Introduction
This is marketing report regarding Blackberry in which Blackberry is analyzed from different perspectives. Blackberry is regarded as pioneer in technologies that are mobile based. It is considered as best seller of Smartphone. In the year 2009, Blackberry was considered as market leader in cell phone industry (Garside, 2013). It is, however, one of the global leaders in communications that are based on mobiles. A company called Research in Motion of RIM, headquartered in Canada has made, distributed, and marketed blackberries, and gained significant market share. Blackberry, however, becomes capable of gaining market share by focusing on email. The company has then focused on introducing new features such as QWERTY keypad in order to facilitate customers in most effectual manner. The strategic goal of Blackberry is to extend the product line, to regard Blackberry as a Smartphone of choice for young professionals and for youth, and to stabilize the steam of revenue. In the year 2011, the market share of company declined because of which its co founders resigned. This paves the way to decrease in sales, share price, and thousands of layoffs. However, the major competitors of Blackberry are Apple, Samsung, Nokia, Google, and Motorola.
SWOT Analysis
SWOT analysis helps in determination of strengths, weaknesses, opportunities, and threats of an organization. It gives useful insight into external and internal aspects of company (Williams, 2015). The following tables give SWOT analysis of Blackberry
Marketing objective
Marketing objective reflects the aim of company regarding marketing its product (Groucutt, Leadley & Forsyth, 2004). The objective of the company is to reestablish their image, turn profit with 3 years, make entry into the cloud service market and in tablet market, and capitalize on enterprise mobility management market. The company wants to achieve its good repute again, and also wants to ensure profitability for a period of about 3 years so that confidence of customers can be build again. In order to achieve its marketing objective, the company has to convert weaknesses and threats of Blackberry into strengths and opportunities so that the product becomes capable of capturing attention of market again, and become able to again gain its market share in the competing world.
Marketing Strategy
Marketing strategy of a company is a comprehensive plan in which strategy of an organization is combined with its marketing goals and objectives (Boone & Kurtz, 1998). In case of Blackberry, market development, and market penetration are effective marketing strategies.
Market Penetration
Market penetration takes place when an organization penetrates into the market with its existing products (Waters, 2006). Market penetration, however, starts with the existing customers of an organization. This strategy is implemented by company for increasing sales without making changes in original market of the product (Proctor, 2000). In order to ensure market penetration Blackberry has to focus on increasing sales by increasing its market share in EMM market. It should make attempts in order to make their position strong in EMM market. Gaining significant share in EMM market could help the company in achieving its leadership position again. This could also help in making positive image of the company and product in minds of customers. Making penetration in EMM market could make the company capable of using effective technology so that customers can be served in the best possible manner. However, the use of effective technology will lead to strengthening of image of the company in minds of customers, as a result of which company can reestablish its image, and could become capable of ensuring profitability for about 3 years. Further, it has to develop strong business association, and have to retain image in the EMM market. In order to understand the market conditions, the company has to make coalitions and build relationships so that it can obtain necessary information and exposure before penetration in market. Forming of relationships is effective as company become aware of the needs, demands, and trends prevailing in the market. This can be considered from the fact that Blackberry could be introduced in developing countries, and the trends, demands, income level, and other related information can be obtained by making relations in developing countries. This will provide necessary assistance, and helps in ensuring success of organization. Moreover, after ensuring penetration, the company has to focus on maintain brand image. Sustaining image of the product and company is important because customers are attracted towards the product on the basis of the repute of product or brand that it is enjoying in the marketplace.
Market Development
Market development indicates a growth strategy that helps in identifying and developing new market segment for existing products (Lamb, Hair & McDaniel, 2008). It also considers targeting new customers in new market segments. In case of Blackberry, the company can ensure market development by making entry into Tablet and Cloud service market. Further, it can also achieve market development by implementing superior security levels of Blackberry products. The company can increase its market share with the help of Tablet and Cloud service market. In modern era, cloud service and tablets are revolutionizing the world, and introducing cloud service and Tablets could, however, help the company in attaining more market share. This could also help it to attract more customers as customers are attracted towards new and improved features that the company offers to them. They want more features in a product, and they want these features in affordable price. Offering Blackberry with all these features could help the company in winning trust of customers, as a result more and more customers like to buy the product, and finally lead to improving profitability of the company. Technology is improving day by day, and customers are now demanding technology intensive products comprising of new features. So, company has to keep this fact into consideration in order to serve customers in most effectual manner.
Marketing Mix of Blackberry
Marketing mix helps in identifying and defining marketing element that is required for positioning the product successfully (West, Ford & Ibrahim, 2015). Marketing mix comprises of product, price, place, promotion, people, processes, and physical evidence. In order to ensure effectual marketing of products, organizations require successful mix of a right product that is sold at right price and place by utilizing most appropriate promotion. Marketing mix of Blackberry is as follows.
Product
Product is regarded as a good that can satisfy and fulfill needs and wants of customers (Ferrell & Hartline, 2013). Blackberry comprises of a line of wireless devices that are handheld. Blackberry could facilitate customers with EMM services, tablets, and cloud in order to achieve more satisfaction from customers, which would ultimately help the company to reconstruct its image. Blackberry is already providing several features such as instant messages, internet, text messages, multi touch interface, web browsing, and several other services linked with wireless information. The product is, however, targeted towards business customers in order to facilitate them with services especially with EMM services, tablets, and cloud services. It can effectually handle personal as well as business needs. The product could be made available in appealing colors such as red, purple, grey and black. The company has to ensure provision of improved services in order to regain confidence and trust of customers, and for ensuring profitability. Blackberry with EMM services and cloud services could better meet needs and demands of customers, and facilitate them in effectual manner.
Price
Price is considered as amount of money that an individual is willing to pay for getting a good or service. Place is about several methods that are involved in storing and transporting goods, making them easily available for customers. Blackberry could be made available in competitive prices so that more and more customers are attracted, and profitability of company can be ensured. Offering the product at competitive price paves the way to creating more demand of the product. The company could also keep the price cuts by competitors into consideration. It could consider its margin and unique selling proposition before offering and setting competitive price. It is important because the industry of smart phones is price sensitive. In case of market penetration and market development, competitive price plays significant role in attracting more customers. Customers become willing to use the product, and their satisfaction finally become customer loyalty as a result of which image of product could be improved, and ultimately profitability of the company can be increased.
Place
Place is about several methods that are involved in storing and transporting goods, and making them easily available for the customers. Place, however, matters for the business as success depend on place. They are in fact activities that help in making product available to customers. Blackberry with latest services and features could be made introduced in developed and developing markets. The company can introduce the product in the developed as well as in the developing countries that are not yet served. This could help the company in attracting new customers. New customers if satisfied could ask for the product, as a result of which demand for the product could increase, lead to profitability of the company.
Promotion
Promotion is regarded as business of talking or communicating with customers. It helps in providing information to customers, and helps them in making final decision regarding products. The company should increase budget and make investment in all popular media channels in order to promote blackberry in an effectual manner. This could also help the company to reestablish its image in the minds of customers. However, popular media nowadays is internet and television. The company could promote the product on social websites such as on Linkedin, Facebook, and Twitter etc. this could help in creation of awareness regarding product in customers. Customers are attracted towards the online advertisements, and they also want to make purchases after getting influenced from advertisements.
People
Recruitment of right individuals leads to success of an organization. People in organization play an essential role as customers make their decision or judgment on the basis of services they are given. The CEO named John S Chen, shareholders, employees of Blackberry, and customers could play their role in successful promotion of the product, and could help the company in achieving its strategic objective. They determine fortune of the company. This can be considered from the fact that if employees are not satisfied in the organization, then problem of quality of product may arrive in the company. If CEO does not pay attention then conflicts may arise. Hence, it is necessary for the company to ensure satisfaction of all workforces in the organization in order to increase productivity and finally profitability of the company.
Processes
Processes indicate the policies and procedures about product and services in place. For effectual promotion of Blackberry company could ensure timely delivery and service, Superior quality, and Satisfactory services from Blackberry staff. Facilitating customers with timely delivery of products and services can play a significant role in a way that it creates a positive as well as constructive image in the minds of customers. This will help in achieving customer loyalty, and the company becomes capable of getting more customers. The company is, however, losing customers because of reduction of customer loyalty. Once customer loyalty is established, the company can increase its customer base, and can increase its market share, and ultimately achieve profitability.
Physical Evidence
Physical evidence indicates the services that are delivered to the customers. In this regard, the company could make the services available to customers via service contracts, tablets, and EMM products. Service contract makes customer consider the fact that for a period of one year or two, the company will provide service of product to the customers. This is a good method of gaining confidence of customers. However, all these factors help the company in achieving its SMART Goal. A SMART goal is, however, specific, measurable, achievable, and time bound. The goal of Blackberry could be made specific by keeping needs of customers into consideration. It could be made measurable by considering geographical segmentation. It could be made achievable by focusing on rebuilding customer base. Further, it could be made time bound by considering current situation of organization. In this way, the company could become capable of increasing its profitability and it can increase its stock price that has declined to a larger extent.
Conclusion
Within the space of 3 years, BB lost their majority market share and their stock price declined. They need to start investing in promoting their brand and applications to the BB platform. There are opportunities in the cloud services and tablet market. The two marketing strategies that can be utilized by blackberry for re-establishing their image, turning a profit and increasing market share are market penetration and development.
References
Boone, L.E., & Kurtz, D.L. (1998). Contemporary Marketing. Dryden Press Publisher, New York
Ferrell, O.C., & Hartline, M. (2013). Marketing Strategy, Text and Cases. Nelson Education Limited, Canada
Garside, J. (2015). BlackBerry: how business went sour. The Guardian. Available from:
http://www.theguardian.com/technology/2013/aug/13/blackberry-how-business-went-sour
Groucutt, J., Leadley, P., & Forsyth, P. (2004). Marketing: Essential Principles, New Realities. Kogan Page Publishers, London
Lamb, C.W., Hair, J.F., & McDaniel, C. (2008). Essentials of Marketing. Nelson Education Limited, Canada
Proctor, T. (2000). Strategic Marketing: An Introduction. Psychology Press, London
Waters, D. (2006). Operations Strategy. Nelson Education Limited, Canada
West, D., Ford, J., & Ibrahim, E. (2015). Strategic Marketing: Creating Competitive Advantage. Oxford University Press, New York
Williams, C. (2015). Effective Management. Nelson Education Limited, Canada
