Does Mario like Apples?

“History often rhymes,” and in the world of technology, this adage holds especially true. While the connection between Apple and Nintendo may not be apparent to the naked eye, these two dominant players in their respective industries share a striking resemblance in their approaches to building and maintaining their competitive edge through captivating ecosystems and courageous innovation.

Apple, founded in 1976, has revolutionized the consumer electronics market, with products such as the Macintosh, iPhone, and iPad becoming cultural icons. Its expertise in creating user-friendly devices and operating systems has allowed Apple to become a leader in the tech industry and a global brand with a loyal following.

During the same period, Nintendo, known for its innovative gaming consoles and beloved game franchises like Mario, Zelda, and Pokémon, has consistently captured the hearts of gamers across generations. The Japanese company has been a major force in the gaming industry since the early 1980s, delivering unique gaming experiences and creating enduring intellectual property that cemented its position as a leader in the gaming world.

Though operating in different industries, Apple and Nintendo share striking similarities in their digital strategies. Integrated ecosystems that incorporate hardware, software, and support services play a crucial role in both Nintendo’s and Apple’s strategies, allowing them to maintain total control over their platforms and differentiate themselves from competitors.

For Apple, the closed ecosystem they’ve built around their products is a key factor behind their control and differentiation. Apple designs and manufactures its own hardware, develops its own operating systems (iOS, iPadOS, and macOS), and offers a suite of services (including iCloud, Apple Music, and Apple TV+). This integration enables Apple to maintain:

· UX control: Apple can optimize the performance and functionality of their devices, ensuring seamless interaction between hardware and software. This level of control allows Apple to maintain a high standard of quality and reliability across its product lineup. These offerings not only showcase Apple’s prowess in design and engineering but also serve as a testament to its commitment to developing cutting-edge technology.

· Uniqueness and differentiation: Apple’s design language and focus on user experience remain consistent across its product lineup. This consistency instills a sense of familiarity and comfort for users, strengthening brand loyalty and reinforcing Apple’s position as a premium choice in consumer electronics. Furthermore, the closed ecosystem allows Apple to offer features and services that are exclusive to their devices. For example, iMessage, FaceTime, and the seamless integration of the Apple ecosystem across devices (e.g., Handoff, Continuity) set Apple products apart from Android and Windows-based alternatives.

In recent years, thanks to the commercial success of Switch, Nintendo was able to move from a cyclical, hit-driven console and gaming producer to a company that offers an ecosystem of entertainment-related services for which a hardware console is just an interchangeable vessel. In that sense, Nintendo is well positioned for a Switch-led business transformation that may “rhyme” the story of Apple and iPhone:

· UX control: Nintendo develops hardware with innovative features, such as the motion controls of the Wii or the hybrid design of the Switch, and creates games that take full advantage of these features. Out-of-the-box thinking results in gaming experiences that are distinct from those offered by Sony Playstation and Microsoft Xbox. Furthermore, Nintendo maintains strict control over the games that are released on their consoles, ensuring a curated selection of high-quality content. This control allows Nintendo to maintain a strong brand image and uphold the reputation of its platforms.

· Uniqueness and differentiation: While Apple tends to remain at the forefront of technological progress by utilizing the newest available designs in its products, Nintendo focuses on affordability and a creative approach. For example, the Nintendo Game Boy platform was launched in 1989 with a black & white screen at a time when many competing products sported colored displays, allowing the manufacturer to lower the price tag and extend the battery life of the device. Moreover, Nintendo’s stable of evergreen franchises, including Mario, Zelda, and Pokémon, are synonymous with Nintendo’s brand and have captivated generations of gamers. The beloved franchises provide a unique selling point for their gaming consoles, drawing in fans who eagerly anticipate new installments in their favorite game series.

Additionally, both Apple and Nintendo have recognized the growing significance of digital distribution in their respective markets. As a result, Apple has expanded its digital services offerings, including the App Store, Apple Music, and Apple TV+, capitalizing on the higher margins and recurring revenue streams that digital services provide. Similarly, Nintendo has embraced a subscription model (Nintendo Switch Online) and digital game sales (eShop), leveraging the convenience and increased profitability of digital distribution to drive growth. In the case of both companies, digital sales are tied to Nintendo Switch Online and iCloud accounts, which allows for smooth transitions across Nintendo’s and Apple’s family of devices while simultaneously increasing the barriers to switching to competitors’ platforms.

While it is clear that the business and technological similarities between the two companies are careful creations of C-level geniuses, there is one element that cannot be manufactured: nostalgia. For many, Nintendo is synonymous with cherished childhood memories and characters that captured the hearts of gamers for decades. Similarly, many Apple users fondly remember their first encounters with the groundbreaking Apple II and Macintosh computers and the transformative impact they had on their lives. If this nostalgia resonates with you directly, you may want to pay a visit to your local movie theater to see The Super Mario Bros. Movie 🎥