We love the Nintendo DS and Wii! It is such a great example to use for market segmentation — and we use it as a chapter opening case scenario in our segmentation and targeting chapter (chapter 4). Nintendo found a market segment, the casual gamer, that was under-served. They designed products for this market and soon was selling more game consoles than Sony and Microsoft which targeted hard-core gamers. Now things are changing. Sony and Microsoft are attacking the casual gamer market as “Nintendo Goes for the Hard Core with Its 3DS” (Bloomberg Businessweek, October 28, 2010). Read about it here.
This shows new product development, but also how a product category is moving from growth to maturity. Nice supplement to segmentation and targeting — and an update to chapter 4 if you are using one of our books.