WiseLancer
  • Home
  • About
  • Marketing
  • Management
  • Business
  • SWOT & PESTLE 
  • Health
  • Travel
  • Romance
  • Cooking & Foods
Tag:

Microsoft

Microsoft Marketing Strategy
BusinessManagementMarketing

Microsoft’s Marketing Strategy | Marketing Strategy of Microsoft

by Shamsul July 16, 2021

Microsoft’s Marketing Strategy | Marketing Strategy of Microsoft

 

Bill gates founded Microsoft in 1975. This American multinational company can be considered a technology giant that makes people’s lives convenient, advanced, and comfortable worldwide. Microsoft offers a different variety of services related to personal computers, computer software, and consumer electronics. It develops and manufactures licenses, provides supporting excellent quality services and products based on its portfolio. This world’s largest, one of the most valuable companies in the world, repeatedly listed in the top 100 Forbes ranking of companies, is not unknown to any. Microsoft’s Marketing Strategy has made it a leader in the IT industry.

Targeting, Segmentation and Positioning Strategy of Microsoft Marketing:

This giant tech company characterizes its customers based on behavioral and demographical segmentation strategies to create segments that relate to it. In the demographical segment, products like office-based products and operating systems are available to everyone. In the behavioral segment, products like window server, Microsoft, operating system related are available for Windows or Windows phones. It has its roots in many software and hardware businesses, from mobile selling and manufacturing to operating systems. As it has comprehensive services and product portfolio, Microsoft uses a combination of differentiated along with non-differentiated targeting tactics. While dealing with windows, offices, and the overall operating system, the population is equally distributed and the whole world having access to any computer is the target.

The company has been rebranding the products and logos of the services. It has undergone a remarkable turnaround to reposition as a value-based industry that aims to enrich people’s lives around the globe. While talking about Microsoft’s position in the market, its several software and operating systems are top minds positioned. The brand value of Microsoft is this excellent that any launched product gets a nice immediate positioning. But in few cases, like its window mobile phones, the market position is not that strong compared to Apple or Samsung. However, in the developer tool and mobile market, the competition is high, and preference by customers is given on the basis of offered features, so staying up-to-date and using a differentiated target strategy is necessary.

Microsoft’s mission is to empower every organization and every person around the globe to achieve better. Its vision is based on what can be done and the final goal with a tagline emphasizing the customer’s potential and the company’s passion.

Use of Competitive Advantage for Microsoft’s Marketing Strategy:

Microsoft has the benefit of a variety of offered services and products over other companies. Its comprehensive range offerings spreaded from Xbox console games, software to Microsoft tablets. Being a part of the meta-market industry provides an edge over many. One can excel through sharing capabilities. It’s another and significant competitive advantage is based on the big and small companies like Skype, Hotmail, Nokia, Navision, Vision Corporation etc. that he has acquired. Microsoft’s closest competitor is Apple. It is better because installing its software and operating system has no hardware binding, which is the main problem related to Apple smartphone distribution. But loss related to piracy is also huge. Another advantage that Microsoft has is its massive product line.

It is a worldwide leading provider of operating systems and owns a dominant industry position on the basis of worldwide figures. It offered a free upgrade of its latest window 10 to window 7 users. Microsoft has also worked on the total cost of ownership (TCO) so that software is economically and efficiently available to its users.

BCG Matrix Analysis of Microsoft’s Marketing Strategy:

Its online services, business division and window division dealing with consumers are stars as its bases are related to OS windows platform. With huge OS market shares, offered software by the company get more attraction and trust by consumers. However, it was overtaken by Apple’s operating system in the USA, which is the home country of Apple, but in the global market, OS windows are unbeatable. Office suites and Xbox 360 are stars with high market shares, but ongoing indirect and direct competition exists in these segments. In the former, open sources like Kingsoft, open office, and many others are offered in the earlier format, whereas Sony and Nintendo offer competition in the latter. Devices divisions like Zune, Microsoft phones etc. are a question mark placed in the BCG matrix due to strong competition by rivals.

Distribution Advantage as a part of Microsoft’s Marketing Strategy:

Its multi-channel strategy and wide channel distribution make its services and products available to its end customers and have helped this company enhance its awareness and visibility. It uses large retail outlets and e-commerce sites along with exclusive showrooms to make its services and products available to its end customers. Its distribution of operating system has a great key factor of its being tied up with HP, Dell, and other OEM’s. These companies provide laptops that are already installed OS window systems.

Brand Equity as a part of Microsoft’s Marketing Strategy:

In 2016, Microsoft became the 5th greatest valued brand in the world. It has high TOMA because of the great acceptability of window’s operating system in the market. Microsoft is one of the oldest/longest present tech sector companies and has continuously changed according to business environment changes. It used different campaigns like, “GET-THE-FACTS”, Scroogled, and many others that helped enhance brand visibility more than before.

Competitive Analysis as a part of Microsoft’s Marketing Strategy:

Hi-tech culture is emerging, innovative products creations by companies and services are according to customer needs. This kind of high acceptance and appreciation of technology and products change the industry into the hot cake. Every IT company is trying its best to take the prominent spot among which Google is a top rival of Microsoft.

Market Analysis as a part of Microsoft’s Marketing Strategy:

Microsoft has a rapid growth rate going up with the needs and challenges of the industry. Companies in this industry are trying to outsource their services and products from developing nations. This process is helping to decrease operational costs because the customer side has a variety of companies available in the market, giving clients the benefit of a bargain.

Customer Analysis as a part of Microsoft’s Marketing Strategy:

Microsoft has services and products for each age group and interest group, whether the customer is individual or based on a whole enterprise.

 

Need Help or Advice in Content Management or In Marketing Strategy:

Do you want more advice? Do you have good practices to share? Express yourself in the comments.

Do you want any help to write content and drive more traffic and boost conversions; get in touch through Contact our team?

 

Read More

Marketing Strategy FedEx

SWOT Analysis of UPS | UPS SWOT Analysis

Netflix SWOT Analysis | SWOT Analysis of Netflix

July 16, 2021 6 comments
0 FacebookTwitterPinterestEmail
SWOT Analysis of Microsoft
BusinessManagementMarketingSWOT & PESTLE 

Microsoft SWOT Analysis | Microsoft Marketing

by Shamsul January 11, 2021

 

Microsoft SWOT Analysis | Microsoft Marketing

 

Microsoft was established by Bill Gates and his partner Paul Allen on April 4, 1975. It is one of the biggest software industries in the world right and offers hardware and software products, apps, devices, operating systems, and beyond. Mr. Satya Nadella is the existing Chief Operation Officer of Microsoft. This American-based multinational tech company is very popular worldwide. Since then, they have contributed to many tech-based programs and projects. In short, Microsoft changed the face of the world with its innovations and technologies. Let’s discuss Microsoft’s internal and external factors in order to understand its marketing and operation. Read the Microsoft SWOT (strengths, weaknesses, opportunities, threats) analysis and its marketing strategy.

 

Company Name:  Microsoft

Founders:  Bill Gates, Paul Allen

Year founded:  April 4, 1975, Albuquerque, New Mexico, United States

Headquarters:  Redmond, Washington, United States

CEO: Satya Nadella (Feb 4, 2014–)

Industry:  Software development, Consumer electronics, Computer hardware, Internet, Cloud computing, Video games, Social networking service, corporate venture capital

Type: Public

Area Served: Worldwide

Employees (Year-end June 2020): 96,000 full-time employees

Annual Revenue (Year-end June 2020): US$143 billion

Profit | Net income (Year-end June 2020): US$44.3 billion

 

 

Microsoft SWOT Analysis | Microsoft Marketing

Strengths of Microsoft:

 

  • Biggest Tech Company:

Undoubtedly, Microsoft is one of the leading software companies in the world. It is also a leading cloud player and the biggest developer of Windows OS in the world. They generated 23 billion dollars from their commercial cloud in 2018.

  • Largest Market Share:

Microsoft has a market value of 750 billion dollars and it stands at number 4th in the category of the world’s largest companies. It is also leading the chart in the biggest cloud service providers like IBM, AWS, Oracle, and Google.

  • Immeasurable Market Reach:

According to a survey, Microsoft currently works in more than 10 countries. After the launch of Windows 10, it has 700 million installs globally.

  • Continuous Expansion:

The constant expansion in revenues makes the company stronger and powerful in the market. According to experts, this kind of constant growth leads the company to touch the figure of 1 trillion dollars in the future.

  • Accumulation of SKUs:

Recently, they added Stock Keeping Units (SKUs) to their portfolio. This SKU consists of Windows 10, Microsoft 365, and Office 365. This thing is a multi-billion dollar business and constantly increasing.

  • Loyal Customers:

With 1.2 billion Office consumers, and 60 million Office 365 customers, Microsoft has a strong and loyal customer base. New users also attracted after seeing their exponential growth.

  • Huge Capitalization:

Microsoft is one of the leading tech-based companies in the world with 776 billion dollars of market capitalization. It is also on the list of the world’s 10 biggest companies.

  • Useful Adverting Platform:

The main success of Microsoft is its effective marketing policy. That’s why they easily engage people with their useful marketing strategies and their new ad ‘’The future starts now’’ attracted many people globally.

  • Strong Brand Image:

Interbrand declared Microsoft as 4th most valuable brand in the world. This kind of fame and image makes the company’s image stronger. This kind of image can be the biggest threat for rivals and this thing also makes them superlative in the eyes of customers.

  • Easy to Use Software:

Microsoft offers innovative and best quality hi-tech products that are user-friendly and easy to use. This is the reason why people love to use their services. Due to this type of offering, they are very popular among users.

 

Microsoft SWOT Analysis | Microsoft Marketing

 Weaknesses of Microsoft:

 

  • Excessive Exposure to the PC Market:

Due to the excessive exposure to the PC market, the change in the prices leaves Microsoft sometimes in a helpless position. This is due to the fluctuation in currency, shipment, and rising price issues.

  • Cybercrime Theft:

Cybercrimes are one of the biggest issues for Microsoft. Many hackers attacked the operating system of Microsoft. It means the security network system of Microsoft is weak.

  • Lack of Innovation:

Microsoft continuously faces a decline in its hardware sales. It is due to the lack of innovation and advancement. Apple, Google, Amazon, and many other companies offer better and innovative technologies.

  • Lacking Market Leadership:

There are several companies like Safari, Firefox, and Google leading in the internet browsing sector by providing innovative features. Microsoft is lagging in this segment due to its poor marketing leadership.

  • Unproductive Acquisitions:

Microsoft tries to collaborate with many companies like Danger, Massive, and LinkExchange, but all of these resulted in failure. These are the major weaknesses and unprofitable ventures for Microsoft.

 

Microsoft SWOT Analysis | Microsoft Marketing

Opportunities of Microsoft:

 

  • Cloud Business Expansion:

The cloud-related offerings of Microsoft have gained huge popularity and growth in the past few years. So, it’s a big opportunity for Microsoft to expand its cloud-related services in order to earn more profits.

  • Innovation and AI:

Microsoft should focus on gaming and Artificial Intelligence (AI) areas in order to make their brand stronger and popular. These kinds of investments give them a competitive edge over competitors and rivals.

  • Collaborations and Acquisitions:

It is imperative for Microsoft to pay attention to useful acquisitions and partnerships in order to enter the new markets. In this way, they can increase their market share and expand their reach to every region of the world which is beneficial for the company.

  • Smartphone Business:

As the android and smartphone industry is growing exponentially, Microsoft should invest in these sectors because it is a great opportunity for them due to their loyal fan-base. This thing will increase its profit games.

  • Cost Leadership Policy:

Microsoft should offer high-quality products at lower prices. In this way, they can expand their growth and hackers won’t hack their system in order to use their services.

 

Microsoft SWOT Analysis | Microsoft Marketing

Threats of Microsoft:

 

  • Workforce’s Related Backlashes:

Many experts noticed a huge imbalance in Microsoft’s recruited workforce. People from different religions and women are very low in their workforce. Due to this reason, Microsoft faces huge criticism.

  • Gay Reference Hullabaloo:

After the launch of the Xbox Live game, Microsoft faced severe backlash due to homosexuality and gay references. They won’t include it because they considered it unsuitable for users.

  • Strict Competition:

The two main rivals of Microsoft like Google and Apple are giving stiff competition. They can also threaten the company’s revenues and profits.

  • Changing Needs of Customers:

As people are addicted to smartphones, laptops, and notepads, but Microsoft’s contribution in this sector is very modest. This is one of the biggest threats to their revenue system.

  • Open Source Projects:

Microsoft offers open-source services at costly rates. But many open-source projects such as Linux OS and Open Source Office provide the same features free of cost. This thing can damage the company’s image and profit.

  • Piracy and Cybercrime:

Different cybercrime thefts are increasing that can affect Microsoft’s security system. It is a big threat for Microsoft and they should resolve this problem immediately.

 

Microsoft SWOT Analysis | Microsoft Marketing

Recommendations:

In order to maintain its position in a competitive market, Microsoft should resolve its weak points and focus to expand its opportunities. For this purpose, these recommendations are useful as given:

  1. Update its working and introduce innovation. Make plans or policies with keeping the future in mind.
  2. Use valuable and useful marketing tools in order to expand its reach and enhance the brand value.
  3. Enhance market share by introducing new features in the Internet browser market.
  4. Construct competitive benefits to compete with competitors such as Apple and Google.
  5. Make acquisitions and partnerships with small tech-based companies in order to enhance their position.
  6. Address cyber-security problems by developing a strong security network system.
  7. Review its pricing policies so that daily wagers can also exploit their facilities.
  8. Enhance market share by diversifying their business.

 

Need Help or Advice in Content Management:

Do you want more advice? Do you have good practices to share? Express yourself in the comments.

Do you want any help to write content and drive more traffic and boost conversions; get in touch through Contact our team?

 

Read More:

5 Methods That Marketers Should Adapt In 2021

SWOT Analysis of Dell | Dell SWOT Analysis

Ford SWOT Analysis | Business Analysis of Ford

January 11, 2021 10 comments
0 FacebookTwitterPinterestEmail

About

About

About Wiselancer

Our resources are tailored according to the needs and demands of today. Wiselancer offers an extensive treasure of knowledge-based contents and articles that shed light on a variety of different subjects and topics.

Recent Posts

  • 13 Reliable Techniques to Use Online World for Making Money

    August 9, 2022
  • Six Helpful Tips for a Successful Business Online

    August 8, 2022
  • 4Ps – Walmart Marketing Mix Greatest Impact

    August 8, 2022
  • PESTLE Analysis of Walmart and Know Effect of External Factors

    August 7, 2022
  • PESTLE Analysis of Tesla – Innovative Electric Vehicles Producer

    August 7, 2022
  • Complete Guide For Mindfulness and Quality Living

    August 7, 2022
  • Better Tips
  • Biography
  • Business
  • Celebrities
  • Cooking & Foods
  • Coronavirus
  • Gig Economy
  • Health
  • Management
  • Marketing
  • Personal Growth
  • Romance
  • Scholarly
  • Skincare and Beauty
  • SWOT & PESTLE 
  • Top 10
  • Travel
  • Trending
  • World's Climate
  • Writing

Archives

  • August 2022 (17)
  • July 2022 (24)
  • June 2022 (24)
  • May 2022 (32)
  • April 2022 (47)
  • March 2022 (62)
  • February 2022 (68)
  • January 2022 (21)
  • December 2021 (41)
  • November 2021 (34)
  • October 2021 (21)
  • September 2021 (6)
  • August 2021 (5)
  • July 2021 (14)
  • June 2021 (11)
  • May 2021 (9)
  • April 2021 (14)
  • March 2021 (12)
  • February 2021 (18)
  • January 2021 (21)
  • December 2020 (7)
  • November 2020 (9)
  • October 2020 (5)
  • September 2020 (7)
  • August 2020 (1)
  • July 2020 (5)
  • June 2020 (10)
  • May 2020 (7)
  • April 2020 (12)
  • March 2020 (15)
  • February 2020 (5)
  • January 2020 (24)
  • December 2019 (13)
  • November 2019 (10)
  • October 2019 (22)
  • September 2019 (18)
  • January 2016 (9)

@2021 - All Right Reserved.


Back To Top
WiseLancer
  • Home
  • About
  • Marketing
  • Management
  • Business
  • SWOT & PESTLE 
  • Health
  • Travel
  • Romance
  • Cooking & Foods