Strategic marketing role of rim marketing essay

The marketing strategy is the foundation of a marketing plan. Strategic marketing defines the process of any organization in which the organization makes such plans to win a long term competitive advantage. For this purpose the organization invests its resources in most favourable opportunities available in the market to gain rapid increase in sales. Strategic marketing includes all the decisions like what to invest, when to invest, how much invest and where to invest. Strategic marketing deal with analysis of strategic situation of organization and the formulation, assessment, choice of market related strategies to achieve organization’s goal of be a market leader and achieve competitive advantage. (Baker Michael)

1. 1. 1 Strategic Marketing Role of RIM:

RIM (Research In Motion Limited) is a telecommunication and wireless equipment company based in Canada. This company is famous in the developer of the BlackBerry smart phones and tablet. It was established by Mike Lazaridis who has served in this company as Co-CEO till 22nd January 2012. The role of strategic marketing of RIM is to carefully analyze and scan internal and external environment of the company. The internal environmental factors include marketing mix i. e four Ps and four Cs. Four Ps includes product, price, place and promotionFour Cs includes consumer, cost, communication, convenienceThe factors included in external environment are analysis of customers, analysis of competitor and target market analysis, technological analysis, economical analysis, cultural analysis, political analysis, legal analysis. After the completion of in depth environmental scanning RIM (Research In Motion Limited) develops its strategic plan to identify business alternatives, set up challenging goals, and bring to a close the most advantageous marketing mix to attain these goals. Finally the last step in the marketing strategy role of RIM is to make a plan to monitor progress and to make a contingent plan for potential problem that can be arise in the implementation of the plan. (Sabine Kuester)

1. 2 Process Involved in the Strategic Marketing of RIM:

The strategic marketing process of RIM (Research In Motion Limited) includes the following steps that are adjacent to each other. (E. Jerome McCarthy)Examine current situationIdentify potential threats and opportunitiesSet objectivesDevelop strategiesExecutes

1. 2. 1 Examine the Current Situation:

First the manager of RIM evaluates the existing situation for the corporate, business, marketing and product level. The RIM managers find out the answers of the following questions. What are the current condition and how much it can go good or bad in coming days? How much business is earning profit and how much business is moving along with its goals and objectives? Are the previous marketing strategy of RIM good enough to continue with it or should some changes be made for rapid growth. Do RIM products quite well enough and meeting customers need or not? The historical information is used to describe the current strategy, measure recent performance, and estimate the competitive circumstances. The previous information proves itself as the benchmark for the new strategic planning process.

1. 2. 2 Identify Potential Threats and Opportunities:

After examining the current situation the next step in the process is to identify potential threats and opportunities. In this step all the concentration of the research strategic manager of RIM Limited changes from what has happened to what might happen. The manager searches and identifies the major changes in the environment. He then relates these changes with the current situation of the company and concludes whether these changes are in favour of the company or not. If they are in the favour of the company then he takes this change as the potential opportunity for the company and if the environment is not in favour then he takes such environment changes as the potential threat for the company. Threats represent as the potential problem for the company that might adversely affect the company’s situation. Opportunities represents as favourable areas which can improve company’s progress. BBM (Black berry messages) proves itself a technological development and as the opportunity for the company whereas android and IOS proves like the threat for the company.

1. 2. 3 Set Objectives:

After the analysis of potential threats and opportunities RIM Ltd manager align all the objectives in a row that are supposed to be implement in order to cope with the current situation. These objectives involve sales, market share and profitability. The specific objectives are based on the analysis of the current situation and the marketing environment.

1. 2. 4 Develop Strategies:

In this step RIM Ltd manager develop the strategies for achieving the objectives. These strategies set the rule or techniques that how the company will minimize the threats and maximize the opportunities. The strategies that are made in this step explain the company’s criteria that what it has plans to meet its objectives in the current situation and expected changes in the marketing environment.

1. 2. 5 Execute

Finally the execution step comes in which manager has to implement the whole game plan in reality. A clear strategy and best created program may still fail if the execution and implementation efforts are misdirected or mislead. For the effective execution in RIM Ltd strategy is implemented when sufficient resources are provided and employees are trained properly.

1. 3 Link between Strategic Marketing and the Corporate Strategy of RIM:

Corporate strategy of RIM Limited is the overall scope, purpose and direction of a RIM. The code of conduct in which the various business operations work together to achieve particular goals. Corporate strategy is the direction RIM Limited takes with the objectives of achieving business success in the long term. Corporate strategy defines the activities of RIM Limited and the nature of the business it is in, defines the environment in which it operates its position in the market place, and the competition it faces into consideration. The marketing strategies of RIM discuss how to achieve RIM’s corporate strategy. It defines the processes through which it can win a long term competitive edge and advantage. The link between strategic marketing and the corporate strategy is proportional.

Corporate Strategy

I want this position in the market

Strategic Marketing

I will achieve this positionThis diagram is showing the link between corporate strategy and marketing strategy. Corporate strategy sets the goals and objectives for the organization and to achieve that goals and objectives is the responsibility of the strategic marketing.

Task 2:

2. 1 Strategic Marketing Planning Models of RIM:

Marketing mix is the model that is used by RIM (Research in Motion Limited). Marketing mix is a strategic tool that discusses four Ps and four Cs.

2. 1. 1 Four Ps:

Four Ps is the name of marketing planning model that includes four names that start with P: Product: A product is any tangible or intangible item that a company used to earn profit by selling that one in the market. Tangible products are those that are in available physically like car, phone, razor etc. The intangible products are those that are not available physically like restaurant services, hospitals, tourism industry etc. Research In Motion Limited deals in both tangible and intangible products. It manufactures and sells tangible product with brand name of black berry and intangible products with name of QNX (Software system) and blackberry internet service, and BBM (black berry messenger). Price: The price is the money that a customer has to pay to buy a company’s product. The price is very important ingredient of any product as it determine the company’s profit and also the shows the survival for the company. Price adjustment has the important impact on the marketing planning. Price determines the sales and profit for the company. The marketer sets the price after very intense calculation of all charges. Research In Motion Limited (RIM) is known by its high prices. RIM sets price after calculating all its costs like manufacturing to delivery costs. In recent year RIM reduces its prices because of high competition with Apple Company and Google Android Phones. Place: Place defines the area where to provide or deliver the product that is easily accessible by customers. Place is similar to the meaning of distribution i. e where to distribute company’s product for customers. Selection of place for company is main task. For distribution company make list of target market and after listing and deciding target market then companies distribute its product through different means like intensive distribution, selective distribution and exclusive distribution etc. Many companies use franchisees for this purpose. Research In Motion Limited (RIM) has very vast target market. It has worldwide franchisees and customers. RIM has captured all the major and minor countries in the world. Promotion: It describes the way of communication that a marketer does with its customers regarding his product. The convincing audience is very important and strong tool of the marketer. Promotion includes different tools like advertising, public relation, personal selling and sales promotion. Research In Motion Limited (RIM) has very strong promotion centre. It has a big share to invest in T. V advertisement, newspaper ads, magazines ads, radio ads etc. It has worldwide media relation through which it holds the promotion strategy.

2. 1. 2 Four Cs:

Four Cs is same like four Ps: Consumer: It refers to product that is used to satisfy consumer. The product should have all those characteristics that can satisfy its consumer. Cost: It is similar to price. Cost should set after detailed calculation. Cost should be neither so low that company starts suffering nor so high that customer can’t buy. Communication: It is like promotion. Advertisement should be on reality and on ground values. Company should not use false advertisement techniques because it can impact on company for long term. Communication should be straight, easy and local language. Convenience: It refers to place. Distribution of the product should be in such a manner that is easily accessible for the customer.

2. 2 Strategic Positioning and Marketing Tactics of RIM:

2. 2. 1: Strategic Positioning:

Strategic positioning refers to the way in which company sets itself separately in the market and how its products are supposed by the target market as a whole. The company comes with unique ideas in the market to differentiate itself from others. Innovative ideas are addressed in the market. Innovations are made in the products to attract new and high number of customers. (Rise and Trout)RIM has strong strategic positioning in its target market. It has the maximum number of loyal customers. And these loyal customers are the main key point of this company. Strategic positioning has two dimensions: What the organization wants to achieve. It means how the organization wants its products to be viewed or perceived by the customers or consumers. RIM Ltd has clearly set its position in customers mind through strong media campaign. Secondly what customers actually think about a particular product or service? RIM has the competitive advantage that what it wants the image of its product be in customers mind it actually has the same image. Customers of RIM phones think the phones in same way as the company shows it in advertisement. The actual competitive advantage of one organization over other organizations is only the image of its products in customers mind. If the customers are satisfied and they like the product then they will become brand conscious and loyal and once if the customer become brand loyal then that company can retain its market advantage over many years. And this is the real competitive advantage of any company. RIM has loyal customers in its customers list. And they are very consistent and fully convinced with RIM phone. To get long term competitive advantage and best strategic positioning there are four key considerations that are important. They are clarity, consistency, credibility, competitivenessClarity: The positioning idea should be clear in company’s management and its marketers. And there should be no ambiguity in the idea or image of product. Everything should be like crystal clear. RIM Limited has fully clarity in its products and products image. That is the reason that it is the market leader for a long time. Consistence: The message that is being advertising in the media should be consistence. It is very bad impact for such companies who keep on change their message. RIM has consistence message for its product. Credibility: The position must be credible in the minds of the customers. It means image of the product as well of company should be stain free. Company should not be indulging in scam or fraud activities. Like what they are showing in message that thing should be present in real in that product. RIM has very good credibility among its customers. Competitiveness: Last but the most important thing for strategic positioning is its uniqueness and innovation. RIM Limited has very innovative and unique products that its competitor can’t copy or mitigate.

2. 2. 2 Marketing Tactics:

Marketing tactics used by RIM Ltd are: Buzz Marketing: It is a tactics in which hype amongst the consumer are increased by word of mouth marketing. RIM Limited has used this tactics for its sales. Event Marketing: RIM Limited has arranged many events in different target market like cricket, rugby, snooker and in these events it did publicity of its product. Guerrilla Marketing: RIM Limited has also done guerrilla marketing tactics by intercept encounters in public places, street giveaways of products, personal relation stunts, any unconventional marketing intended to get maximum results from minimal resources.

2. 3 Merits of Relationship Marketing in the Strategic Marketing:

The analysis of merits of relationship marketing in the strategic marketing that targets smart phones and tablets customers with RIM Ltd is that the relationship marketing is very strong tool. And many people has become new customers of RIM only after influencing from others. Like one person is using tablet of smart phone and if he is more than satisfied with the service and quality of the product then he must share his good experience with his/her family relatives or friends and may be with both. And it is an obvious thing that if one friend or family member buys one thing or product especially phone then the other friend or family member must buy the same brand. (Rudelius)My analysis regarding this topic is very obvious and clear that the relationship or personal marketing is very good tool for any organization. With the growth of the technology and internet relationship marketing has increased rapidly like fire in jungle. One of the strongest medium is face book and twitter. Relationship marketing is very good mean for any organization to have direct connection with its customers or consumers rapidly. Through relationship marketing many good and favourable feed backs receive. The relationship marketing is the solution of many great problems and it has increased profitability of the companies. The main goal of any company regarding customers is to retain them and through relationship marketing this goal has been achieved easily.

Task 3:

3. 1 Marketing Techniques to Ascertain Growth Opportunities:

Following are the some marketing techniques that can be used for growth opportunities in the Asia or Europe, or Africa, or South American Market: (Brian Solis)Ambient Marketing: It is a marketing tool that suggests does advertising where ever customers happen to be, as part of the instant ambience. Where ever there are chances of customers there advertising must be done. Astroturf Marketing: It is like public relation market in which company should show itself on grass root level and try to make its impression that it knows the main problem of customer and it is the only one who has the solution of that specific problem. Buzz Marketing: It is the marketing technique that has been done through word by mouth. Companies have to create such atmosphere in which it can create hype of its products. Like by initiating lucky prize number in its products or by giving special retail offer in buying bulk amount etc. Cause Related Marketing: A marketing effort in which social and other charitable cause is shown and after that sell your product. For example company can use this that if you buy one product then some amount will be spend on some charitable cause or social welfare cause. Event Marketing: Marketing technique in which some events are decided to promote like Olympics, Christmas, cultural show etc. And during those events publicizing company’s product throughout the event. Guerrilla Marketing: A marketing technique that involves strange approaches such as interrupt meeting in public places. The main purpose of this technique is to spread your message through your customers or person to person as a form of word of mouth. Person Marketing: A marketing technique that is used to attract attention, notice and first choice of a target market in the direction of a person. Place Marketing: A marketing technique that is used to attract attention, curiosity and liking of a target market on the way to a person.

3. 2 Using Marketing Strategy Options the Asia, Europe, Africa or South American Markets:

Marketing strategy options can be used in Asia. Europe, Africa or South American Markets by the understanding customers, analyze market, analyze competition, research distribution, define market mix, financial analysis, review and revise. (Needham, Dave)Understanding Customers: For any region to start business the first and foremost step is to understand your customers. Different people of different region behave, communicate, think, live etc differently. So, first do understand nature and needs of your customers of your target region. Analyze Market: After understanding customers analysing market is important. Company should have complete statistics of that particular region, their gross domestic product rate, their gross nation product rate, their per capita income, inflation rate and currency exchange rate etc. Analyze Competition: After analysing customer and market analysing competition is important. It is possible that one competitor in Asia is very strong but same competitor may be weak in America or Europe. Analysing competition is important globally before starting the business. Research Distribution: Research and distribution is also important step. Any company that want to start its operation globally should conduct thoroughly research of that region and distribute that report to their upper management for further proceedings. Define Market Mix: After all above analysis company has to set its four Ps that are what product should introduced, what price will be feasible, where to distribute product, what means will be used for communication with customers etc. Financial Analysis: Measuring profit margin and cost is compulsory. In this step company decides how much it can invest and what is the profit margin will it get after investing. And which region is giving maximum profit with investing minimum resources. And the best one region will be selected for practical investment. Review and Revise: In this step that is the last one company will review all its decision and potential threats and opportunities of the investments. If the threats are more than the opportunities then the company will stop its projects immediately and if opportunities are more than the threats then company will commence its operations in that region.

3. 3 Strategic Marketing Objectives for Asia, Europe, Africa or South American Markets:

The strategic marketing objectives for any region are almost same. The main marketing objectives necessary for Asia, Europe, Africa or South American Markets are:(Aaker, David )Meeting corporate strategy: The main objective of strategic marketing is to meet corporate strategy. What the strategy has been made in corporate level that strategy has to be fulfilled by strategic marketing. Aligning activities with company’s mission: Company’s mission statement clearly tells that what company wants and how much it wants. And now it’s the strategic marketing objective to arrange its activities in such a way that are direct proportional to company’s mission statement. Long term objectives are broken into short term: It is strategic Marketing objectives to break down long term corporate objectives into short term to accomplish them with in time limit effectively and efficiently. Setting goals that are measurable and achievable: Marketers should set goals for the team that are measurable and achievable. Marketing strategy should be clear, easily achievable and that can be gained with in time. Getting maximum profit by investing minimum resources: It is the objective of strategic marketing to set and implement such plans that are more profitable and less costly. Gaining competitive advantage: Finally the dream of every company is to get competitive advantage and this stage can only be gain if each and every department shows full responsibility and enthusiasm. Especially marketing department has to play a key role in this stage. Because marketing is the only department that can take the company on high level through its unique product ideas and enthusiastic sales team.

Task No. 4

4. 1 Impact of Changes in the Recent External Environment on the Marketing Strategies of RIM:

The factors included in external environment are:(Robert F. Lauterborn)Political Factor: Political factor shows up to what extent government intervenes in the economy. Political factors include tax policy, labour law, environmental law, trade restriction, tariffs and political stability. If any of the political factors get change then marketing strategies of RIM will be change. For example if government increase tax policy then RIM will have to increase its price and this can cause a negative impact on RIM. Economical Factor: It includes economic growth, interest rate, inflation rate and exchange rate. If this factor increases then RIM will effect negative and vice versa. Social Factor: It includes health consciousness, population growth, age distribution etc. This factor has direct impact on RIM sale. Technological Factor: It includes ecological and environmental aspects, automation, technology incentives. It can affect RIM like barrier to entry, minimum efficient production level. Furthermore technological shifts have negative impact on RIM’s cost. Environmental Factor: It include weather, climate, rains, earthquakes etc. The change in environment can affect RIM very badly. Legal Factor: It includes consumer law, discrimination law, health and safety law, employment law etc. This factor can cost and affect RIM’s demand and product.

4. 2 Current Strengths and weaknesses of RIM:

Strengths:

Brand Image: Blackberry is one of the best brand image in the world. RIM has variety of products for its consumers. Innovative Product: The black berry design is unique. It is highly secure and well integrated with other plat form. Product Features: Blackberry has the most user friendly key board. It has speedy email service and BBM services that is unique feature till yet in any mobile.

Weaknesses:

Global Coverage Dependence: RIM’s business model selling through operators. It is dependent on its operators when it comes to launch black berry services. Ownership Cost: It is very costly service and it is very difficult to buy blackberry because of its high charges. Feature: Its main utility feature is email and rest features are very difficult to use. Furthermore it does not have a large storage of third party software.

4. 3 RIM’s Marketing Strategy to Aviation Market:

RIM’s marketing strategy is quite strong strategy. Its strategy has detailed analysis and study of market, consumer, competition and market mix (product, price, place and promotion). It is full analysis and complete marketing strategy. On these lines strategy of any market can be made whether it is of any type. The RIM’s Strategy to key emerging themes in the national and international aviation market will produce effective and efficient out comes. Examine Current Situation: In aviation market current situation examining includes how much the aviation market is earning or how much opportunities are available. From previous information it can be checked that how much goals the aviation market has achieved and on that achievement current situation can be easily examined. Identify Potential Threats and Opportunities: Just like RIM strategy potential threats or potential opportunities can also determined by focusing in the future circumstance. The change in internal or external environment can easily assess potential threats and potential opportunities. Set Objective: Once all information has gathered then there is no difficult task for aviation market to set its objectives according to the situation. Develop Strategy and Execute: In the end after setting objectives the aviation market develop their best strategy and execute them in best possible and economical way.