Select Softwares is an information technology corporation which has been in operation for the last three years. The company develops softwares for its clients and potential customers. The firm has developed a marketing plan with its directors to introduce a new product in the market to set direction and seek more funding. Currently, the organization has over 100 clients, and with the development of the new product, the business seeks to establish a new customer base in the competitive industry. Select softwares headquarters is located in New York. Notably, the firm develops software, but the management has decided to create sophisticated security software for its customers and potential clients due to increased cybersecurity threats.
Select softwares began its operations three years ago. Mike Deen, Lucy Wells, and Nick Newman, who had initially been employed in different companies decided to create their own business. Mike and Lucy are IT graduates and were working in a technology company where they gained diverse experience. On the other hand, Nick worked as a marketer in Tour Company, and his marketing involvement has greatly helped increase the company sales.
Select Softwares reflects Lucy and Mike’s passion for technology. They are both IT professionals who have decided to indulge in the technology business. Nick and the company employees have played a pivotal role in marketing the company products. Select Softwares currently sells softwares to small and mid-sized businesses, but lately, the firm has been expanding, targeting big companies. Due to its quality products and support services, Select Softwares has gained a large customer base in and outside the country.
Select Software is committed to being a leading software developer. The company’s main dedication is to develop security softwares and allow its customers to work without fear of hackers or compromised systems. Additionally, the company desires to create more user-friendly software.
To be the leading and most sought after company in the software development industry.
Select Softwares aim to achieve a sustainable competitive advantage by providing high quality and user-friendly products that the competitors cannot easily duplicate. The company has already established a strong customer base based on developing quality and high value systems and softwares that have met customers’ diverse needs. The firm also creates a sense of community to customers, which make feel part of the organization. Select Softwares ensures delivery of the right software and provides the needed support. The company is dedicated to building competencies through marketing, increase products, and improve the quality of the software already in the market. Thus, through the formation of strong relationships among retailers, consumers, and distributors, the company will create a maintainable advantage over its rivals.
Economic Forces. Most of the firms around the world are recruiting in-house developers to design and develop customized software. Since most companies have undertaken this channel to solve technological issues, tech companies can offer some issues related to security solutions. The in-house software development is expected to continue, thus slowing down the profits and growth of technology companies.
Political Forces. Select Software may not easily be affected by politics unless in the presence of political statement or a relationship. Nevertheless, none of such occurrence has been evident.
Technological Factors. The continued growth in technology has had both negative and positive effects on the business. The advancements in technology have led to new, cheaper solutions to the market that are readily available online. However, such improvements have enhanced business growth, making it easier for the firm to reach more people and provide support remotely.
Social-Cultural Forces. Since society has become too busy with less time for leisure, it is important to have convenient and easy-to-use software. In addition, the product should save time to fit clients’ needs. Thus, Select Softwares Company has ensured all its products are easy to install and use. Notably, the world is moving towards paperless culture, and our company is working hard to meet such market needs.
Demographic Factors. The business is not affected by the demographic factors since its primary function is in the technology space, which does not select age, race, sex, or religious affiliation. Thus, the business is set to thrive well in any environment.
- The ability to differentiate products has resulted in strong marketing orientation, commitment to quality, and customized products and support services.
- High number of return customers, indicating customers’ satisfaction. In addition, a word-of-mouth communication that enhances an almost 30% increase in business for every year.
- The functional relationship between the customer and the employees have generated businesses for the company due to quick responses to customer needs.
- The wide experience of managers and employees has contributed to the knowledge of product needs, standards and quality, and a common goal throughout the development process.
- High rental costs for the business premise.
- Cash flow problems due to late paying customers and bad debts.
- Single-sourcing for Select Software may expose the company in the event of a disaster or issues with its leading supplier.
- Small number of employees who slow down business development.
- The company is usually reactive rather than pro-active due to dependency on the word-of-mouth approach for marketing.
- The company may tap into the advertising market, which is rising steadily in the United States.
- Technological advancements have made people’s computer commonplace, making information management gain popularity, an area the company can exploit (Rust, Lemon, & Zeithaml, 2004).
- The issuance of company-based computer calendars distributed annually creates an opportunity for the company to build new relations in other markets.
- To offer premiums and incentives to customers to develop relations rather than just closing sales.
- Theft of trade secrets and piracy through copying are usually difficult to control.
- The re-engineering and outsourcing trends within the management may change the traditional relationships with distributors, brokers, and dealers, thus affecting them adversely.
- The heavy dependence of promotional items to do specialty advertising may result in a short life cycle.
- Single sourcing may negatively affect the business if the supplier faces a financial crisis or when relationships are affected (Rust, Lemon, and Zeithaml, 2004).
- Strong competition from the paper calendars and other promotional materials.
Description of the New Product
Given the ever-increasing cyber-security issues, the company has decided to develop antivirus software for its clients. The new system will be customizable according to the customer’s business needs. The software will have a single central point where the administrator can view activities taking place within the organization systems. This will make it easier to monitor security threats from a single point. Additionally, the software can isolate the affected gadget if a threat is identified. The main reason for developing is to help our clients tackle the increasing cyber threats daily. The goal is to reach out to many clients, especially since this is an IT company and the imminent cybersecurity threat can convince customers and businesses to purchase the product.
Select Software is in the business of making other company’s operations simple by providing IT services. Other than formulating market-oriented and customer-focused mission statement, the company should aim to ensure a cumulative growth of profits to about 50%.
Target Markets 1: The Company mainly targets stand-alone and large big organizations manufacturers with extensive dealer, broker, and distribution networks.
Target Market 2: The non-manufacturing and nonindustrial segments are also a target market. They include financial sectors like banks, medical services, and financial planners.
Given the markets need for a safer internet and cyberspace, the company has a wide market individual clients. Thus, the main reason of creating and marketing new products is to solve and satisfy customer needs (Wood, 2005). However, to enjoy wide profit margins, the company has decided to target the large or medium-sized companies.
Product Differentiation and Positioning
The cybersecurity product offered by Select Softwares is unique and can be administered from a single point, different from how other operators, especially in large organizations. Additionally, the software can be remotely installed and managed from the administrator’s panel. Hence, the entire process is easy to install and use and requires minimal administration. The product will be advertised on our website and our other software to reach the target customers. Through this, our clients will get to know about the new product. Additionally, we will do presentations for our clients and potential customers.
Product Strategy. Select Software Company develops several systems. The company is contracted to create custom software for given organizations. The firm attributes the growth of its market to the ability to meet client needs and exceed their expectations (Cravers & Piercy, 2006). Therefore, competitors might not copy such a competitive advantage easily.
The product is mainly designed for cybersecurity to solve and seal all the loopholes which cybercriminals might exploit.
Core Product. This level is defined as the most basic, which fulfills peoples’ needs and the benefits to the manufacturer. For this software, the primary role is to secure the computer systems. However, it has other benefits, such as remote installation and can be centrally controlled and monitored.
Actual Product. This section defines the actual benefits offered by the product. It is in this section that the product benefits are outlined on why the product is better than that of their competitors. This software is easy to use with a simple user interface, while user’s activities can be monitored from a central point. The product can also secure even mobile devices, which the admin can even locate.
Augmented Product. Under this level, the producer adds the non-tangible benefits to the client. Some of them may include free delivery, warranty, and helplines. For this software, we will offer free training on installing and using it.
Distribution. The company employs direct and internet marketing. The products offered by Select Softwares can easily be downloaded from the company’s website and installed at the given premise. Additionally, the new program will be available online with clear instructions on how to install and use. Due to its online availability and quality support services, the product will likely have a sustainable customer base. The online availability of the software is a benefit to the company.
Pricing Strategy. The pricing of company products has competition in mind. Thus, Select Softwares ensures its prices are attractive and affordable to its customers. Product value reflects the premium cost (Malhotra, Hall, Shaw, & Oppenheim, 2006). However, the company should be sensitive in the price elasticity for its products and overall demand.
Promotion. Given that a high percent of Select Software products is re-ordered annually, the promotion should mainly focus on new products, which should be done through direct-mailing, publications, and through the media.
The company is dedicated to giving back to the community by making a positive contribution to environmental conservation programs. The long-term goal for the company is to create and fund its ecological conservation program. Through this, the company can gain people’s trust, that may translate to more business for the company. The company also offers scholarships to students undertaking IT-related studies, and upon completing their schoolwork, they are offered internships in the company where they gain the needed experience and knowledge. The social responsibility program is important in creating awareness and marketing the company.
Select Software is an information technology company that focuses on developing IT solutions for its clients. However, due to expansion and growth in technology, the company has been expanding by launching a new cyber-security product for its customers. Due to increased cyber threats and the need for a safer internet space, the product is expected to bring profits to the company and meet the clients’ needs.
Cravens, D. W., & Piercy, N. (2006). Strategic marketing (Vol. 6). New York, NY: McGraw-Hill.
Malhotra, N., Hall, J., Shaw, M., & Oppenheim, P. (2006). Marketing research: An applied orientation. New Jersey, NJ: Pearson Education Australia.
Rust, R. T., Lemon, K. N., & Zeithaml, V. A. (2004). Return on marketing: Using customer equity to focus marketing strategy. Journal of Marketing, 68 (1), 109-127.
Wood, M. B. (2005). The marketing plan handbook. New Jersey, NJ: Prentice Hall.