Computer Hardware Marketing Strategy

Keywords: swot computers store, pestle computer store

Product Mixes can be tangible and intangible products. Tangible products are the countable or measurable products while intangible products will be the non-countable or non-measurable products.

According to Compu-zone website, they are offering those custom built computer inner hardware. Customer can make which brand and maker to build onto their computer. Then customers will send to the customer service middle. Finally the Compu-zone will fix or build the computer in line with the preference of the client. They are also providing notebook rams and hard disk

Not only Compu-zone is providing custom-built hardware, nonetheless they are also providing computer external hardware. Computer exterior hardware which they are available such as high definition player, external hard disk, Liquid Crystal Display (LCD) screen, modem router, printing device, keyboard, mouse, presenter and so many more. These are also known as as computer accessories.

Hence, they are selling pre-built computer which some of the computer includes computer keyboard and mouse. There are lots of pre-built computer such as basic computer for users to work on office software and internet surfers, game playing computer and the latest products are three dimension computer systems which require three sizing shutter glass in order to watch three dimension movies, games and many more.

Furthermore, they are selling other manufacturer's or brands notebook such as ASUS, Compaq, HP, Toshiba, Lenovo and many more. They are selling apple products such as Apple notebook, Apple desktop, IPAD, IPOD, Apple Music player and other Apple accessories.

They are selling original software like Antivirus product, Microsoft Glass windows product, Office Product and also program product such as Adobe products.

As for intangible products, they are offering services for the defective computer, any problems happen in the computer. They are offering free unit installation for recently custom built computer to the customers. For warranty things, certain products have yearly, regular, and daily warranty. Customers can declare their warranty in their electric outlet or the manufacturer's service center.

Price Strategy

These are the factors that influence costing decisions are customer factors where customer notion of value of the merchandise, their price elasticity demand and price level of sensitivity (Lau, 2007). As it can see in the Compu-zone company, they are available products on the market value and sometimes they are available at the promotional price as explained in the brochure. Customer for the conception value of the products is suprisingly low because customer desires cheap, affordable market price value. As seen, the price elasticity of demand also impacts the Compu-zone company. This is where demand of the product is high and the price of the merchandise is low, while demand is low, price of the product is high. Consumer will make a decision if the product price is right for them or not. When establishing the purchase price, compu-zone must consider the consumer conception of price and exactly how these perceptions have an impact on the consumer's buying decision.

They establish both sales shops in the same costing products. Products that are available in the compu-zone are based on the market value.

Distribution strategy

Based on the circulation strategy, Compu-zone has sales outlet in Digital Shopping center and also Plaza Low Yat. They are really providing tech support team to the customers can provide as service centers after sales service. Sales wall plug can also acts as a offering product item. They offer tech support team through messages. Customers can email them anytime regarding problems of computer. Service fee involve when the clients go to sales wall plug to correct their computers.

Unfortunately they do not have electronic business system in the website. It is good to possess electronic commerce system in the web site like buying, offering the product itself and also payment method available in the web site. The electronic commerce means modern online business that needs for corporation to spend less while improving the quality of goods and services and increase the speed of delivery of goods and services. (Goel R. , 2007)

Other than that, there's also images about new computer hardware so that can get more customers popular. Besides images about new computer hardware, there's also banners on Twitter. Banners on Twitter usually post the posts on the price of the hardware and also campaign of the hardware and new hardware releasing.

Promotion Strategy

Marketing advertising strategy is also called as marketing communication tools which includes advertising, personal advertising, sales promotion and public relationship tools that company uses to follow its advertising campaign and marketing objectives. (Kotler, 1999)

What are they usually used to promote their products using communication tools are promotion through online interpersonal networking in Facebook and Twitter. They often post the latest revise on the latest product and new prices products. It can entice more customers in demand of purchasing the products from them.

Besides that, they promote their products in the website posting new brochure. New brochure has sales advertising for products to be able to entice more customers.

They have its discussion board to provide opinions, answer to the customer whatever customers have its service problem, hardware problem.

Environmental Analysis

The SWOT(Strength, Weaknesses, Opportunity, Dangers) allows businesses to create list without serious awareness of the issues and frequently classifying data and information. It can be a mechanism for the introduction of the marketing plan. (Ferrell, 2008).

Table 1. 0 SWOT (Strength, Weaknesses, Opportunities, and Risks) analysis

Strengths

Good reputation among the clients. Good customer romance management, service set up and so many more. (Compuzone, 2010)

Well known computer sales retailers among Malaysian citizen.

Many branded products are selling

They have loyalty customers-existing customers wish to buy computers from them again because of cheap price and also good service from them (Compuzone, 2010)

Allow customization of the computer-custom built computer.

Reliability and service support-service support available through email

Weaknesses

They do not have many stores throughout Malaysia.

Lack of workforce such as fewer employees to work in the shop store to serve the customers.

Competitors around to be competitive the prices with them.

Opportunities

Advertisement available in the web social networking website such as Facebook and Twitter to get customers

Demand of customers who like to buy computer peripherals, accessories.

Growth market potential-demand of computer increase; potential economy increase due to market price. (Errion. L, 1990)

Growing human population of computer users-modern solutions that allow growing human population of computer users.

Threats

Competitors around to be competitive the costs with them

Many customers eager to buy online purchasing alternatively than to visit sales electric outlet.

The PEST construction checks the key pushes of the macro-environment categories into four main steps that are politics, economic, social, and scientific (Birkholz A, 2007).

Table 2. 0 Infestations (Politics, Economic, Community and Technological) analysis

Political

Employment rules- federal imposes an workplace who uses a foreign employee within a fortnight of the occupation; famish the nearest office of the Director Basic. (Anonymous, 1955)

Change of government budgets- government purchases increase aggregate income which induces additional ingestion of costs like computer. (King, 2010)

Global market pressure anticipated to weaker enterprise of computer demand, driven market which little by little sharply, efforts made to liberalize an economy that limit the government role, taxes, subsidies, tariffs and administration regulation and last but not least immeasurable qualitative sense, demand for something (Anonymous, n. d)

Control of Piracy product- ensures those government companies to research and ban those unsafe computer products

Economic

Inflation that makes the prices of the merchandise goes up

Situation economic progress in Malaysia. Growing economical increase demand of pcs.

Jobs expansion or unemployment affect consumer cannot find the money for to buy computers

Recession of work forces. Information Technology employees less scheduled to unemployment

Slowdown economic have an effect on the sales of computers

Changing of customer's habits- different income different spending habits.

Social

Growing people of computer users

Education of institution level, college or university level and university or college level who might need to do their assignment work and assignment

Earning capacity is high scheduled to savings and also salary

Lifestyle changes, living specifications- higher living standards and changes in lifestyle to raised lifestyle impact buying habits.

Maniac users on the frame of mind of work on the computers

Technological

Fast Tempo of technology change- new technology new products

Technology offers new kind of system controlling the business enterprise such as point of sales system, management system and many more

Technology allows the company to talk to a fresh way. It allows the business to talk to a fresh way by having network sharing with each one of the computer to send the sales to the sales wall plug for the customer to set up customization of computer.

Porter's five causes derive from the industrial group economics and argue that all companies in a specific industry face forces within their industry and have an effect on their profitability. (Ahlstrom D, 2009).

Porter's Five Forces

Explanation

Threats of new entrants

The new entrants are high because they are easily competing with them with additional services customer commitment and also low prices. Change major determinants of the market environment such as price, customer commitment and also customer romance management. New entrants would enter new industry such as new computer shop such as pineapple computer shop, thunder match, and so many more.

Bargaining power of suppliers

They are depending on suppliers about the restoration of shop, new stock of products, and also website. Supplier's electric power is how supplier's drives price up. That is driven in to the amount of suppliers that they want the uniqueness of the purchase price. . The supplier's customers are fragmented so their bargaining electric power is low.

Bargaining powers of buyers

Bargaining power of potential buyers is down and regulate how much customers pressure on margins and volume level. Customers buy large amounts so there is a concentration of clients. Customers have low margins and are price-sensitive. . Bargaining ability of customers drives prices down and establishes how much customers can impose pressure on margins and amount.

Threats of substitute

Threats of substitute are high because they are depending on suppliers to provide those manufacturer's branded product and also romantic relationship with customers, good services. Romantic relationship with customers and also good services from them. If there are alternate products with lower prices of better performance variables for the same goal.

Rivalry among existing firms

Competitors easily enter into existing companies such as Cycom, Sri Computer, All IT hypermarket with low prices, services, time for unit installation and so many more. High competitive rivalry between existing rivals will result in there a wide range of competitors of about the same size, competition have similar strategies and price of competition. Your competition within an industry would be the higher, other companies would be easier to enter a new industry.

Segmentation and Targeting

Market segmentation is the procedure of dividing the total market for product into group based on factors with each group symbolizes customers with similar purchasing characteristics. (Lau, 2007). The company identifies the full total market, divides into smaller segments and focuses on providing them. (Kotler P, 1999)

Table 4. 0 Segmentation and Targeting strategies

Segmentation

Variable

Targeting

Geographical segmentation

Region

Northern, Southern, East, Western in Malaysia specifically in Selangor and Wilayah Persekutuan State

Demographics segmentation

Age

Gender

Family Size

Family Life cycle

Education

Age 8 until years of 70+

Female and Male

1 to 2, 3-4, 5-6, over

Young, Sole, Married, Young, Young marriage with no children, Young or more aged relationship with children get older 8 before get older of 70+

Graduate school, High school, College graduate, key school,

Psychographic segmentation

Social class

Lifestyle

Personality

Average class, working class, top class

Achievers, Believers, strivers

Compressive, gregarious, authoritarian, ambitious.

Behavioral segmentation

Benefits sought

User status

Usage rate

Loyalty status

Readiness state

Attitude towards product

Quality, service, economy

Ex-user, potential end user, first time customer, regular user

Light customer, heavy consumer, medium user

Medium, strong, absolute

Aware, prepared, interested, desirous, intending to buy.

Enthusiastic, positive

Differentiation

Differentiation is a meaningful difference to distinguish the companies offering from the competitors offering.

Product Differentiation

The Compu-zone is reselling bundled gaming computer systems and three sizing computer offer which differs from other competitors such as CYCOM, Thunder Match. This is to catch the attention of more customers that are interested in the gambling and also three dimensions show. You will find three types of gaming computers including the newer Intel cpu INTEL Key i7, INTEL Core i55 and Core i-Gaming is for INTEL Pentium.

Besides that, they also sell the ASUS rack server for the networking purpose, and also perfect energy efficient; computing performance unit-processor server program and helps customersґ business more effectively at a realistic price is different from other competitors such as CYCOM, Thunder Match, Aone Plus and many more.

About the price tag on the product, some of the hardware they are available slightly higher than the other competition like CYCOM, All IT hypermarket, and many other while the notebook price is marginally greater than the other opponents too.

They sell the best quality hardware money to the customers rather than the other competitors. They provide additional free items to the customers if they purchase desktop and laptop from them such as computer accessories differs from the competitors.

Service difference

In the sense of service, their assembly service is successful because they take about an hour to develop the all the computers parts to provide the clients. The shop delivers all the bits of purchase equipment rather than sending individual components to sit down mid await the others to reach.

Furthermore, for delivery to customers, they deliver the bundled customization computer to customers once they fix up all the hardware parts. They usually deliver corresponding to customer's order and you will be filled in a field. They provide delivery to the doorstep and also their delivery service is fast and successful.

They order all various hardware from the maker once the stock has been used up. This is to replace the completed stock and to serve the customers.

They usually provide opinions through online sociable networking like Facebook and also message board once the customers has any problem with the service and also hardware problem.

They provide computer software tools specifically for hard disk, and other tools like partition supervisor, power supply unit calculator, windows recollection test, raid calculator, check Apple Macintosh personal computer Desktop, mp3 and many more, central processing unit checker

Internet Specific Differentiation Strategies

Internet specific Differentiation Strategies

Comments

Site Environment/Atmospherics

Easily download computer brochure from the web site, Portrays accurate information about the existing products and services they are available and also the company background. Evidently shows the merchandise and services they can be found, Menus are often understand when customers wishes some information from the website. User friendly to the website such as convenience to utilize, easily navigate, no problem finding information and many more. Clear demonstration of offering through the image of the products.

Efficiency and timeliness

Deliver what guaranteed to the customers where installing the computer takes one hour, and also all the parts of the computers. On time delivery for installation of the computer systems and bundled of computer. Reliable point of sales system where creates the receipt, invoice and so many more. This will build customer's devotion and receive recommendations from satisfied customers.

User made content

Allow site or guests comments on the merchandise like twitter comment, as well as the new products retailing in the sales wall socket. Provide space for images and also Facebook LIKE content to catch the attention of the clients where images is for services, Facebook LIKE content where many users like the sales electric outlet in services, product and services they are selling.

Recommendation

Differentiation

Recommendation

Product Differentiation

Some of the hardware prices are slightly higher than the other opponents. It is strongly recommended to lower down the prices and the lowest prices of most competition so that to gain devotion existing customers and clients. It is not enough to market these products. It is strongly recommended to market other top quality desktop like Dell, Compaq, HP, and some other top quality desktop and also branded laptop battery, printer ink, laptop adapter, and also other branded software so that lots of customers will buy from them and customers need not buy from the top quality manufacturer's sales store.

Service differentiation

It is good to possess customer's service reviews within a day so that customers will know the opinions answer after they have sent the reviews question. That is to enhance better customer relationship management and also service support. It really is good to get customer service training so that customers will appreciate their service, creates commitment to the clients, provide information and advice and so many more.

Site environment and Atmospherics

It is preferred to have significantly more banner ad such as banner campaign, products and many more. It is recommended to have significantly more information on advertising as well as the company record such as record. It is strongly recommended to have digital commerce system like investing in the website so that customers can get their delivery purchases, purchase, payment and customization of the personal computers.

Positioning

What is positioning means? It means that really helps to create images for a business and its product to change the customer's brain to get its product and helps to control the brand images.

Positioning

Comments

Product or services attribute

They have position itself as a customization of computer manufacturer for customers. Customization of the hardware becomes ordinarily whole set of computers. Customers can choose hardware from manufacturer's brand and then your Compu-zone will build the models of computer.

Besides customization of computer maker, also, they are selling how big is casing for the pcs whether it's small, medium or large computers. Different size they have, different design they are available.

It positions itself as a various product brand. There are various popular and quality product brands such as AMD, INTEL, MICROSOFT, LOGITECT, NORTON and so many more.

They offer full selection of services like set up, maintenance of the computer, support, computer tools like hard disk drive tools, windows memory test, central control unit checker and many more. They offer set up services like installation of hardware, installation of notebook and many more, maintenance of the computer if the computer having problems with the hardware and blue display screen mistake, support through emails when there is any problem with the sales, computer yet others.

Integrator positioning

Integrators provide everything a consumer needs generally. Compu-zone positions their integrator placement which selling all types of computer in the sales shop. All types of computer which they are selling are hardware, software, notebook, accessories, peripherals and so many more.

Benefits of integrator positioning would be convenient since it is a one stop shopping market and offer much kind of pcs. Furthermore, it can provide strategic gain in proven ability to provide the computer systems to customers. Moreover, it can get gain selling all types of computers. In order words more choices to choose when they sell more computer products in advance and also more variety to be sold in the sales wall socket.

Recommendation

Table 8. 0 Advice Positioning strategies

Positioning strategy

Recommendation

Product or service attribute

It is recommended to have electronic digital commerce system like buying and selling in the web site so that customers can receive their delivery requests, purchase, payment and customization of the pcs.

Competitors positioning

It is preferred to put themselves as the lowest charges because other rivals is competing in their low prices of hardware, desktop, laptop and also accessories. It is good to provide the very best quality hardware and other computer to the clients in order to contend with other competitors

Objectives

Objectives should be predicated on SMART methodology. SMART means Specific, Measureable, Attainable, Realistic, and Time bound. The aims must be concrete and much more specific. The targets are measurable in terms of your time, and amounts of object that could be measured. The targets must be possible and sensible; time destined where should be completed by the end of the night out.

The first objectives would be raise the traffic to web sites. The strategy that escalates the traffic to the web site is to improve the advertising methods like online social press like Friendster, myYearbook, Myspace and other popular interpersonal networking sites, online papers, electronic business website such as EBAY, Lelong, online journals and other mass media websites that catch the attention of most of the folks on the planet. Furthermore, it is good to socialize, and affect people in a simple way to market the website by invite friends through email about the top of the merchandise that they are selling. It is important that improve the search engine ranking by focus this content on keywords. This can help visitors to find the web site when they search for the net.

The second aims would be increase sales by 50% by retaining customers. Customer Marriage management uses technology to suggest new products to the present customers and employ other techniques targeted at keeping and growing their business. Besides that, additionally, it may build alliance with others to have the ability to make introduction or to the spouse with the other person for the common benefits to the clients. It must also increase the amount of purchase to be able to increase sales.

The third targets would be increase customer's loyalty to change their purchase patterns. The strategy of the objective is to include more additional advertising such as occurrences, mobile messaging and so many more that they are having now, and increase additional customer support romantic relationship management such as provide frequently question and answer, and also online boards in order to learn customer's feedback and also comments on how to improve more.

The last target is to raise the market show by 3% in 2012. They need to increase the sales outlet relative electricity, uniqueness or not neglected customer marriage. In addition, to create the uniqueness of the product they must create the customization of the computer to increase the customer's willingness to deal with them alternatively to bid out the deal at every opportunity. Indispensability of customer romance is vital when they lock the customers into learning romantic relationship and also to ensure that the high end.

E-CRM recommendation

CRM stands for customer relationship management and E-CRM is an electronic customer romance management where targets the future marriage with the clients using online. (Chaffey. D, 2008)

It is preferred to make use of website for customer development from making leads to interacting through messages and web platform to encourage purchase. They send the latest new promotion, new prices and also new products through messages to encourage more purchase. Additionally it is important to apply automate triggered e-mail marketing to support contract strategies directed on the customers development to purchase, cross sell, after sales service exactly like Tesco. com.

It is preferred to recognize data mining. Data mining is to recognize new sections and also improve focusing on. Furthermore, it is good to acquire online personalization or mass customization on computers just like Dell. com to help in the recommended next best products.

Besides that, it is good to provide online customer support facilities such as Frequently Ask Question, Call again and Chat support to enable customers to send any feedback to them and increase customer romance management.

In addition, it is recommended to control online service quality. This is to ensure first buyers have a great customer's experience that encourage them to buy again and also deal with multi customer's experience as they use different multimedia within buying process and customer lifecycle. This is where to provide the linkages no interruption move between online and offline or touch tips as part of the relationship.

Recommendation of interactive marketing tools

It is preferred to use mobile devices as the interactive marketing tools. It is because it can transform their behavior habits of hundred large numbers of men and women and the most crucial ideas is by using brief messaging services (SMS), multimedia system messaging services to send those new campaign updates, new product updates, and new prices of personal computers.

Interactive TV will offer marketers a new way attaining customers. Great things about interactive Television include wider alternatives, convenient shopping, plus more engaging Tv set programs and also more advertising campaign in the TV programs.

Advertising method in the cinema can change customers buying habits because C-Zone can give discount or give-away coupons to the customers to fully capture regular audience and increase likelihood of getting a sales. Most of the customers enjoy entertainment movies in the movie theater. Every customer's sessions to the theatre will increase likelihood of getting a sale.

Direct radio can transform customer's buying patterns because it is a superb direct response, increase global reach of radio, good for targeting medium, and build areas throughout the brand and can advertise their outlets.

Sponsorships are an effective way to develop greater brand impact because they can capitalize from a preexisting community and affiliate your brand with fresh content. By customizing their sponsorships to specific areas or for specific announcements, they can create a fantastic platform to communicate your products and services.

An event that introduces services and services is a powerful way to create enthusiasm and develop relationships with potential customers. For example, they can obtain customers' contact information so they can follow-up after the event with special offers or introduce services and services. As well, inviting prominent guests to the function as speaker systems or supporters will generate desire for the press, which can bring about free promotion and bring better exposure to their business.

Implementation of analysis

Implementation of the analysis transforms marketing strategies into activities to attained future objectives. (Kotler. P, 1999)

Table 9. 0 Implementation of Interactive marketing tools

Interactive marketing tools

Recommendation date

Remarks

Mobile device - Text, MMS

10 days

Send latest news like latest promotion, latest product to the all customers that Compu-zone has their mobile phone numbers

Interactive TV

1 month

Advertise the sales electric outlet, latest offers, product selling in the sales store, latest product

Advertising in cinema

2 weeks

Give discount or give-away coupons to the customers

Sponsorship

4 days

Several fixed ad placements, advertorials, co-branded content portions, or anything the marketer and publisher can acknowledge.

Direct radio

1 week

Advertise on radio about own latest campaign, sales wall socket.

Events

4 days

Events on the latest products street show, products offering in the C-Zone, promotion on certain products only

Evaluation

Metrics to be used

Traffic in the Web

The metrics are quantity of click through the internet site. In addition, another metrics to be utilization in this website is amount of visits each day. To be able to increase the number of click though and also number of visits, the strategy should be achieved like the advertisement in the online communal networking like Facebook, Twitter, Friendster, MySpace and other online sociable networking, update the grade of content, improve the search engine by rating.

Sales by 50% by retaining customers

The metrics are variety of order. Besides that, quantity of repeat purchase and the amount of goes to in the sales electric outlet are the metrics. To be able to increase the amount of repeat purchase, variety of order and number of visits, they must have regular advertising and also services must be good in assembly, maintenance customer relationship management.

Profits of 40% in 2015 by growing customer base

The metrics are quantity of new customers, number of order, and the number of the visits. To be able to achieve the amount of new customers, number of order, and quantity of goes to, they reduce the expense of the computer prices that are currently slightly greater than the other competition in order to achieve the profits of 40%.

Market show by 3% in 2012

The metrics are quantity of sales percentage size, number of earnings, and the performance of the workforce. To be able to increase these metrics, they need to have a good reputation among the clients where their service quality, customer marriage and so many more, increase bargaining power of suppliers where they discuss with the manufacturer's suppliers.

Appendixes

Background of the company

The Compu-zone website company is the best choice for the task. Since 1999, Compu-zone has custom built machine for computer, hardware, and also laptop for rams and hard disk, apple notebook, ipad, and ipod touch. They also built top notch computer for gamers and enthusiast for a long time before the other competitors make an effort to compete with them. They have been centered on the best hardware value for money to the customers to be able to contend with other retail shop. Their retail outlets are located in Digital Shopping center, Plaza Low Yat. Plaza Low Yat has its headquarters and also sales shop.

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