Caesar IT services
Marketing multiple value proposition in one firm by Dhruv Patel
In the year 2005, Caesar introduced Time value project in the market and marketed two of its major value propositions where they used to integrate organizational routine under single brand name. This idea led to creating case three critical problems: “The first key issue that was precisely the remarkable fact that integrated brand name led to diffuse marketing position towards the prospective customers. The second issue was the sales process where sales manager faced problem in selling to different product within the same portfolio. The last issue was faced by Caesar includes the organizational procedures fostered creates conflicts, lack of effective collaboration and frustration against employees”.
Caesar has been a professional information technology services company that has been part of Dutch IT market since the year 1993. There are many factors that make the company different from others in the market like the advantage of organization, low-cost products with better quality, strong brand name and brand equity with a unique selling proposition of company. The major strength of Caesar is that it has been offering high quality of products within its product profile. There are many other factors that can affect the company like increasing competition with multinationals and small regional companies, increasing the shortage of high-quality ICT professionals and that has become a primary concern for the industry, so due to that fight for recruiting most IT talented professionals increasing around the companies. Later in 2001, when the Dotcom bubble crisis emerged, and the company’s strength of cost leadership become a major threat and in during these period many major competitors of the company has been forced to lower down the cost and also due to bubble crisis Caesar layoff their employees. Due to the 2008 economic crisis Dutch IT sector is also affected and according to Exhibit 1, the market dropped from 7.8% to 0.4%. By reviewing conjoint analysis it showed three most eye-catching information that have a significant impact on Time Value project because these characteristics include time, budget, price and guarantee but these factors would be crucial for the company success. Every segment of the analysis has different clients which have a similar inclination. By seeing Exhibit 13, segment 1 comprised the majority of the market that is 59% and it is more sensitive towards the price. As well as, they valued their suppliers more than any other segment. The next segment constitute budget of guarantee, time and less sensitive towards price and this segment comprised 25%. The last segment holds 16% of the market and in which a customer who does not care about price but it most cares about quality. After companies realized from the conjoint analysis, the company identify five major points to differentiate. They are particular applications, manager’s knowledge about the organization, level of satisfaction, loyalty rewarding program and speed in delivering resumes. In body shopping, it should focus on a specific solution of technology, customer satisfaction guarantee and price and cost sensitive.
There are three options to solve the issue: The first one is they can integrate the brand name. The other option is to change the brand name, and the last one is come up with the new strategy.
After reading this case study I put my opinion based on the problems that have been identified in the case, in order to solve the first problem the management needs to differentiate the two products by using a different name. At this point of time, the company has been selling two major products under one brand name due to this, in the future enabling the customers and to make the two products available differently would achieve suitable sales volume. Therefore different brand name needs to be used while referring the two major products. The portfolio for the two different products should also be different. The company offer distinguished portfolio for two products so that customers can know the reasons for the drag in the market by Caesar. As well as, it will also help the company to offer various range of products to the customers who have been offered a few products in the market, due to the increasing possibility in the Dutch IT market. In order to resolve the final issue, the company needs to make two separate teams of employees for selling two different products. As for now, each sales representative can sell two different products so due to that it has created various confusion and issue among the employees. Therefore to overcome this embracement the company needs to work in favor of two independent teams of employees and should make them work freely. By this way, conflicts can be wisely resolved between employees.