one of these companies. In one view of the world, a deeper vertical integration would’ve helped solve this problem; if Nintendo made its own chips, it would have greater control over its destiny. But where does that integration stop; does Nintendo need to harvest its own minerals? What ended up happening is more simple than that: Nintendo announced a price increase for its Switch 2 console, as well as a new promotion: if you buy the Choose Your Game bundle, available for the summer, you would receive a free copy of Mario Kart World, Donkey Kong Bananza, or Pokémon Pokopia. In other words, Nintendo is discounting its most popular games with a campaign to hopefully bolster any sales that would’ve been lost to the price increase. Marketing consists of 4Ps: product, pricing, packaging, and promotion. When your product’s price increases,…