Marketing Strategy for Software as a Service Companies within the Logistics Vertical Software Niche : A multiple case study

University essay from Blekinge Tekniska Högskola/Institutionen för industriell ekonomi; Blekinge Tekniska Högskola/Institutionen för industriell ekonomi

Abstract: BackgroundUtilizing the Software as a Service (SaaS) business model is a distinct trend for marketing softwarevia the Internet. It allows software suppliers to expand their market globally and to extend theiroffering to customers by simplifying their software procurements and ownerships. The trend has beenongoing for some time concerning horizontal software niches and now intensifies for vertical niches.Logistics is such an examples of a vertical software niche. ObjectivesThis thesis aims to investigate the utilized marketing strategies for companies using a Software as aService business model within the logistics niche. The purpose of this thesis is to deepen theknowledge about how to market a vertical Software as a Service solution within the logistics domain. MethodologyAn explorative research method in the form of a multiple case study is used. Three companies aresampled using a theoretical sampling approach. SaaS ideally requires less people contact and themarketing materials are integrated in the published SaaS on the respective companies’ web pages.Data publicly available on the Internet is collected and used to investigate the utilized marketingstrategies. FindingsThe identified marketing strategies are categorized according to an eight-element model utilized inearlier studies. The eight elements are product, price, place, promotion, people, process, productivity& quality, and physical environment. The categorization does help to guide during data collections anddata analysis. The last element physical environment is confirmed to be not relevant since the requiredphysical material are chosen and decided by customers themselves. ConclusionsThe marketing strategies within this niche is at large consistent with earlier findings. One of the newlyfindings is that the sample companies choose one of SaaS strong points that is most suitable to theiroffering solution and emphasize it in their marketing strategies. Here are easiness, scalability andflexibility. Some main deviations however exist. The sample companies do not provide easilyavailable trial accounts. They instead offer manned online demonstrations. The market is also notfound to be as global as the business model enables. The reason of being that is the fact that theproducts/services are too dependent on the integrations to local-market software solutions. Recommendations for future researchA similar study with a larger sample may strengthen the findings. Performing interviews in addition toonline data collection may extend more information about post customer contact marketing strategiesas well as reasons behind the selected strategies.

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