Glass Egg Digital Media Marketing Strategy Analysis & Solution

Marketing & Sales Case Study Analysis and Solution

At Fern Fort University, we use Harvard Business Review (HBR) marketing principles and framework to analyze Glass Egg Digital Media case study. Glass Egg Digital Media is a Harvard Business Review case study written by David B. Godesfor the students of Sales & Marketing. The case study also include other relevant topics and learning material on – Marketing, Product development, Sales, Supply chain

Strategic Marketing Analysis of Glass Egg Digital Media case study written by David B. Godes will comprise following sections –

Glass Egg Digital Media Case Description
Marketing Definition
Market Potential Analysis of Glass Egg Digital Media
Market Share Potential Analysis
Segmentation and Segment Attractiveness Analysis
Competition and Competitiveness Analysis of Glass Egg Digital Media
Customer Value Analysis of Glass Egg Digital Media case study

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Glass Egg Digital Media Marketing Case Description

Sales & Marketing Case Study | Authors :: David B. Godes

Glass Egg is an outsource games development firm in Vietnam. They are able to offer brand-name publishers -- Microsoft EA,Atari -- significant cost savings in the development of art assets for their video games. However, the firm's management find themselves at a point at which they feel they need to make a strategic decision that will enable Glass Egg to grow more substantially and more quickly. They are evaluating three possible directions including expanding the sales force, expanding the scope of art development services they offer and, more radically, going into the games publishing business themselves. Besides offering a picture of an interesting firm in a growing, dynamic country and business, the case allows for an exploration of two important general themes: 1.) Assessing alternative growth strategies. When should one pursue "more of the same" business vs. offering another product vs. looking for new customers? When is it better to develop an entirely different line of business with different customers and different products? (2) What are the differences between marketing to businesses vs. marketing to consumers? Since one of the options the firm is considering involves a consumer product -- online game development -- the case supports a discussion about the important differences, not only in terms of the nature of the buying process and buying center but also in terms of the vastly different organizational resources and structures that are needed in each.

Marketing, Product development, Sales, Supply chain

Marketing Definition

According to American Marketing Association – Marketing is a set of activities that a firm undertakes for creating, communicating, delivering, & exchanging offerings that have value for customers, clients, partners, and society at large.

Kotler explains - Marketing is a process by which organizations can create value for its potential and current customers and build strong customer relationships in order to capture value in return.

Market Potential Analysis of Glass Egg Digital Media

Market potential analysis comprises evaluating the overall market size of the related product that the firm is planning to launch. This will involve defining – Why the target market segment needs the product and how it will provide a solution to full its consumers’ needs. Market potential of Glass Egg Digital Media products various on factors such as –

Maturity of the market. In mature markets the profitability is often stable but the market potential is less as most of the players have already taken market share based on the segment they are serving. New players have to go for market share strategies in marketing.
Technological competence of the existing players and culture of innovation and development in the industry.
Untapped market sizes and barriers to both enter the market and serving the customers. Often companies can easily see the unfulfilled needs in the markets but they are difficult to serve as there are costly barriers.
Define the core need that your product is serving and list out all the direct and indirect competitors in the market place. This will help not only in positioning of the product but also in defining or creating a segment better.
Uncovering the current and untapped market sizes and barriers to serving the larger market. Analyze the areas that you need to sort out while launching the products to wider market and what are the challenges the firm will face in market place.
Estimate the current stage in product life cycle and its implications for marketing decisions for the product.

Market Share Potential Analysis

Understanding the buyer behavior model for Glass Egg Digital Mediaindustry.
Identifying the market share drivers relevant to Glass Egg Digital Media market.
Segment Attractiveness Analysis – Our analysis will work out which are the most attractive segments and which are the one the firm should go ahead and target. We point out in great detail which segments will be most lucrative for the company to enter.
Understanding the different needs and relative value of your offering by segment.
Developing segment priorities and positioning the product based on the product need fit developed by the firm.

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Competition & Competitive Position Analysis

Uncovering customer-based competitive positions for key rivals and firm’s offering. This will not only help in assessing the strengths and weaknesses of the competitors but also help in defining and positioning of the product.
Developing a positioning and launching strategy. It will require not only distribution channel analysis but also promotion mix for the product.
Strategic Marketing Planning — the process of developing and maintaining a strategic fit between the organization’s objectives and capabilities and the ever evolving marketing opportunities for its products.

Glass Egg Digital Media - Customer Value Analysis

Capturing customer value is essential to marketing efforts as it results in higher return in the form of both current & future sales, greater market share, and higher profits. By creating superior customer value, the organization can create highly satisfied customers who stay loyal and buy more. This, in turn, means greater long-run returns for the firm.

The crucial role of customer perceived value in acquiring and retaining profitable customers. Product differentiation is often based on building on a value niche that a firm believes that is very important to the customer. This niche contributes to perceived value. If the perceived value is high then customer stay loyal to the product if not then she can switch to the competitor’s product.
Graphically displaying value differences for deeper understanding and better internal communication. This helps is building a narrative that a customer can identify with. The better the insight more are the chances of connecting with the potential customers.
Identifying and selecting actionable value creation options. This can help in increasing the customer lifetime value. Customer lifetime value is the value of the entire stream of purchases that the customer would make over a lifetime of patronage.