Case Write Up - Precise

Overview:

Background: Precise is developing performance management and availability software serving firms with a complex network of hardware and software components.

Key IT Structure: Web/Network Application Database Storage

Market Dynamics: The leading seller of database management systems is Oracle followed by BMC and Quest

Problem Area: New Product development

Formulating: Product launch calendar go to market strategy competitions management Channel strategy Sales force Strategy

1. Market Scanning

a. Growth Rate

i. The market is experiencing a very high growth rate: expected to double in 2003

b. Product Types

ii. The market is fragmented and the products are differentiated in two ways:

1. In terms of the underlying resources and platforms with which they were associated

2. In terms of functionality they offered. 4 groups

a. Monitoring

b. Detection

c. Improvement

d. Analysis

c. Chanel Strategy

iii. Direct Sales and indirect sales (value added resellers, system integrators, original equipment manufacturer agreements)

d. Go to market Timelines

iv. Long sales cycle: 12 months

e. Pricing Strategy

v. Pricing structure is a one-time license fee and recurring revenue from annual maintenance and service contracts and additional revenues from product upgrades

f. Competitors

vi. Oracle, BMC and Quest

2. Precise product portfolio

g. Precise/SQL

vii. Software product managing the performance of applications utilizing Oracle Databases: targeted at users of proprietarty applications

h. Interpoint

viii. Software product monitoring the database efficiency of large Enterprise Resource Planning (ERP) applications

i. Precise/Pulse

ix. Software product continuously monitoring the underlying database

j. Precise/Presto...