MARK 404 Internet Strategy

MARK 404Internet Strategy Belinda Collins, Helen Hynes, Sophie Jackson, Stephanie Kratz & Tina Narsey

CHAMELEON E-STORIES ‘Changing the face of story-telling’

The need for storytelling Seminars Presentations Digital Storytelling Photo Boards Assisted DIY Digital storytelling software Chameleon e-stories Storyworks Product Market Structure

Strengths • Skill and expertise in creative writing through a career in journalism; • First mover advantage in the digital storytelling market; • Customer-centric- i.e product is tailored to customer needs and wants-their stories; • Existing credible business client - WCC; • Product range - personal and business e-stories

Weaknesses • Lack of expertise in web development and website design area; • Product customisation is a timely process; • Lack of human resources (Just Pip -longer production time); • Limited financial resources;

Opportunities • The potential market for digital storytelling is large, and mainly untapped; • Gain a first mover advantage in the digital story telling market; • The medium has a number of applications – can be used in both business and personal lives; • Potential to deliver an interactive, user-friendly website with useful information to the potential buyer (competitors do not have this);

…Opportunities Technology • (2001) 37% of NZ HH had access to the internet- huge market; • Computer access has increased over the past decade in NZ; • In June 2001, 88% of NZ private-sector enterprises regularly used a computer. • 44% were connected to a local intranet Socio cultural environment • Increased emphasis on ‘quality of life’, and retaining memories for future generations • Change in orientation: from affluence oriented to sense/meaning oriented;

…Opportunities • Relationship Marketing – developing digital stories for community-oriented companies e.g. http://www.toyota.co.nz/InsideToyota/jclLlZgnMPqIQ6MDKbi58M/3 • http://www.anz.com/nz/about/community/ - ANZ’s website • http://www.anz.com/nz/about/community/volunteering.asp - ANZ’s volunteering programme illustrating their relationship orientation • Importance aspect Pip should look into, especially in the business area.

Threats • TUANZ, shut down - insufficient demand and/or insufficient potential profit to be rendered; • Storyworks took over operations - existing direct competitor (retains existing market base); • Digital storytelling a relatively unknown medium in the market (easily substitutable); • Do-it-yourself (software itself is not a competitive advantage); • Widespread limited awareness of the product category; • Legal • The software itself may be patented, so will require Pip to purchase usage rights

Competitor Analysis • Direct Competitors • Storyworks (Wellington) • Workshops and consulting - provides know-how, creative leadership and technical support (No Website – or co. phone listing) • (e)-vision (Wellington) First Digital Media Centre in NZ combined with TUANZ – high profile • Academic base (VUW)/objective: awareness - • Promoting development of knowledge and skills • Digital service - workshops –hands-on instruction to software programmes and script/storyboard development. Claim as first Digital Media Centre in NZ.

… Competitor Analysis • Indirect Competitors • Waipuna Conference Centre (Auckland) • Workshops for digital storytelling • Intermittant, past presenters from overseas • Communico (Auckland) • Provides various communication services to organisations, video, design, photography, etc • Website cluttered, not user-friendly, no focus service • Personal storytelling • Gaye Sutton - offers workshops in storying-telling using a range of media http://www.tepukeko.co.nz/rev.html; • Mary-Alice Arthur – Strongly emphasises storytelling for organisations on her website http://storytelling.org.nz/mary-ali.htm • Louise Starkey – learning based. • Unlikely to pursue digital (in the short-term)

Competitor Analysis • Conclusions • Awareness/interest in digital story-telling is growing. • Potential for business digital story-telling, potential for personal digital story-telling. • No current user-friendly website devoted purely to digital story-telling in New Zealand – implications for internet as a business strategy and first-mover advantage.

Threat of New Entrants Moderate Bargaining power of Buyers Moderate Competitor Rivalry Low Bargaining power of Suppliers Moderate-High Threat of Substitutes Moderate-high Porters 5 Forces

…Porters 5 Forces • Build brand, low competitor rivalry exists, but emerging competitors may enter (potential barrier to entry); • Establish demand for professional e-stories, to offset other substitutes; • Establish an interactive website – informative; • Build relationships and loyalty with particular customers; • Create a strong relationship with software supplier (potential barrier to entry);

Customer Analysis • GENERAL PUBLIC • Partying Young 20’s • - Early adopters (technology savvy); • - Heavy internet users; • - Not keen on professional services as will try to do themselves or get peers (easy availability to substitues); • - Price sensitive as likely to be students or young professionals. • Family unit • - Will appeal to use services for family-oriented reasons - means of expression; • - Made up of at least 2 generations; • - Relatively price sensitive; • - Passion to store memories of special events (emotive side)eg, children growing up; • - Influencers in their own family and others.

… Customer Analysis • Tech – inept • - Cannot produce anything in the realm of a “Chameleon e-stories” digital story – need professional service; • - Technology-expertise is low; • - Middle aged (45-65years old)-passion to learn new things; • - Not highly price-sensitive

… Customer Analysis • CORPORATE BUSINESSES • Corporate Employees • - A means to present an idea to managers; • - Use as a motivational device; • Human Resources Manager/Boss • - Use to motivate, inspire staff; • - Internal positioning/image/ morale boost; • - External promotion to shareholders/investors; • - A means to communicate company ethos both internally and externally; • -Promote positive experiences of staff and clients both internally and externally • Company Website creator • - External Promotion ie. Staff profiles/ satisfied customers on intranet; • - Personalising and giving company a humanistic image;

… Customer Analysis • TARGET MARKETS • General Public • Tech-Inept segment • Corporate • - Digital storytelling must be marketed primarily to a managerial figure or decision-maker of a medium to large sized company • Human Resources Manager/Boss • Very profitable once strong relationships are made.

Mission Statement • To assist in the weaving of tradition and technology to reveal, discover and reclaim the stories of individuals, groups and organisations in Wellington and the Greater Wellington area.

Business Objectives • To attain 5% of the storytelling market, within 2 years; • Capture at least 80% of the digital storytelling market at the end of the 2 year period; • To have copyrighted Pip’s own work by the end of the first year; • To have gained use of the software rights before the business begins; • The costs of the business set-up and maintenance are kept within budget (+/- 5%) within the first 2 years of set-up (and/or until break-even point).

… Marketing Objectives • Create awareness of ‘Chameleon E-stories’ in 90% of business & consumer markets during the first year; • Create interest within 50% of the business market & 20% of the personal market by the end of the 2 year period; • Obtain preference over competitors for 50% of the business market & 10% of the personal market, by the end of the 2 year period; • Obtain trial among 20% of business market & 5-10% of the personal market within the 2 year period;

…Marketing Objectives • Develop a customer loyal base through re-purchase, in 5% of each target market by the end of the 2 year period; • To develop an interactive website by the end of the first 6 months of operations.

Summary • Outlined is the marketing plan for Pip’s Digital Storytelling business to go online for the first 2 years of business: • Main strength: highly knowledgeable about digital storytelling; • Main weakness: limited financial resources, and lack of brand name • Opportunity: first-mover advantage • Threat: relatively unknown product form; requires software usage rights • Main competitor: Storyworks – although they offer a slightly different service

…Summary • Segmentation analysis: Personal & Business markets: • Target market: Personal: Tech-inept; Business: HR manager of corporate organisations. • Limited by lack of human and financial resources (such as inability to target all potential business & consumer markets as Pip has no employees/lack of resources) • Business & marketing objectives - emphasis on developing interest in product category, and developing brand awareness.

THE END!!! Any questions?

MARK 404 Internet Strategy