Blackberry Case Study

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Team Phailure
Team Phailure
Dominant manufacturer of Smartphone devices
Stand-alone titan in the enterprise market
Innovative qwerty keyboard
American Government is the biggest customer
Team Phailure
#1 Growing company in Fortune Magazine’s Top
100 growing companies worldwide.
Over 65 million Blackberry Smartphone sales
74% of the business Smartphone market.
Three year average earnings-per-share growth is
84%
Annualized growth in a three year period is 77%
The shares have a annualized return of 45%
Team Phailure
Team Phailure
Apple’s iPhone is slowly becoming more
dominant in the Smartphone market
R.I.M. is too focused in the enterprise market.
Team Phailure
iPhone’s popularity has increased rapidly
Blackberry’s popularity has increased steadily
Team Phailure
Current stage - midpoint of the growth stage.
Next stage - maturity stage.
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Unique advertising
Easy to use interface
Long and rechargeable battery life
Accessories and applications widely available
Big reputation in the Smartphone market
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Screen size
The applications and additions have to be
downloaded from a third party
Not youth oriented
Team Phailure
The Expansion of Apple posed a threat towards
R.I.M.s sales, as well as the sales of
Any other competitors that are in the North
American Smartphone market.
Market Share 2008
Market Share 2009
RIM 56%
RIM 52%
Apple 7%
Apple 23%
Other 37%
Other 25%
Team Phailure
Come out with a new innovating Smartphone
which could make other Smartphone’s obsolete
Partner with other companies to improve the
current Blackberries
Increase sales with GenX generation, and still
keep sales in the business world.
Strengthen global market
Team Phailure
Other companies such as Apple, making their
Smartphones more affordable
More companies entering the Smartphone
market, and taking sales.
An economic recession
Technologies with patents and restrictions
which make other Smartphone easier to use.
Newer technology
Team Phailure
R.I.M. Target and Consumer market
Consumer market
Uses the device for play and work
A Camera for video’s and pictures
Music
Touch screen
Wi-fi
GPS
Target Market
People without a Smartphone
Loyal customers to Blackberry
Anyone who needs a handheld
device, to stay up to date with
anything that is happening.
Team Phailure
The age groups using iPhones
15-24
25-34
35-49
50+
Gender Ratio which uses
iPhones
Males
Female
Team Phailure
Create a new innovative Blackberry that caters
to the youth culture
Create a merger with Apple and dominate the
entire market driving out any other competitors
Improve older blackberries and driving out the
apple iPhone away from the smart phone
industry and make them stay in the music
business.
Team Phailure
Team Phailure
Create a new innovative Blackberry that caters to the
youth culture
Pros
It is easy to figure out what a
teen wants out of a phone.
Cons
This may take away from the
business side of their smart
phones.
More sales from a lower price.
It give apple an opportunity to
take over the business side.
Team Phailure
Create a merger with Apple and dominate the entire
market driving out any other competitors
Pros
There would be no threat of
competitors
Cons
The revenue of the business
would be shared between the
new company.
No threat of losing customers.
The new entity could try to buy
out the partner and try to get
rid of RIM.
Team Phailure
Improve older blackberries and driving out the apple
iPhone away from the smart phone industry and make
them stay in the music business.
Pros
Cons
They don’t have to create a new
black berry.
Breaking Apples customers
loyalty.
They can upgrade the one they
have by improving it with teen
friendly applications such as
Facebook and Twitter.
Try to create additions which
would make an iPhone
obsolete.
Team Phailure
Product
A new Blackberry which would be perfected for the
youth culture with youth friendly applications.
Price
A lower price than the original Blackberry’s so that
the youth is able to afford them.
Place
Anywhere a teen who wants a new Smartphone
lives.
Promotion
Casual commercials and ads, on TV and online,
would catch the youth quickly.
Team Phailure
To create a new innovative Smartphone that
caters to the youth culture. So that there is the
older Blackberries which are for the business
world, as the newer Blackberries are for the.
This would result in the best position for
beating Apple in the Smartphone market, while
containing the share of revenue in the business
side of the Smartphone market.
Team Phailure
How staff at Apple only know about 10 words.
Team Phailure
Market Watch
http://www.marketwatch,com/story/research-in-motion-skids-on-disappointing-forecast-2
Google Trends
http://www.google.com/intl/en/trends/about.html
Youtube
http://www.youtube.com/watch?v=Nx7v815bYUw
Money Central
http://articles.moneycentral.msn.com/Investing/Extra/BlackBerryVsiPhoneWhoWins.aspx
Wikipedia
http://www.wikinvest.com/stock/Research_in_Motion_%28RIMM%29#Target_market:_c
onsumer.2C_enterprise.3F
Apple Insider
http://www.appleinsider.com/articles/07/06/06/apple_att_neophytes_to_define_iphone_au
dience_report.html
Team Phailure
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