INVESTORSOFT

B2B Marketing

Group 3
Sidharth E001 Tirthankar Behera E008 Anshul Sharma E047 Sumeet Arora E006 Mudit Sarin E043 Anustup Sikdar E050

Case Summary
InvestorSoft an Edmonton based small software company is into building an automated software Mentioned Software provides automated professional and efficient way to manage Investor Relation Section of website President of the company Chris Bolivar facing few challenges to launch the product and gain maximum out of it Need to Map out Integrated Marketing Strategy for next 12 months Decisions to be made are : Which segments and what markets to target What services and prices to offer and how to promote the offerings

Q1. WHAT CUSTOMERS SHOULD INVESTORSOFT PURSUE WITH ITS NEW SERVICE? WHY?

Target Group Company Segmentation

Micro Cap Companies (MCC) 59% of companies listed in Canadian Stock Exchanges
Market Cap. Less than $50 million Usually lack an advanced investors relations programs (IRP) (CEO or

other senior officers double as Investor Relations Manager)

Small Cap Companies (SCC) 29% of Canadas publicly traded companies were considered Market Cap. - $50 million to $300 million Conscious of the need to manage IRP. Devote some time and money

Target Group Company Segmentation

Mid Cap Companies (MiCC)
8% of firms in the Canadian market.

Market Cap. $300 million to $1 billion

Capable of spending significant resources on high-quality investor relations. Credibility and reputation were important.

Blue Chip Companies (BCC)

7% of Canadas publicly traded companies Market Cap. Over $1 billion Led by a team of professional specialists commonly operating with the support of Investor Relations Consultants.

InvestorSoft Pros & Cons

Positives
Efficient and professional way to manage investor relations section Cost-effective, time-saving and technically superior to existing offerings (products and services) Enhancing companies stature among institutional brokers

In-house but lean software development team with capacity to enlarge staff on ad-hoc basis (lesser cost)
Negatives Unknown brand. No testimony or certificate of quality

Segment Comparison
MCC SCC

59%

Less than $50 million

$50 million to $300 million

29%

8%

$300 million to $1 billion

MiCC

BCC
Above $1billion

7%

Our Recommendation Sector Specific

Almost 60% of the market Opportunity to develop a brand

Less than $50 million

MCC

Low risk Volume to drive profit

Help to develop market share

Our Recommendation Location Specific

Distance between Edmonton & Calgary 300 km (approx.) Distance between Edmonton & Toronto 3500 km (approx.) Edmonton Canadian Time Zones 6. Time difference between Edmonton & Toronto 2 hours Time difference between Edmonton & Calgary 0 hour Toronto Preferred location: Calgary

Q2. WHAT ARE THE PROS AND CONS OF DISTRIBUTING THROUGH INTERMEDIARIES? DOES THIS MAKE SENSE FOR INVESTORSOFT? WHY OR WHY NOT?

Pros and Cons of Distributing through intermediaries

Pros InvestorSoft getting included in with total solution will gain value It Will Result in Higher volumes Cons Tie ups Require relationship building : Challenge for a new venture Difficult to convince such parties, huge emphasis on technical expertise

It will Save direct selling costs

Intermediaries will ask for a value deal

Difficult to create brand awareness(new venture) Less control over customer experience

Effort will be More streamlined and targeted Will save time as selling will be done by intermediaries

Does this make sense for InvestorSoft?

Distribution is driven through tie-ups with Web developers and investor relations consultants
Such tie-ups make business sense, since it can create a win-win

situation. Third parties may benefit from profit making opportunities and InvestorSoft would benefit from their existing client base

However Tie-ups with distributors might dilute the brand, thereby

going against the strategy

It would create an opening for the company to gain esteemed

clientele and acquire business from untapped market segments through distributor channels

Q3. WHAT PROMOTIONAL STRATEGY WOULD YOU RECOMMEND TO CHRIS BOLIVAR? BE SURE TO SPECIFY HOW MUCH YOU WOULD SPEND, ON WHAT, AND WHY?

Recommended Promotional Strategy

DO NOT GO BLITZ: Bag few companies and build credibility first then launch an extensive campaign
Direct Mail: 100 X $5 = $500
As the company is very new This strategy is only bound to work for small-cap companies which are looking for a value deal, Option can be tried for some companies

Print Advertisement : 3 X $750 + 2 X $1000 = $4250

Print Ad is required to spread awareness and hence is an important investment. 3 Small and 2 medium advertisements in the first year will provide a significant amount of awareness

Conference Exhibits : $0
Not suitable till InvestorSoft gain customer base and credibility in market

Industry Promotion : 10 X $150 + 20 X $150 = $4500

Can be used as it will provide a good medium to interact with companies and demonstrate the product , Should be used for all High Value and half of moderate Value

Personal Selling : 25 X $600 + 25 X $150 = $18750

The best and most effective strategy to close a sale, However it has to be limited to a certain limit (25 Recommended) to give more time to Virtual medium

Building Brand Recognition : $0

Not a good Idea right now as the company is yet to build credibility

Total Budget amount goes to $28000, $3000 above the Intended amount

Q4. HOW SHOULD INVESTORSOFT PRICE ITS SERVICE?

InvestorSoft Pricing Strategy

Differential Pricing

Economy pricing option at $295 per month for MCC (InvestorSoft Standard)
Premium pricing option at $595 per month for MiCC (InvestorSoft Advanced)

Optional Services (Pay-Per-Use Services)

Key Features like Stock Quote, Stock Chart, News Release: $99 per month Information requests, convenience features and others: $50 per month

THANK YOU