Evaluation Of The Strategic Advantage Of Adobe Company
Adobe made a transition called deliberate strategy where they shifted toward a subscription-based sales model. This transition is Adobe’s goal to increase the predictability of its revenue stream while also being aware of benefits that will reduce the threat of software piracy. They also hope that it will make their products more available to their customers. Gone are the days where we had to buy a permanent license for software which would cost us thousands of dollars but now we can access Adobe’s products at a lower monthly fee. Although Adobe is one of the top companies that have a good leadership position they face a number of competitive threats.
There is an increase movement of innovation in today’s world of software so there is a high risk that it can interfere with Adobe’s market shares. They can also suffer from customer preference to their flagship image-editing software. Image editing softwares like Instagram, Facebook and Google Photos can make customers less interested in purchasing creative software such Photoshop or even Illustrator, softwares created by Adobe. This threat also made a turn on Adobe’s products. Adobe tries to differentiate themselves by having only one destination for most of customer’s marketing and analytic needs.
From our research, data processing and gathering for individual customers, can provide Adobe with a strategic advantage. Adobe is capable enough to carry out these processes. With the ‘Right to Win’ concept, Adobe experience cloud unlocks the digital ability to drive the business value. When data used to be the greatest advantage for early adobters of marketing analytics technology, it was the same for the marketing analytics which is why Adobe should continue to create value from the data by aligning their internal teams, process and technologies to capture and draw insights from the data collected to maintain its Right to Win.
Also, Adobe needs to address the gaps related to privacy and security and utilize its core competencies to the fullest. Adobe’s ability to provide end to end platform-based data driven solution to their customers are one of their strengths along with partnerships How successfully Adobe helped them to increase their audience and revenues, is a proof that data processing has helped them and their customers and with the continuous flow and the ongoing trend, it should continue to do so.
Internal and external analysis states that there is a huge potential for data analytics to provide a strategic advantage to Adobe. We would recommend Adobe to continue innovating and investing, like other software companies, in data gathering and processing, while not forgetting about the threats and indulging them to provide differentiability in the current market.
