Aman Jain EPGP-10-085 IIMK

Case: Precise Software Solutions

Submission to: Prof Joffi Thomas

Q1) Should Alon plan on introducing Insight at Open world 2000? Why or Why not?

WHY YES ?

First mover advantage: As of 1999, none of the companies offered end to end solutions, so by moving
quickly and being first to market , precise could establish itself as the market leader.

Easy to sell: it was thought that it would be very easy to sell it since it was easier to make the benefits of
product tangible and understandable

As,

• Investment in ERP was high so no scope of errors and fallbacks expected.

• Applications were data intensive.

▪ RIGHT PLACE , RIGHT TIME

Annual conference gathered together thousands of interested and motivated prospects, who could hear
about and see demonstrations of new product.

This meant a good marketing platform for the new product with least expense in terms of cost and time
and maximum impact.

WHY NOT?

REPUTATION AT RISK: Going to market too early with a product with not enough functionality will
damage the reputation of the product and might not be attractive in terms of value to the customers.

THREAT OF COMPETITORS: Also, going too early with an immature product will allow competitors to
come up with better alternative solutions and snatch the chances from Precise to be a leader in the
industry.

LIMITED FUNCTIONALITY: The product if developed targeting Open World could only have the monitor
functionality in the best-case scenario, however the complete analyze functionality would be missing
and will be seen as a gap.

LACK OF PREPARATION: The company is still not sure on how they will market the product and how
they will price this product

Conclusion:

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Aman Jain EPGP-10-085 IIMK

• Introduction in OpenWorld2000 not recommended based on so it is recommended to wait for

the OpenWorld2001 to release the product
• An immature product, with just monitor functionality and no nice user interface, will be seen as
a down product by customers. Since a GA version could only be available in 18 months from
now, and a fully functionality only in 2 years, it will give time to competitors to see and copy the
product.

Q2) What should precise strategy be for insight? Should they launch a separate sale force for the new
product or sell it through their existing sales force? How good is their current sales force?

• A direct selling approach should be used for this product.

• Insight being a premium and complex product a well-trained and dedicated sales force will
achieve better results.
• Difficult to sell through system integrators and VARs.
• It should be promoted and sold aggressively.
• Sales force should be trained to provide effective end-to-end performance management
solutions.
• They are recruited only to bring in clients for Insight.

Q3) How should Insight be priced? Develop an ROI model for Precise/SQL product.

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