Focus and Differentiation
Rule The Air Campaign- replaces slogans "Can you hear me now?" and wireless logo reflecting Verizon's goal for new technologies, gadgets, and domestic and global expansion.
There are different methods that company's can apply to stay on top of competition and continue to make or increase profits. According to Michael Porter's three generic strategies, Verizon follows mainly two of the strategies--focus and differentiation--to have competitive advantage over other communication companies.
"We'd like to own the rights to distribute any piece of content, an example of that would be, we will pay for the rights to distribute it, then package it, and bundle it and market it to people...we do not want to be gatekeepers."- Chairman and CEO Ivan Seidenberg on Charlie Rose interview.
Verizon focuses on communication segments from domestic lines, wireless, business, and global lines. Verizon does not want to focus in creating their own shows, writing their own games, or making movies. It does not create media and claim it; instead their focus is in how to deliver such information/media to people and also to create the right applications to make this information easily accessible.
Verizon is unlike companies like T-Mobile, Nextel, Sprint, cable and internet companies, who focus on a certain segment of communication. Instead, Verizon follows the differentiation strategy as it stands out from all other communication companies providing diverse products and services in all areas of communication ranging from vast networks, 3G-networks, high-speed internet, undersea cable technology (connecting countries globally), wireless providers, fiber-optic communications, high-definition channels, and telphone and TV services and products. Verizon even differentiates itself in customer service by tending to multi-cultural communities and several languages. There are employees in multiple departments that are able to provide customer support in six different languages which allows Verizon to reach more customers and mainter customer relationships.
Another factor that also adds to Verizon's competitive edge is that their products and services are known for better quality and efficiency; therefore, their prices do not have to be based on the lowest cost possible, instead prices are set relative to their value but competition prices are also considered.
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