High Technology Marketing Strategy At Microsoft Corporations
Background of Microsoft
Microsoft Corporations known as an American leading personal computer software developer which provides the computer users with high compatibility with their non-stop upgraded system and applications. Besides, Microsoft also develops, manufacture, licenses, supports and best-selling range of computer software and other services. Microsoft Corporation originally located at Albuquerque, New Mexico and relocated the headquarters to Redmond Washington, State in 1979. Eventually, after when relocated to Washington, Microsoft had grew into major multinational technology corporations.
Microsoft Corporations was founded by Bill Gates with his childhood friend, Paul Allen who shares common interest in computer programming. On April 4, 1975 they established computer software business venture namely “Microsoft”- a microprocessor and software. Bill Gate has been selected as the CEO of Microsoft Corporations. On the same year, Bill Gates and Paul Allen had developed and produce Basic Interpreter for new microcomputer kit known as Altair 8800 released by MITS (electronic firm) at Albuquerque, New Mexico. In 1976, Microsoft trade name had been registered where Paul Allen and Bill Gates fully focused on their partnership company. In early 1980’s Apple and Radio Shack had licensed Microsoft BASIC for their Apple II and Tandy computer which causing Microsoft revenue affected. In addition, Microsoft have produced Window NT (New Technology) known as independent processor, multi-processing and Multi-user operating system.
The first version of Window NT is Window NT 3. 1 which operating for computer server and workstations. This system was intended for consumer’s Window version enhancement based from MS-DOS (Window 1. 0 to Window 3. 1x). Window NT more to consumer oriented counterparts where the processor used for segmented addressing and switch from 16 bits to 32 bits addressing in pages. But in 2000’s, Window NT no longer been used and from year to year Microsoft continue developing and improving their system and software by following the current trend as such Window XP, Window Vista, Window 7 and so on. In 2008, Microsoft come out with television advertising campaign slogan “I am PC” to compete Apple Inc. In 2012, Window 8 had been introduced by Microsoft that known as the “revolutionary” overhauls its Window computer software system- radical.
Window 8 background
Window 8 are the next revolution of technology in computer operating system (OS) by offering the best feature with new and unique graphical user interface (UI). Window 8 is part of Window NT family that used to operating personal computer system. This system was the transition from Window 7 which suitable for touch-screen based device to optimise the operating system such as tablet and cloud computing. Window 8 was the successor of Window 7. Before that, Microsoft Corporation have faced huge problem when developing Window 8 system where 3 milestone of Window 8 was leaked to general public. What make Window 8 system unique than other system was the feature of this system. One of the feature are Window 8 removed the start button and task bar in order to invoking with start screen.
Milestone Descriptions
Milestone 1. The prototype (Build 7850) that available for internal tester on 12th April 2011. The first build text of the window written centred instead align to left. Despite, detailed build number was revealed that this prototype was created in 21 September 2010.
Milestone 2. Beta 1 (Build 7955) was leaked in 25th April 2011. The traditional BSoD (Blue Screen of Death) to replace by new black screen. This build introduced a new ribbon in Windows Explorer. Build 7959 with minor change with 64 bits version was then leaked on the 1st May 2011.
Milestone 3 Build. 7989 on 17th June 2011with 64 bit edition leaked to general public. In this build, it featuring the same fish as the default of Window 7 Beta wallpaper which later be scrapped.
Features of Window 8
First feature of Window 8 is innovative and Dynamic Desktop (Start Screen) which the desktop are tile-based interfaces (Metro UI) on the start menu that resemble phone home screen. The grid layout for facilitate the interaction suitable for users to customise the grid layouts by adding or arranging the application. This system also allows the user to personalize desktop with organization of the apps that displaying the apps without activate the app.
The second feature of Window 8 is improving search function which conveniently for user to key in the apps name on the search box and it will appear from the right and provide the result. Window 8 has strong search capability with displaying all the matching apps and file instantaneously when the user keys in the search function. Instantaneously the apps list will pops out on the right side of desktop within second. Notification from email also can pops out by using the Window 8 search function as well.
Next feature is speedy boot time. In Window 8 system, the load and speed boot had improved undoubtedly over Window’s processors. This is because Window 8 has been allocated the better resources in the system and applications which make it speedier boot time compared to Window 7 desktop CPU. Window 8 system utilizes hibernating the system kernel (OS’s resource manager) when shut down that turn out to be partial hibernation each time. When the system reboot, the memory of previous session will quickly reinitialized.
Moreover, Window to Go is the most convenient feature for user using Window 8 system which allow the user to make a copy of their OS setting, wallpaper, files and apps into USB thumb drive compared to other Window. User can revived their infected virus device or crashed system by plugging the USB thumb drive that been saved with the last setting (Consists files and apps). Not only that, user also freed losing work ability on their project by plugging the USB thumb drive in another Window 8 installed PC.
Window 8 (4 P’s) prodcut life cycle (PLC)
Introduction stage
On January 2011 at Consumer Electronic Show (CES) in Las Vegas, the president of Window division Steven Sinofsky had announced the next version of Window together with early build port prototype device. Prototype still on-going developing and 3 milestone of Window 8 development process leaked to public. On June 2011, Microsoft Corporations unveiled feature of Window 8 at Computex (Taipei), D9: All things Digital conference in California show more details of Window 8 operating system in several hardware. Besides, Microsoft had launch Microsoft Tablet with Window 8 in press conference which take place in New York by unveiling the Window 8 operating system. Window (Microsoft) provide online website at window. com which allow the 140 countries user who interested to purchase the system. Inside the web store consists the details of Window 8 system and other Window 8 devices. In addition, Microsoft also collaborated with online website such as Amazon, Best Buy and Staples for interested user to purchase through online. Besides, Window 8 available in every country stores and retails. In Computex Conference (Taipei International Information Technology Show) Microsoft using several top pc supplier hardware (tablet) such as Acer and Asus to show Window 8 operating system to run ARM and other SoC processors.
Besides, at All Thing Digital D9 Conference (California), Window 8 introduced the feature of tile-based start screen to replace the Window start menu, up to date live tiles with notification apps, fully touch optimizing browser and so on. Not only that, in live press conference which takes place in New York, Microsoft launch the Window 8 together with Microsoft Tablet Computer (Surface) mainly features the Window 8 operating system. This tablet (Surface) consists of the main feature of Window 8- new tile interface icon, associated with widget to replace list of programmer and icon and supported 3. 0 USB. The Xbox music and video also included in Window 8 Microsoft Tablet to compete with other competitor for streaming the music and video and so on. Window 8 was suitable for standard computer, smartphone, tablets and other devices. The price that been offer by Microsoft for the first time user starting from $119. 99 (Normal) to $199. 99 (Pro) through pre-order. Window 8 opens subscription for MSDN, TechNet, Software Assurance customer and DreamSpark Premium (student) to download the system for free. For user who purchase Window 7 device would like to upgrade between 2nd June 2012 and 31st January 2013 have the chance to upgrade Windows 8 Pro for $14. 99. This system upgrades registration available via windowsupgradeoffer. com for user devices that live within 140 countries.
After Window 8 release, Microsoft began advertisement campaign to promote this new revolution system. With advertising budget $1. 5 million to set-up the 34 popup store inside the mall to showcase the Window 8 Surface tablet product line. By partnership with Intel and collaborate with Best Buy (electronic store chains) to expand the Window 8 showcase devices. Besides, Microsoft also make retail display of Window 8 by developed a character of Allison Brown on Window 8 devices demonstration. Microsoft also created a video “Window Video” with tagline “Window reimagined” on featuring onscreen countdown inspired from space launch mission and to predictable halt when reaches number eight. In this video also showing an individual using Window 8 on different type of device include touchscreen tablets and standard desktop computer. This will allow the curious user to search more information about Window 8.
Growth stage
Growth stage is the second stage in product life cycle which shows the products have successfully enter the market. On the first month Window 8 release, the sale was low where Microsoft only sold 40 million licensed copy and 4 million of users upgrade to Window 8. The sales of the Window 8 are the lowest compared to Window 7 which sell 100 million copies when first released. Window 7 was the fastest selling in operating system history within 6 months. In market share, Window 8 only exceed 5% of global desktop operating system market share while Window 7 dominantly have 53% of market share which more dominant. To maintain in the market, Microsoft upgrade Window 8 to Window 8. 1 with new exciting features at Mobile World Congress on 23rd February 2013. Window 8. 1 also available through online (Official Window Website) or local store where allow the user to purchase the system for their device. To maintain in the market, based from user feedback Microsoft upgrade Window 8 to Window 8. 1 with new feature on safety and security, online services and functionality, Windows store apps, web browser, interface and desktop. Besides, Window also improves 3. 0 USB native supports that compatible with other devices which allow the data to move faster and improve device power management and redesigning the task manager. Window 8. 1 complete with camera access from lock screen and Xbox music allow the user to create own radio station to center music collection.
In term of pricing, Microsoft offered the cheaper price for the user who would like to upgrade from Window 7 to Window 8. 1 Pro for $99. 99. For user of Window 8 Pro core can upgrade Window 8. 1 Pro and Window Media Center together with $99. 99. Window also offered the user who would like to purchase Window Media Center with $9. 99 if the user has Window 8. 1 Pro. Free of charge for the user who would like to upgrade Window 8 to Window 8. 1. Not only that, user can get discount via Microsoft. com where in Microsoft website display Window 8 general upgrade is $39. 99 price but, by entering the promo code on the confirmation page user able to get upgrade the system with $14. 99 price. This promo codes for Window 8 general update only available until 28th February 2013.
Microsoft using the television advertising campaign to promote Window 8 by illustrating the Window 8 capabilities and pricing to compete with Apple (Ipad) in 2013. On 12th June 2013, Microsoft premiered first ad campaign “Microsoft Everywhere” in 2013 Stanley Cup Final to promote Window 8 toward the audience.
Maturity stage
For maturity stage, Window 8. 1 release to replaced previous Window 8 had successfully sold 200 million copy of licenses within 15 months. Not only that, most of top PC supplier such as Samsung, Acer, Toshiba, Lenovo and etc also collaborate with Microsoft to use Window 8 for their brand devices. The device that been release by Asus and Samsung had high competition with Apple iPads. Window 8 steadily running 7% of market share in running Tablet Window while Android and iOS respectively market share 43. 4% and 48. 2% although both of the competitor operating systems have stay in the market longer than Window 8. In this stage, Microsoft more focused on the promotion and advertising of the Window 8 product feature and there are no any new development toward system. Microsoft offered Windows 8 Pro upgrades at a discounted price of $39. 99 through online and & $69. 99 for retail box. After meeting new competitor such as Apple, Microsoft lower Windows 8 price to $119. 99 and the Window 8 Pro price maintain. To promote and introducing the Microsoft Window 8, Microsoft using the catchy commercial to promote this new revolution system. To showcase this product, Microsoft had issued a series of commercial that featuring the catchy music to engage customer attention. Microsoft using celebrity from Australia, a singer and songwriter - Lenka’s song “Everything At Once” for featuring the Window 8 operating system and function. This commercial had been advertised through social media platform, television commercial and YouTube. Beside, Microsoft also sponsoring activity events like MTV Music Awards in Europe by featuring the Window 8 operating system uniqueness.
Decline stage
For decline stage, Window 8 sales had become rapidly decline where this system had met criticism from consumer and corporate consumer. The criticism regard to large investment in hardware for small compelling feature in return. PC suppliers who collaborate with Microsoft sale started depleting where most of the consumer starting to critic the complicated operating system of Window 8. The price of Window 8 becomes uncompetitive due to many consumers starting to use iPads and Android for their devices. The complexities of Window 8 operating system causing lots of user feel inconvenient and shift to Window 7 or to Android. The complexities are includes the start menu, Malware Hog Processor, Multiple copies on same files, error activation and vague text. This causing the customer quit searching or using the Window 8. Not only that, sales of the Microsoft become deplete due to Microsoft started to launch new system which is Microsoft Window 10 to replace Window 8 with much secure with new feature that save user time and frustration. After Window 8 through multiple criticism and issues, Microsoft release Window 8 Upgrade Assistant software for Window 8 system. This system can be uses in every kind of Window OS such as Window XP, Window Vista, Window 7 and pre-release Window 8. Window 8 Upgrade Assistant is to assist user in migrate applications, setting and file. But this system availability depends on PC previous operating system. In addition, this system assist the user by suggesting the best Window 8 version based on previous evaluations.
Due to the bug issues that causing the user difficult to log on, Microsoft acknowledge that there is bug in their September update and Microsoft support team fix the bug issues to minimize the user inconvenient. SUMMARYBased from the Product Life Cycle (PLC) of Window 8, all of these stages have utilised marketing mix to launch their product in order to gain profit and market share except decline stage. As example from introduction to maturity stage, Microsoft mostly introduced their Window 8 in conference and more likely depend fully on advertisement to introduce their product to global customer. Mostly, Window 8 have been utilised mostly in every devices of the top PC supplier such as Acer, Samsung, Asus, Lenovo and etc to compete with other competitor such as Linux, Android and iOS. Beside, Microsoft also improved the Window 8 by adding new feature to attract the customer. While for decline stage, Microsoft more focused on fixing all the problem and release Window Upgrade Assistant to help user. Unfortunately, the sales of the Window 8 unfavourable to Microsoft although this system was known as super innovative design product that should be more convenient for user. Furthermore, when Window 8 release, the sales were not much higher than Window 7 that capable to sell 100 million copies of licensed within 6 months. But within 15 months, Window 8 able to sell 200 million copies of licenses and this show that Window 8 have the potential in the market to compete with iOS and Android.
Even though Microsoft Corporations have the strong brand in the market but they should try to improve Window 8 performance by figuring out the failures of the system instead replace with new OS system. Microsoft spends too much on promotion and advertising which causing them loss profit. Lastly, Microsoft should provide cheaper price and Window 8 PC user interested to purchase their product. This is the reason why Window 8 unable to sustain in the market.
