Barcelona Activa Empresa
Barcelona Activa Empresa
How to select international strategic markets for my business? Vista Print case Theresa Desuyo Founder, Balena Partners www.balenapartners.com
Activitat cofinançada per:
18/05/2012
Š T.Desuyo 1
Barcelona Activa Empresa
Global player, local business
18/05/2012
Š T.Desuyo 2
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 3
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 4
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 5
Barcelona Activa Empresa
“Internationalisation is a slow, step by step process whereby a company increasingly commits itself globally. It employs people from different nationalities, and learns how to use an increasingly wider range of foreign sourced or foreign located resources (technology, services, funds, organisational methods,...).
18/05/2012
Š T.Desuyo 6
Barcelona Activa Empresa
SIXTH PHASE: THE TRANSNATIONAL CORPORATION.
• According to Bartlett and Goshal (Managing Across Borders, Harvard Business School Press, 1989), “... in the transnational view, the national subsidiaries become strategic partners whose knowledge and capabilities are vital to the corporation’s ability to maintain a long-term competitive advantage”. • The ideal organizational characteristics of the transnational corporation would be: – Dispersed, interdependent and specialised assets and capabilities. – Differentiated contributions by national units to integrate worldwide operations. – Knowledge developed jointly and shared worldwide.
18/05/2012
© T.Desuyo 7
Barcelona Activa Empresa
18/05/2012
International market
Š T.Desuyo 8
Barcelona Activa Empresa
Transnational organization
Headquarters and manufacturing- Netherlands Global Strategy- France
HR- Boston Marketing and Sales- Barcelona Advanced processes & Operations- Switzerland Customer service – Jamaica, Tunisia, Germany
Manufacturing and production- Canada Marketing and Manufacturing- Australia 18/05/2012
Š T.Desuyo 9
Barcelona Activa Empresa
Vistaprint: Vision
VistaPrint Vision • Make it easy for small businesses to get great looking design, print and marketing services at superior prices. Guiding Principle • Develop “jaw dropping” customer value propositions -Great quality at superior prices
18/05/2012
© T.Desuyo 10
Barcelona Activa Empresa
2009
18/05/2012
Š T.Desuyo 11
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 12
Barcelona Activa Empresa
Today
18/05/2012
Š T.Desuyo 13
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 14
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 15
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 16
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 17
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 18
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 19
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 20
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 21
Barcelona Activa Empresa
• • • •
NASDAQ: VPRT Success metrics
Recent Market Price (Feb 29) $40.35 52-Week Range $23.89 - $56.25 Shares Outstanding 36.9 million Market Capitalization $1.5 billion
18/05/2012
© T.Desuyo 22
Barcelona Activa Empresa
Vistaprint: Global Player
• Major Product & Service Lines (sell in 20 countries) Business cards, postcards, brochures, desk calendars, folders, address labels, rubber stamps, notepads, holiday cards, customized logos, mailing services, websites, signage, promotional products • Manufacturing Facilities: Windsor (Canada) & Venlo (Netherlands) • Customer Support Operations: Montego Bay, Jamaica • U.S. Operations: Lexington, Massachusetts • European Marketing: Barcelona, Spain
18/05/2012
© T.Desuyo 23
Barcelona Activa Empresa
Business model
Disruptive Business Model VistaPrint has brought long-run, low-cost economics to shortrun production jobs for the small business marketing market, a market opportunity of over $25 billion.
• • • •
VistaPrint Success Strategy Deploy automated processes throughout the value chain “Productize”/”standardize” custom products and services Sell products at low quantities per order but market and produce in standardized, high volume processes Be the low cost producer and keep getting lower
18/05/2012
© T.Desuyo 24
Barcelona Activa Empresa
Market incentives: How can you give something for free?
Gratis!!
18/05/2012
Š T.Desuyo 25
Barcelona Activa Empresa
Free is not entirely free.
• Charging for shipping and delivery – order • Cross selling return labels • Upselling matching content (business cards design & other products with design) • From free to purchase: 3 times increase in sale with cross & upselling techniques • Impulse selling & repetition
18/05/2012
© T.Desuyo 26
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 27
Barcelona Activa Empresa
Strategic differentiators
1. Free with sales. Business generatos at launch 2. Triangle: Marketing/Technology/Production -
18/05/2012
Marketing oriented Technological platform adapted to consumer behavior (multi-variate testing) “Low-cost� and scalable operations
Š T.Desuyo 28
Barcelona Activa Empresa
• • • • • •
A. Market-oriented
Impulse purchases lead to increase spend Clear positioning Cross-selling and upsellin Client database and cards Easy-to-use, DIY and dynamic publishing Low ticket price item, cheap and high user engagement
18/05/2012
© T.Desuyo 29
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 30
Barcelona Activa Empresa
18/05/2012
Š T.Desuyo 31
Barcelona Activa Empresa
B. Low cost operations
• Detected opportunity in the automization of a traditionally artesanl approach to printing (Gutenberg) • Decreased the process from 10 steps to 5 • 250 cards produced in 14,2 seconds • Grouping / Ganging production generates increased volume of highly standardized products 18/05/2012
© T.Desuyo 32
Barcelona Activa Empresa
C. Technology
• Patents: – operations software – Automated designs free of the need to know inDesign or Quark
• • • •
Payment systems Dynamic publishing Multivariate testing Client database and behavioral targeting to up-sell and cross-sell
18/05/2012
© T.Desuyo 33
Barcelona Activa Empresa
Barriers to Entry
• The triangle (markeing, tecnology & operations) • High daily order volume enables significant scale and cost advantages • Early mover & growing brand awareness • Complex software and 16 US patents granted • Integrated manufacturing systems and substantial investment • Internet direct marketing expertise and systems • International reach 18/05/2012
© T.Desuyo 34
Barcelona Activa Empresa
Summary
• Barriers to entry • Scalability • Locate each department strategically across the globe
18/05/2012
© T.Desuyo 35
Barcelona Activa Empresa
Thank you for your attention! Theresa Desuyo http://es.linkedin.com/in/theresadesuyo www.balenapartners.com
18/05/2012
Š T.Desuyo 36