Access Communications Puts Sega Back in the Game

The Case

Videogame maker Sega of America had burned consumers and retailers in the past with three failed game systems. It had a .5% market share and faced established competitors like
Sony and Nintendo. With its 128-bit console, Sega Dreamcast, set for a dramatic 9-9-99 launch date, the company faced the challenge of rebuilding consumer and media trust in its
brand.

Sega partnered with Access Communications to create a media relations strategy that would build major buzz among consumers and industry insiders about the launch and generate
massive sales for Dreamcast.

Level One

Access reviewed industry analyst reports and surveyed key media, retailers and third-party development studios to find out what stakeholders thought of Sega and its
competitors. Analysts revealed Sega had a reputation for producing excellent content despite its system drawbacks, and the media told Access a Sega comeback would make a great
story. Retailers and game developers were looking for competition for Sony's PlayStation system, but were still wary of Sega.

The firm began a campaign that would emphasize that Sega had bounced back from past problems and was a key player in the videogame market.

Super Sonic

The campaign was a year-long effort, but most tactics were planned for the summer leading up to the launch and the period immediately following. Budget for the campaign was
around $400,000. During the summer, Access blitzed the media with one press release each week, touting games, a partnership with Hollywood Video, and pre-launch momentum. Key
media were those that would drive sales with the males 12 to 24 demographic, including Vibe, Rolling Stone and Sports Illustrated, and their parents'
publications, like USA Today and Forbes.

The firm arranged meetings and demos with more than 50 members of the media in New York, procuring coverage from all participants.

More than 500 reporters also got loaner units for trial use, resulting in coverage by every tech reporter at every key daily in the U.S.

Access also targeted consumers directly, generating even more media buzz. The firm invited "funatics" to come to the Sega headquarters dressed as the videogame company's
mascot Sonic the Hedgehog. "We wanted to show that Sega's fun, fanatic fans will do anything to show their devotion and dedication to videogames [and] to win Dreamcast products
and prizes," says David Cumpston, Access account executive. The event secured media placement including Business Week and Time.

The firm knew media coverage during launch week would be especially focused on retailers, so it sent third-party PR training kits to the 15,000 stores stocking Dreamcast. Each
kit included key messages to communicate to the press, tips on dealing with the media, b-roll and press releases retailers could tailor to their regions.

Media mailings were stepped up to one per day during the week prior to launch, including items like T-shirts, and a bucket of "hot" things - hot sauce, Red Hots and oven mits.

Midnight Madness

Launch day began at 12:01 a.m. for many retailers carrying Dreamcast. Access coordinated events in the top 10 cities, securing celebrity appearances, pitching local and
national media to cover the events, and shooting footage to make available via satellite. Stories focused on the frenzy and included photos of consumers waiting in line to buy
the system.

Following the launch, Access issued press releases touting record-breaking sales. The company also persuaded retailers like Toys 'R Us and Electronics Boutique to issue
releases saying Sept. 9 was the biggest 24-hour sales period their stores had ever seen.

Results

In 48 hours, Sega Dreamcast was included in every key daily in the country and 650 television news segments. Within four days, it had secured 904 broadcast hits, including
segments on "ABC World News Tonight," "Good Morning America," "CBS This Morning," CNN, CNBC, "MTV News" and E! Entertainment.

Sega Dreamcast brought in $97 million in sales in the first 24 hours, and sold 500,000 units within the first two weeks following its launch. The goal was 1 million units in
four months.

Media coverage demonstrated that Sega had made a complete comeback following its previous mistakes. Analysts quoted emphasized that Sega had made a turnaround, and consumer
comments reflected the hype the campaign had generated. Reuters quoted a 15-year-old heading up one launch-day line saying, "It is the best system I have ever seen. I just want
it. It's so cool."

Shortcuts and Cheat Codes to the Next Level of Media Coverage

Access fanned the media flame by feeding its goals for the campaign to the press. "We established measurable objectives for things such as pre-sell numbers, the biggest 24-
hours [in entertainment retail], then advised the media when we reached our goals," says Access account exec David Cumpston.

Pre-launch press releases "set the stake in the ground that we would produce the biggest 24 hours in entertainment history," and post-launch releases from retailers and Sega
proved Sega had come through on its challenge. Disclosing objectives to the press helped maintain media coverage over the course of the campaign.

Access Communications
David Cumpston
Jennifer Fellner
415/904-7070
[email protected]

Sega
Charles Bellfield
[email protected]

Access Communications
HQ: San Francisco
Founded: 1991
Gross billings ('99): $10.5M
Staff: 68
Specialties: consumer, high-tech, b-to-b
Clients: Sega, Inktomi, Siebel, Autotrader.com, Toysrus.com
Access staff on the account: 12
Hours spent on hands-on game-playing
research:
countless