Meeting customers' needs in growth markets - online gaming
A BT case study

Page 0: Introduction

Modern communications are continually being transformed by new products and technologies. Today most people use mobile phones, and business travellers communicate online using Wi-Fi technology although the Internet, and its associated technologies, is a very recent development. This Case Study examines how the development of the World Wide Web (WWW) and broadband technology has had such a dramatic...
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Page 1: Development of broadband markets

Companies like BT that build communication networks must also develop their markets in order to earn a return on their investment. BT is a business which must generate revenue and make a profit in order to satisfy the shareholders. The same principle applies to other public limited companies. Initially broadband was developed for business customers. Businesses need to communicate vast...
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Page 2: Segmentation

It is important to recognise that an overall market will usually consist of discrete segments made up of consumers with different needs. Two obvious segments for broadband are business and household. Both can be broken down into sub-components where relevant. Household customers can be defined by age or income in addition to the sort of use they make of the web: educational - research...
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Page 3: Competition and growth

The figures below show the forecast growth of broadband and associated factors in the UK gaming market: It is clear from the chart that there will be a substantial growth in the use of online consoles (1,300%), and this will attract many competitors to the market. The UK is the most competitive broadband market in the world. There are more than 150 ADSL providers - and cable companies have...
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Page 4: Marketing Mix

When marketing products, firms need to create a successful mix of: the right product sold at the right price in the right place using the most suitable promotion. Seizing the opportunity of broadband has involved BT blending these four elements effectively. Product Online console gaming is a new phenomenon which is set for huge growth in the UK market. The mass market take-up of...
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Page 5: Conclusion

BT Group quickly identified broadband as an exciting new opportunity. BT Wholesale addressed the network infrastructure requirements whilst BT Retail has identified segments of the consumer market which are key to driving broadband sales. The speed at which broadband operates provides lots of new benefits and applications. By tailoring the marketing mix to appeal to different consumer...
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