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1、CASE STUDY: Hidden IrelandHidden Ireland was created in 1987 to enable visitors a short or long stay in private heritagehouses that are in many different parts of Ireland; by 1999 its members had grown to 43, each ofwhom owns a house of architectural and historical importance. The members can benefi
2、t frombeing included in an overall marketing strategy, a central booking facility and as a lobby to theGovernment; they also benefit from the knowledge base generated by Hidden Ireland regarding architectural conservation, and environmental restoration, specifically in relation to historic gardens.H
3、idden Ireland is now a limited company and has recently developed this market by allowing selfcateringaccommodation to join the network of accommodation; every place uses the history,heritage and possibly natural assets as cornerstones of their marketing strategy; although the houses in the Hidden I
4、reland network vary in size, most of them are set in estates or parklands with their own unique ecosystems. In some cases, for example, Bantry House Co. Cork, the owners have been the recipients of environmental awards and financial aid from Bord Failte (Irelands National Tourist Board) to restore t
5、he architectural and environmental heritage of the houses and their surroundings.Hidden Ireland has established formal relations with Bord Failte and has links with Europe of the Traditions, a European network of heritage houses that it helped to establish.The rise of the Carphone Warehouse Company
6、has been one of the classic UK business success stories of the late 20th century. It has led to its founder, Charles Dunstone, being a much celebrated and carefully studied entrepreneurial role model. In the 21st century, however, the business faces a much more competitive and challenging business e
7、nvironment and it will be fascinating to see how the company performs in the next few years.The business was founded in 1989 by Charles Dunstone and his partner David.Ross.From a small mobile-phone shop on Londons Marylebone Road, they created a business that will turn over around 4 billion in 2007.
8、Dunstone saw that people would want to make telephone calls away from the home phone or public telephone box, and set up his business to be differentiated in the market, and create real value for both customers and his staff. He set up his company with a clear set of aims and objectives, and 5key ru
9、les that would drive the company forward.1. “If we dont look after the customer.somebody else will.2. Nothing is gained by winning an argument, but losing a customer.3. Always deliver what we promise. If in doubt, under promise and over-deliver.4. Always treat customers as we ourselves would like to
10、 be treated.5. The reputation of the company is in the hands of every individual.” (Charles Dunstone)These fundamental rules showed that he had a customer obsession, and he wanted his staff to be able to serve customers in a way which competitors would find impossible or at least very difficult,to f
11、ollow. The mission statement he developed supports this approach. “Our mission is to become the store people unquestionably visit when they have need for mobilecommunication equipment”.(Charles Dunstone)Essentially he wanted to develop a clear proposition in an existing market. This proposition was
12、based on the expertise and impartiality of the advice given by his trained staff in his high street shops. He would stock products from all of the major network providers, and his staff would provide advice to each individual customer on the best product and payment tariff for them, not forthe staff
13、 of Carphone Warehouse.By developing key relationships with his suppliers (the mobile phone network suppliers), a stronginternal marketing approach with his staff (using more training than competitors, and recruitingyoung people and promoting them based on merit), and developing very clear customer
14、warrantiesand a “total freedom guarantee”, he developed loyalty and trust with all of the key stakeholders.Delighted customers told friends, and customer numbers grew, and revenues rose. He became amulti-millionaire at a young age. Phones became smaller, slimmer, and fitted into the pocket, not the
15、car. Far from being ashamed of the name Carphone Warehouse, Dunstone even used its strong brand recognition to provide a formidable obstacle to competitors in the market. The company expanded into Europe and profits soared.In the last 5 years the market has matured, many more competitors have tried
16、to fill the positioningspace of Carphone Warehouse, and customers are demanding much better deals for them. Thepressure on margins has led to network providers wanting to “own” customers themselves by eithersetting up their own retailing operations, or driving very tough deals with intermediaries su
17、ch asCarphone Warehouse.Events in 2006-7 showed how volatile the market was. Charles Dunstone acquired AOL UK for370 million, and this gave them one of the UKs biggest Internet service providers. This is crucialin an area when broadband, the ability to bundle mobile technology and its services, is t
18、he key tokeeping customers loyal. Carphone Warehouse (CPW) has entered into the landline market with itsTalk Talk service. Dunstone has formed various strategic alliances, including one with Sir RichardBranson at Virgin Mobile.Vodaphone, the worlds biggest mobile network operator, pulled out of its
19、relationship withCarphone Warehouse, who is the UKs leading independent retailer of phones. The relationshipwith Vodaphone had been a key factor in the growth and success of CPW. How could CPW claimto be offering impartial, independent advice now?Vodaphone had entered into an agreement with a major
20、rival of CPWs, Phones 4u, which would lead to customer defections from CPW to Phones 4u. Other network providers such as Orange threatened to quit its deal with CPW if it did not receive better margins.The early growth of CPW had been relatively untroubled, but there was now massive competition,and
21、incredible changes, both business and technical, taking place in the market. Investors becameconcerned about the future and the share price of CPW fell.The central tension between the network providers and CPW is customer “churn”. As a retailerCPW does not have to worry about the eventual profitabil
22、ity of the customers they sign up, as theyreceive money when a customer upgrades a handset, switches to a new tariff on a different network,or “churns” as it is known in the trade.For the mobile network companies, the key emphasis is on long term revenues from the bestcustomers, so they are really k
23、een to have their own retail outlets to “own” their customers ratherthan use an intermediary who does not really care about them, like CPW.In this environment Dunstone is attempting to turn CPW from a mobile phone retailer, into anInternet services provider. This runs the risk of losing his big netw
24、ork customers such as Orange,O2, and T- Mobile who increasingly see CPW as a dangerous competitor, rather than a friendlypartner.Despite this, Dunstone remains confident that CPW can overcome its problems and survive, andeven thrive, in the changed world of mobile telecommunications. New devices suc
25、h as i-Pods andincreased functionality of the technology provide customers with an almost limitless choice ofproducts and services, but it is much harder to be different. Most developed markets are saturated interms of demand, whilst developing markets such as India and China are fought over hard.Aggressive selling via the company web site is crucial now, as well as the high street presence.The future is harder to predict, but most people believe in the astute business brain of CharlesDunstone.