Marketing Design and Innovation - Dissertation Example

?Marketing Design and Innovation Table of Contents 0.Introduction 3 2.0.Synthesis and Review of Literatures 4 2 Change in terms of Style 5 2.2.Change in terms of Fashion and Customer Preferences 7 2.3.Patents and Licences 8 2.4.The Case of Sony 9 3.0.Analysis 12 4.0.Conclusion 15 References 16 Bibliography 19 1.0. Introduction With the affect of globalisation, the international market witnessed a continuous change and development in the characteristics of multiple products and services. This change can be strongly identified in the case of television. For instance, when television was first introduced in the market, it was run with a spinning disc to produce a shadowy image. In other words, it was just a newfangled version of radio with visual device. But today, television sets have numerous features from stylish design to innovative facilities. This paper is entitled to recognise the changing characteristics of television since its invention in early 1900s. In this context, the changing characteristics can be easily identified in the history of television industry. Its shape, colour, sharpness, feasibility, and customer choices have changed rapidly over time. The customers’ choices, their preferences, competition and technological progression can be identified as the main drivers of innovation in this case. The discussion of the paper concentrates on the grounded theory and marketing theory to identify the various changing characteristics of television. 2.0. Synthesis and Review of Literatures According to Doyle (1998), innovation, as a marketing strategy, has several times proved to be the key factor to reward success to many businesses. It is also considered to be as the path of attaining higher growth in terms of sales, market shares and others. However, innovation can be referred to as the development of a newly designed product, marketing channels and marketing concepts. Thus, innovation in marketing can be stated as one of the crucial elements to achieve an efficient competitive advantage and growth (Bridgewater & Doyle, 1998). This statement can be well-observed in the case of television industry where analysts claim to witness an extraordinary chain of innovations which brought about changes in shape, colour, size and other features of the genre. For instance, Lachenbruch (1964) stated that in its performance from 1953 to 1956 the television industry reached its maturity similar to radio and phonograph industries. It was the period when almost every household in America had a television set in their living room and thus sales of television begun to fall. By that period, a new version of television was introduced to the market, i.e. colour TVs. This innovation again took the industry to its growth (Lachenbruch, 1964). These kinds of evidences can be witnessed in almost every stage of the industry, especially in terms of style and technology. This shall be evidently identified in the further discussion. 2.1. Change in terms of Style The introduction of television can be identified in the early 1920s when television was presented in two broad paths; one as mechanical and the other as electronic. The mechanical television set was invented by Charles F. Jenkins in 1923. These types of sets were primarily indentified as a 30 line television and used a mechanical framework to produce images on the screen through a spinning disc. The formula was then implied by General Electric in 1928 and used a 24 line television set with a 3 inch screen to display five different frames in a second. In 1927, another scientist, Philo T. Farnsworth invented television which was entirely based on electricity and did not use any kind of spinning discs or other similar devices. Instead of its mechanical framework, the television set used an image dissector tube. Another speciality of television set was that it could display almost 120 lines with the speed of 24 frames in a second in comparison to the mechanical television set of Jenkins and General Electronics. It was in 1929 when Herbert Ives first introduced a 50 line coloured television set which was broadcasted in the then urban areas of New York and Washington D.C. (Andrews, n.d.). It is worth mentioning that during the period when the early inventors of television were focussed on enhancing the efficiency of their television sets, many other inventors were developing new frameworks to display images in a more sophisticated and attractive manner. One of the reasons for which, instead of a single or a couple of scientists, numerous inventors became interested to invent their own version of television was the interests of common people during that period. As stated by Burns (1998), people during 19th century were extremely interested in any and every kind of genres which were based on human characteristics. Thus, after the introduction of television in public, it became one of the chief topics of the then society and almost every person got persuaded by the chain of inventions (Burns, 1998). Further, by 1934, Radio Corporation of America (RCA) developed the television with continuous innovations and changes to a 343 line television set with a 12 inch screen. It was later, in 1938, improved with a 14 inch screen which came to be the standard size of a television screen. The television set was first sold as a commercial product in 1939 costing $600 in the World’s Fair in New York. Realising the huge demand prospect of television after its commercial introduction, numerous manufacturers started producing the product in bulks for commercial purpose since 1939 (Newman, 2007). Thus, it can be stated that the technology of television was continuously developing, with its focus on quality of picture and efficiency of the product. However, with a critical point of view it can be stated that the stylish presentation of television was still insufficient to mark a change in its innovation. 2.2. Change in terms of Fashion and Customer Preferences Apart from, changes in the product, i.e. television can also be identified in terms of fashion, as stated by various analysts. Notably, television in its pre-war innovations was termed to be restricted for its commercial marketing but in the post-war period it was introduced as a commodity which was fashionable and at the mean time quite useful for its targeted consumers. For instance, after a long discussion regarding further developments of the television, the colour television was introduced in early 1950s. In this period various associations and committees emerged to regulate and control the media industry which also influenced the marketing strategies of television. Thus, the market design of television started taking shape (Abramson & Sterling, 2007). Later during 1950s, inventions of television sets based on an improved and efficient framework were witnessed in numerous parts of the world. It was during this period various broadcasting companies such as ABC, CBS and NBC ruled the market with their innovative ideas related to transmission (technology) and programming. By 1950s, CATV (Community Antenna Television) was also introduced to the market with a significant consideration to customers’ preference. Gradually, by 1970s, to satisfy the growing market demand, broadcasters initiated to telecast specialised programmes through multiple airwaves and broadcasting channels. During this period, several channels started broadcasting in television, such as Nickelodeon (specialised in broadcasting programmes for children), HBO (specialised in broadcasting movies), ESPN (specialised in broadcasting sports both live and recorded) and many others (Kellison, 2005). Furthermore, television screens of the present decade are mostly flat and are available in different sizes, from 14 inch to 36 inch and above. There are new technologies, such as LCD and LED screens which acquire lesser space in drawing rooms and also display high-definition pictures along with extra sharp sound system (Graham, 2003). These strategies can be identified as few of the noteworthy examples of market segmentation and branding with the assistance of innovation in order to capture a larger market share. The reason behind these invention strategies can be evidently identified to enhance its feasibility and in turn customers’ convenience. This signifies that buyers of the product enjoyed more power than the suppliers according to the Michael Porter’s Five Forces Model. 2.3. Patents and Licences Apart from technological changes and the introduction of television as a luxury commodity or a fashion product, the industry can also be observed to change over time. It was primarily due to governmental and social interventions which started regulating the industry operations with the increase in its coverage and influence. Notably, improvement in satellite transmissions and development of the specialised channels as mass media played a crucial role in capitalising various other industries, e.g. the technology industry which was interdependent with television industry, and other commercial industries which started using television industry as an effective advertisement medium. Simultaneously, with increasing demands and inventions of new designs and technologies of television, emerging participants also started to enter the market. For instance, in the previous stage the industry in the US comprised of few broadcasters such as CBS and NBC. Later, ABC and other major players entered the market. This in turn increased the competition of the industry. Later in order to regulate the competition, patents and licences on the innovation, marketing, and purchases of television were imposed in the market (Media Guardian, 2005). This certain characteristic played a crucial role in shaping the industry and providing it a structured and organised outlook. However, the licenses were cancelled which in turn promoted the marketing of the Television as a commercial product. As a result, various major players such as Sony, Phillips and others entered the international markets including the US, USSR, France, Canada and other economies (History Timelines, n.d.). Thus, the market became highly competitive with old players striving to maintain their position in global market and the emerging ones to attain a profitable position in the markets. This particular feature influenced the market leaders to invent a more effective, updated and user friendly television sets in order to match the customers demand and gain a competitive edge. 2.4. The Case of Sony Sony Corporation has been one of the early members of international television industry. It was founded in 1940s and entered the market in 1960 with its ‘non-projection-type portable transistor TV’. It used a black and white display system with 23 transistors. The shape of television set can be recognised as an extension to the radio set with an antenna and a 14 inch screen. In 1962, Sony launched a more developed version of television set with a 12 inch black and white screen, which was smaller, lighter and comparatively more sophisticated than the earlier version. Focussing on its size and shape, it was titled as “micro TV” with a significant consideration to the aspect of customers’ convenience. The company also introduced its ‘Trinitron colour TVs’ in 1968 which displayed images in a brighter and sharper form with the same objective. The company again proved its innovative technologies when it launched its personalised television set in 1977 with remote control panels and the benefits of Jet Sensor technology. This new version provided supreme clarity of pictures in comparison to other models during that period. During 1980s, the company introduced its “Profile” series of television set. The set was designed by embracing the features of a TV tuner, stereo speaker and other features of the early versions. Thus, from the strategies undertaken by the companies it is quite evident that customer is the most powerful driving force for the changes in television industry in comparison to other economic forces (Sony, 2011). By 1986, the company innovated and introduced a more efficient and promising version of television which was characterised with 560 lines of horizontal resolution and multiple terminals to control the inputs and outputs. The series was marketed in two different shapes in international platform. Realising the rise in consumer demand for high-definition and larger screens, the company introduced its first compatible colour TV with a 36 inch screen. It was further improved and presented in three different screen sizes to match the consumer affordability and acquire a larger market base in the peak of competition. Notably, the company implemented the HDTV technology from 1990s, but a modified version of the television set was introduced in 1997 by Sony. This new version produced a highly advanced picture and was more user friendly in comparison to other models till the period. However, the company presented its first flat screen television in 2000, which was, later in 2002, modified into an extremely sophisticated and updated version, “WEGA”. This version was slim and thus acquired lesser space and was light weighted as well. It also had the features of producing pictures with supreme quality of sound and colour. In the later years of the previous decade, the company introduced other versions of television with extra clarity in picture and much sophisticated design. For example, BRAVIA series of LCD screens, Sony SXRD, OLED TVs and ultra-thin BRAVIA LCD HDTVs (Sony, 2011). Thus, it is quite apparent from the above discussions that television has witnessed various major changes in its performance as a commodity since early 1920s. Although the industry was influenced by various external factors in terms of political, economical and social interventions, it was able to gain a constant and rapid growth over the years. 3.0. Analysis According to various researchers and marketers, the innovation process is most of the times an involuntary process of change and development. This can be identifiable in terms of technology, style, fashion and also from the industry structure. To be precise, the organisational theory of innovation states that innovation is only possible when there is a change in every attribute of the product, from its stylish outlook to its technology and the industry structure (Hosking & Anderson, 1992). However, from the findings of the literatures it can be well observed that the changes in the style, technology, outlook, colour and also convenience were quite apparent in the innovation process of television. In the early versions the television used a crude and less efficient shape. It was also presented with a black and white screen with inefficient sound system and hazy pictures. People during the period were too much fond of any kind of genres which showcased human characteristics, such as radio, newspapers and other commodities. Consequently, with the introduction of television in the market during that period attracted a huge mass of consumers and achieved remarkable profits for innovators (Nowell-Smith, 1997). Additionally, it was also observed that innovators were on the mode to invent such a device which could produce human figures with the aid of electricity and/or machines before 1920s. In other words, innovations of similar kind of genres can be identified in different parts of the world, including the US, Germany, Europe and the then developing economies (Kodak, n.d.). On the similar context, invention of television and its presentation to the public received huge success which in turn attracted many other inventors with the aim to develop and modify the technical and the mechanical frameworks of the genre. Therefore, once the television was in the market or business, it recorded a slew of developments and innovations which were self-sufficient and successful. Accordingly, after becoming aware about the television and its feature to produce human characters on an oval shaped screen, the public’s demand increased with higher expectations in terms of shape, size, colour and technology. Hence, to satisfy the huge demand of the then market many global players entered the market with their unique designs and innovative technologies. For instance, during 1940s and 1950s, public’s interest tended to favour larger screens with the ability to broadcast multiple channels. It was due to this reason developments of television during that period were mostly focussed on size and networks. However, the influence that television created on the public within a couple of decades from its first introduction can be evidently identified in the Canadian history. For example, according to the evidences, television industry was introduced in Canada, shortly within few years after 1952 and it was witnessed that by that year there were almost 225,000 television sets already sold in the Canadian markets. This reveals the fact that public were strongly persuaded by constant innovations and presentations of new versions of television (Williams, 2001). This underpins the theory of innovation that the style, colour, technology and other attributes of the product was quite effective to relate with the customers’ preferences over time. It can be also observed in the case of Sony where the company has been repeatedly innovating new technologies to increase the customer satisfaction level. The changes can be witnessed in terms of styles, colours, shapes, fashionable and unique presentation of television which efficiently satisfied the customers’ demand. Thereby, the innovation process of television can be stated as sufficiently effective in retaining valuable customers and also shaping the industry with efficacy. 4.0. Conclusion With reference to the above discussion regarding the changes that has been witnessed by television industry over time, it can be stated that innovation played a crucial role in stimulating the growth prospect of the industry. The changes in television took place in terms of colour, shape, size and technology. However, the reason behind most of these innovations or changes was to attract a large mass of public in order to enhance the sales. It also assisted innovators and marketers of television to attain a competitive edge against the competitors, i.e. other manufacturers and marketers, and other genres that were based on human characteristics. From the marketing perspective, various forces and economic drivers can be identified to encourage the innovations and change in the characteristics of television. With the introduction of fresh innovative ideas and technologies the industry became more concerned regarding the customers choices. Transmission of images gradually improved to be sharper and more natural than the previous version in the market. The access of television also became easier with remote control panels and multiple networks to match the interests of the viewers. The product was also available in a wide range of shapes and prices that in turn made it cost effective. At the same time there was regulations imposed to the industry in terms of patents and licences which shaped the industry with a commercial outlook and convenience. Therefore, it can be stated conclusively, that the changed characteristics of television industry were quite evidently based on the market and the economic forces. It was also efficient in satisfying the market demand as a customer driven process. References Abramson, A. & Sterling, C. H., 2007. The History of Television, 1942 to 2000. McFarland. 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