The Complete Guide on the Elite Business Model Of Sony You Were Looking For

Updated on: Sep 22, 2021

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My name is Aditya Shastri and I have written this case study with the help of my students from IIDE's online digital marketing courses in India.

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Looking to learn more about what makes the Business Model of Sony successful? Then you are in the right place!

Sony Corporation, headquartered in Tokyo, is a Japanese multinational conglomerate. Masaru Ibuka founded Sony as an electronics store. It was used to create the world’s first tape recorder. Sony has risen to become a household name for all clients throughout the world over the last seventy years and has expanded its reach into gaming, music, and filmmaking.

In this case study, we will be discussing the marketing strategy, marketing mix, swot analysis and business model of Sony. 

Let us start learning more about the business model of Sony by learning more about the company.

Digital Marketing Academic Challenge 2024 - DMAC

About Sony

Sony is a worldwide recognized corporation with a diverse variety of operations. They aim to make the most of their distinctiveness by implementing their convergence approach aggressively. Sony’s main goal is to enthrall and move its clients with its distinctive products. Masaru Ibuka and Akio Morita founded the company in 1946, and it is headquartered in Minato, Tokyo, Japan. 

When it comes to semiconductor manufacturers, Sony is ranked 20th in the world. In 2008, Sony Corporation employed around 163,000 people. By 2014, they were one of the top five global brands, with annual revenue exceeding $8.87 trillion. It’s due to their exceptional quality. They exceed their clients’ expectations to deliver complete satisfaction.

The Sony Corporation is primarily focused on electrical products such as televisions and computers. They are as follows: 

  1. Products for audiovisual and information technology
  2. PlayStation Entertainment, for example, enjoys music and motion films.
  3. The banking and insurance industries are examples of financial services.

Current News about Sony 

  1. Sony India unveils new 4K Bravia series with smart Google TV
  2. Sony Launches  “For The Music,” A New Audio Brand  Platform Putting Creator Vision First.
  3. Sony Research Award Program’ to Start Accepting Submissions Focused on Emerging and Innovative Technology Development.
  4. Sony Collaborates with Fnatic for its INZONE™ Gaming Gear Development.
  5. Sony and Astellas Enter into Collaborative Research Agreement to Discover a Novel ADC Platform for the Oncology Field.

Buyer Persona

Buyer’s Persona






23 years




  • Premium pricing
  • Innovative technologies
  • Availability in market
  • Quality of product

Interest & Hobbies

  • Playing Games
  • Watching movies
  • Making videos
  • Listening music

Pain Points

  • After-sale service

Social Media Presence

  • Instagram
  • Snapchat
  • Pinterest
  • Facebook
  • Tinder

Now that we have an idea of what the company is about. Let’s begin finding the marketing strategy of Sony. 

Business Model of Sony

Sony is a highly aggressive company, releasing new products every year for all its multiple sectors. Sony has always positioned itself somewhere between premium branding and a masse consumer brand, providing a large range of products from the lowest price point all the way up to professional electronics with large price tags.

They target consumers’ mindsets to build brand equity for their products. For example, when it comes to music-related gadgets, Sony is the first name that consumers think of. Sony also lowers prices and offers discounts during the holidays to boost sagging sales – that is to say, they believe in volume sales more than premium branding maintenance.

While marketing their products, the business model of Sony skews towards high volume marketing and high brand visibility as it has many competitors of equal caliber. Sony uses all media to advertise including TV, print, online ads, billboards, and so on. Sony bases its brand on the high quality of its products and services. 

Sony advertises the beauty and performance of its products, such as computers and cellphones, with the help of movies and other celebrities. As a result, it can be deduced that Sony employs a large number of celebrity endorsements for its brands. 

It even has a strong social media presence and uses video content, online ads, and other forms of digital marketing to keep its users engaged – showcasing how the business model of Sony and its marketing efforts are geared towards enticing younger audiences.

Now let’s peek into the different strategies employed in the business model of Sony. 

Business Model of Sony – Product Strategy

Product is a critical component of any business – it is the main criterion on which the success of a company depends.  Before purchasing a product, a buyer considers if it is safe, whether it meets their needs, whether the product is attractive, and at the same time it needs to be affordable.

The business model of Sony is hinged on its high-quality products and excellent customer service. They are the entertainment industry’s market leaders, and their products are quite beneficial. Sony Corporation produces the following items:

  • Portable, automobile, and home audio, as well as personalized navigation systems
  • TVs – LCD televisions, LCD projection televisions
  • Digital cameras,  Video cameras, Video DVD/Video recorders, and players are available.
  • PlayStations are video games.
  • Semiconductors include CCDs, LCDs, and a variety of other semiconductors.
  • Printers and computers–computers and printers.
  • Television and movies

The business has recently begun offering customized PlayStation and Sony cards, which can be used as reward credit cards. They sell computers under the Sony Vaio brand. It was first released in India on October 24, 2004. These laptops are available in seven different versions, including:

  • Vaio FW
  • Vaio SR
  • Vaio TZ
  • Vaio SZ
  • Vaio Tokage
  • Vaio CR
  • Vaio NR

These are the variety of products offered by the company. Now let’s discuss the pricing strategy of Sony. 

Business Model of Sony – Price Strategy

Sony makes an effort to price its products strategically. They strive to create a three-tiered price plan that caters to economy, middle-class, and high-end buyers. They charge a premium price for their unique product when it first comes out, and then progressively lower it. The concept is that when a product is first introduced, this method aids in profit maximization, and as the price drops, it increases sales volume.

Sony, on the other hand, was a low-cost manufacturer of a variety of devices. This allowed them to have sufficient resources, allowing them to outperform their opponents. Perhaps the best illustration of a combination of distinction and low-cost initiatives is Sony’s pricing strategies. Sony attempted to price each model in their laptop series according to its style, mobility, purpose, performance, and user.

This is how Sony sets its price to grasp its customers. Let’s find the placement strategy of Sony. 

Business Model of Sony – Placement Strategy

The centerpiece of the business model of Sony is centered on the company’s distribution channel. They make certain that their products are freely accessible to their customers. In a country like India, where people want to buy long-lasting and durable products, the distribution route is extremely important. The manufacturer, retailer, and finally the customer make up their distribution channel. They primarily distribute their items through a limited number of dealers, such as SONY WORLD.

They have a large presence in India, with branches all over the country. They have around 7000 channel partners, over 260 Sony stores, and 21 branch sites in their distribution network. They employ a single-level distribution channel in this case. Dongsheng International Trade Co. Ltd, Front-Page Trade Co. Ltd, Best Wholesale Co. Ltd, and Denzuke Network Sdn. Bhd is just one of its wholesale distributors.

Sony does maintain a large business market to expand it globally. Let’s see how the company promotes its products. 

Business Model of Sony – Promotion Strategy

Promotion is the key to successfully launching the product and making the target customers aware of its utility. The promotion has an impact on both the company and the product. It significantly increases the company’s profit while also providing knowledge and raising consumer awareness of the products. Sony Corporation appears to be making good use of this. 

Their tagline “Make. Believe” sends a message that initiatives in-network services, electronics, mobile phones, music, and movies should all work together. It also represents Sony’s core values of innovation and creativity. They employ a large number of celebrities to endorse their products. Previously, the faces of their products in India were big actors like Deepika Padukone and Kareena Kapoor. Currently, Katrina Kaif has been named a brand ambassador for Sony’s Xperia smartphone line.

Sony advertises its products through various mediums such as newspapers, televisions, billboards, magazines, and so on. They also have a strong web marketing presence. They use a variety of PDF brochures and videos to ensure that customers understand their products and services. Along with this, they provide cards with redeemable points when a purchase is made. They primarily focus on the pull strategy for attracting customers.

The business model of Sony is humongous and at its core is dependent on delivering high-quality products and strong supply chains across the world to maintain the company’s market leader position.

How does this brand use Digital Marketing in its strategy?

In this time, when everyone is active on social media, promotion for anyone becomes very easy, which is why Sony is also using this platform in an efficacious way that increases customer interaction towards brand and related products and services. Sony is also using the “POEM Model “for marketing.

  • Paid marketing: In this Sony uses paid promotions with celebrities and in Google-sponsored marketing. Example- Advertisement
  • Owned marketing: Marketing through Owned platforms that are owned by the company. For that, they are using their Instagram and other social media platforms for promotion. Here, they are sharing all information related to products and services. Example- Instagram page.
  • Earned marketing: In this, all the third-party promotions included Sony launched a campaign to promote the “PS5”, To which Sony launched an impressive display into the streets of London.
  • Although it was first released in November lacking  2020, various components, integral it was a challenge for Consoles. To address this, Sony came back with ample Production. With this campaign, Sony showcased new emerging technology with a customer-centric approach.

Top 5 Competitors of this brand

  • Samsung  It is the biggest competitor of Sony as it has covered all the areas where Sony is present. It is a South Korean company that was founded in 1938. It has a variety of products that contribute globally.
  • Life’s Good (LG)-  It also exists in the top competitor list of Sony. It was founded in 1947. LG is the oldest and most trustable brand and has a place in people’s minds. Its headquarters are in Seoul.
  • Panasonic is a diversified company and has a variety of products. Panasonic is a leading company in the development of home appliances. 
  • Philips This is a Dutch multinational company, that was founded in 1819. The company focuses on three dimensions that are Connected Care, Diagnosis & Treatment, and personal care. On 9 November the company acquired Cardiology, an AI-powered cardiac diagnostic technology developer, to expand their reach.
  • Dell set their roots in electronics Products with the main focus on computers, laptops, etc with that, they are giving tremendous competition to Sony. Dell is a leading computer brand product.

Example of a Failed Campaign Or Backlash from Viewers

What was the issue?

Sony Launched a campaign for a new white model of portable PlayStation. In this campaign, Sony presented two women one in white and another one in black. The white one was grabbing black women who disappeared in the background. 

What backlash did the brand face?

People assumed that it launched recently and started opposing their old product. Sony dominated their old product.

What did the brand do in this situation?

Sony justified that campaign and said that there was not any intention to dominate any product, it was just a way to present a contrast between two colors. Sony recaptured all the holdings, and banners.

Digital Marketing Academic Challenge 2024 - DMAC


Sony is one of the most coveted and leading manufacturers of communication, gaming consoles, information technology products, electronics, and video for professional markets and customers, which has helped the company grow into one of the world’s wealthiest and most likeable corporations.

An important part of the business model of Sony and its promotional strategy is the usage of digital marketing to reach its customers. Every business across the spectrum is reckoning with the dire need to leverage digital marketing to boost their businesses as having a digital presence becomes impertinent.

If learning the latest techniques of marketing interests you, check out IIDE’s Free Digital Marketing Master Class by our CEO and Founder, Karan Shah, in which he will guide you through all you need to know to understand the scope of digital marketing.

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Aditya Shastri

Lead Trainer & Head of Learning & Development at IIDE

Leads the Learning & Development segment at IIDE. He is a Content Marketing Expert and has trained 6000+ students and working professionals on various topics of Digital Marketing. He has been a guest speaker at prominent colleges in India including IIMs......[Read full bio]


  1. Prajwol Shakya

    The blog on the business model of Sony has helped me to learn more about Sony. Thanks!

  2. Parth Chavan

    The business model of Sony is pretty impressive! No wonder they are so successful. Amazing blog!


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