Atari Coin Connection

Issue: Vol 7 Num 03 - 1983 March

MARCH -1983 VOLUME 7 NUMBER 3
erry arcus Appointed
Executive VP of Sales
he Coin Video Games Division is im-
plementing several new approaches
toward expanding sales in 1983. Ac-
knowledged as one of the industry's
spokespersons, Jerry Marcus brings his
experience and expertise to help meet
this goal as he joins Atari in the newly-
created position of Executive Vice Presi-
dent of Sales. Formerly President of Bally
Midwest Distributing Company, one of
the world's largest coin machine distribu-
tors, Mr. Marcus will manage all sales
functions for the division, a responsibility
that was previously held by Don Osborne.
In a related move, Mr. Osborne has
been given exclusive responsibility to for-
mulate and manage the ever-expanding
marketing department of the division. In
this capacity, he will focus on product re-
search, marketing, public affairs, and in-
dustry issues, including video game legis-
lation. Both individuals will report to John
Farrand, President of the division.
Prior to his presidency of the Chicago-
based Bally Midwest, Jerry Marcus held
the same position of Executive Vice Pres-
ident with both Seeburg, a Chicago-head-
quartered manufacturer of music vend-
ing machines, and Rowe International, a
distributor. He has managed to feel
'' comfortable on both sides of the fence
already" and does not foresee any diffi-
culty in making the transition once again.
He received his Bachelor of Science and
his Masters of Business Administration
XEVIOUs· Invasion
Earth Readies for
BACULA, ZOSHI, ANDOR GENESIS
... your players will gasp as they discov-
er what's next. With its dynamic anima-
tion, XEVIOUS is one of the most exciting
video experiences ever presented. With
its diverse game play, XEVIOUS chal-
lenges players in a way no other video
game does, and the test collections are
confirming its absorbing power.
Many eons ago, an advanced, techno-
logically oriented civilization was forced to
evacuate the Earth to other planets in the
distant Universe. Now, the Xevious people
are returning to reclaim their heritage-
with a vengeance that has been fired up
through all those years. They have already
secured certain locations on Earth and
are mounting a fierce attack in the air to
conquer what remains. The player faces a
head-on collision with the past to protect
the Earth from their invasion.
In the most critical search and destroy
mission ever flown, the player is alone at
the controls of his super sophisticated
SOLVALOU space fighter which he ma-
neuvers with an eight-position joystick. He
must stop the Xevious infiltration and win
from New York University. Responding to
an ad placed by Rowe in the New York
Times during 1957, he immersed himself
in the exciting coin machine industry
with its continual sense of change and
constant "people" orientation. These are
the aspects of the business which keep
his interest level so high.
Addressing the responsibilities of his
new role with Atari, Mr. Marcus states:
"At those times when the market slows
down, there's always something that
comes along to give it that needed
boost." He has no doubt that Atari will
furnish the industry with key technologi-
cal advances in coin video games. He
anticipates an increase in the use of 3-D
visual effects and simulators as well as
laser technology. To support these
developments, he also plans to expand
"day-to-day" contact with distributors
and operators in the field to maintain our
reputation of high serviceability.
"Jerry Marcus comes to Atari with im-
peccable credentials and achievements,"
commented John Farrand at the time of
the appointment. "We think it's essential
that Atari has a broad understanding of
distributor issues. After 26 years in this
industry, Jerry's certainly qualified. We
have an outstanding line-up of products
in 1983-both creatively and technologi-
cally innovative. We feel the sales and
marketing team of Marcus and Osborne
will maximize this effort."
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back the world! The player cruises over
the scrolling landscape, bombing the
Xevious ground entrenchments by center-
ing his bombsight over each and zapping
the air targets that come into range.
As the player flies over the Earth, vari-
ous landmarks can be distinguished.
Heavily forested areas, landing strips, •
roadways, rivers, ocean and desert all
pass below. The player may fly over the
ground targets such as the domes, rovers
and tanks without harm-but he must
watch out for their shots! In later waves of
game play, Machu Picchu, the ancient
landing strip "of the gods", appears, and
this seems to be a particularly heavily de-
fended Xevious stronghold with its myste-
rious citadels hidden in the sand.
The player faces a seemingly endless
cast of foes on both the land and in the
air. A flotilla of flying BACULA resistor
shields forms an impregnable opponent
that repels the player's shots. These BA-
CU LA resistor shields cannot be de-
continued on last page
* Xevious is engineered and designed by Namco Ltd., manufac-
tured under license by Atari, Inc. Trademark and © Namco 1982.
XEVIOUS Major Media Schedule
Announced at Open House
Distributors who attended the "Open
House" activities on February 7 went
home confident that Atari is once again
taking the leadership stance in the indus-
try. One might say we gained the veri-
table "pole position" after the November
AMOA Exposition in Chicago and have
high expectations for our early 1983 con-
tender, XEVIOUS. To ensure the new
game's immediate visibility, Atari will be
launching an immense media schedule,
including print advertising, television and
radio. Jerry Shereshewsky, Vice Presi-
dent of Young & Rubicam which is the
advertising agency developing the media
campaign, confirmed at the Open House
breakfast meeting: "XEVIOUS will be the
first coin-operated video game to receive
major consumer advertising support in
almost every major market."
The demands for consumer advertis-
ing are basically twofold: first, the short
life cycle of a game necessitates imme-
diate awareness and trial on the part of
distributors, operators, and players com-
bined. In the constant state of flux that
characterizes this marketplace, reliance
on "word of mouth" is not effective. Sec-
ondly, today's investments made by dis-
tributors and operators require a higher
level of confidence in the successful pay-
out of any game introduction than they
have in the past.
Atari began conducting a test of its
advertising efforts behind DIG DUG™*
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in July of 1982. By August, the results in-
dicated that awareness of the game in
our test markets was 227°/o higher than
in our non-test markets. Even among the
very staunch coin video game players,
awareness was proportionately in-
creased. Furthermore, in the advertised
markets, the average number of games
initiated by each player was 20°/o higher
than in the "control" or non-advertised
markets. Awareness plus the excitement
of the media "blitz" generated location
earnings: quarter drops in test markets
were almost 30°/o above those in control
markets. And players specifically re-
quested Dig Dug at the locations they
frequented.
What media magic does Atari now
have up its sleeve to support your invest-
ment in XEVIOUS? Over a million dollars'
worth! Beginning March 21 and running
three consecutive weeks thereafter, Atari
will advertise in these major market lo-
cales: New York, Los Angeles, Chicago,
Philadelphia, San Francisco, Boston,
Cleveland, Dallas, Minneapolis, Seattle,
Atlanta and Charlotte. Our target audi-
ence is male between 12-24 years of age.
The 30-second Xevious commercial will
be aired on television during prime time,
sports, late night, and special shows, in-
cluding "Saturday Night Live", "American
Bandstand", and "Dance Fever". On a
national scope, players will be introduced
to the game on the Cable Music Television
(MTV) network. And there will be radio
spots scheduled on the major AM rock
stations in these same twelve cities.
For perspective, if our advertising ex-
penditures behind the release of
XEVIOUS were extrapolated on an an-
nualized basis, the impact would be that
of $26 million. The name "Atari" is al-
ready second in consumer awareness on-
ly to "Coca-Cola" according to a national
survey conducted in January, 1983.
Don Osborne, Vice President of Coin-
Op Marketing, explained that the adver-
tising schedule will cover the markets
wherein 54 °/o of our customer purchases
are derived. "We are continually seeking
new ways to compete, to help our cus-
tomers to launch our products with more
confidence and assurances for success."
During the course of the special day's
activities, distributors witnessed this
"thrust" as they toured the various Cali-
fornia facilities, including the engineering,
printed circuit board, woodshop, silk-
screen, and final assembly buildings.
Open House concluded with a catered
dinner during which John Farrand, Presi-
dent of the division, addressed his au-
dience with humor and optimism. Quite
seriously, however, his final remarks set
the tone of Atari's leadership stance as
well as the future of the industry as a
whole. "We're all in a business that's
definitely here to stay." Although he did
not recount the details of the Xevious
commercial, he chose to preview its final
impact: "XEVIOUS ... the ATARI video
game you can't play at home! ''
• Dig Dug is engineered and designed by Namco Ltd.,
manufactured under license by Atari, Inc. Trademark and ©
Namco 1982.
\
'\..t.J
IT'S YOUR
BUSINISS
We'd like to give credit where it's due . ..
Atari distributors are contributing their in-
volvement in various hospital and school
programs, particularly in regard to rehab-
ilitative uses of video games. It's not al-
ways "fun and games" for our distributors
but serious business. Their game donations
not only uplift the spirit of the recipients
but the industry's image as well. We here
at Atari extend our thanks to all of you.
Recently, Mark Franco, Executive Vice
President of Franco Distributing in Mont-
gomery, Alabama, thoughtfully wrote in
to update us on the "Nova Program" at
Bryce Hospital in Tuscaloosa, Alabama, and
how his company was able to make a spe-
cial contribution of ATARI coin video games.
During the week of December 20,
1982, Bryce State Hospital in Tuscaloosa,
Alabama, received an ATARI Asteroids
Deluxe™ and a Battlezone® from Franco
Distributing Company, Inc. of Montgom-
ery, Alabama. "The coin video games
will serve several therapeutic functions,''
says Patricia Scheifler, director of the
hospital's Nova Program. " In addition to
providing constructive recreation during
the patients' free time, we believe the
games can improve eye-hand coordina~


Patricia Scheifler, Nova Pr~ram Director, roots for a patient playing an Atari coin video
game from Franco Distributing of Montgomery, Alabama.
tion, motor skills, concentration, reflexes
and reality orientation. Another important
function served by the games will be that
of positive reinforcement for the patients
on individual behavioral management
programs. These patients will be able to
earn tokens to play games by fulfilling
their responsibilities such as proper
grooming, attending classes and activi-
ties, and achieving their individual beha-
vioral goals," affirms Ms. Scheifler.
"Video games have been falling victim
to a lot of harsh criticism lately," explains
Mark Franco of Franco Distributing Com-
pany, Inc. "We are pleased to help out a
program that can utilize the games in a
positive and therapeutic way.''
The Nova Program is a new treatment
concept implem_ented at Bryce Hospital
for young adult men (18-35 years old)
with chronic schizophrenia. The program
is based on the philosophy that the
young adults served have very special
needs which set them apart from other
psychiatric patients. Treatment is direct-
ed toward helping the patients develop
responsible behavioral patterns and a
healthy lifestyle. A highly structured daily
schedule, mega vitamin therapy, proper
nutrition, exercise, medication, and active
family involvement are combined to pro-
vide a diverse approach to rehabilitation.

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