Blackberry Company Team Sales - Case Study Example

Blackberry z10 SITUATION ANALYSIS In order to realize the ability of the product taking over the market, it isimportant to carry out a situation analysis that helps in determining how the product relates to its environment. This will involve understanding the external and internal environmental situation of the product. The 5 C analysis is appropriate for analyzing the situation of the product in the market. The 5 C include, company, collaborators, customers, competitors and climate. Company Blackberry z10 is product from the Blackberry Company, serving as the latest release from the company. It contains many features which were absent in the other products produced by the company. For instance, it contain touch screen features unlike the preceding products. The touch screen is 4.2 inch display acting as one of the biggest quality touch screen in the market. The realization by the company that the amount of sales for their product was on the decrease is what led to the production of the blackberry z10. The product uphold a good image in the market considering the features that incorporates the latest technological development in the market. it contains all the features found in the Android and iPhones in addition to other features which makes it one of the best. Its popularity in the market may be associated to the aggressive campaigns carried by the company. The company carries a 360 degree campaign for the product with the main aim of ensuring that the product is available in almost every retail store around the world. Further, it contains a large internal memory of 16 GB allowing the users to store a large amount of materials. The existing technological culture also supports the popularity of the company’s product in the market. The company has made the phone to be compatible to all types of network, from GSM, EDGE, HSPA+, CDMA, PCS to LTE. This gives enough assurance of the product’s quality implying that there is probability of using the phone in every part of the world. This is an era of touch screen phones, making blackberry z10 to be one of the most sought product in the market. Customers The customers forms a vital pillar for the success of failure of a product in the market. Since the beginning of the year, when the product was launched, the company has been enjoying a large market share because of the optimism held by the customer (Telegraph, 2013). The customers believed that this is the ultimate product, from Blackberry considering that the last product had flopped. The product garnered a lot of customer with luring factor being the incorporation of the contemporary technological advancement. The product has customers all around the world, especially when considering it has major distributors in all the continents. The distributors including MTN are able to reach a larger number of potential customers in the market. It has market all around the world considering the incorporation of technological advancement associated with the phone. The main market segments for the product include the working class and the college going students. The college students would always like to associate to a latest technological device that allows them to perform variety of functions. Most of the college students, both in America and United Kingdom seek the product because of the high technological advancement it associates with. Further, the high income earners and middle class have also gained taste for the products around the world. The customers who associate to the product major seek for such benefits like higher internal storage memory, touch screen features, social media (such as facebook, and twitter applications) and compatibility to variety of network. The smartphone also presents the customers with a blackberry OS which allows them to access the whole Microsoft office suit. The customers are able to purchase the product from all the distributors existing around the world. The distributors Vodafone Spain, Orange España, Yoigo, WIND, Turkcell, Avea, Vodafone Turkey, Celcom, DiGi, Maxis, U Mobile, Globe, Smart, Sun Cellular, MTN Nigeria, Airtel Nigeria, Etisalat Nigeria, Glo, Vodacom, MTN South Africa, Cell C, Telkom South Africa, STC, Mobily, Zain Saudi Arabia, Etisalat UAE, Du, Claro Colombia, Movistar Colombia, Tigo, Movistar Chile, Entel,Taiwan Mobile (Wingfield 2011). The customers can obtain the product from these distibutors at any time provided the stores are open. The motivations which make the consumers to purchase the product include compatibility to all types of network, a quality touch screen display, 1080 HD recording and a high resolution power of 1280 x 768. Even though the product seems to be appealing to most people around the world, there has been a record of the some consumers around America returning the purchased phones. The consumers returned the phone with the major reasoning that they thought the phone had keypads contrary to what they bought. This should be considered normal for any newly launched phones because of the confusion. The buyers are the ultimate arbiter of what the players in the consumer electronics industry make. The success or failure of a product launch is dependent upon the bargaining power of buyers by exercising its purchasing prerogative. Those who earn consumer’s preferences gains market share while others who do not appeal to consumer’s taste will simply fold, become obsolete or bankrupt. Collaborators Blackberry Company has ensured that they attain enough distributors to help in reaching the large amount of potential customers all around the world. In United Kingdom, the main distributors of the product include orange, T-Mobile UK and Vodafone UK. This institution helps in ensuring that the product reaches the available potential investors in the region (UK). The distributors in Canada include SaskTel while MTN, Etisalat, and Glo acts as the major distributors in South Africa (CBC, 2013).. These bigger companies ensure that the product reaches the consumers in their respective regions. The bargaining power of suppliers in smartphones of can be best described with Apple’s business procurement strategy of which RIM must seriously consider to keep its price competitive. Apple made suppliers as a strategic tool and used its deep cash reserve to lock in suppliers for a long period of time. This works strategically for Apple Inc. to the detriment of its competitors such as Samsung because Apple is virtually assured of the components to make its product at a favorable price. Also, locking in suppliers in quantity for a long period makes supplies scarce in the market that left its competitors scampering for sources thus driving its price up (Wingfield 2011). Samsung should also shield itself from the bargaining power of suppliers by assuring itself of a reliable supply of its components at an equally favorable price. Competitors The main competitors associated with the product include all the available smartphones such as Apple, Nokia lumia and Samsung. The competing companies have already released products which also incorporate the latest technological development. The recent stiff competition brought about by apple and Samsung easily outcompeted Blackberry leading to the need for the company to seek for a new way for production. Obviously, Blackberry z10 is enough illustration that the company is back to real competition and is ready to take over the market in any way possible. The difference in the type of OS also indicates the stiff competition existing in the technological industry. Blackberry’s once indisputable advantage in instant email messaging and BBM now has substitute in both Android and Apple that it can no longer capitalize on this feature as a distinct advantage. Blackberry OS faces stiff competition from the Android which many people have come to like. This thrust a larger responsibility for Blackberry to apply proper strategies that can help relivening the perception about their OS. There is always misconception that blackberry is only suitable for browsing the social network, something that the company have to look upon in order to ensure they maintain a healthy competition. The shares for blackberry z10 has been on the decline to the stiff competition offered by such companies like apple and Samsung. The retailer asserts that there is plenty of stock left indicating that the product controls a little share of the market compared to its competitors. Telegraph asserts that the shares fell as much as 9.4 per cent to $ 14.64 in the Friday trading. Even after the company attaining large number of shares in the market, at the beginning of the year, the shares have began to decline. This is enough indication of the stiff competition presented by Samsung and Apple. Some of the strength of the product to its major competitors include a higher internal memory and a large touch screen display. Further, besides all the traits held by the competitors’ product, Blackberry z10 presents a keypad challenge which make it loved by most people around the world. Rivalry is the most potent threat to Blackberry Z10. Competition is very tight in the consumer electronics industry that an industry leader can easily be debunked by the next new product. Experience of Blackberry’s RIM and Nokia who were once market leaders in mobile phones were easily out-marketed by Android and Apple. Smartphone business therefore cannot afford to be complacent because of the cut throat competition in the industry (ReportLinker, 2013). One of the weaknesses that have been brought up is that that plastic casing does not feel sturdy enough. This is a concern for consumers because in the event that the device is dropped, it may be easily damaged. Additionally, this operating system offers fewer applications than its competitors. The Apple and Android systems offer an incomparable number of applications. A lack of applications will be a setback for Blackberry because consumers want to be able to access the latest and greatest applications. The biggest setback may be that the new operating system is only available on the Blackberry Z10, which carries a high price tag. With limited options available, some consumers may be discouraged from trying the new operating system and stick with a more popular smartphone. TACTICS For every newly emerging product in a company, there is need for the latter to look for the better methods that can help in taking over the market. This can be inform of the existing gap in the industry, which the company can easily manipulate by complementing the product to meet the needs of the customers, which the other company could not meet. This applies same to Blackberry which has designed its products to ensure that it does not fail in the market. The strategies put up by a company in order to take over the market are the tactics. Some of the tactics used in the blackberry z10 includes keyboard challenge, “hijacking” the screen of iphone and androids phones, inspire, 360-degree campaign television. Hijacking the screen of iphone and android This is a strategy which will obviously help in improving the sales of blackberry z10 in the market. This will give a competitive advantage to the phone as it will increase the number of potential customers who are aware of the presence of the product. The appearance of a hub-like, which is the logo of blackberry, on the iphone and android phones acts as a form of advertising while also indicating the quality of the product to the customers. Frank Boulben describes the tactic as a real time marketing which will help in improving the image of the product. Forbe’s describes the tactic as a takeover which will fill the screen besides an ad which resembles the Hub feature found in Blackberry phones. The following figure shows the takeover with the hub feature on an iphone. This means that the company would be able to use their competitor’s product as a form for advertising their product. Almost everybody using the iPhones and the androids would be able to see the blackberry features thereby increasing the probability of higher number of people buying the blackberry z10. This will include the customers to its competitors thereby acting as an appropriate method for outcompeting the others in the market. the customers will have the feeling that the blackberry phone have superior features compared to the other products conse quently increasing the awareness about the phone. Keyboard challenge This involves the use of user scanning a QR codes on ads and then pitting their keyboards against the one on the z10 (Wingfield 2011). This is a technological advancement that no other phone company has associated with. These tactic helps in showing the drawback of the other keyboards used in the iPhone and the android. This tactic maybe classified as persuasive since it uses the disadvantage in other products in order to attract the customers. Any customer who is looking for a quality keyboard in their phones will obviously seek for blackberry z10 since it carries all the other features in other smartphones in addition to the quality keyboard. 360 degree campaign Campaigns is vital for any company who would like to have a higher sales for its product. However, the degree of campaign is what determines the number of customers that a company would lure towards buying the product. Blackberry has taken a step towards ensuring that there is a 360 degrees campaign in the television all around the world. This represents amplification phase which will help in luring a large number of potential customers towards buying the product. Baruah notes that there will be a 360 degree campaign, with television, print media and digital. The campaign would ensure that the company removes any negative perception held by the people towards the product. Further the campaign would also ensure that the company convince the whole world about the advantage of the phone over the competitors’. This will ensure that most of the potential customers are aware of the advantages thereby driving them into buying. The awareness about the advantages of the blackberry z10 is also a weapon towares exposing the disadvantages of the competitors’ product. Baruah also adds that the campaign would help in driving a footfall into the retail stores. Availing the product in the retail stores all around the world, is a step towards ensuring attaining the most from the market. Inspire This is the third phase carried by the company towards ensuring that the company attains a larger number of potentihal market in the market. The company gave the product the three most influential figures in the world, Alicia Keys, Neil Gamain, and film producer Robert Rodriguez. The process of giving the product to the figures is also known as celebrity advertising whereby the company intended to use the figures in order to fuel the buying of the product. Most of the people in the world identify with the above celebrities besides holding them as their role models. The three celebrities have influence on the taste and choice of the customers and it is obvious that the fanatics of the three will buy the product. The three celebrities had in the past, built individual project named “keep moving” of which a higher number of people in the world are aware of. The association with the project, would help the company to have a closer touch to the fanatics of the project “keep moving”. This allows the potential customers to ask questions and get answers from the company. Further, the company would have time to ask the potential customers about the needed compliment on the product. This tactic would help in increasing the number of individuals who are attracted to the product. Collaboration with recognizable companies The company has made collaboration with bigger companies enabling for an efficient reach of the potential customers, with the product. Blackberry Company has ensured that they attain enough distributors to help in reaching the large amount of potential customers all around the world. In United Kingdom, the main distributors of the product include orange, T-Mobile UK and Vodafone UK. This institution helps in ensuring that the product reaches the available potential investors in the region (UK). The distributors in Canada include SaskTel while MTN, Etisalat, and Glo acts as the major distributors in South Africa. These bigger companies ensure that the product reaches the consumers in their respective regions. Reference Woyke, E. (2012, January 20). Apple And Google seek to defy 10-year smartphone OS life cycle. Retrieved from http://www.forbes.com/sites/elizabethwoyke/2012/01/20/apple- and-google-seek-to-defy-10-year-smartphone-os-life-cycle/ [Retrieved on April 14, 2013] CBC, (2013).BlackBerry Z10 returns normal for new phone: analyst. Retrieved from: http://www.cbc.ca/news/business/story/2013/04/16/biz-blackberry-smartphone- returns.html Wingfield, Nick (2011). Apple’s Lower Prices Are All Part of the Plan. New York Times online. Available at http://www.nytimes.com/2011/10/24/technology/apples-lower-prices-are-all-part-of-the-plan.html?pagewanted=1&_r=2 [Retrieved on April 14, 2013] Read More