Demographic segmentation is used for products like Operating systems and Office products which are applicable to everyone. However, considering that these products are already globally popular, market development is no longer as significant in the company’s growth. The rest of the strategies have a supporting role in the computer hardware and software business. Microsoft marketing strategy is based on the following principles: 1. Of high importance were an appealing design to young customers and performance like speed of the console and high quality of audio and graphics. Microsoft has high (TOMA) top of mind awareness due to high acceptability of its operating system “Windows” in the market. Through new products that address market needs, the company supports its generic strategy, which requires product uniqueness as a competitive advantage. This intensive growth strategy involves selling more products to the markets where the company currently has operations. Due to having a wide product & service portfolio Microsoft uses mix of differentiated & undifferentiated targeting strategy. Naturally, it is a mammoth organization. (1997). Donations and related activities are executed through this philanthropic arm. Become a partner . Therefore Microsoft’s marketing team had to find out, who their target customers are and with what marketing strategy they could reach their challenging goal to become leader in the game console market. Microsoft Corporation needs to maximize its reach in the computer hardware and software market. Microsoft’s generic competitive strategy supports the attractiveness of its computer hardware and software products amid a wide variety of competitors. Investing in the communication of marketing message through various marketing communication channels in an integrated manner. Consumer attitude metrics for guiding marketing mix decisions. Segmentation, targeting, positioning in the Marketing strategy of Microsoft, Competitive advantage in the Marketing strategy of Microsoft, BCG Matrix in the Marketing strategy of Microsoft, Distribution in the Marketing strategy of Microsoft, Brand equity in the Marketing strategy of Microsoft, Competitive analysis in the Marketing strategy of Microsoft, Market analysis in the Marketing strategy of Microsoft, What is Job Orientation? The generic strategy of broad differentiation empowers Microsoft in applying market development as an intensive growth strategy. On the other hand, Microsoft Stores are physical retail stores where customers can access a variety of the company’s products, such as smartphones and Xbox units. Also read Microsoft SWOT Analysis, STP & Competitors. (with Purpose & Preparation), What is an Assessment Center? Example- Company has premium priced its popular Operating System as its use is continuously increasing. As of 2020, there are several marketing strategies like product/service innovation, marketing investment, customer experience etc. A strategic objective based on this intensive strategy is to facilitate Microsoft’s growth through mergers and acquisitions. The GD&I (Global Diversity & Inclusion) is a strategy that is a fundamental link in the Microsoft’s business priorities. The company effectively applies market penetration through the broad differentiation generic strategy, which uses product uniqueness to attract more customers from various market segments. Miller, D. (1992). But in some cases, it might not be the top of the mind positioning. For example, the company donates computer hardware and software products to nonprofit organizations and provides financial support for programs that help at-risk youth. Browse 4Ps Analysis of more brands and companies similar to Microsoft Marketing Mix. Similarly it has other solid line of products like Skype, Mobile phones, Xbox series, games, Browsers, Search engine, Microsoft office, Business solutions and whatnot. - High royalties for the sales In this element of the marketing mix, the locations or places for transacting with customers are considered.  Hildenbrand, J. For example, these apps include Microsoft Remote Desktop (from Microsoft Corporation) and the proprietary Drawboard PDF (from Drawboard). In 2018 the tech giant’s sales and marketing expenses increased USD2.0 billion or 13% compared to the previous year.. Merchant, H. (2014). Promotion 4.2.4. Competitive Advantage Through Information-Intensive Strategies. Mission – “Empower every person and every organization on the planet to achieve more”. Market penetration is the primary intensive strategy that Microsoft uses to grow its business. Marketing Mix of Microsoft analyses the brand/company which covers 4Ps (Product, Price, Place, Promotion) and explains the Microsoft marketing strategy. Place 4.2.3. • Public relations – To promote company’s image Microsoft uses a variety of programs but main PR strategy is fulfilled by Microsoft Philanthropies who look after donations and related activities. Your email address will not be published. Microsoft is the 5th highest valued brand in the world in 2016!! Comment on Major Player’s Choice, 4. For instance, through unique business-specific computer products, the company initially entered overseas markets. Microsoft categorizes its products, also known as the product mix, as follows: Microsoft’s devices include hardware products, such as personal computers, tablets, Xbox, and Windows phones. The products in the marketing mix of Microsoft cater to enterprises as well as consumers, and are available worldwide. It is an American multinational technology company with its headquarter in Washington and earns a net income of US$16.79 billion. Microsoft is in the business of large no. On the other hand, the company uses direct marketing for sales deals with organizations, such as academic institutions. marketing strategy of Microsoft 1. These groups of customers who are willing to buy the firm’s product form the company’s target market (cp. Microsoft make its products & services available to the end customer through large network of retail outlets, e-commerce sites & exclusive showrooms. Payment is required to use the suite on larger devices. Microsoft has also developed relationships with various OEM’s to sell their product. 2. Targeting customers that value effectiveness and efficiency. 4.2. Product Development (Secondary Strategy). Parnell, J. As of 2020, there are several marketing strategies like product/service innovation, marketing investment, customer experience etc.