1. Take anyone of the companies mentioned in the case (Netflix, Hulu, cable or R
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Question
1. Take anyone of the companies mentioned in the case (Netflix, Hulu, cable or Redbox) and advise on how to retain strengths, strengthen weaknesses, and follow future directions to make the business model more solid, more profitable and less prone to competitive matching or attack
2. If these companies start looking even more similar and commodity-like in the next 3-5 years, how would you advise one of them to break out of the pack and distinguish itself by offering... what?
3. How can any of these providers take greater advantage of a CRM philosophy? Most of them have little by way of retention programs, e.g customers can cancel or rejoin anytime. What are (can be) some of the benefits for staying?
MINI-CASE Personal Brand Management Impress4Less is a company founded by two b-school recent alumni. They both had taken advantage of their school's career placement services, and thought they could offer additional supplemental services and advice. They're constructing a website where anyone looking for help in positioning themselves for a new job might go to download templates of resumes, examples of personal brand brief'elevator pitches; videos of strong and weak interview answers, and the like. Their plan is to offer some of those basics for free, to get people onto the website. But what they're really interested in selling is their consultation time, consisting of feedback on resumes and help with practice interviews. They're working with their former school's entrepreneurial club in proposing to launch their online premiunm service for $50.This past year served as a test market at the b-school. Given the friendly partnership, and as a learn- ing opportunity for the students, Impress4Less shared some information on basic cost structures. Their fixed costs on this project were $3,000, and variables costs were $10 per user exchange. Currently at the b-school, the situation is as it looks in the figure below (to the left); that is, 200 users purchased their services during the last academic year at the $50 price. But the club members get regular feedback (from classmates) that the $50 price tag seems steep, so they're asking impress4Less for a price cut of 10%, essentially going to the figure at the right.Explanation / Answer
1. I have taken the Company Netflix. The company has the following strength and weaknesses are as follows:
Strength:
Weakness:
In order to retain strength, strengthen weaknesses and follow future directions to make the business model solid, more profitable and less prone to competitive matching or attack the company must have the better price management and the content management. The price management should be standard or according to the laws of the country so that the country laws may not be violated by the company. The company should have the specific content management which provide the better experience than other service provider. The content management would actually make stable the positioning of the company and less prone to copying risk. This would be similar to the copyright of the company. Company should invest in R & D of the services so that they may provide the best quality services to the customers.
2. If these companies start looking even more similar and commodity-like in the next 3-5 years, I would advise Netflix to break out of the pack and distinguish itself by offering some additional services other than this which actually attracts the attention of the customers. The other services such as a study tour to various companies, or their own company, creative competitions, etc. They may provide the at mobile locations. The customer can create the groups for getting more benefits. They can do the CSR activities in order to get the attention of the customers.
3. The CRM advantages would be like automatic addition and removal of the services by the company, the customer need not to bother if they took the services from the company. The company may give the surprises to the customer on the basis of usage of the product. They can provide the data analysis reports to the customers so that on the basis of which the recommendations would be provided. They can have the real time feedback system where the customer takes less time for doing it. Some of the benefits for staying are getting excellence in services such as the priority is more than other customers, having the monetary benefits such as gift vouchers, holiday packages etc., extra services within the same service package etc.
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