Professional Documents
Culture Documents
CONTENTS
Pg.3- Introduction
Pg. 4 Methodology
Pg. 5 Brand History
Pg. 6 Where are they and how can
they more forward?
Pg.7 Brand Audit and Pen Portrait
Pg. 8- Survey Results
Pg. 9- Interview Results
Pg. 10- Marketing Mix
Pg.20- Conclusion
Pg. 24- References
INTRODUCTION
Methodology and History
METHODOLOGY
Introduction
This report is going to identify the main issues that face Blackberry and will highlight the best options for them to achieve their
objectives. I will do this by providing a detailed report highlighting flaws and identifying opportunities. I will show how these
recommendations can be executed in order to acheive the best possible success. I have carried out research and drawn upon
my own ideas and prior knowledge.
Type of Research
Objectives
Method
Sample size
Primary, Survey
52 people aged 18 +
Primary, Interviews
I interview Erin from FMA and Kenton from Uzin and Glue
company that wished to remain anonymous
BRAND HISTORY
Figure 1.
Mission Statement BlackBerry aims to inspire the success of our millions of customers around
the world by continuously pushing the boundaries of mobile experiences Blackberry
Pen Portrait
The target market for Blackberry is
affluent business men, who have a
higher level of disposable income to
spend on more expensive brands.
They require a high level of
organisation to keep their life in
order. They require security as they
work with sensitive information.
They like to be in touch with fashion
and combine it with practicality.
Blackberry Phones are often
supplied by the companies at which
they work.
SURVEY RESULTS
I carried out a survey and street interviews to get an overview of what people thought of Blackberry as a brand and of their products. I took
samples of people aged over 18. The following graphs and statements show the responses.
1.
1.
2.
3.
3 technology Brands.
Apple
Samsung
Microsoft
Yes
No
10
INTERVIEW RESULTS
Introduction
I carried out two interviews with people from two different companies. I asked them what they wanted from a phone and
the ways in which they think Blackberry could reinvent themselves to be competitive.
Interview 1
The first interview was with the CEO of a major glue and cement company Uzin, who used to use Blackberrys as their
company phones. I asked him the reasons they changed from Blackberry to Iphones. The main feature that the Iphone had
was the advanced security, they deal with a lot of sensitive data they have to assure their clients it is 100% safe. Although
Blackberry has a security feature he said that Apples are more advanced and this combined with the fact theyre
constantly updating their technology means they are a better fit for them. Furthermore, the majority of his clients used
iphones, making it easier to share information. He suggested that if Blackberry came out with a really original feature that
couldnt be found on iphones that would help his business then he may reconsider.
Interview 2
The second interview was with Erin, an account executive at FMA PR in New York. She gave me a few ideas as to how she
thought Blackberry could improve the ways in which they launched new products or regenerate old ones in order to create
more sales opportunities and boost their profile among their market. The Main ways she suggested were; events/ launches
and innovation.
11
Blackberry stores are located more in MEDCs (there only flagship store is in Dubai) which is a prime economic location. It is situated in a very
business orientated region which means that they are surrounded by potential clients, so they are typically situated in the best location.
Furthermore, Blackberry have a lot of concessions within stores such as EE and O2 so they have lots of opportunities for sales. However, being
in this location means they are in very close proximity to their competitors and are therefore at a higher threat of being over looked, especially
due to their lack of advertising, brand loyalty and differentiation that the competition such as Apple and Samsung have.
Price
The price of blackberry products ranges from the lower end, Classics costing from 349 new, to the Blackberry Priv costing 559 new and then
the high end Blackberry Porsche design costing 850. This high cost makes it seem like a high quality product, attracting a wealthy target
market.
Despite the initial high cost, Blackberry handsets depreciate very quickly. During our research in to the products they offer we found that many
examples of the Blackberry Curve- which was popular among Millennials can be bought from websites such as Amazon and Ebay for as little as
20.
Product
In recent year Blackberry have branched out away from their traditional smartphone market and are now offering a range of other products
such as tablet, security software, sound systems and printers. These products have been aimed at the existing consumers of blackberry
products, Business people. This has meant they slowly expanded (at a far slower rate than their competitors, meaning that they lost market
share). Blackberry currently have 10 smartphones, as well as non-smartphone products. There is estimated to be about 30 million Blackberry
users worldwide, with an estimated 1-2 products per user.
12
Blackberry has very limited promotional methods, It mainly relies on word of mouth and reputation to generate sales. The minimal
advertising that they do, is focused on promoting function over entertainment, Which is ideal for their target market. Blackberry also offer
occasional collaborations with high quality brands such as Porsche which improves their brand image and promotes them among the
collaborators customers as well as their existing markets which is a method of promoting market penetration. Furthermore Blackberry offer
a pre-release option which creates a hype around the release. This promotion technique is also popular with Apple and Samsung and has
proved very effective with them. This is a good method for Blackberrys existing market but it doesnt necessarily promote new business.
Planet
Through research done on Blackberrys website, we found that environmental wellbeing is a very important subject for Blackberry, and
their mission statement in this field is clearly available. Blackberry pride themselves on using recyclable and renewable materials that are
sustainably sourced. Their Solutions for Hope Campaign promotes their use of conflict free tantalum. They also mine in Indonesia, which
they say is done responsibly and promotes diversity while providing jibs and incomes for those at the bottom of the income scale giving
them a means of earning a living with a reliable company.
Personality
Blackberry as a company is seen to be; formal, straightforward, business orientated, technology driven and reliable. They have a
crackberry following of loyal consumers that repeatedly buy their products. The colour scheme that they use is black, chrome, and silver
giving Blackberry a credible, powerful and sleek look. These colours also have connotations with the luxury, which reflect the image
blackberry go for. Blackberry are only present on Twitter, Facebook and they run blog which means they have very little interaction with
the consumer which gives them an unapproachable vibe.
13
MACRO-ENVIRONMENT
PESTLE Analysis
14
These are changes that Blackberry has and will have to adapt to to survive
Political
In recent years there has been increased pressure on businesses by the government to be environmentally friendly. This
has come to a head recently due to the passing of the treaty to keep global warming below 2oc and therefore they will
need to stick to this target or face a fine, which could spell disaster for them.
Economic
Economic change is a major trend that is impacting Blackberry as the recession meant that they lost a huge amount of
market share compared to their biggest competitors. Therefore they need to find a way to increase their competitiveness.
A good option for this could be investment in innovation as this is what their competitors have done and there is a
noticeable peak in sales every time they do this. Blackberry could look at creating products aimed at older people or
younger people, ie a phone or watch that monitors your health to tap into the growing heath and wellbeing trend. They
could also look at investing more in advertising to increase interest in the brand.
Socio-cultural
The main social influence is the growth of social media. If Blackberry can tap into this and increase their social media
presence on websites such a Linkedin and twitter they can communicate with their customers and potential clients more
easily and it gives them a more approachable feel.
Technological
Technology is another element that is really important to Blackberry to get right as otherwise they will loose out to their
competitors. This is massive issue for Blackberry as theyre already struggling because of this. They could potentially look
into developing health and well being products as stress and anxiety is a massive problem among their target market and
they might be able to increase interest through that.
Legal
Legal issues are less of an issue for Blackberry as they operate within the law in all of their operating countries. The main
issue in the future will be making sure they dont contribute to global issues in order to not incur fines
Environmental
The environment is a factor that will have a large impact on the business, not only because of new laws but because they
pride themselves on the fact that they have sustainable and ethically sound practices. They could use this as an area for
growth by developing solar powered chargers so that they can be environmentally friendly post the production stage.
15
MAIN OBJECTIVES
Growth
Survival
The figure below highlights how vital it is
for Blackberry to become more
competitive and showing how
dramatically their market share has
decreased since 2012. Blackberry needs
address this by finding a way of
regenerating interest and sales for the
brand. This report will look into the ways
in which they can achieve this.
Period
Android iOS
2015Q2
82.8% 13.9%
2.6%
0.3%
0.4%
2014Q2
84.8% 11.6%
2.5%
0.5%
0.7%
2013Q2
79.8% 12.6%
3.4%
2.8%
1.2%
2012Q2
69.3% 16.6%
3.1%
4.9%
6.1%
16
Reputation
17
SWOT ANALYSIS
Strengths
Unique roller ball on some mobile models.
BM is still popular as a social media service
Keyboard technology is instantly associated with
Blackberry
Still has a presence as a B2B
Has a reputation for reliance
Opportunities
Smartphone and technology markets are growing and
stable
Increasing demand for cloud based services
They can move differentiation and move into different
markets
Weaknesses
Huge competition from Apple and Samsung
Poor advertising campaigns
No stand out products
No footprint or loyalty
Threats
Apple and the strength of competitors.
Competitors investing more in technology
Operating in a saturated market
18
This SWOT analysis highlights the main issues facing Blackberry in the future. The major issue is that Blackberry are operating
in a saturated market and not putting funding into differentiation or advertising compared to their competitors. Although this
needs to be addressed, there are other things that Blackberry are doing effectively. They are keeping with trademarks (eg. The
roller ball and qwerty keyboard) meaning that their smartphones are instantly recognised. They are also focusing on specific
business market where they have a loyal client base. This could work against them if there is another economic down turn as
their market size will shrink. For the moment the smartphone and technology markets are growing so is not be an immediate
threat.
19
ANSOFF MATRIX
New Product
Existing Product
New Market
Diversification
Blackberry Music
Monitors for the older generations. Drawing on
tech they already have
Market Development
-The Blackberry Curve and Bold were aimed more at a
younger market rather than their usual B2B
Existing Market
Product Development
Security software is different to the normal
technology product they offer
Blackberry Passport offers a new way to travel.
Market Penetration
- Blackberry Priv, slider phone
Market Penetration
- Blackberry Priv, slider phone
This Ansoff Matrix for highlights Blackberrys lack of updates. This has meant they have fallen behind their competitors
like Samsung and Apple. The lack off innovation is dangerous as it means they will continue to slip behind. They could
aim at market penetration and market development. For example, the phones aimed at younger consumers were
successful back in the early-mid 2000s, however none of these products are currently in their range. Blackberry could
launch products aimed at age groups such as the older and younger generations. This has worked for Apple with the
launch of the Iphone 5C, which proved very popular with the younger generation as an alternative to the more
expensive Iphone 5 which were launched at the same time.
20
Smart and
Connected
21
CONCLUSION
Recommendations/ Suggestions for improvement
22
SUGGESTIONS FOR
IMPROVEMENT
Marketing
Blackberry under uses advertising whenever they launch a product. There are never any visible campaigns. If they
focused on this they could revamp their image and create more interest. Douglas B Holt said in his 2004 book How
brands become iconic (distinctive brands) have distinctive and favourable associations, they generate buzz.
Blackberry could draw upon competitors methods of creating a buzz. Apple campaigns never fail to draw attention.
For example, the 2004 commercial of the dancing silhouettes is instantly recognisable. This is the type of publicity
that Blackberry needs to produce so that they can reach a large audience rather than just relying on their current
clients. They could think about celebrity endorsements or focusing on some of the most important features of the
product.
23
SUGGESTIONS FOR
IMPROVEMENT
Innovation
24
SUGGESTIONS FOR
IMPROVEMENT
High Street Presence
Another way in which Blackberry could raise interest in their products is
to open more stores in major cities
Blackberry only has 1 store in Dubai, and otherwise operates online and
in concessions. If they had their own stores people could try the products
before they buy. Face to face salesman would be able to sell the products
based on the individuals needs rather than giving a generic description.
This would allow them to reach a greater target market and highlight
lesser known features.
Stores would also generate more sales through footfall, and keep the
brand at the forefront of peoples minds. This would be invaluable for
Blackberry as it is one of the main reasons because they are currently so
easily overlooked.
25
BARRIERS TO PROGRESS
ILLUSTRATIONS
26
20/12/15
- 50 Notes - http://
www.dreamstime.com/stock-image-50-pound-sterling-bank-notes-background-image21655701 On 20/12/15
- Businessman holding a phone: http://chadstutzman.com/?m=201308 on 21/12/15
- Man in Blue suit: http://www.goldcreatures.com/tag/midnight-blue-suit/ on 22/12/15
- Whisky: http://pressnews.ge on 22/12/15
- Underground map: http://diagrams.org/images/png/large/f00022.html on 22/12/15
- New York Skyline: http://www.jazzhostels.com/blog/15-the-new-york-city-skyline/ on 22/12/15
- The Moss Bros Logo: http://
www.clarksvillage.co.uk/wp-content/uploads/sites/8/2015/10/Moss-Bros-Logo_280x220pixels.jpg on the
22/12/15
27
ILLUSTRATIONS CONTINUED
Pg 8 (continued)- Nike Advert: https://uk.pinterest.com/explore/nike-ad/ on 22/12/15
- Passport: http://www.tonybaldry.co.uk/2014/06/12/advice-for-constituents-experiencing-passportapplication-delays/ on 22/12/15
- Spectre advert:
http://www.dailymail.co.uk/tvshowbiz/article-3230424/Daniel-Craig-s-sharp-suited-007-teases-fans-smou
ldering-new-TV-advert-Spectre.html
on 22/12/15
- GQ Cover: http://www.justjared.com/2012/07/17/joseph-gordon-levitt-covers-gq-august-2012/
22/12/15
- Pret a Manger: https://thekendz.files.wordpress.com/2014/05/pret-a-manger.jpg 22/12/15
Pg 22 Apple silhouette Advert:
http://www.creativereview.co.uk/cr-blog/2012/september/apple-advertising-too-simple-to-win-awards/
on 5/1/16
Pg 23 Apple Store 5th avenue: http://
makerbot-blog-old.s3.amazonaws.com/wp-content/uploads/2012/01/photo_fifthavenue.jpg on 5/1/16
- Samsung Store interior: http://
28
BIBLIOGRAPHY
Easey, M., Thompson, S. and Willans, J. (1995) Fashion Marketing. 1st edn. Cambridge, MA: Wiley, John & Sons.
Franzen, G., Goessens, C., Kappert, C., Schuring, R. J., Hoogerbrugge, M. and Vogel, M. (1999) Brands & advertising: How advertising effectiveness influences brand equity.
United Kingdom: Admap Publications.
Holt, D. B. (2004) How brands become icons: The principles of cultural branding. Boston, MA: Harvard Business School Press.
(Holt, 2004)
Pg 6- http://allthingsd.com/20120803/apples-case-against-samsung-in-three-pictures/
http://www.macworld.co.uk/feature/apple/history-of-apple-steve-jobs-what-happened-mac-computer-3606104 /
http://content.time.com/time/specials/packages/article/0,28804,1873486_1873491_1873530,00.html
http://www.businessinsider.com/heres-visual-proof-of-just-how-badly-microsoft-blew-it-with-tablets-2013-5?IR=T
http://www.digitaltrends.com/mobile/camera-phone-history /
on the 15/12/15
on the 15/12/15
29
REFERENCES
Pg 16- Market share data: http://www.marketwatch.com/investing/stock/bbry/financialsi accessed on
the 12/12/15
John Chen Objectives article:
http://www.theglobeandmail.com/report-on-business/blackberry-ceo-the-journey-has-just-begun/artic
le16125601
/ accessed on the 12/1/2016
Pg 20- Ethical information: http
://us.blackberry.com/company/about-us/corporate-responsibility/supply-chain.html on the 15/12/15
Pg 22- Holt, D. B. (2004) How brands become icons: The principles of cultural branding. Boston, MA:
Harvard Business School Press.
30
APPENDIX
QU.1
QU.2
FIGURE 2
CONTINUED
31
APPENDIX (2)
Qu.
5
Qu.3 Continued
Qu.4
32
Qu. 5
continued
Qu.6
33
Qu.8
Qu. 7
34