Microsoft is a tech giant that has been around for many years. It has a strong brand positioning and consumer trust. The company uses its brand positioning to create customer relationships and increase customer loyalty. Microsoft brand positioning is functional to create demand for its products and services.
Microsoft Brand Positioning
Since Satya Nadella became the new CEO of Microsoft in 2014, Microsoft’s brand and communications strategy has changed noticeably. A new mission statement, “Empowering every organization to be more successful”, was introduced by the company to give a sense of unity to its various business units.
A strong focus was also placed on communicating the overarching brand to ensure that people associate Microsoft with some of its famous products, such as Xbox and Skype.
This was in contrast to Microsoft’s previous product-centric marketing. Master-brand promotions are rare, and the focus is more on describing the features of the products advertised.
Today, the focus is on benefits to the consumer. In addition, Microsoft has adopted a more human and emotional tone, having stopped using corporate buzzwords.
Microsoft Brand Repositioning By Satya Nadella
Satya Nadella, who became Microsoft’s chief executive in February, addressed Microsoft’s employees in an email describing their next step as the company transforms under him.
With this new approach, Microsoft hopes to turn around its fortunes, with its stock value had declined by more than 35 percent since 2000 as a result of struggling to keep up with Apple and Google.
The Microsoft CEO, however, says the company’s “unique” strategy must be honed after the “devices and services” descriptor was useful in starting the organization’s transformation.
According to him, Microsoft is a platform and productivity company that focuses on mobile and the cloud. Every individual and organization on the planet will be empowered to do more and achieve more by reinventing productivity.
From now on, Microsoft will treat every user as a “dual user” – someone who uses technology for both work and pleasure. Additionally, Nadella says Microsoft will make more efforts to connect its experiences.
As an example of this approach, Nadella uses Microsoft’s Siri-like personal assistant app Cortana: “Experiences are increasingly connected to one another.”
“Cortana, the personal assistant of the future, will take notes, book meetings, and understand if I ask for the weather to decide my clothes for the day or to start a complex task like booking a family vacation.”
Microsoft’s Cloud OS, including its Azure cloud platform, represents its greatest growth opportunity, as Nadella has previously outlined. Moreover, he states that the company will continue to invest in Windows to ensure it is “the most secure, manageable and capable OS for the needs of a modern workforce and IT” and that it will also grow its Xbox fan base, which the company hopes will add value to its business.
Microsoft’s culture must also innovate if it’s to be ready for transformation, which includes major organizational and engineering changes.
“We will transform this company collectively and seize the great opportunities ahead with the courage to transform individually,” he concludes in the email.
So what do you personally think about Microsoft’s brand positioning and repositioning strategy? Comment down below you you agree that Microsoft should target more on “dual users” and popular products that bring more sales like Xbox.