Way Forward for RIM
Way Forward for RIM
Executive Summary
This paper examines the impact of Brand extension product at
RIM. My major goal is to develop a new
product name ”GPS Wallet” for a Canadian company RIM (Research in
Motion).This GPS device(Global Positioning System) will have new features that are not presently
included in all the blackberry products in the market in term of functionality,
compatibility and usability. It will be operating on Android operating system. The
GPS Wallet is designed to meet the demand of Auto, Mobile customer, fitness and
general aviation markets.
RIM is a Canadian telecommunications company that operates
globally with headquarters in Waterloo, Ontario, Canada. RIM was founded in
1984 by Mike Lazardis and Jim Balsillie. I find it necessary for RIM to develop
a GPS device that will be compatible with all applications from Android market
and rival Apple application.
Apple Phone has its own operating system known as Safari
which is really embraced in North America and Asia market while Blackberry has
large market in North America, Asia, Middle East and Africa. Another feature I
would like to add to GPS Wallet is power usage that last for 20 to 30 hours
operation time. This GPS device is unique that it will allow customers to drive
for two days before of thinking to charge the battery and it is going to be
detachable customer can watch movie and
take picture with this device. It will be also a calendar reminder with a function
that will remind customer about their future appointment and can also help them
to locate any nearby hotel, gas station and hospital.
RIM goal is to build a GPS device that of high quality, easy
to use, longer power usage and good reception signal. The company will always
build GPS device that will conserve energy even when the GPS device is in use.
RIM is looking into a big market to launch this brand globally, RIM estimates
in the first year of production to sell approximately 2 million pieces of GPS
Wallet at $500 each with total revenue of over $1 billion.
2.0 SITUATION
ANALYSIS
The GPS Wallet is a new GPS (Global positioning system)
device that RIM wants to add the list of products offered at RIM. The
organization is finding way to optimize company performance by launching
products that will sell in large numbers and generate more revenues. RIM is
widely known as a producer of Blackberry Smartphone with the competition in the
global market. It is really important
for RIM to diversify into production of new products.
The GPS Wallet is a new GPS device that will help drivers
and users to navigate around North America. It has a great feature that uses
Android Platform and built-in music, video and GPS Map. It is the only GPS
device that is the best in the market.
2.1 Market Summary:
RIM understands the shopping habits of its customer and
finds a way to satisfy the customers with new product innovation that can serve
different purposes. RIM is developing a unique GPS device that is on Android
operating system and it will have the capability of viewing video, Wi-Fi, GPS
and Heartbeat rate counter and it is optional to make phone call with it. All
these added features will make it a better GPS device in the market.
The target markets will include Auto Industry, Fitness,
Educational industry and they will be people in age range of 22-65years old.
2.1.1 Market
Demographics
The profile for the RIM customers will consist of the
following demographic, geographic and behaviour factors:
Demographics
·
There is a high number of male customers than
female customers.
·
The educational group ranges between high
–school diploma holder and University graduate
·
The average age of people buying GPS Wallet
ranges from 22-65 years old.
·
The young people are really attracted to the GPS
Wallet because of music and video downloading
·
People of average annual salary between $50,000
to $150,000 can afford the GPS Wallet
Geographic
·
RIM currently maintained a database of over 1
million customers worldwide.
·
RIM GPS Wallet is specifically design for
customers in North America.
·
There is no limited geographic area for this
product. RIM products are distributed and marketed globally.
Behavioral Factors
·
Customers enjoy a GPS device that can navigate
along their path and the same time listen to their favourite music
·
Customers want to see another features added to
GPS device that will be attractive
·
Customers are tired of paper map, they want GPS
device that can direct them electronically from one location to another
2.1.2 Market Needs
Every Customer needs a sense of direction any anywhere they
go and the only way to achieve that is by using GPS device that of high quality
and of up to date technology.
Customer needs
·
Customers need to navigate from one city to
another using GPS device that will work effectively.
·
Customers need a GPS device that can record
video and music
Customer Security
·
Customers need a GPS device that can
automatically alert them in time of danger or weather storm
·
Customers need a GPS device that is energy
independent and does not depend on the energy from the vehicle in case there is
power shut down on customer’s Car.
Customer Durability Product
·
Customer needs a GPS device that is stable and
durable in any location in North America
·
Customer needs a GPS device that can withstand
any harsh weather
2.1.3 Market Trends
·
Most of the newly Cars come with built- in GPS
device located at the drivers dashboard but has little features with the main
purpose of helping Customers navigate their way from one location to another.
RIM is developing a GPS Wallet that is detachable and easy to carry anywhere
which can be used outdoor and indoor to listen and watch movie online because
of the Wi-Fi capability.
·
Another new trend in GPS device is that
Customers need a GPS device that they can travel with to anywhere in the world
not only using it for navigating their location in North America but also
listening and watching movie, monitoring their heartbeat and taking
pictures anywhere in the world.
·
Customers also want GPS device that is portable
and can be carried in the pocket and that is the reason RIM name the product as
GPS Wallet.
2.1.4 Market Growth
There is high demand for GPS device in the market.
Manufacturers of GPS device such as Garmin, Tom Tom 350M GPS and Magellan
Roadmate are striving hard to produce high quality and easy to use GPS device
that Customers will like to buy.
Prices of GPS device are dropping because manufacturers
decided not to improve by adding new features to the existing GPS device but
RIM will introduce GPS device with new features that will attract new market
and customers with a competitive price.
2.2 SWOT Analysis
SWOT Analysis is a business methodology that covers four
aspect of business flow that includes strength, weakness, opportunities and
threats. SWOT analysis is instrumental in strategy formulation and selection.
It is a strong tool, but it involves a great subjective element.
2.2.1 Strengths
·
The GPS Wallet is the first of its kind because
it has new features that attracts more customers and more revenues to the
company
·
It has great ability to conserve energy and it
is green energy friendly. The battery can last for two days without charging
it.
·
Drivers can listen to music and browse internet
on the GPS Wallet and that makes it a unique GPS device
2.2.2 Weakness
·
Some Customers may complain about the high price
of GPS Wallet compared to other GPS device in the market.
·
Not all Customers want changes; it is a great
task for marketers to persuade Customers to buy the GPS Wallet.
·
The GPS
Wallet map can only navigate roads in the North American location not Europe
and Africa.
2.2.3 Opportunities
·
There is a great chance of selling the GPS
Wallet to user of all Smartphone because it looks similar to Smartphone
·
The GPS Wallet can be used in other industries
such as education, entertainment, transportation and Hospital.
·
RIM really engaged their Customers before and
after the design of GPS Wallet and they are always looking for way to improve.
2.2.4 Threats
·
The fear of other technologies of GPS device
which could be better and more efficient than GPS Wallet
·
The GPS Wallet blue print may be stolen by
hackers and sold to other manufacturers and that will make GPS Wallet to lose
its value and uniqueness.
·
The fear of being stolen because of the size and
attractiveness of the GPS Wallet
2.3 Competition
RIM is the first Company in the world that launched the GPS
Wallet with new features and new functionality. There are no visible
competitors at this time but l am really sure there would be competitors in the
future.
RIM has been known for a long time as Blackberry Smartphone
manufacturers and its new move venturing into GPS device technology is
challenging because it has to compete with other GPS device manufacturers like
Garmin and others in the market. The only way RIM can be a leader in selling
GPS device is by offering high quality and user friendly features that are
absolutely different from the existing GPS devices in the market. Most of the
GPS devices in the market only focus on the navigation of roads from one
location to another but the GPS Wallet has better advantage because it is not
only used for road navigation but also for entertainment and fitness.
2.4 Product Offering
GPS Wallet is a great device that RIM is introducing to the
market; it has a new operating system known as Android. GPS Wallet will be
compatible with all Android application. It will have a Wi-Fi ,MAPs, Health
Counter and other features that can track places of interest when a driver is
in that location such as Restaurant, Hospital and Schools.
The products made by RIM can be categorized into three which
includes the first generation phone, Second Generation phone 2G and Third
generation phones 3G.
·
First generation Blackberry phone does not have
certain features like Camera, Wi-Fi, GPS and Bluetooth. The first generation
blackberry phones are mainly used to make phone call.
·
Second generation Blackberry phones have better
functionality than the previous blackberry; the features in second generation
blackberry includes Camera, speaker phone and touch screen and example of this
is Blackberry storm.
·
The third generation Blackberry phones commonly
known as 3G and the GPS Wallet belong to this category. The Blackberry phones
in this category have features like Camera, Wi-Fi, Bluetooth and GPS map. They
are faster and have more reliable signal; example of RIM products that are 3G
are Blackberry Touch, Blackberry Curve and GPS Wallet.
2.5 Keys to Success
The key to success for RIM is to plan on how to improve on
the existing products and how to introduce new products such as GPS Wallet that
will attract more new Customers which will bring more sales and eventually more
revenues to the Company.
The second key to success is that GPS Wallet is a new GPS
device that has new features which make it different from all GPS device in the
market as it has better functionality and is more users friendly.
The third key to success is that RIM has invested a lot of
money in marketing GPS Wallet; it spent a lot on advertisement on Television,
Radio, Newspaper and Internet.
2.6 Critical Issues
The main concern facing RIM is to find a way of elevating
the company to a higher standard that will attract more customers and that will
also allow existing investors to have more confidence in the company.
·
The GPS Wallet is a new GPS device in the market;
it takes time for the company to actually gain full Customers confidence on the
product.
·
RIM needs dedicated and motivated employees that
will ensure the success of this new product in the market and that will bring
in more revenues to the company.
·
RIM needs to monitor and listen to response from
Customers and shareholders and that will help the Company to know whether it is
still in the right direction.
3.0 MARKETING
STRATEGY
The major factor to be considered in marketing strategy is
to focus on the industries that need the GPS Wallet products such as Auto
industry, Fitness and Entertainment. RIM has determined to launch this new
product locally and globally in order to reach larger audience and to cover all
areas of market segmentation in terms of gender, ethnic group and lifestyles.
3.1 Mission
RIM strives for excellence in product and service and the
mission statement ’’Research In Motion and its subsidiaries and affiliates
(“RIM”) are committed to offering the best tools for communication and working
towards minimizing our environmental impact.RIM strives to act responsibility
and expects the same of our partners and suppliers. ’’RIM is a corporate body
that determines to meet the need of their customers by offering best products
to the market.
·
Value
Proposition
The value proposition for RIM is to build a GPS device that
can serve many purposes and be of good quality that customers will appreciate
for the money beign spend. GPS Wallet is a new product that will really change
the way customers use GPS device in a very enjoyable and effective way.
·
Fundamental
Goals
The fundamental goal of RIM is to sell quality GPS Wallet at
a reasonable price and also to make the products readily available to all
customers globally.RIM understands that the present cost of production of GPS
Wallet is high and they are finding a way to bring down cost of production to
minimal and that will help the company to sell the products at cheaper price.
3.2 Marketing Objectives
·
Continually promotes innovation and
collaboration for the growth of the business
·
Maintain constant relationship with customers
·
Always strive harder to offer best quality
products to the market
·
Create a sales benchmark for each quarters to
know that the company is in right direction of making profit
·
Tend to be a leader of GPS device
Specific Measurable
Market Size
In the first year of production, RIM is projecting sales of
2 million unit of GPS Wallet globally and the most importantly the large market
size will be mainly in North American countries such as USA, Canada and Mexico.
The market size will actually determine the number of customers buying the GPS
Wallet and RIM can find a way to satisfy the customers.
Specific Measurable
Market Share
RIM is determined to meet their objectives in maintaining
good price and revenues for their products. A 3% share over 12 months means
that each market share targets can be measured against a specific goal. The RIM
really wants to control this level of market share and that will help the
company to know their level of progress.
3.4 Target Markets
RIM has been in business since 1994 with the launching of
GPS Wallet to meet market target of over 2 million customers. The demand for
GPS Wallet will continue to increase because a lot of people are really
interested in travelling by road using GPS device to navigate their way through
North American cities due to high cost of air ticket. The target market
segments for GPS Wallet will include Fitness, Auto Industry, Education and
Entertainment and it will also target people in age range of 22-65 years.
The GPS Wallet is a new product made by RIM that will
generate a lot of customers and revenues because it has new features that are
totally different from other GPS device in the market. Customers of GPS Wallet
can enjoy watching video and listening to music. It also has WIFI capability
that will allow customers to browse, check email and send email to friends and
family.
GPS devices users have been waiting for long time to buy GPS
devices that will have other features other than navigating road and GPS Wallet
has been great tools to meet this challenges facing customers.RIM also
determine to target new customers that love innovation and technology.
The Specific Target
Market Segments
The specific market targets are the customers that RIM is intended
to sell the GPS Wallet to which includes people in the following industries
Fitness, Education, Auto and Health.” A market segment consists of a group of
customers who share a similar set of needs and wants. Rather than creating the
segments, the marketer task is to identify them and decide which one(s) to
target.”The market segments are demographic and psychographic segmentation;
this segmentation has a great impact in the selling of the GPS Wallet because
it comprises where the customers live, kind of customers’ occupation and
customers behaviour to certain products.”In demographic segmentation, we divide
the market into groups on the basis of variables such as age, family size,
family life cycle, gender, income, occupation, education, religion, race, generation,
nationality and social class.” While psychographics is the science of using
psychology and demographics to better understand consumers. It is really necessary
for RIM to explore this market segmentation in order to boost their market sale
and increase company revenues.
The Reason to
Optimize Target Marketing Segments
The two market segmentations that are applicable in these
situations are demographic and psychographic segmentation which RIM greatly
embraced. It is actually a great task for RIM to carry out market surveys that
will help the management to get information about customers age, occupation, salary,
location, tastes and life styles; all these information gathering will help the
organization to optimize their sales across different categories of people in
different geographical location.”Market segmentation made communication with
the advertising audience predicated on the audience segment. Population
segments were quickly stratified by demographic and psychographic
characteristics in order to construct target audience profiles for advertisers”
It is really necessary to streamline all the customers information that will
help the marketers to be more focus on each segment of the market.
3.5 Positioning
RIM positioning is to provide a quality, faster Android
operating system, easy to use and environmentally friendly GPS device that will
meet customers’ satisfaction. RIM has been a leader in manufacturing Smartphone
commonly known as Blackberry. The company deemed it necessary to diversify and
to meet large numbers of customers globally and they went ahead and launch GPS
Wallet.
RIM understand the importance of social media and they want
their customers to stay in touch anywhere at any time by introducing WIFI GPS
Wallet that has the Facebook and twitter logo on the Android operating system.
3.7 Marketing Mix
RIM marketing mix includes the following factors such as
pricing, distribution, advertisement and promotion and customer service.
Product
The GPS Wallet is different from other existing GPS device
products in the market because it has a lot of features that attracts customers
and meet customers need.”Product is anything that can be offered to market to satisfy a want or need,
including physical goods, services ,experiences, events, persons, places,
properties, organizations, information’s, and ideas."The GPS Wallet is a
unique product that helps drivers to navigate the road within North American
Countries like Canada, USA and Mexico. The GPS Wallet has other features that
are not present in other GPS devices such as Video and music download; it has
Wi-Fi that helps user to browse internet to check email at anytime and
anywhere, all these functionalities and features have given GPS Wallet better
value than other GPS devices in the market.
Place
The GPS Wallet will be available for purchase through all
RIM retailers at a reasonable price. RIM will be using pull marketing strategy
to really get close to customers and the retailers.”Pull strategy the
manufacturer uses advertising, promotion and other forms of communication to
persuade the consumers to demand the product from intermediaries, thus inducing
the intermediaries to order it”. RIM has cultivates the method of marketing
such as advertising, promotion and face to face sales and that has actually
help the company to boost their revenues.
E-Commerce Marketing –RIM has another platform online known as
Blackberry.com that customers can purchase RIM products such as GPS Wallet at
their own convenience without going to the store and products can be shipped
directly to customers address.“E-commerce means that the company or site offers
to transact or facilitate the selling of products and services online”
E-commerce has been business technologies that allow company to sell their
products to customer anywhere in the world. Procurement of the products is done
and payment is made and invoice verification confirmed and the product is
shipped out to the customers.
Retailing and/or Wholesale-RIM has many retailers that sell
their products in the store and retailer websites that includes T-Mobile,
Verizon and AT & T all in US but in Canada we have Rogers Inc, Bell, Fido
and TELUS Mobility. Most of this retailer will be selling the GPS Wallet in their
stores and online. The price of GPS Wallet varies from one retailer to another
due to profit margin.
Channel Design
Decisions
The priority of RIM is to focus on a lot size of the various
target market. This can be achieved by having good relationship with customers
and retailers” Designing a marketing channel system requires analyzing customer
needs, establishing channel objectives, and identifying and evaluating major
channel alternatives”. The GPS Wallet will be a GPS device that will be easy to
buy through retailers that has stores in the major cities in US and Canada.
Pricing
The RIM existing and prospective customers do not really
care about the price of GPS Wallet because they actually understand the benefit
of the GPS Wallet that other GPS device that are selling at a cheaper price
cannot offer. The current price of GPS Wallet is about 60 % above the other GPS
device in the market.
·
Setting Price Objective- The priority of RIM to
set price of GPS Wallet is to evaluate the quality of GPS Wallet to other GPS
device in the market. The GPS Wallet has been the best product in the market
that meet customers’ needs and satisfaction and customers are ready or eager to
pay good amount of money to buy the GPS Wallet.
·
Demand for GPS Wallet-Many of the RIM customers
have been waiting for long time for RIM to develop GPS Wallet that helps them
to navigate and also to use the device for other functionality and they view
the price to be moderate compared to other RIM Smartphone products.
Distribution
RIM will be using the existing distribution channels such as
Retailers like T-Mobile, Rogers, Bell, Fido and AT & T. Customers can go to
their outlet mostly located in the shopping mall to make purchase of GPS Wallet
and each retailer is independently in charge of offering discount to their
customers.
·
E-commerce Marketing is another great way RIM
intended to sell their GPS Wallet through their Retailer website because most
customers are too busy to go to the store to purchase the GPS Wallet; the only
option for them is to make online purchase with their credit card and the card
is validated by the website and the product is shipped to the customers
address.
·
Direct Sale- RIM also has the intention of
giving customers the opportunity to buy GPS Wallet directly from the RIM at a
very competitive price and that will allow RIM to really study customers’
behaviour to the new products in the market.
Advertising and
Promotion
·
Communication media such as Television and Radio
are great means of advertisement that RIM has been using for long time to
advertise their products which includes GPS Wallet. Most of News channel and
sport channel advertise the products on their channel so as to reach new market
target and new audience.
·
Internet Promotion of GPS Wallet- It is a
significant tool to advertise GPS Wallet and it can be done using social media
like Facebook and twitter these are websites that have high traffics of
customers visiting each day.
Customers Service
Customer service department at RIM is the face of the
company; RIM has determined to hire and train qualified sales representative to
be able to sell and promote the new product GPS Wallet. The goal of customer
service is to meet customers’ expectation.
3.8 Marketing
Research
RIM will conduct market research by interviewing and
distributing questionnaires among 3000 current customers. The objective of this
research is to get necessary information about the usage of GPS Wallet and
Customers satisfaction about the physical features and price of the GPS Wallet.
The research will be implemented at the beginning of the development of GPS
Wallet to the finished stage of the development and that is really important to
carry customers and stakeholders along with the new product. The response from
the customers and stakeholders will help RIM to really evaluate the customer
relationship marketing in areas of selling the products and making profit.
4.0 FINANCIALS
4.1 Break-even
Analysis
RIM estimates the revenue to be $20,000,000 for the first
year sales of GPS Wallet. Each GPS Wallet will have a sale price of $500 that
most customers can afford to buy it. Each GPS Wallet has an estimated variable
cost of $300 per unit. This results in a contribution margin of $200 per
unit. The estimated fixed costs for the
GPS Wallet are $2,000,000 a year and $8,000,000 for Research and Development
investment, totaling $10,000,000. The
sales volume in the first year is estimated to be 40,000 units.
TOTAL PER UNIT
Sales (40,000 GPS Wallets)
$20,000,000
$500
Less variable
expenses
$12,000,000
$300
Contribution Margin
$8,000,000
$200
Less fixed expenses $10,000,000
Net Operating Income $2,000,000
RIM will reach its break-even
point when sales reach 50,000 GPS Wallet units:
$10,000,000/ $500-$300 = 50,000
units.
This is estimated to take place
in the second year. Break-even analysis assumes per unit wholesale revenue will
remain at $500 average. Variable costs are $300 per unit.
TOTAL PER UNIT
Sales (50,000GPS Wallets)
$25,000,000
$500
Less variable expenses
$15,000,000
$300
Contribution Margin
$10,000,000
$200
Less fixed expenses $10,000,000
Net Operating Income $ 0
The major goal of RIM is to
double its current sales of GPS Wallet within two years. They can only achieve
this goal by doubling the sales in the next two years.
|
Time
|
Unit Start
|
Unit increment
|
Unit Price
|
Unit Variable Cost
|
Total Fixed Costs
|
|||||||||
|
Month
|
0
|
5,000
|
$500
|
$300
|
$10,000,000
|
|||||||||
|
Unit
|
Sales
|
Variables Cost
|
Contribution Cost
|
Fixed Cost
|
Total Cost
|
|||||||||
|
0
|
$0
|
$0
|
$0
|
$10,000,000
|
$10,000,000
|
|||||||||
|
5,000
|
2,500,000
|
1,500,000
|
$2,000,000
|
$10,000,000
|
$11,500,000
|
|||||||||
|
10,000
|
$5,000,000
|
3,000,000
|
$4,000,000
|
$10,000,000
|
$13,000,000
|
|||||||||
|
15,000
|
$7,500,000
|
4,500,000
|
$6,000,000
|
$10,000,000
|
$14,500,000
|
|||||||||
|
20,000
|
$10,000,000
|
6,000,000
|
$8,000,000
|
$10,000,000
|
$16,000,000
|
|||||||||
|
25,000
|
$12,500,000
|
$7,500,000
|
$10,000,000
|
$10,000,000
|
$17,500,000
|
|||||||||
|
30,000
|
$15,000,000
|
$9,000,000
|
$12,000,000
|
$10,000,000
|
$19,000,000
|
|||||||||
|
35,000
|
$17,500,000
|
$10,500,000
|
$14,000,000
|
$10,000,000
|
$20,500,000
|
|||||||||
|
40,000
|
$20,000,000
|
$12,000,000
|
$16,000,000
|
$10,000,000
|
$22,000,000
|
|||||||||
|
45,000
|
$22,500,000
|
$13,500,000
|
$18,000,000
|
$10,000,000
|
$23,500,000
|
|||||||||
|
50,000
|
$25,000,000
|
$15,000,000
|
$20,000,000
|
$10,000,000
|
$25,000,000
|
|||||||||
|
60,000
|
$30,000,000
|
$18,000,000
|
$12,000,000
|
$10,000,000
|
$28,000,000
|
|||||||||
|
70,000
|
$35,000,000
|
$21,000,000
|
$24,000,000
|
$10,000,000
|
$31,000,000
|
|||||||||
|
|
||||||||||||||
|
|
||||||||||||||
4.2 Sales Forecast: 1st
year by month; 2nd and 3rd years by quarter
·
The demand from GPS Wallet varies because it is
a new product that is being introduced to the market, the demand for GPS Wallet
will continue to grow steadily to reach
its forecasted number.
|
Year1
|
Jan
|
Feb
|
Mar
|
Apr
|
May
|
Jun
|
Jul
|
Aug
|
Sep
|
Oct
|
Nov
|
Dec
|
|
20,000
|
1000
|
1100
|
1200
|
1300
|
1400
|
1500
|
1700
|
1850
|
2000
|
2150
|
2300
|
2500
|
|
Year 2
|
1st Q
|
2nd Q
|
3rd Q
|
4th Q
|
Year 3
|
1st Q
|
2nd Q
|
3rd Q
|
4th Q
|
|
40,000
|
9000
|
9600
|
10400
|
11000
|
70,000
|
12,500
|
15,500
|
19,000
|
23,000
|
·
Risk: There is a lot of uncertainty facing
RIM to sell GPS Wallet in the market and that actually affects the forecast
data. There is competition from other competitor that can produce the same GPS
Wallet with better features and they can afford to sell at a lower price.
The second risk
will be the GPS Wallet may become obsolete that a lot of customer may not like
to buy the product after some months.
·
Sales Performance: Good sales performance can only be achieved by
better distribution of the products using retailers or customers buying
directly from company website. RIM must be flexible to reduce price at any time
depending on the demand for the products.
5.0 CONTROLS
·
It is really important for RIM to use this
marketing methodology as a benchmark. RIM will continue to monitor its sales
income by tracking the sales record on a monthly basis and that will give them
the opportunity to improve on their sales record.
·
The response from the customers buying GPS
Wallet will determine marketing effectiveness. Furthermore, the rate of demand
of the product also shows that there is good product satisfaction among
customers.
·
RIM marketing team will always respond to
changes in the market environment by carrying out survey about customers’
satisfaction about their products and also looking for any competitor in the
global market producing similar products.
5.2 Marketing Organization
David Johnson, the Director of
Sales and Operation, will be responsible for the marketing plan of the GPS
Wallet. David will be directing all the regional and global sales of GPS Wallet
with the help of product managers and sales representative. The primary goal of
the marketing organization is to ensure successful sales of GPS Wallet.
5.3 Contingency
Planning
·
The
risk facing RIM is enormous in the selling of GPS Wallet. One of the risk is
that the cost of the GPS device seems to be expensive and that will be a
problem to many customers to look for another cheaper device that can do the
same job. Another risk is that the technology used to create GPS Wallet may be
stolen by hackers to develop another brand of GPS device that is better than
GPS Wallet in term of cost price and functionality.
·
RIM
will monitor the risks by using team approach that ranges from the executive to
sales representative. The executive will set some money aside for research and
development of new products and to improve the existing products.
·
It
is a great fact that RIM is surrounded by competitors and the management is
determined to adapt to adversity. These are two ways to adapt to adversity; RIM
will maintain products quality and spend money on marketing by getting more
response from customer satisfaction.
References
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Blackberry.(2012).Where to buy. Retrieved from:
http://us.blackberry.com/smartphones/blackberry
Darcey,L. &
Conder, S.(2011). Sams Teach Yourself Android Application Development (2nd.).Sams
Publishing,Indiana .
Garmin.(2012).Garmin about us. Retrieved from:
http://www8.garmin.com/aboutGarmin
SWOT(2012).SWOT Analysis. Retrieved from: http://www.managementstudyguide.com/swot-analysis.htm
Kotler, P. & Keller, K. (2009). Marketing management. (13th ed.). Upper Saddle River, NJ: Pearson Education, Inc.
Kopun, F.(2012).Research in Motion’s tough market challenge.
Toronto Star (Canada).Retrieved from:
http://web.ebscohost.com.lib.kaplan.edu/ehost
Knowyourcell.(2009). BlackBerry Storm vs BlackBerry
Storm2.Retrieved from:Http://www.Knowyourcell.com/features/comparisons
RIM.(2012).RIM company. Retrieved from: http://www.RIM.com/company
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