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B2b Marketing Case Analysis

This document summarizes a case analysis for B2B marketing by Siemens in the Chinese fire detection market. It outlines that China has high growth potential in this market. It then describes the segmented Chinese market and Siemens' opportunity to enter the large, untapped low-end M3 segment. It proposes that Siemens develop a new, lower-cost product under the Cerebus brand in China, train value-added partners for the M3 segment, and provide after-sales support to capture this opportunity. The recommendations include approving this plan, entering the M3 segment through installers, expanding the existing partner network, and increasing production capacity for projected demand.

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Kartik Mehrotra
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396 views6 pages

B2b Marketing Case Analysis

This document summarizes a case analysis for B2B marketing by Siemens in the Chinese fire detection market. It outlines that China has high growth potential in this market. It then describes the segmented Chinese market and Siemens' opportunity to enter the large, untapped low-end M3 segment. It proposes that Siemens develop a new, lower-cost product under the Cerebus brand in China, train value-added partners for the M3 segment, and provide after-sales support to capture this opportunity. The recommendations include approving this plan, entering the M3 segment through installers, expanding the existing partner network, and increasing production capacity for projected demand.

Uploaded by

Kartik Mehrotra
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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B2b Marketing case analysis

Submitted by :
Group 8
Antarleena Datta – P182A41
Deepanshu Kalra – P182A30
Kartik Mehrotra – P182A20
Neeraj Talele – P182B71
 Siemens AG,founded in 1856 has long history &pride itself with
quality and solidness
 Siemens Expanded its market essentially on the premise of
Technological ability and close relations with Large client base
 Siemens Building Technologies(BT) is a SBU of Siemens AG
Background managing in Building Automation and Fire Safety
 BT is additionally partitioned into five BU,Fire location item and
Analysis administrations is a part of one BU.
 Around 50 % of BT's Business are life cycle and other half is
through pure product business sold via value-added partners
(VAP)
 Siemens fire location has blend of pure product and life cycle
business among its distinctive item classifications.
 China has huge potential under this segment due to its high growth
rate and upcoming Olympic games
 Chinese fire detection and solution market are segmented into the
following three categories
Fire  M1-Premium segment
1. High tech and complex products with many features
Detection 2. End users(contractors) are decision makers
3. Being sold directly by Siemens or thru VAP & Distributors

Market in 4. Siemens is major player in this segment.


5. Comply International Certification

China
 M2-Middle segment
1. Fewer features than M1 segment Euro 48 M estimated value
2. Price is 30-40% lower than premium M1 Segment.
3. Comply International certification
4. End user and Installer both are decision makers with more
influence of Installer
5. MNCs with production unit in China.
 M3-Low end market segment
1. Largest Segment(Euro 130 M) with high growth rate.
2. Dominated by Local supplier with local products
3. Only comply to national Chinese standards
4. After sales service & AMC is not applicable in this segment
5. Installers are decision makers driven by price
Opportunity for
Siemens in Chinese
Market

 Issue of Intellectual property and


High turnaround of Staff.
 Creating VAP for M3 fragment
would be exorbitant and tedious.
 To develop reliable product within
cost and given time.
 Untapped M3 Segment by Siemens.
 High development rate of M3
Segment in BRIC nations and other
developing Markets.
Market Strategy in the Chinese
Market

Development of new During the time the


product under Siemens Development of new training of the VAP is
Cerebus Brand to be VAP for M3 in Tier 2 & underway, existing VAP
produced in China Tier 3 Cities. of M2 segment for M3
itself market can be utilized

Provide training to M3
Clear segmentation for
VAP and get After Sales service will
M2 and M3 market
specialized and be through Certified
through CerebusPro &
promoting support by service partners.
CerebusEco.
Siemens.
 The head of Fire safety BU, Matthias Rebellius should
give Carsten an approval to the proposed plan
promptly due to pressure from contenders and
immense open door in Chinese market
 Siemens ought to enter Chinese M3 market by sorting
out experimental marketing for installers
 Additionally, take existing VAP arrange course for
passage by value separation or price differentiation
and product differentiation
Recommendations
 After sales service through certified service will be
other differentiation
 Siemens ought to likewise create generation limit so
as to take care of the projected demand as
anticipated 2.5 Lacs in 2010
 In the meantime, Siemens ought to put resources into
creating VAPs in Tier 2 and Tier 3 Cities

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