Tivo

Case:- TIVO

SANJAY KUMAR JHA

CASE ANALYSIS

TiVo’s Action Plan: What’s the strategy?

• Product: Bundle with DirecTV. Stop 14 hr. recording model

• Price: Reduce to $399. Monthly fee

• Place: Same channels. Salesmen education

• Promotion: ‘Lifestyle commercials’ and not product features

The Strategy

To the TV evaders and Busy people who wish to select the program they like to watch, TiVo is a digital device that offers what they like to watch and when they like to watch because it records the preferred programs automatically and replays them whenever required with superior digital technology

The Alternate Strategy

• Positioning: To the Couch Potatoes who never mastered VCR potential, TiVo is a digital device that maximizes their TV Experience because its superior digital technology allows skipping of TV commercials and pausing live TV!

• Product: Increase memory size. Improve features such as EPG/ Network Showcase/ Pause-FF-rewind

• Price: No Monthly Fee

• Place: Specialty consumer electronic stores, Direct selling, DRTV

• Promotion: Emphasize ‘pause live TV’; ‘Fast Forward’ functions, Skip Commercials

An alternative Strategy 2

• Positioning: To the Techno Freaks, TiVo is a digital video recorder that gives better and automatic recording without tapes because its superior digital technology allows recording of programs on the hard disk

• Product: Give maximum memory size. May be removable disks. Improve features such as EPG/ Network Showcase/ Pause-FF-rewind

• Price: No Monthly Fee

• Place: Specialty consumer electronic stores

• Promotion: Emphasize better video recording functions, superior breakthrough technology.

Possible Approach

• Personal TV approach too early – demanding change of habits, skepticism, privacy concerns, broadcasters & advertisers...