Meteor Solutions: Measuring the Value of Social Media Marketing SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Sales & Marketing
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Meteor Solutions: Measuring the Value of Social Media Marketing
In March 2009, Steve Fowler, vice president of strategy and client service at full-service advertising agency Ayzenberg, had just completed what he considered to be one of the most innovative campaigns he had ever handled. Capcom, a leader in the video gaming industry, had just launched Resident EvilA? 5 (RE5), the latest release of one of the industry's most valuable game franchises. RE5, a powerful asset with a passionate fan base, had warranted the use of an online viral, or word-of-mouth (WOM), campaign for its worldwide game launch. Although the creative work and appropriate media for the RE5 launch had been meticulously planned, Fowler was also interested in measuring the effectiveness of the campaign to better serve his client. In the past, measuring WOM was practically impossible. However, a software company named Meteor Solutions had found a way to do exactly that. Fowler and his team had worked with Meteor to execute several campaigns for other clients, but he had never applied Meteor tools on such a large scale. Fowler knew Capcom would want to hear specific WOM figures. What was the return on investment for the RE5 campaign and the implications for future campaigns? Had the Meteor tools provided comprehensive and actionable information, or was more work needed before these solutions could be widely used in advertising?
Authors :: Mark Jeffery, Zev Kleinhaus, Twinkle Ling, Itaru Matsuyama
Swot Analysis of "Meteor Solutions: Measuring the Value of Social Media Marketing" written by Mark Jeffery, Zev Kleinhaus, Twinkle Ling, Itaru Matsuyama includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Meteor Re5 facing as an external strategic factors. Some of the topics covered in Meteor Solutions: Measuring the Value of Social Media Marketing case study are - Strategic Management Strategies, Social platforms and Sales & Marketing.
Some of the macro environment factors that can be used to understand the Meteor Solutions: Measuring the Value of Social Media Marketing casestudy better are - – increasing energy prices, increasing transportation and logistics costs, challanges to central banks by blockchain based private currencies, cloud computing is disrupting traditional business models, central banks are concerned over increasing inflation, talent flight as more people leaving formal jobs, geopolitical disruptions,
competitive advantages are harder to sustain because of technology dispersion, digital marketing is dominated by two big players Facebook and Google, etc
Introduction to SWOT Analysis of Meteor Solutions: Measuring the Value of Social Media Marketing
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Meteor Solutions: Measuring the Value of Social Media Marketing case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Meteor Re5, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Meteor Re5 operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of Meteor Solutions: Measuring the Value of Social Media Marketing can be done for the following purposes –
1. Strategic planning using facts provided in Meteor Solutions: Measuring the Value of Social Media Marketing case study
2. Improving business portfolio management of Meteor Re5
3. Assessing feasibility of the new initiative in Sales & Marketing field.
4. Making a Sales & Marketing topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Meteor Re5
Strengths Meteor Solutions: Measuring the Value of Social Media Marketing | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Meteor Re5 in Meteor Solutions: Measuring the Value of Social Media Marketing Harvard Business Review case study are -
High switching costs
– The high switching costs that Meteor Re5 has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.
Successful track record of launching new products
– Meteor Re5 has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Meteor Re5 has effective processes in place that helps in exploring new product needs, doing quick pilot testing, and then launching the products quickly using its extensive distribution network.
Ability to recruit top talent
– Meteor Re5 is one of the leading recruiters in the industry. Managers in the Meteor Solutions: Measuring the Value of Social Media Marketing are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Diverse revenue streams
– Meteor Re5 is present in almost all the verticals within the industry. This has provided firm in Meteor Solutions: Measuring the Value of Social Media Marketing case study a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.
Digital Transformation in Sales & Marketing segment
- digital transformation varies from industry to industry. For Meteor Re5 digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Meteor Re5 has successfully integrated the four key components of digital transformation – digital integration in processes, digital integration in marketing and customer relationship management, digital integration into the value chain, and using technology to explore new products and market opportunities.
Organizational Resilience of Meteor Re5
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Meteor Re5 does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Sustainable margins compare to other players in Sales & Marketing industry
– Meteor Solutions: Measuring the Value of Social Media Marketing firm has clearly differentiated products in the market place. This has enabled Meteor Re5 to fetch slight price premium compare to the competitors in the Sales & Marketing industry. The sustainable margins have also helped Meteor Re5 to invest into research and development (R&D) and innovation.
Analytics focus
– Meteor Re5 is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Mark Jeffery, Zev Kleinhaus, Twinkle Ling, Itaru Matsuyama can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Innovation driven organization
– Meteor Re5 is one of the most innovative firm in sector. Manager in Meteor Solutions: Measuring the Value of Social Media Marketing Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Strong track record of project management
– Meteor Re5 is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Superior customer experience
– The customer experience strategy of Meteor Re5 in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Operational resilience
– The operational resilience strategy in the Meteor Solutions: Measuring the Value of Social Media Marketing Harvard Business Review case study comprises – understanding the underlying the factors in the industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Weaknesses Meteor Solutions: Measuring the Value of Social Media Marketing | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Meteor Solutions: Measuring the Value of Social Media Marketing are -
Increasing silos among functional specialists
– The organizational structure of Meteor Re5 is dominated by functional specialists. It is not different from other players in the Sales & Marketing segment. Meteor Re5 needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Meteor Re5 to focus more on services rather than just following the product oriented approach.
Skills based hiring
– The stress on hiring functional specialists at Meteor Re5 has created an environment where the organization is dominated by functional specialists rather than management generalist. This has resulted into product oriented approach rather than marketing oriented approach or consumers oriented approach.
Slow decision making process
– As mentioned earlier in the report, Meteor Re5 has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Meteor Re5 even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
Need for greater diversity
– Meteor Re5 has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Meteor Re5 is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Meteor Solutions: Measuring the Value of Social Media Marketing can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
High cash cycle compare to competitors
Meteor Re5 has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
Capital Spending Reduction
– Even during the low interest decade, Meteor Re5 has not been able to do capital spending to the tune of the competition. This has resulted into fewer innovations and company facing stiff competition from both existing competitors and new entrants who are disrupting the industry using digital technology.
Lack of clear differentiation of Meteor Re5 products
– To increase the profitability and margins on the products, Meteor Re5 needs to provide more differentiated products than what it is currently offering in the marketplace.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Meteor Solutions: Measuring the Value of Social Media Marketing, in the dynamic environment Meteor Re5 has struggled to respond to the nimble upstart competition. Meteor Re5 has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
No frontier risks strategy
– After analyzing the HBR case study Meteor Solutions: Measuring the Value of Social Media Marketing, it seems that company is thinking about the frontier risks that can impact Sales & Marketing strategy. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
Products dominated business model
– Even though Meteor Re5 has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - Meteor Solutions: Measuring the Value of Social Media Marketing should strive to include more intangible value offerings along with its core products and services.
Opportunities Meteor Solutions: Measuring the Value of Social Media Marketing | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities highlighted in the Harvard Business Review case study Meteor Solutions: Measuring the Value of Social Media Marketing are -
Learning at scale
– Online learning technologies has now opened space for Meteor Re5 to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Meteor Re5 can use these opportunities to build new business models that can help the communities that Meteor Re5 operates in. Secondly it can use opportunities from government spending in Sales & Marketing sector.
Buying journey improvements
– Meteor Re5 can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Meteor Solutions: Measuring the Value of Social Media Marketing suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Meteor Re5 can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Developing new processes and practices
– Meteor Re5 can develop new processes and procedures in Sales & Marketing industry using technology such as automation using artificial intelligence, real time transportation and products tracking, 3D modeling for concept development and new products pilot testing etc.
Using analytics as competitive advantage
– Meteor Re5 has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Meteor Solutions: Measuring the Value of Social Media Marketing - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Meteor Re5 to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Meteor Re5 can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help, as suggested in case study, Meteor Solutions: Measuring the Value of Social Media Marketing, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Manufacturing automation
– Meteor Re5 can use the latest technology developments to improve its manufacturing and designing process in Sales & Marketing segment. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.
Low interest rates
– Even though inflation is raising its head in most developed economies, Meteor Re5 can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Meteor Re5 in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Sales & Marketing segment, and it will provide faster access to the consumers.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Meteor Re5 in the consumer business. Now Meteor Re5 can target international markets with far fewer capital restrictions requirements than the existing system.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Sales & Marketing industry, but it has also influenced the consumer preferences. Meteor Re5 can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Leveraging digital technologies
– Meteor Re5 can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, etc.
Threats Meteor Solutions: Measuring the Value of Social Media Marketing External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Meteor Solutions: Measuring the Value of Social Media Marketing are -
Aging population
– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.
Easy access to finance
– Easy access to finance in Sales & Marketing field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Meteor Re5 can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Meteor Re5.
Technology acceleration in Forth Industrial Revolution
– Meteor Re5 has witnessed rapid integration of technology during Covid-19 in the Sales & Marketing industry. As one of the leading players in the industry, Meteor Re5 needs to keep up with the evolution of technology in the Sales & Marketing sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.
Increasing wage structure of Meteor Re5
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Meteor Re5.
High dependence on third party suppliers
– Meteor Re5 high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.
New competition
– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for Meteor Re5 in the Sales & Marketing sector and impact the bottomline of the organization.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Meteor Re5 with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Meteor Solutions: Measuring the Value of Social Media Marketing, Meteor Re5 may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Sales & Marketing .
Shortening product life cycle
– it is one of the major threat that Meteor Re5 is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Consumer confidence and its impact on Meteor Re5 demand
– There is a high probability of declining consumer confidence, given – high inflammation rate, rise of gig economy, lower job stability, increasing cost of living, higher interest rates, and aging demography. All the factors contribute to people saving higher rate of their income, resulting in lower consumer demand in the industry and other sectors.
Instability in the European markets
– European Union markets are facing three big challenges post Covid – expanded balance sheets, Brexit related business disruption, and aggressive Russia looking to distract the existing security mechanism. Meteor Re5 will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Meteor Re5 can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate prominent markets illustrated in HBR case study Meteor Solutions: Measuring the Value of Social Media Marketing .
Weighted SWOT Analysis of Meteor Solutions: Measuring the Value of Social Media Marketing Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study Meteor Solutions: Measuring the Value of Social Media Marketing needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants.
We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –
First stage for doing weighted SWOT analysis of the case study Meteor Solutions: Measuring the Value of Social Media Marketing is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.
Second stage for conducting weighted SWOT analysis of the Harvard case study Meteor Solutions: Measuring the Value of Social Media Marketing is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.
Third stage of constructing weighted SWOT analysis of Meteor Solutions: Measuring the Value of Social Media Marketing is to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that Meteor Re5 needs to make to build a sustainable competitive advantage.
