Napster Essay

1939 words - 8 pages

Nowadays, online music is more popular than before. The Peer-to-Peer online music that was used by Napster became a huge legal barrier to this company up to closing down their business. New Napster's owner, Roxio, has been trying different strategies to cover increase their revenue and customers again. There are different strategies for Napster to increase its market share in this market. This report will provide few strategies that would be efficient for Napster to compete with their competitors specially Apple and Rhapsody.
Reputation!
In today's market is has becoming increasingly important for organizations to posses a strong brand name and reputation. People everywhere recognize Napster. Why? Because it was the first company to offer digital music downloading. This provides Napster with a huge advantage over its competitors. Unfortunately because it was the innovator of this new technology Napster had to deal with copyright infringement charges brought about by the RIAA (Recording Industry Association of America). Despite the fact that Napster emerged from this battle they still suffer from being tagged as the company that was caught in legal trouble. For this reason, many people who have limited knowledge in online music downloading will steer clear of using Napster. The first think for Napster to take in consideration is to find a way to emphasize the fact that they were the first in the market and also, they have to erase their reputation as law breakers. Napster has a strong brand name, and they are also widely recognized as being an innovator, but they have to rebuild their reputation by emphasizing that they are a company that abides by the law. In order for Napster to attempt to capitalize on today's market, they need to focus their efforts on media awareness to have their name become top of mind. Creating positive images in the minds of the consumers will help them choose Napster over the competition. Napster needs to focus their efforts on media awareness to have their name become top of mind. Moreover, their partnership with many of the companies in the industry provides Napster with many venues to have its name well recognized.
Target Market!
Napster has to focus on the primary target market first and then the second target market. The first target market is the current Napster's customer, young people and the second target would be the competitors' customers and elder people. It is important to know where the customers from and what characteristics they have. Napster can buy customers' habits and preferences by providing unique services (which will be explained in this report) to these customers. Hence, these customers would shift from using other competitors' services to Napster for having better service or gaining some benefits from Napster that they could not gain somewhere else.
Services!
With the decline in illegal file sharing, there is an opportunity for Napster. They need to find a way to tap into the new market...

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