Research Paper On Sonic

Entertainmentnow.com is an international Internet retail Website offering an array of books, music, videos, DVDs, toys, and small electronics. The company has historically marketed and sold to individual consumers, but has recently expanded their market to serve corporate and institutional customers as well. The company purchases products from vendors, holds the products in inventory, and then fulfills customer orders directly. This business model is similar to Amazon.com’s, making them one of the company’s main competitors.

On average, subscribers purchased 19.9 CDs annually, mostly through Sonik’s website. Annual subscriber retention rate was 90 percent. Sonik accumulated CDs from various suppliers and fulfilled its own orders. Annual fixed costs of fulfillment were $400,000; shipments averaged 3.7 CDs per package. Annual marketing expenses were $230,000; Sonik spent 90 percent on acquiring new subscribers and 5 percent on subscriber retention. Sonik’s cost of capital was 12 percent. It was considering three growth options: a. Continue the Niche Strategy: Sonik believed it could acquire 20,000-30,000 new customers per annum for the next several years without major new investment. Sonik also believed that spending $0.5 million per annum would increase customer retention to 95 percent. b. Mass-Market Strategy: Abandon the subscription model, add many other music genres, and build a mass-market brand.

Sony must reposition its “growth driven” and “stable profit generator” sectors in their markets to increase its audience, achieve sales growth, profit expansion and maximization, and capture market shares.

E-Sonic is an online music downloadable and streaming company providing consumers with a user friendly interface. E-Sonic’s industry is classified by North American Industry Classification System (NAICS) and is part of the two different codes listed as 334614 and 512220. The first code 334614 is defined as, “Providing mass duplication of recorded products; Software and other Prerecorded Compact Disc, Tape, and Record Reproducing”. This U.S. industry comprises establishments primarily engaged in mass reproducing computer software or other prerecorded audio and video material on magnetic or optical media, such as CD-ROMs, DVDs, tapes, or cartridges. These establishments do not generally develop any software or produce any audio or video content. This industry includes establishments that mass reproduce game cartridges. (www.naics.com) This code is given in reference to E-Sonic’s producing of music on to multiple forms of products that include DVD, tapes, and cartridges. The second code 512220 is referring releasing, Promoting, and Distributing sound recordings, “Integrated Record Production/Distribution”. This industry

Sonic the Hedgehog can be a podium video recording game put together by Sonic Group in addition to promulgated by simply Sega for that Sega Genesis gaming console. This game was already released throughout The usa, Europe as well as Questionnaire with Summer 3, 1991 and in Japan with This summer xxvi of their year. The idea celebrities Sonic the Hedgehog within a mission for licking Dr. Robotnik, a great wicked researchers who has imprisoned wildlife inside robots as well as compromised the actual marvelous Mayhem Emeralds. Sonic the Hedgehog‍ game play will involve collecting wedding rings as a type of health and an easy handle system, with bouncing along with fighting handled aside i switch.

Pricing is one of the important elements in within the marketing industry, it is also among one of the key elements of the marketing mix. This is a report briefing about a case study about Radiohead, an English rock band from Abingdon in Oxfordshire. The aim of this briefing report is to discuss, using the case study as a source, about pricing strategy in the music industry, which includes defining and talking about the online value chain of Radiohead, to compare online value chain and the traditional value chain, to critically analyze the online value chain’s impact on Radiohead pricing strategy and its implications for customers. Furthermore, the report will talk about ethical access to free online content and also will give a recommendation of how Radiohead’s next album pricing strategy would be.

4. With the major shifts on how music is being distributed in the current entertainment industry, E-Sonic’s long term outlook looks promising. We will be able to touch a customer base that we have not been able to before. The current long-term outlook will continue successfully as long as we continue to adapt with change.

Online commerce was introduced to consumers in the mid-1990’s, and in the years since, it has grown exponentially. It started out virtually nonexistent and has become a multi-billion dollar industry. Nearly every retail sector has entered online commerce; clothing, electronics, home, health and grooming items, even food and groceries are starting to gain traction online. Online commerce sites rival traditional brick and mortar stores such as Walmart and Target, as well as other big-box stores. As online retailers such as Amazon continue to expand, many brick and mortar stores have been making their way online, indicative of an increasing movement towards online commerce. With more than 80% of the online population having made an online

Executive Summary: This strategic analysis focuses on many aspects needed for Sonic Records to build a competitive and successful online music store. E-sonic, subsidiary of Sonic Records was created with the vision of becoming the world’s leading online music store. This strategic analysis contains company objectives, strengths, weaknesses, functionality, potential challenges and insight on what makes competitors successful. It also contains trends, projections, and opportunities within a fast growing global market.

Sales promotion consist of a collection of incentive tools designed to stimulate quicker or great purchase of particular products or services by consumers or the trade.  Consumer promotions are samples, coupons, cash refunds, prices off, free trials, etc.  Trade promotions are prices off, advertising and display allowances, and free goods.  Since Sonic will be entering into an already established market of high brand similarity, their main focus will be to attract brand switchers because the targeted market already owns some type of PDA.  Sonic should not continue consumer and trade promotions after the new products have been in the market for six months because sales promotions in markets of high brand similarity can produce a high sales response in the short run but little permanent gain in brand preference over the long term.

It is the firm belief of this analysis team that the most effective competitive strategy for Sonic to pursue in the release of its Sonic 1000 is a focus-oriented strategy. Textbook author Kevin Keller describes the strategy as one wherein “the business focuses on one or more narrow market segments” (Kotler & Keller, 2009). In the use of a focus strategy, “the firm gets to know these segments intimately and pursues either cost leadership or differentiation

Our first alternative states to have 401 Games add online sales to their website. 14 of the competitors already have online sales as shown in SWOT 1. This would be a major opportunity because online sales are increasing in this industry too (SWOT 1). 401 Games can still offer very competitive prices for their products offered online. Another big advantage of this option is that it can boost sales tremendously. When 401 Games doesn’t have a game in stock, they recommend the customer go to a competitor to buy it, with online sales, 401 Games can refer their customer to their website and have them order it online. Then, the customer would get the game as the same great price and it would be shipped directly to the customer without the hassle of them having to come into the store again.

Spotify was started to provide commercial music streaming services with facilities to search and browse music as well as download. Spotify has various opportunities in increasing the size of the company to a wide area. There are also opportunities in creating interactive websites and providing the customers with extra games and offers. However, there are various challenges to meet these opportunities which may include investments and customer issues. There are two recommendations for Spotify, first is to develop a mobile application for smart phones and second is to create new offers along with online gaming. This will foster growth in the Spotify’s reputation in the market.

To be more specific, although it hurt the retailers, for the record companies the Internet is not necessarily threat in terms of cost structure. Manufacturing of CD and Manufacturing of CD booklet will be significantly reduced and distribution and sales, along with overhead and mailing costs will also decrease. Looking at the actions taken by the major record companies, some may survive and some may decline. BMG and Sony are the first movers to make vigorous efforts for the online market. BMG had invested $1 mill per year in to the World Wide Web by creating various websites even before the beginning of the online sales. With this BMG could attract the online customers beforehand. Also, Sony with its competitive downloadable music prices, digital kiosks and memory stick has been active to cope with the change occurred by the Internet. They signed agreements with other competition (BMG & Universal, Sony & Warner) and technology firms like Apple and Microsoft for more aggressive approach. Compared to these first movers, EMI was slow in reacting to the change.

With the ever changing domestic and global economy with uncertainty of unrest within certain demographics, Best Western will need to review their market strategy to evolve to the ever changing world. Digital technology within the industry becomes a challenge as technology grows with customers needing to be educated on the different ways of utilizing the technology to enjoy Best Westerns product on