Assignment-05

Case Study

The new Napster changes the music marketing mix

Analysis:-

v This case study is about Nepster online strategies regarding online marketing ideas and widely used its service for “free peer to peer (P2P)” music sharing.

v It was created in 1998 – 1999 by the young boy named Shawn Fanning.

v He was the student of Boston’s north eastern University.

v It has direct competition with Apple’s iTunes and provides music subscription service.

v It is not pure P2P it also have instant messaging (IM) works

v Server’s major competitor is RIAA (Recording industry Association of America)

v Some singer launched their songs on Napster but most of singer like Madonna and Eminess by posting some vulgar comments

v It become legal after purchasing by German Media Company named Bertelsmann AG purchased assets of $ 8 billion as part of chapter 11 become bankrupt in US.

v Its objective is “leading global provider of consumer digital music service”

v Its distribution is done by this web site is www.napster.com

v Napster Radio based around songs by particular artists

v Napster Radion play lists based on the songs you have downloaded

v Swapping play lists and recommendations with other usersAfter that Napater brand parched by Roxio, it want to rebred their press play services

v According to BBC (2005) global music market is worth of $ 33 billion and online music capture the share of profit is 5%

v It has many computations and with that it used many strategies to compete

v It has employee power on 31 March 2005 were 135 employees .

v Its marketing strategies based on SOSTAC frame work in that S = Situation Analysis

= Objective setting, S = Strategies, T = Tactics, A = Analysis, C = Consumers

Thanks and regards

Satyapal Singh Shekhawat

PGP II, PGDM (S) Section B

Roll No. 09

Assignment 07

Case Study

Tesco.com increases product range and uses triggered communication to support CRM

Summery of the case:-

ü Tesco is well known Britain's leading food retail group presence in Europe and Asia.

ü Tesco.com including various non-foods ranges (for example, books, DVDs and electrical items) and the telecoms businesses and Personal Finance, as well as services offered in partnership with specialist companies, such as dieting clubs; flights and holidays, music downloads, gas, electricity and DVD rentals.

ü Tesco introduced a clothing web site (Www.clothingattesco.com)

ü Tesco.com now receives 170,000 orders each week

ü Its online sales in the first half of the year were ₤401 million

ü Its profit increased by 37% to ₤21 millionTesco.com recognized as the worlds largest online grocer and its mean competitor are

o Asda.com

o Sainsburys

o Ocado

o ALDI-UK

ü Tesco.com Limited paid £2 million for the exclusive licence to eDiets.com in the UK and Ireland under the URLs www.eDietsUK.com and www.eDi.etsoie.

ü Humby Cind Hunt (2003), e-retailer Tesco.com used to identify six lifecycle categories which are then further divideclto target communications:

o Logged-on

o Cautionary

o Developing

o Established

o Dedicated

o Logged off (the aim here is to win back).

ü Focus on home retail delivery; Wade-Gery sold women's portal iViliage www.ivillage.co.uk) back to its US owners for an undisclosed sum in March 2004.

ü Taylor Nelson Softres Super Panel (see htip://superpanel.tns-global.com).

ü Hitwise listing since their strategy has been to focus on retail formats. These are Morrisons (12.5% retail share), Somerfield (5.5%) and Co-op (5.0%).

ü NMA (2005c) Quotes Nigel Dodd, marketing director at Tesco.com, as saying: 'These are invaluable sources as we have such a strong customer base'.

ü Strategic Approaches which have helped Tesco.com achieve success online:-

ü For existing customer E-mail marketing and Direct mail marketing in used to provide special offer and promotion to the customers

ü Tesco.com basically relies on in-store advertising and marketing to the supermarket’s Clubcard loyalty scheme’s customer base to persuade customers to shop online.

ü They have concentrated more on traditional services which have the demand. For Ex. Tesco Telecom fixed line services attracted over a million customers in their first year.

ü Tesco uses automated event-triggered messaging to encourage continued purchase.

ü Tesco.com has a touch strategy which includes a sequence of follow up communication triggered after different events in the customer lifecycle. For example: Communication after event 1 are indented to achieve the objective of converting a web-site visitor to action, communications after event 2 are intended to move the customer from a first-time purchaser to a regular purchaser and for event 3 to reactive lapsed purchasers.

ü Their Product range development is also one of the key areas of their success. They fulfilled all the Grocery order and also offer more intangible offering such as E-diets and music download etc.

ü They basically focus on improving the customer experience online

ü As they were diversify into new area they started to make home delivery services to the customers like white goods and other products.

ü They has partnership with E-diet, was promoted through the Tesco Clubcard loyalty scheme with mailing to 10million customers a year

ü They promote their services through URL. Tesco can use the dieting Business to grow use of the Tesco.com service and in-store sales.

Thanks and regards

Satyapal Singh Shekhawat

PGP II PGDM (S) Section B

Roll No. 09