Unit-IV; Professional Sales Representative (PSR).pptx
Mergenthaler mkt ph1 ip
1. Marketing (MKT250-1103A-05)
Phase 1 Individual Project
Sabrina Mergenthaler
Colorado Technical University
Professor Joel Jackson
July 11, 2011
1
2. Identifying the Competition
Who are the Competitors
•Dell
•Apple
•IBM
•Compaq
•Gateway
•Lenovo
•Toshiba
•Hewlett-Packard
•Fujitsu
•Intel Corporation
•Asus
•Acer
•LG
•Novatech
•Panasonic
•Samsung
•Sony
•Zenith
2
3. Identify the Target Market
Who Computers are Marketed Towards
• Students
Discounts offered for being a student of a school
• Schools
Discounted rates for quantity purchases
• Businesses
Discounts for quantity purchases
Specialized software
• Home Owners
Specialized appliances
• People
Social Network sites
Automobiles
Search Engines
Electronics
3
4. Strategies and Benefits
Toshiba
In business since 1985
Desktops, laptops & netbooks
Basic use to high-end gaming
All-in-One Desktop
Dell
26 years in business
Competitive pricing for comparable products
Up-to-date technology
Apple
Experience since 1976
Wide variety of computing options
Technology extended to mobile devices such as cell phones,
tablets, and MP3 players
Acer
In business since
1976
Currently number
2 in PC sales
Expanded
worldwide
Asus
Founded in 1982
Affordability and
quality
Testing from space
to the farthest
reaches of earth
Compaq
Hewlett-
Packard
Founded in 1939
Number 9 in
Fortune 500
Who are the competitors
and what do they bring
to the table?
5. 5
Consumer Benefits of Computers
What Consumers Want in Computers
Connection Recreation
Family Dating
Education Exploration
Social Network Gaming
Businesses
Information
Convenience
Creativity Banking
Designing Security
Building Speed
Art
Music
Reliability
Advancement
Accuracy
People want the world in their hands in the blink of an eye…
Computers make that possible.
7. Above the Rest
7
•What does anyone have over the
rest?
•How do we stand out in the
crowd of computer
manufacturers?
•More than computers
•Reputable causes
•Giving back to the customer
•Quality customer service
8. On Website Features
8
Feature List
•Password protected
member pages
•Device management
•Wish list
•Blogs
•Contact forms
•E-mail subscriptions
•Location finder
•Chat
10. 10
Computers. (n.d.). ConsumerReports.org. Retrieved from http://www.consumerreports.org/cro/electronics-
computers/computers-internet/computers/computer-buying-advice/computer-features/computer-
features.htm
References
Wilcox, Joe. (2009). Apple has 91% of market for $1,000+ PCs, says NPD. BetaNews.com. Retrieved from
http://www.betanews.com/joewilcox/article/Apple-has-91-of-market-for-1000-PCs-says-NPD/1248313624
Market Segment. (n.d.). BusinessDictionary.com Retrieved from http://www.businessdictionary.com/definition/market-
segment.html
Toshiba. (2011). Toshib.com. Retrieved from http://us.toshiba.com/computers/desktops/all-in-one/DX1210
Dell. (2011). Dell.com Retrieved from http://content.dell.com/us/en/corp/about-dell.aspx?c=us&l=en&s=corp
Apple. (2011). Apple.com Retrieved from http://www.apple.com/pr/library/2000/04/10Matrox-and-Apple-Announce-
Real-Time-DV-Editing-for-the-Mac.html
Acer. (2011). Acer.com. Retrieved from http://us.acer.com/ac/en/US/content/company
About Asus. (2011). Asus.com. Retrieved from http://usa.asus.com/About_ASUS/Marks_in_History_ASUS_Notebooks/
HP. (2011). HP.com. Retrieved from http://www.hp.com/hpinfo/abouthp/histnfacts/timeline/hist_00s.html
Armstrong, G., & Kotler, P. (2006). Principles of marketing (11th ed.). Upper Saddle River, NJ: Prentice Hall.
Editor's Notes
Introduction
For six years GlobiTech has been a growing identity among the computer manufacturing industry. As the company continues to move into the future and into the forefront of technology, it becomes increasingly necessary to evaluate where lies the strengths and weaknesses of her design. In labeling those strengths and weaknesses, we enable GlobiTech to make better use of her capabilities and to eliminate those which cripple her advancement. The world today has increased the demand for quality products, immediate service and connection to the farthest reaches capable, and value. GlobiTech provides its consumers exactly that—quality products, immediate response as well cutting edge technology to keep people abreast of the growing world, and she does this at a valuable cost to her consumers.
However, GlobiTech is still far from living her goals of connecting the globe—people -to-people, people-to-PC. You might say “why?” How can this great company not be at the forefront—leading the competition to greater advancements—bringing the globe together? That’s not the question you should be asking yourself, though. Today, I want you to ask yourself this: Who leads the way? Who has planted themselves in concrete and cuts through it like a freight train when the world demands more? Then I want you to ask yourself: how does GlobiTech compare? Finally, think about how GlobiTech will become the name brand that’s most identified with quality, value, service, advancements, and connection.
Identifying the Competition
Modern technology has provided consumers with advancements that place even household appliances in competitive positions with the computer industry. We have long surpassed the days when a computer was a few clunky boxes that cluttered the desk and turned wires into a tangled mess in an overloaded power strip. Computers are manufactured for automotives, building technology, warfare, and even household use. We now have refrigerators capable of creating a grocery list, homes capable of advanced defense mechanisms, cars capable of driving themselves, and so on. With all these uses and more, computers have entered a point-of-no-return. They are the future. Knowing this is what leads GlobiTech into the future, as we are the designers of that future. In designing the future of our product it is necessary—imperative—to know and understand what we are up against—who we are up against.
Above is a small list of some of the most common names among computer manufacturers. We know their names, but do we know what stands them apart from each other; from GlobiTech? When consumers rush to Best Buy, CompUSA, Wal-Mart—wherever they go to buy their computers—do we know why they choose the brand they choose? Many can argue price as the ultimate factor. While that may be true for some, it is not price alone that pushes consumers to their decision. Especially with computers, other factors that weigh on consumer decision include:
Processor
Memory
Log-on security
Operating system
Video adapter and video memory
Video outputs
Hard drive
Optical Drive
Monitor
Display
Battery
Networking
Mouse
Touchpad
Keyboard
Sound system
Touchscreens
Ports
Docking station (Computers, n.d.)
Let’s not stop there, though. We have also entered an age of consumers who are tired of computer failures. The number one complaint among PC users that sends consumers fleeing to the competition is the virus attacks. Everyone loved the Mac vs. PC commercials, but the truth lies in the sales. Just look at the charts which demonstrate the growth of sales for Apple while PC manufacturers watched their own sales dive. What makes Mac use a growing popularity? Consider the following factors:
Mac OS X, iLife and hardware design differentiate Macs from PCs,
Most households have Windows PCs which makes Mac something fresh and new,
Windows PCs came with Vista, which received terrible reviews and damaged the credibility of future Windows,
Apple retail stores offer a singular purchasing experience,
Apple excels at lifestyle marketing--there is a Mac lifestyle,
Sales were also effected by satisfied iPod and iPhone customers,
And design priority: Apple emphasizes different features, such as super long battery life for MacBook Pro, versus Windows original equipment manufacturers (OEMs) (Wilcox, 2009)
When we analyze why one manufacturer has an advantage over the other we must also look at who their product is marketed to. While the generality is that computers are marketed to every person alive we must acknowledge that some manufacturers prey on certain people, or market segments. That is groups of people, business, or other such organizations that will react predictably to a marketing tactic or promotional offer (Market Segment, n.d.). For instance, Dell provides discounts to college students. This is often accomplished by providing a specialize link on the school’s website directly to Dell. Immediately the student can see the advantage of purchasing a Dell versus any other brand of computer not connected to a school discount. Why does Dell do this? Dell knows students need technology. Dell knows it can provide this technology at very little cost because of it’s production strategies, and selling tactics to other consumers.
The buck doesn’t stop short there either! Perhaps you recall a time when only Macintosh was the only name you could find in school computers. Apple saw the need for schools to have computers and offered a quality product at a quantity discount to schools. Other manufacturers have found businesses both large and small to be their main focus because of the software they could also design and sell to the consumers. Affordability became a huge hit for businesses that needed technology solutions. Home owners may find interest and satisfaction in computerize appliances, thus pushing them into loyalty with particular brands. People are the target audience for selling computers. That much is known. We find people many avenues using social networking sites, the automobiles they drive, the words they type into search fields, and in the modernized electronics they use from day-to-day.
In order to market our computers to specific segments we need to understand what each segment is looking for in computers. What is going to make these groups respond to our product over the next leading competitor? In order to determine the needs of each class GlobiTech participates in regular surveying of its current consumers. We learn exactly what brought them to our doorstep, and we learn what is going to draw like-minded others to us.
As manufacturers, we visualize the benefits and advancements of our products differently than our consumer. What we see as top-of-the-line, the consumer may see the higher cost. The same applies to all of our competitors as well. This presentation labels our competition with some of the features considered to be strategic to the manufacturers as well beneficial to the consumer.
Let’s start with Toshiba. Toshiba has been manufacturing computers since 1985. They develop desktops, laptops and netbooks. Its laptop lines include the Satellite line (budget and midrange), and the Qosmio line for high-end gaming. The Toshiba Mini is its netbook line. Satellite Pro, Tecra, and Portege are its business lines. The current pride and joy of Toshiba is the stunning All-in-One Desktop with premium features like a broad, brilliant 21.5” diagonal full HD touch screen monitor, high-end sound system and an HDMI-in port, muscular 2nd Generation Intel® Core™ i5 or i7 processors, 4GB of system memory, and an enormous 1TB 7200rpm hard drive. This monster of a computer blends style with innovation and reliability. The Toshiba All-in-One looks amazing on a desk—with elegant lines, a wireless keyboard and mouse, plus a simple one-cable connection. It takes up little space while making a big statement (Toshiba, 2011).
Dell is another brand that has put itself into frontlines of competition. Inspiron is Dell's mass-market line. For higher performance and gaming systems Dell promotes the Studio XPS. Dell's compact desktop offerings include the Studio Hybrid and the Zino HD. The Dell Mini is its netbook series. For hard-core gamers, Dell offers Alienware systems. Inspiron One is its all-in-one brand with optional touch screen. Their features include Intel Core, Celeron and AMD processors, up to 12GBs of memory, and the latest TB of hard drive. Dell combines desirable features at a relatively low price, and offers private financing to its costumers. Dell carries over 25 years of experience in the business of computer manufacturing (Dell, 2011).
Apple computers generally cost significantly more than Windows-based systems. Apple computers use Apple's operating system, Mac OS X. Macs can also run Windows. Mac OS X has had fewer problems with viruses and other malware. The company primarily offers several consumer lines such as the MacBook and MacBook Pro (laptops), the iMac (all-in-one desktops), the Mac mini (a small form-factor budget desktop), and the iPad (touch-screen tablet). Apple's telephone tech support is limited to three months, but you can get unlimited free tech support at the Genius Bar in Apple stores. Apple was founded in 1976, making it one of the oldest computer manufacturers on the market (Apple, 2011).
Note *Gateway and eMachines are owned by Acer. The companies do not sell their products direct to consumers, unlike most other computer makers. Acer Aspire products run the range of consumers from budget to high end. The Aspire One line is Acer's netbook offering. It has also entered the 3D space with a laptop. Since its founding in 1976, Acer has achieved the goal of breaking the barriers between people and technology. As the world’s number two PC company, Acer has its sight set on becoming the number one notebook maker as well as leadership in the mobile device market. Furthermore, Acer is taking bold strides to expand its presence in China to enhance competitiveness on a worldwide scale (Acer, 2011).
Asus was first to market in the U.S. with a netbook, the EeePC. Their laptops range from budget to high end. Its Essentio desktop brand is limited to value and mid-range users. It also sells a nettop, the Eee Top—a low-end all-in-one computer with a touch screen. Like Acer, Asus does not sell its lines direct to consumers. Founded in 1982, ASUS takes its name from the last four letters of Pegasus, the winged horse in Greek mythology that represents the inspiration of art and learning. ASUS embodies the strength, creative spirit and purity symbolized by this regal and agile mythical creature, soaring to new heights of quality and innovation with each product it introduces to the market (About Asus, 2011).
Compaq is owned by HP. Its value line of desktops and laptops is sold under the Compaq Presario brand. Stanford University classmates Bill Hewlett and Dave Packard founded HP in 1939. Amazingly, the name of the company fell upon the landing of a coin toss. In 2009, Hewlett-Packard entered the number nine position in the Fortune 500 listing (HP, 2011).
Much as any business wants to succeed, it will fall on the ability to produce a product that meets the desires of the consumer. In the case of computers, people want it all: speed, durability, quality, design, etc. Through the innovations of computer technology the world has found more ways to connect to the things that matter most. Family is only a click away with e-mails and social networking sites. Businesses have managed to build stronger cultures and open door policies via the use of computers. Education for all ages is truly free and accessible through the use of computers. We have entered a time of free information, and it is all made possible because of computers. Artists have found computers helpful in designing new products, constructing buildings, and entertaining on small and large scales. People have found their partners through dating sites. Exploration of some of the greatest depths of earth and the furthest reaches of space have been put right before our eyes due to computers. Kids have even less of an excuse to say “I’m bored” because gaming and even training is available on computers. Finally, the convenience of computers provides people with immediate access to their finances and their credit history.
However, because computers are capable of such amazing tasks, people also expect security and accuracy. Privacy has become a central target for hackers and other technological terrorists. People want to be protected from these dangers. In understanding this, we develop the machinery that promises just that.
How does all of this come together? We know who our competition is. We understand what our consumers want. How do we turn heads? We’re all familiar with the concepts of marketing. We have the product—the need-satisfying item. We optimized the price to fit every type of budget and every type of system. Apple has proven that price is becoming less of an issue, as their product line starts at almost $1000 and their sales are currently skyrocketing. The place is everywhere. With the means of the internet we can tap into every corner of the marketable earth. All that’s left is the promotion—the marketing of the product (Armstrong & Kotler, 2006).
We know what our competition is doing. They are designing top-of-the-line computers, they are making promises of amazing capabilities, they are pushing excellent service, and they are promoting a cleaner, more safe production. The way of engineering is changing in the minds of consumers and many companies have acknowledged this. Recycling, refurbish and reuse is a key component in today’s world. People are understanding the impacts of their carbon footprint, and they want to feel like they are making a difference.
In using the lessons our longest standing competitors have shown us we have a clear definition of building consumer loyalty. Some of the features GlobiTech will utilize to build customer relations includer:
Green solutions
Functionality and price
Loyalty Rewards Programs
Quantity Discounts
Our goals are to reach every market: businesses (large and small), home owners, schools, students as well as teachers, environmentalists, parents, children, and if anyone’s interested in teaching them, we’ll market to the pets as well. The key is identifying what each market wants from their computer and putting it right in front of them.
Many of the companies we are currently competing with distinguish themselves by entering various worlds of technology. For instance, Apple engages in mobile phones, printers, MP3 players, scanners, and more. Dell, Hewlett-Packard, Compaq, Gateway, Toshiba, just to name a few also participate in these markets. To build consumer loyalty, these companies have found that offering every type of device related to computer technology serves a great opportunity. They build bigger, better-capable, longer lasting, more durable devices to compete with each other. If Dell says “we’ve created an MP3 player capable of storing 12 gigs of music and video—Apple comes up with an iPod that can store 24gigs of music, video, document files, and then some.
These companies also participate in reputable causes. When tragedy strikes anywhere in the world, you will find that these companies serve up promotions to support those tragedies. How great does a consumer feel when they not only purchase something that they want, but they give something to a worthy cause when they make that purchase.
These companies also recognize a consumers desire to feel like they get something back. Loyalty programs aid in satisfying that consumer desire. Buy one thing and we’ll give you something free is a very popular concept being used.
Above all, though. One of the biggest keys to standing out is the amount of service provided to the customer. In a time when customer service is thought to be old news—non-existent—some companies certainly take the cake. GlobiTech stands out in all these ways, because GlobiTech feels that if you purchase a product from us, you deserve our appreciation for the lifetime of your purchase. We offer our costumers options, as well. If our customer can’t bring their issue to us, we will go to them. We strive to provide outstanding call support as well. Exhausting every means of communication between our customer and GlobiTech is a key advantage to putting ourselves at the top of the list of manufacturers.
And on the lines of communication, we have taken the example set by Apple, and we will make GlobiTech a lifestyle. GlobiTech is on Facebook, Twitter and the new Google +. We have bloggers keeping our followers up to speed with our latest devices. We do frequent polling to find out what our public wants next. Best of all, we respond to our customers. When there’s an issue, we solve it; when there’s a suggestion, we try it. We give them our ideas, and we make the buyers part of the building process. That’s how we identify ourselves. You could say: it’s how GlobiTech rolls.
As much of the world has moved towards internet sales we find certain features that create a simplified shopping experience. Many, if not all, of the computer manufacturers’ websites include standard features to improve customer relations. Some of the common features include:
Live chat representativesImmediate telephone customer serviceEasy to use shopping cartsSupport Community forums
Search site field
Navigation bars
Site map
Customizing options (such as color, hardware, and software inclusions)
Download directory
Rotating product imagesOrder status/ tracking capabilitiesPassword protected member pages
Device management Wish listBlogs
Contact forms
Online pricing
Visitor voting
E-mail subscriptions
Helpful links page
Product suggestions
Location finder
And so much more.
GlobiTech is not behind the times either, sharing in all of these features. Best of all, customers have the option of leaving comments on the site, and rating our website features for ease of use and suggestions to make online shopping even better. GlobiTech participates in Facebook, and Twitter, and also has a dedicated blogging campaign to keep our customers in the know. We make our chat boxes easy to find, instead of having the feature follow the shopper as they scroll through the page. We found that many online shoppers were not impressed by the representative chat box popping up during their browsing, but rather preferred to know exactly where they could find it on every page. GlobiTech provides customers exactly what they want by listening to the feedback.
In the advancement of GlobiTech it is necessary to throw everything on the table—consider no idea a bad idea. In the world of technology, it will be our motivation, our care for our customers, our dedication to quality and superiority that puts GlobiTech above the competition. Expanding our technologies to meet the needs and desires of the consumer, evaluating every piece of feedback, and daring to go the extra mile will carry GlobiTech into the future and create a long lasting relationship with our customers. Our product lines will not stop at computers, or printers, or MP3 players. GlobiTech will put itself in the hands of consumers in every market with products that turn the company into a lifestyle. We will forge our prices to be competitive and comparable as well as matching the quality of product we put forth. We will promote ourselves as a reputable environmentally friendly company. We will use our technology to better as many causes as we can. We will make regular contributions to other causes. In doing this, GlobiTech will be a worthy adversary to all competitors.