Service Environment Audit
| Published in Papers
Nintendo Wii Shop Channel
The following describes the characteristics of the online shopping channel provided by the Nintendo Wii video game system through a service environment audit. Additionally, I will discuss opportunities for service improvements and outline the challenges of managing service environments with respect to this relatively new, niche channel.
BACKGROUND
The Wii Shop Channel is a service provided to owners of the Wii, the latest Nintendo gaming console. This system not only operates as a traditional console, allowing users to play various games from compact discs, but also features Internet capability and access to exclusive Nintendo Wii channels, which operate like websites and offer additional content and products. The Wii Shop channel is accessed through the home screen, which is activated when users first turn on the Wii system. Users opt in to this channel by agreeing to the Nintendo terms of service and by downloading and / or updating software to the Wii system.
INANIMATE ENVIRONMENT AUDIT
As the environment of the Wii Shop Channel is more closely related to that of a cyberscape, a comprehensive description of the service environment must include the physical space where the hardware (in this case, the Wii console and television monitor) is located, in addition to the interface itself, the graphic user interface (GUI). The human-machine interaction (or physical) space in which the Wii Shop Channel service experience takes place is highly variable and entirely dependent on the desires, comfort, and living situations of individual Wii owners. Additionally, the quality of an individual’s television system–its size and resolution, for instance– can drastically alter this service experience. One can assume that most of these experiences take place in living rooms, bedrooms, or basement spaces that are somewhat comfortable and offer ample space for movement, as operation of the main function of the console demands this requirement.
The GUI of the Wii Shop Channel, on the other hand, is a closed system designed and maintained by Nintendo, not unlike other more traditional Internet cyberscapes. All navigation through this interface is dictated by the human use of the revolutionary Wii controller. Once a user elects to visit the Wii Shop Channel from the home screen, she is led to another screen, which displays shopping and account options. Colors and images are minimal, the screen layout is extremely simplistic, and the interface appears relatively easy to navigate, as buttons are large and the language is concise. The Virtual Console screen hosts most of the content available in the channel, which consists of “vintage” games or applications available for download, searchable by title, newness, category, popularity, genre, and publisher. Once a user selects a game title, she learns the details of its original release, platform, compatibility, and price
Additional screens within the Wii Shop Channel include WiiWare, which offers free applications and additional channels for download, such as a photo management channel, as well as areas to monitor account activity and console settings.
Although some of the products available from the Wii Shop are free of charge, most are available on redemption of “Wii Points,” the form of tender for all purchases from the channel. Wii Points are purchased online with the use of a Visa or MasterCard in increments of 1000 ($1 = 1000 points). Product purchases must be made using the console remote to type credit card information into the Wii QUERTY keyboard.
OPPORTUNITIES FOR SERVICE IMPROVEMENT
While the graphics-user interface of the Wii Shop Channel is extremely straightforward and user-friendly in language and design, there are some aspects of the service that Nintendo might consider to improve the overall quality of the experience:
First, Nintendo should consider adding more graphics to the home pages to improve overall aesthetic appeal and, ultimately, enhance the user experience of the channel. While simplicity is often appreciated, there may be a way to improve the current aesthetics without complicating the service experience. The Wii home screen is an example of a more aesthetically pleasing approach that is not incrementally complicated in terms of usability.
Second, while Nintendo might have a clear business reason for using Wii Points as the form of tender rather than more straightforward dollar denomination pricing, this system may confuse customers. The conversion rates are not overly complicated and are clearly communicated, but the product prices seem low enough (generally between $2-10) not to dissuade customers (who have already invested several hundred dollars in the console, games, and accessories) from making purchases. Nintendo should consider switching to dollar-based pricing to eliminate customer confusion.
Finally, navigation of the Wii shopping channel is easiest for those familiar and comfortable with the tools necessary to play the games on the console. However, the customers most interested in playing Wii games (ie. children) might not be those responsible for and capable of making household purchases (ie. parents). The current controller can be difficult to use precisely with a QWERTY keyboard and may be a barrier to purchase for customers unfamiliar with its function. Nintendo should consider offering a keyboard accessory or credit card reader as a more familiar human-machine interface alternative; this accessory might also inspire channel extension opportunities in the future.
SERVICE ENVIRONMENT CHALLENGES
The service environment challenges presented by this distribution channel are numerous. The Wii Shop Channel is only accessible to Nintendo Wii customers, which can be advantageous to the point of reaching a targeted customer group, but clearly excludes customers interested in legally purchasing and playing theses same games on other platforms, particularly on PCs. Additionally, elements of the service environment are out of the control of the firm—in this case, Nintendo is unable to control the immediate surroundings within a user’s home or the quality of her entertainment system. A less-than-ideal setting might ultimately adversely affect the user’s service experience with the Wii Shop channel. The quality of the service experience is also dependent on the speed of a user’s Internet connection, which is also out of firm control. Finally, as previously described, the Wii controller may not be the most efficient means to navigate for all purchasers. The quality of a user’s experience with the Wii Shopping Channel is highly correlated with her comfort with this controller.
– Developed as part of a Service Marketing Management course, University of Michigan.