Information Technology

Orange Orange came of age in 1996 with a flotation on the stock market which valued the company at 2.45bn. Econometric modelling has shown that above-the-line marketing contributed over 300m to this flotation price.

Orange

Orange came of age in 1996 with a flotation on the stock market which valued the company at 2.45bn.

Econometric modelling has shown that above-the-line marketing contributed over 300m to this flotation price.

Having built on perceptions of the company as the consumer champion, Orange now appears to lead the competition in terms of customer service and in offering fair and reasonable prices.

At the beginning of 1996, following an unsuccessful court action by Vodafone over comparative price claims, Cellnet and Vodafone introduced per-second billing and inclusive minutes.

Awareness of the brand stands at 86 per cent, despite Orange’s share of voice dropping as competitive spend significantly increased.

Fact box

Although Orange lacked any significant new messages in 1996, its subscriber base more than doubled to over 785,000 and market share increased from seven per cent at the end of 1995 to 11.5 per cent by the end of 1996.

Toshiba

The strength of Toshiba has been achieved by a consistent marketing strategy that set out to establish the first real brand in the portable PC market.

Its positioning as the ultimate name in portable PCs has focused on key areas such as product innovation, its range and value for money. Toshiba reckons to be first choice among IT managers; but it was also important to broaden the appeal of the brand beyond this. The move to TV in 1996 was, therefore, a direct response to the need to compete with companies such as IBM and Compaq who both advertise on TV.

A strong visual identity, based around the packshot, conveys specific product features; this imagery has been followed through in direct mail and other below-the-line campaigns.

Fact box

Awareness following the new campaign rose to 61 per cent with good quality recall of key product statements. This was also achieved with significantly less media spend than the major competitors.The brand share figure of 38.2 per cent for the first half of 1996 showed growth for Toshiba increased by nearly seven per cent on 1995, with Toshiba selling six of the top ten portable PCs by volume.

Psion 3a/3c

The Psion Series 3 range and the new Siena are both targeted at the individual and corporate market consumer, who broadly fall into an ABC1, 25 to 55-year-old category. The Siena opens up a new market category for Psion and has been aimed at a so-far untapped sector of less committed users of electronic organising devices.

Psion supplies products to 1,697 stores and two major distributors UK wide; in 1996 a new national Business Centre Network was established to help provide additional focus at point of sale and to benefit from co-opted advertising and marketing activity.

Advertising communications are designed to increase store traffic and build awareness of Psion and its benefits. The advertising schedules use premium spots in many weekend broadsheets, as well as quality business and fashion monthlies. An outdoor campaign also proved an effective tool in building brand recognition. PR activity focuses on editorial coverage, product placements and exhibitions such as Live97, the consumer electronic show.

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Group turnover has risen by 35 per cent and gross margins increased by 41 per cent.

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