Discuss about the Marketing Management for Microsoft.
Google has become the market leader through its search engine and constant innovation over diversifying products. As Google grew as most popular search engine for the web user, it attached host online advertiser. These advertisers drove the revenue of this organization through searching ads. Google’s search ad program namely AdWords sells spaces on the search page to the ads linked with specific keywords (Kummer & Schulte, 2016). Google auctions off the keyword ads, with primary keywords and page locations for going to the highest bidders. Apart from that, Google’s AdSense program allows any website in displaying targeted Google ads in relation to the content of the site. Over the years, the organization has expanded its product and service beyond search engine. The wide range of products of this organization can be divided into five categories namely Desktop product, hardware products, web products and other products. The desktop products, which created brand value for this organization, are Google Earth, Google Video, and Google chrome (Juel Vang, 2013). On the hand, popular mobile products are also subdivided into advertising, communication and publishing. Apart from that, the core value of Google is also created by Google voice for call forwarding and voicemail service.
Google has set an attempt to reach out as many people as possible over the web. They are determined to launch new PCs and phones with advanced technical features. The organization is ambitious with launching innovative products and advanced web, which provides personalized experience to the customers.
Google is absolutely doing right things by taking on Microsoft having its cloud computing features. With could computing features of Google, the Microsoft consumers can access their documents and files from anywhere without being physically present with digital devices. Google launched its first web browser namely Google Chrome in the year 2009 (Steiber, 2014). It is much more efficient than Microsoft’s Internet Explorer Web Browser concerning information accessibility.
Google first launched its android phone in the year 2008 and created tough competition for Apple. Many critics have praised the platform of android over the platform of Apple’s iPhone. Google has been openly sourced and sponsored by multimillion-dollar investment. Thus, over the years, the organization is constantly improving the design of android. On the contrary, iPhone is only available by AT&T, maximum of competitors support android platform (Juel Vang, 2013).
Chinese Government has threatened Google in 2010 due to censorship and intrusion of hackers. Therefore, Google had been forced to close its search engine in China (Kummer & Schulte, 2016). In this extent, Google redirected the Chinese people towards the uncensored search engine in Hong Kong. The intension of this decision was to skirt the censorship requirement without maintaining Chinese laws.
Case of MICROSOFT
During the recession time, Microsoft had launched a revamped version of operating system in the year 1990. It was named as Window’s 3.0. It offered improved set of application and Windows icons such as program manager and file manager. These are still used by the customers. Windows 3.0 had become the first-operating system that is to be pre-installed in some of the PCs. In this way, it became the milestone for Microsoft as well as the industry. Throughout 1990s, the communication efforts of Microsoft convinced the businesspersons that it software was not only best for business, but also it would assist them to be upgraded over the time (Clark et al., 2013). The organization spent millions of dollars for magazine advertising. Through this advertising, organization had received endorsement from popular computer magazines. It made Microsoft office and windows the essential software for every computer at that time. It had bundled its internet explorer with its office products. In this way, most of the customers automatically became the customer of internet explorer. With the recession in 2008, the brand image of the company has been tarnished (Dhillon & Gupta, 2015). In such situation, the organization initiated new market campaign entitled with “Windows: life without wall” for turning their image around. In this poor economic time, the company had reduced the price of their software for realizing cost effectiveness of computers with its software.
The positive part of Microsoft’s “I am PC campaign” is that had highlighted various individual, who were proud for their PCs. It had actually improved the loyalty of employees as well as customers. On the other hand, the negative part is that Microsoft was copying the advertising features of Apple. This is way, Microsoft had been criticized by most of the critics and it was ultimately became an epic fail for the organization. Microsoft is acknowledging the Apple’s market campaign for its own marketing message. Apart from that, in 2009, the organization opened similar retail stores like Apple (Fabian et al., 2014). The intension was to create deeper engagement with consumers. However, Microsoft is not doing well by acknowledging Apple’s campaign as its own marketing campaign. It is not well because the organization instead of highlighting it own unique products, it is copying the image of Apple for attracting customers.
Case of IDEO
Ideo is most recognizable for its design icon in technological field, which includes first hand, computer and laptop, first mouse and TiVo digital video recorder. Apart from making design of technological products, the organization also designs for household products and other decorations. Ideo is successful because of its “design thinking” approach. This approach is based on “human-centered methodology”, in which the organization makes design according to the customer’s active want (Slater et al., 2012). The organization provides product design that gives superior experience and solves actual issues of the customers. The organization openly interacts with the customers for knowing their exact want. In this way, the organization is able to provide customer-friendly products designs, which create competitive advantage for the company. Most of the technical organizations tend to design product from inside to outside, but Ideo design products from outside to gain success over their competitors (Cayla & Arnould, 2013). The prototyping feature of this organization is also a reason for the success of the organization, where the customers can give their suggestion in every stage of products development to improve it.
The difficult challenge, Ideo face in regard to research and designing is knowing the human factors regarding the design. Conducting “deep dives” is not an easy process and it needs to conduct effective interview with the customers to know their wants and demand. However, most of case, it is difficult to know authentic information from the customers and the research and design process becomes obsolete.
Through the company is the largest design consultancy in US, still it needs to create more brand awareness. The more it can increase its brand awareness, the more it will be able to get more number of customers. It will create a favorable motivation for the customers to take quick decision in purchasing the products of the organization (Czarnitzki & Thorwarth, 2012). Strong brand awareness will make the products design of Ideo on the top of the mind of customers. In this way, whenever the people will think of to make their products design, they will first think of this organization. The more the customers are aware of the brand, the more Ideo can enhance its reputation. In this way, there is high potential of profit. In this way, it can create long-term position in the market by gaining large portion of customers.
Case of FULLA DOLLS
Fulla Dolls came into the market in 1999, when the Muslim Community was disquieted with the value provided by Barbie. Barbie was banned in Soudi Arab, because it was not associated with the values and norms of Muslin society (Shaninia & Maher, 2012). The organization made a selective target market for Fulla dolls. Fulla was specifically made for Muslim children and only for the middle-eastern country. It was an alternative to Barbie and only represented the life style of Muslim girls (Guignard, 2012). It has become the role model for the Muslim girls regarding how they should dressed up and how they should behave. Fulla also demonstrates that how the Muslim girls should behave with their parents and friends. Muslim girls can also know the ways to be honest and fashionable.
Along with pros side, there are some con sides also. Fulla’s selective marketing strategies are associated with one part of the world. The organization is nurturing only the value of one religion. Apart from that, due to selective targeting, the sales value of the organization is also deceasing. It is unable to create more number of customers with too narrow thinking and innovation with only one type of product (Shaninia & Maher, 2012). Apart from that, selective targeting also is also preventing the expansion of the organization.
In order to increase its sales, Fulla should expand its market beyond Middle-Easter countries and try to gain customers from other countries as well. Apart from restricting themselves with narrow products specification having only Muslin culture, it should try to incorporate some new thing, which will be attractive to other set of customers (Guignard, 2012). Therefore, Fulla should diversify their products and make dolls having other cultures beyond the Muslim culture. Apart from that, they can also diversify their products to some other products and should not restrict themselves only within dolls. Thus, the organization can get different types of customers and can expand their sales volume.
Fulla’s segmentation strategy is too much selective. They are only selling their dolls to the Muslim children and Middle-Eastern countries. The organization is only representing the value and norms of Muslim culture and it is not concerned with any other culture. Apart from that, Fulla is making their products only for female customers, especially for girls. Therefore, the customer segment they are holding is too narrow (Guignard, 2012). On the other hand, their dolls are specifically customized to behavior related issues for home centric girls and nothing else. Therefore, it can be said that segmentation strategy of Fulla is too selective.
Case of JIM THOMPSON THAI Silk Company
JIM THOMPSON THAI SILK COMPANY (JTTS) is popular for mixing unique blends of design and representing heritage of Western contemporary design. The designers of this organization make attractive and up market design of silk. The color produced made by the designers can be used in various products. It sells silk for fabrics, home furnishing products, accessories and apparels (Liu & Ko, 2014). It is endorsed for bringing Thai royalties within the silk. With the growth in the market, the product portfolio of this organization has been diversified a lot. The product portfolio of this organization includes home furnishing products, scarves and handbags. JTTS has been extended to provide customized fabric with its hand woven silk line. In collaboration with Ed Tuttle, the organization customized fabric for the projects of Park Hyatt hotel and Aman Resort (Patichol et al., 2014) The silk of this organization has different color, which can also change depending on the lights of the Sun. There, it can be used for various types of product design.
The organization has more than 50 retail stores in Singapore, Thailand, Dubai, Malaysia, Japan and Brunei. It has also presence in 30 other countries. Therefore, it can be assumed that JTTS has wide expansion in all over the world. Apart from expanding in all over the world, the organization has wide variety of diversified product line. Apart from only making fabric products, the organization has also products like home furnishing products, apparel, accessories and others (Liu & Ko, 2014). This means the organization has wide extension in their product portfolio. However, they are managing all of their products with innovative design and quality. They are actually bringing the cultural heritage of Thailand. Therefore, it can be said that though the organization has widely extended with its products portfolio, still they have enough control over all the products.
JTTS has sufficiently differentiated itself from other lifestyle brand. The customers can get wide range of products design from fabric to home furnishing, apparel and accessories. One of the most preferred differentiating factors of this organization is that it can provide customized design for the products. The designers of this organization are quite capable of producing unique products, which are attractive to the customers. Apart from that, wide variety of color of the silk can be used to produce different kinds of home furnishing products (Patichol et al., 2014). On the other hand, cultural heritage of Thailand within the silk of this organization is the most differentiating factor of JTTS over other life style brand.
Cayla, J., & Arnould, E. (2013). Ethnographic stories for market learning.Journal of Marketing, 77(4), 1-16
Clark, R. A., Pua, Y. H., Bryant, A. L., & Hunt, M. A. (2013). Validity of the Microsoft Kinect for providing lateral trunk lean feedback during gait retraining. Gait & posture, 38(4), 1064-1066.
Czarnitzki, D., & Thorwarth, S. (2012). The Contribution of Inâ€house and External Design Activities to Product Market Performance. Journal of Product Innovation Management, 29(5), 878-895.
Dhillon, I., & Gupta, S. (2015). Organizational Restructuring and Collaborative Creativity: The Case of Microsoft and Sony. IUP Journal of Business Strategy, 12(1), 53.
Fabian, J., Young, T., Jones, J. C. P., & Clayton, G. M. (2014). Integrating the microsoft kinect with simulink: Real-time object tracking example.IEEE/ASME Transactions on Mechatronics, 19(1), 249-257.
Guignard, F. P. (2012). “Learn and Play the Holy Way”: Religious Toys and Dolls in the Construction of Religious Gender Identity and Values. Religions in Play: Games, Rituals, and Virtual Worlds, 2, 197.
Juel Vang, K. (2013). Ethics of Google's Knowledge Graph: some considerations. Journal of Information, Communication and Ethics in Society, 11(4), 245-260.
Kummer, M. E., & Schulte, P. (2016). When private information settles the bill: Money and privacy in Google's market for smartphone applications.ZEW-Centre for European Economic Research Discussion Paper, (16-031).
Liu, G., & Ko, W. W. (2014). An integrated model of cause-related marketing strategy development. AMS Review, 4(3-4), 78-95.
Patichol, P., Wongsurawat, W., & M. Johri, L. (2014). Upgrade strategies in the Thai silk industry: balancing value promotion and cultural heritage.Journal of Fashion Marketing and Management, 18(1), 20-35.
Shaninia, H. M., & Maher, Y. (2012). Islamic Marketing in Egypt: Evolution and Implications. African Journal of Business & Economic Research, 7(1).
Slater, S. F., Olson, E. M., & Eibe Sørensen, H. (2012). Creating and exploiting market knowledge assets. Journal of Business Strategy, 33(4), 18-27.
Steiber, A. (2014). Google’s Model for Innovation. In The Google Model (pp. 37-82). Springer International Publishing.