rim vs. apple presentation
DESCRIPTION
The first case study in Marketing. Our team did a presentation which we were very proud of.TRANSCRIPT
VS
A Battle of Brand Dominance
Presented By
Briana Cowan
Mike Luo
“Munny” Berar
Parker McMullin
Raminque Sahota
Sarah Henderson
Susan Kelly
Mosaic Marketing Corp.
Outline of the Research
The Problem
Market Identification
SWOT Analysis
Key findings from Research
Outline of the Solution
Alternative 1
Alternative 2
Alternative 3
Solution and Implementation Plan
Course Concepts
The Problem at Hand
How can RIM reassert themselves as the greatest innovator ?
Problem at hand goes far beyond blackberry versus iPhone products.
SWOT Analysis
Strengths
1.Blackberry brand and reputation
2. Blackberry Enterprise Server (BES)
3. Innovative and strong foundation of technological assets
4. Dominance in the business Sector
5. RIM has its own wireless transmission network/equipment
Weakness
1.Limited Product breadth
2.Market Target is limited
3.Network is not as strong as competitors
Opportunity
1. Develop new target market (eg. Younger generation)
2. Globalization the target markets
3. Develop new products to deepen the market penetration
4. Possibility to establish RIM’s own Mobile wireless network (like AT&T)
Threats
1. RIM’s encrypted email system may be banned in certain countries
2. Apple offering business-look cell phones can result in significant reduced sales of Blackberry
3. Competitors developing similar application/interface that takes away RIM’s software advantages.
4. Competitors reverse engineering RIM’s innovative products.
Current Target Market
SEGMENT BREAK DOWN Men and women with
high incomes Tech savvy individuals Organized individuals Time constraints Innovators
Age: Early 20s – Late 40s
POPULATION
Population
Other AgeTarget Age Unquali-fiedTarget Age Qualified
Numbers and Details of Research
SMARTPHONE MARKET SHARE APPLE VS. RIM
40.8
19.5
10.7
4.3
4.2
20.5
Nokia
RIM
Apple
HTC
Samsung
Other
Revenue
Apple 4.2 Bil-lion
RIM 1.3 Billion
Other Findings and Research
Facts on sales
Blackberry Curve overtook Apple’s iPhone RIM’s share of smartphone market
boosted from 15% to nearly 50% in the first quarter of 2009 (May 2009)
RIM’s current mission statement: Create a digital community to serve the
needs of small business professionals, giving them the insight they need to maximize the benefits of Smartphones.
Alternative SolutionNumber One
Build up RIM’s Brand image
Re-design/ improve the Logo
Physical Expansion
Improve Company Website
Advantages
More logos and slogan helps brand recognition
Employs more skilled and innovated workers
Attracts more Generation Y and Tweens to the website
Disadvantages
May confuse existing customers
May cause unrest to the brand loyalty
Increased in administrative cost
Alternative SolutionNumber Two
Target New Market
DIVERSITY
Create Blackberry that suits various segment groups
Increasing brand awareness
Colors Designs Environmental
friendly
Website renovation Expand App store Support Focus on Media such
as Facebook/GPS
Campaign for Brand Awareness
DESIGN CONTEST
RIM website promotes a event for helping Blackberry with a new design from participants.
With incentives
PROS AND CONS
Disadvantages:▪ Drifted away Professional
outfit▪ Developing customized
product could be risky▪ Possible threat of
competitive retaliation (reverse engineering)
Advantages:▪ Increased Brand
Awareness▪ Word of Mouth
advertisement▪ Increased Target market
The Chosen Solution
Alternative Three: Increasing the Breadth of RIM’s Strategic Product Lines
Developing a new RIM laptop Blackberry - Work
Blackberry Work
Diversifying of RIM’s Strategic Product lines
Advantage Create hype for the product and company
boost the sales of blackberry
Captures new market and increase brand awareness
Reduced introduction stage of product life cycle
Disadvantages Initial investment can be costly
Takes time to develop a completely new product
Can be risky when it’s launched against an established competitor.
Target Segment
Existing Blackberry users▪ Business professionals ▪ Mainly Generation X and portion generation Ys▪ Help saturating the entire business market which
Blackberry smartphones had unable to monopolize
Underdeveloped Market▪ Other technology reliance individuals (eg.
Students)▪ Most of the Generation Ys and Tweens▪ Targeting the market which the Professional images
of Blackberry has not penetrated to.
Implementation Plan
Step-by-Step Implementation
Announce Blackberry Laptop to PublicBegin Concept Testing through Surveys and
other Media.Use this information to begin long development processHype Begins to Build (implement Alternative 2 solution to capture new
markets)Begin test marketing in select cities with limited supply.Use feedback and Launch Blackberry
Work to the public
Financials and Pricing
Creating a new department and employee expense = 22million Human resource 17 million Equipment and material cost 5million
Marketing material expense = 5.5 million Overhead expenses = 1.2million Research cost to develop new Software for the laptop = 4
million ----------------------------------------------------------- Total Cost 32.7 million for 2 years
Price will be in the high-end range in the initial stage of launching with limited supply and distribution (comparable to Macbooks)
May reduce its price as it reaches maturity and when new products come out
Major Course Concepts
Developing market strategies
Segmentation, targeting and positioning
Market mix
Works Cited
Cnet news. Lance Whitney. BlackBerry Curve outsells the iPhone 3G. Last viewed October 21, 2009
http://news.cnet.comWikie-Invest. Last viewed October 18, 2009
http://www.wikinvest.com/Intomobile. Will Park. Smartphone gains boost Apple and RIM at Nokia’s expense.
Last viewed October 20, 2009http://www.intomobile.com
Research in Motion. Investor – Research in Motion. Last viewed October 20, 2009http://www.rim.com/
Rim Case Study. Last viewed October 21, 2009.http://rimcase.blogspot.com/
Telecom.com. James Middleton. Apple, RIM poised to lead smartphone market. Last viewed October 18, 2009.http://www.telecoms.com
TechGeer.com. Tara Marriot. Blackberry VS iPhone: The Browse Wars. Last viewed October 19, 2009.http://techgeer.com/
Thank you for listening
Any Questions?