Time Warner facilitate for a wide range of customer types with their products and services they offer. Their products and services include; HBO, Time inc, Tuner broadcasting system and warner brother entertainment. Within these services there’s a variety of subsidiaries like, sports illustrated magazine (Time inc). They really try to accommodate for as many consumers as possible, focusing on the range of their products/services. Warner Brothers being a subsidiary of Time warne,r really emphasises the fact of facilitating for arguable all customer types.
Online social media site Facebook, suggests Time Warner’s main customer type is between the ages of 25-34. Facebook. com (2012) Porter’s Typology When facilitating for customers groups Time warner has primarily a ‘Narrow approach’ Porter suggest companies with a narrow approach are considered as “cost leaders” continuing to say “these are Firms choosing to serve broad markets and to derive advantage through low costs” Porter, M. E. (1991).
Time Warner doesn’t just seek the status of “cost leader” they also purse “focus strategies” Porter states “these are firms targeting narrow market segments and by emphasizing either low costs or uniqueness” Porter, M. E. (1991). On the other hand, even with the empirical support porter typology has (Dess&Davis, 1984) there are some doubts. Critics of porter’s theory suggest “traditional marketing methods usually emphasize only one-way communication from marketers to consumers, while the Internet is an interactive medium” Yelkur & DaCosta (2001). Section 2.
Brand Values and Customer Satisfaction. Some marketing researchers have concluded that “brands are one of the most valuable assets a company has”, A, Neumeier, Marty B (2006). Another source suggest “brand value is one of the factors which can increase the financial value of a brand to the brand owner”, Grannell, C (2009). Time Warner states it “uses its industry-leading operating scale and brands to create, package and deliver high quality content” Time Warner (2012), further suggesting this is done through “worldwide multiple distribution outlets” Time Warner (2012)
One of the ways Timer warner keeps their customers happy is by setting up community investment schemes. Time Warner states they “understands the importance of investing in our communities” Time Warner (2012) one of Time warner lasts schemes is Broadening Public Access to the Arts New York City, the reasoning in this Particular investment is “We believe that creativity and the arts are as vital to our community” Time Warner (2012), Another way is the constant investment into producing high quality films.
Their budget for the 8 harry potter films were $1,155,000,000 and this is the biggest budget ever recorded for any sequel, Statistical Yearbook (2011), showing that Time Warner invest heavily in films to keep the high quality, high level expectations customers strive for. I feel the company facilitate for its brand values effectively and efficiently, its high quality brand image it portrays accommodate for what it customers strive for ‘top of the range service’ (Facebook, 2012). Their devotion to external issues (helping communities out) and the money they put into their products and services, leaves customer happy and satisfied.
Section 3. HB0 expansion into Europe and reasons. Time Warners Home Box Office, Inc. (HBO) is recognised throughout the world as “a leader in premium television” HBO Europe. com (2012) they also go on to state they have “become a major player in the expanding international market” HBO Europe. com (2012). In the last 5 years HBO Europe have entered numerous markets, Linda Jensen Chief Executive of HBO Europe states “We are proud to be making a significant economic contribution” Jensen, L (2012) this comment was made in terms of the accommodation of more HBO service around the world.
Below is a list of markets HBO Europe has entered in the last 5 years. Time Warner’s HBO Markets in the Last 5 years. 2007 * HBO launches in Serbia and Montenegro. * HBO Digital, a subscription video on demand service, launches in Hungary, the Czech Republic and Slovakia. 2008 * HBO Digital launches in Poland, Croatia, Slovenia, Serbia and Montenegro. 2009 * Cinemax and Cinemax2 launch in Croatia, Serbia, Slovenia and Montenegro. * HBO HD becomes available in the Czech Republic, Hungary, Poland, Romania and Slovakia. 2010 HBO begins marketing and distributing AXN in Croatia, Slovenia, Serbia and Montenegro. * HBO, HBO Comedy and HBO Digital launches in Macedonia. * HBO and HBO Comedy launches in Bosnia and Herzegovina. 2011 * HBO HD launches in Bulgaria, Serbia, Slovenia, Croatia and Bosnia and Herzegovina 2012
* HBO GO launches in the Czech Republic and Montenegro. * HBO GO launches in Columbia HBO also goes onto to state they have “Currently, HBO International has continual interests in HBO services in Latin America, Asia and Europe” HBO Europe. om (2012) The reasoning for this expansion firstly, as Jensen, L Mentioned for economic contribution, By offering a variety of services in different countries they become more jobs in that particular area and this was a big factor into the expansion and acceptance of HBO in particular areas, especially struggling countries like Romania. The fundamental reason though was financial benefit. I suppli media research suggested “ The western European pay-tv market amounted to 37. 5 billion in 2011 and is expected to expand to 47. 8 billion in 2015” I suppli media research (2012) this is a big factor in HBO expanding.