Virtual Warehouse Harvard Case Solution & Analysis

Virtual Warehouse Case Solution

Market Research

For the execution of a strategic approach to bring change in the business operation, market research serves as the basis of a successful change. Due to this reason, the purpose of conducting market research is based on the development of a strategic marketing plan to ensure the supplementing digital technology in the business operation. For market research, the data would be collected through different sources such as primary and secondary data sources. Primary data sources mainly include:interviews, online surveys and user databases. Whereas the secondary data source would include articles and websites.

Customer Analysis

The customer analysis of the market is based on the identification of four factors i.e. demographics, geographic, psycho-graphic, and determination of secondary customers.

Demographics:

The demographics of the potential buyers mainly include the industrial manufacturing organizations operating in the Jubail Industrial city.

Geographic:

Initially, the services would be offered to the companies in the Jubail industrial city. After the successful business operations and significant market share, the services offerings would be expanded to GCC and KSA.

Psycho-graphic:

The behavioral analysis of the customers represents that a unique service is offered in the market. Similarly, the price of the service offered tends to be reasonable in comparison to the value addition.

Secondary customers:

Other than the target market i.e. industrial manufacturing companies, other potential customers would include small private organizations.

Brand Review

The brand image of the virtual warehouse is primarily based on the digitization approach i.e. the use of cloud systems and accessibility of the spare parts. Similarly, the use of a cloud system is compatible and smart that allows an easy access to the customers or subscribers. Due to the introduction of a new concept i.e. Virtual warehouse, the market share of the service is currently low. But, it represents the potential for increased sales growth. Therefore, there is a requirement to position the service as a secure and interactive platform for spare parts and save the organizations from experiencing further production loss. It would lead towards the creation of opportunities for local organizations to understand the importance of the overall stock analysis of the spare parts.

Target Market

Based on the SWOT analysis and marketing characteristics, the market of the virtual warehouse is expected to experience significant growth among all the thirty companies operating in Jubail Industrial City. The penetration of the organization can be done in the market like Yanbu Ind City, Eastern Region, and other areas of the Kingdom of Saudi Arabia. A significant increase in the sales revenue can be experienced by opening new sales channels for stock analysts and Management Info Online for new Manufacturing industries.

Marketing Mix (4P’s)

Product:

The products offered to the industrial manufacturing organizations by the virtual warehouse mainly include services i.e. a digitized warehouse with the capability of hosting all industrial sectors’ spare parts at one platform. The other products include application and software for the management of data and stock analysis.

Price:

The pricing strategy of the service offered would be affordable. Thus, the price of the service would be around 40,000 Saudi Riyals as a fee for an annual subscription. Similarly, the fees for one transaction would be around 500 Saudi Riyals. This would allow all the companies with an opportunity to avail of the digitized service.

Place:

The services would be mainly offered through software as a one-click approach and the offices which are localized in the Jubail Industrial city. The provision of service delivery would be based on the companies’ requirements.

Promotion:

The promotional strategy for the service of a virtual warehouse would be offering the first subscription as free. Similarly, other promotions would include social media marketing, which would assist in reaching the target audience and allowing an easy penetration in the market.

Marketing Goals & Budget

Marketing Goals:

• To increase brand awareness and build brand engagement with the companies operating in Jubail Industrial city
• To educate the market about the efficient use of the application to reduce cost and increase sustainability
• To bring a significant improvement in the customer value and to experience profitable growth in the market
• To efficiently manage the high volume of spare items of different organizations in the market.

Budget:

Implementation

The implementation of the digitization plan involves various activities to be done within a specified time frame. The activities of the implementation of the digitization plan are as follows:

• The market analysis is of paramount importance because of the reason that it provides valuable insights and useful information related to the shifts in the economy, competition structure, ongoing market trends, emerging opportunities and threats, which significantly affect the sustainability of the business.
• Another activity is the design, specification, development of service which begins with the determination of nature, and focus of the service as well as the target market.
• Effective website design and completion are driven by the different disciplines and skills in the production as well as maintenance of the website.
• The prototype testing is important to ensure that money and time are going into the development of the right product. The testing and evaluation allow the client and designer to assess the viability of the design. It also simulates the future and real product.
• Market survey to get feedback on service and measure industrial interest, is another activity through which the company would be able to bring desirable changes in its services, in accordance with the expectations of the customers. Meeting the customer’s needs and expectations would ensure the long-term success of the company in the market.
• Additionally, the company would assign a team with a representative from each company, in order to stimulate the effectiveness and to bring desirable results.
• Another activity is to conduct an advertising campaign via pay-per-click online advertising, social media involvement, and other print resources. The advertising campaign would help in increasing the brand’s visibility in the market.
• After conducting the advertisement campaign, the company would launch an application, software and website, and wait for a positive response from the market.
• After the successful launch of the website, the company needs to ensure that the website or software is updated or maintained......................
• This is just a sample partial case solution. Please place the order on the website to order your own originally done case solution.

  Related Case Solutions & Analyses:

  North Lake Medical Center Introduction to Analytical Probability Distributions Competing with Social Networks: Designing Social Strategy Analytical Probability Distributions Rambus Inc. 2005 Joline Godfrey Update–1992-2002 Cellular Telephone Industry in 1999 Look Before You Leap (A): Considering a Job Offer With an Early-Stage Company The 3M Company (B): Integrating Europe (Spanish) Stock Manipulation by China’s Pangang Group Case