Sony Looks For New Media Agency As Sales And Profits Slump

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Sony Computer Entertainment who are responsible for marketing the Sony Playstation and related games is out looking for a media agency as sales and profits slump and Nintendo with their highly popular Wii grab the lion’s share of the console market.

Also hurting Sony in Australia is Microsoft who during the past few months has grabbed market share away from the Sony PS3 Playstation with a discounted Xbox 360.

Sony has steadfastly refused to cut the price of their PS2 and PS3 consoles in Australia, making them among the most expensive in the world, meanwhile Microsoft has increased sales of their Xbox 360 by 147% over the same period in 2008. Nintendo and their Wii console have over 70% of the console market in Australia.

Even when SCE in the USA was slashing the cost of the PS2 in the USA to sub $100 Sony Computer Entertainment was insisting that $199 which is $55 more expensive than the USA model was a “fair” price for Australians to pay for the PS2 console. 

Now as Sony looks to slash costs due to a 95% crash in profits it has been revealed that Incumbent media agency Starcom is set to be dumped with the decision now between media agencies, Mindshare and OMD.

Senior director of marketing at Sony Computer Entertainment Raoul Bedford told ADNews “The media review is a European initiative that the Australian side of the business has been included in,” said Bedford, “with a final decision on the pitch expected by the end of May.”

Sony originally called a global review of its media supplier arrangements in February in a move to consolidate its accounts in New Zealand, Australia and Europe under one regional agency.

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