SAP: Building a Leading Technology Brand Case Study Help
Introduction
SAP was a well-known software organization, founded by Hasso Plattner and Henning Kagermann in the year 1972. SAP is a German-based organization and presents itself as a leading initiative software provider in a major market. SAP presents its sales in more than 50 countries over the globe. Before the year 2000, SAP is the leading organization in the market but the change in the market in terms of product marketing and branding of the organization put SAP at the risk.
There are various challenges and problems raised in front of the organization because of its negligence towards the internet-based product and e-commerce practices. Homlish put different initiatives after its joining SAP and these key initiatives help the organization to reduce challenges and increase the performance of SAP in terms of sales, profits, and brand equity.
Case-1 (Part A)
Reasons SAP’s not put Attention to Marketing and Branding till (2000)
Before the period of 2000, SAP presents itself as a software giant organization, and at the start of the year 2000 organization realized there is a need to come up with new directions for its brand. There are various reasons that SAP did not put any effort into marketing and branding before 2000. The first reason is organization presents a high ratio of supplies with more than 12,500 customers and 25,000 software installations which makes the organization world’s 3rd largest independent software firm.
SAP has a greater customer line as compared to other software companies. It offers ground-breaking product expansion with a product-motivated culture and these all are considered the main reasons that SAP never put its focus on branding and marketing culture inside the organization. They are an industry leader and enjoyed a monopoly over a product solution that ultimately never create a need for marketing for the SAP. Before 2000, SAP was confident that there is no need for branding and marketing to grow its business performance and sustainability.
Explain the Good Performances of SAP (1972-2000)
SAP presents a long history of its success in the overall market and this success is mostly based on its innovative product development. The success and good performance of SAP depend on its product launches because it presents a new product every decade with its successful solutions. SAP first, launch real-time data processing software in the first decade in the year 1972, which was later named (R/1). At the end of the first decade in the year 1980, SAP introduce a new product dialog control system, which is named (R/2).
In the last decade, 1990’s SAP comes up with a new product client-server model with the name (R/3). All of these innovations get great success in the market with a high percentage. SAP introduces all its products as reliable products under all major markets that help the organization to cover the entire region and get a high sales ratio. Good performance of the organization is also measured by its flexibility which helps SAP to support its customer's demands according to their needs.
Challenges SAP Faced in (2000)
In the current period of 2000, SAP presents a weak perception and band image because it presents itself as a late-comer in the marketing segment and the internet. During this period marketplace changed radically which make SAP fight for its existing shares in the market. SAP was late to recognize the need for e-commerce ultimately creating a problem of branding, which results in the weak and unclear brand promise of the organization with its product. In this period organization faced a challenge to transform the organization from a product-driven company to a market-driven company. This challenge creates various factors faced by SAP during its transformation.
Competition from New Internet Vendors
The biggest competition faced by SAP in the year 2000 during the transformation is (I2 and Siebel) as new internet vendors. This competition is raised in front of the organization because it presents it disconnected from the market changes and missed out on the entrance of the internet and e-commerce market. SAP was not able to adapt to the new changes in the market at an appropriate time that help to cover the changing customer expectations................
SAP Building a Leading Technology Brand Harvard Case Solution & Analysis
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