Sustainable/Holistic Marketing

Razer does not participate in Sustainable/ Holistic marketing practices.

STP and Marketing strategies

Segmentation

Razer segments its market according to its customers.

The way customers are segmented are as follows :-

1) on basis of type of gamer i.e. FPS(First Person Shooter) or RPG(Role Playing Game)

2) on basis of medium of gaming i.e. PC or console

Targeting

Razer set out to become the leading brand in gaming gear and they are doing so by targeting all kinds of gamers. It caters to each individual gamer by creating peripherals with adjustable side buttons, for all kinds of grip (Palm vs Claw), for left handed gamers as well as right, and for console as well as PC gamers.

Brand Positioning

Razer has placed considerable emphasis on enhancing its brand positioning through the general mediums of TV and by sponsoring gaming events and gaming teams to tap into its target base of audience.

Customer Behaviour

Consumer behavior is dependent on many factors:

Price- Razer products are specialized gaming products and thus are priced on the expensive side. Thus non-gamers and casual gamers will going for normal peripherals, and only aspiring and professional gamers will buy Razer products.

Communication- The Communication done through the well-known brand symbol of the 3 snakes entwined, in mediums like television and in the various gaming tournaments including WCG(World Championship Gaming), the World Cup of Gaming. All this builds and strenthens the brand presence and add up to its brand value. Therefore the customer develop a positive opinion about the brand.

In terms of the Consumer:

Motivation- The aspirational value of owning a superior Razer product is a motivation for aspiring gamers to buy a Razer gaming gear.

Perception- A customer builds up a perception about Razer based on its image as the world's leading brand in gaming gear. This perception is re-enforced by the superior quality, ergonomic comfort and hyper-response of the Razer products.

Learning- With formation of perception, a general learning then develops among the customers about Razer which then embeds the identity of the brand into the customer's memory.

Consumer is also influenced by:

Social factors- Since other members of his/her gaming clan or his/her favorite professional gamer may own a Razer product, a gamer may be encouraged to go in for a Razer product..

Personal factors- As a brand, Razer gives an association of a certain kind of superiority to a gamer in the gaming community. This type of association makes the brand very approachable, specially to aspiring gamers.

Sales Management

Razer does not need to engage in sales management as it manages its sales through its online Razer Store.

Apart from this Razer also has a host of distributors, wholesalers and resellers in almost every region of the world.

 This reduces the headache of selling from Razer to a large extent and ensures that Razer can focus more on their core competence, which is manufacturing.

Distribution Decision

Distribution Decision consists of the activities involved in making products available to customers when and where they want to purchase them.

Razer, apart from its online Razer Store, has a host of distributors, wholesalers and resellers in almost every region of the world. Through these resellers, Razer products reach each and every major city in the world, and to every gamer's home, be it anywhere in the world.

To cater to the ever expanding demand of Razer products, Razer allows distributors interested in partnering with Razer and join the Razer reseller family to contact them and work out a distribution partnership. In this way Razer can cater to the demands of the entire world effectively and without really extensive effort on Razer's part.

Promotion IMC/ATL/BTL

Razer is the world's leading brand in gaming. Its tagline:

has to be reflected in each of its promotion strategies and integrated marketing communication.

IMC Components

• The Foundation - is based on a strategic understanding of the product and market. This includes changes in technology, buyer attitudes and behaviour and anticipated moves by competitors.
• The Corporate Culture - increasingly brands are seen as indivisible from the vision, capabilities, personality and culture of the corporation.
• The Brand Focus - is the logo, corporate identity, tagline, style and core message of the brand.
• Consumer Experience - includes the design of the product and its packaging, the product experience (for instance in a retail store) and service.
• Communications Tools - includes all modes of advertising, direct marketing and online communications including social media.
• Promotional Tools - trade promotions; consumer promotions; personal selling, database marketing, and customer relations management; public relations and sponsorship programs.
• Integration Tools - software that enables the tracking of customer behaviour and campaign effectiveness. This includes customer relationship management (CRM) software, web analytics, marketing automation and inbound marketing software.

Razer instills this via their TV comercials:

via its facebook page:

by showing their wares in exhibitions:

and by way of their PR strategies and in interviews with their President:

And even though Razer does not do celebrity endorsements, it has gone a long way to instill the name of Razer amongst the minds of aspiring and professional gamer alike.

Pricing

Razer puts a lot of effort in its Research and Development. As put by one of the Razer officials

      "We develop and design our products in our own labs and then put them to the test with top professional gamers who use them in pro-level tournaments and then provide us with feedback. Then we iterate on the product, refining it with the feedback - over and over and over again. That's how it's done, that's how a Razer product is built from ground up."

Razer also puts a lot of thought into each and every product. As quoted by Robert "Razerguy" Krakoff, the CEO of Razer
"Razer must first offer the innovation that leads to improved experiences and better scores, more frags, etc."

This thought is clearly reflected in the products shown in the video below.

For all these reasons Razer products are generally priced on the higher end of the price range. While Razer products are generally more expensive than a normal peripheral, they are at comparatively the same rate as a  premium gaming peripheral. 

Branding and Brand Management

Razer's vision from the very beginning was to be the world's greatest gaming brand and they achieve that by designing the best gaming products that any gamer has ever seen. And it has achieved this very well. When gaming gear brands come to mind, Razer is among the first few names, if not the first.

Razer is symbolized by the 3 snakes entwined, which is the Razer logo. This logo is on each and every Razer product as well as the box packing it comes in.

Razer products are world class in terms of quality. And that is why once a gamer uses a Razer product, he/she remains loyal to it. According to Jeff Fisher of USA
       "I've had a Razer mouse for four years now. If it ever dies it will be replaced by another Razer."

Services and Services Marketing.

Razer products are pure tangible goods and require no service as such to operate. However the following services offered by Razer have been observed:

- Product Information On the Box: Razer offers full product information on the box packing that Razer products come in.

- Product Information On the Website: Razer owns a website http://razerzone.com which contains full information about each and every product that Razer sells. 

- Reseller Information: Razer gives regionwise list of all its authorized resellers on its website for those who wish to buy the Razer product.

- Order Online: Razer provides an option to order any authorized Razer product online on its website for direct order via Credit Card payment.

- Same Day Shipping: Razer provides an option of same day shipping for those who wish to recieve their Razer product urgently.

- Razer Support: Razer has a microsite http://www.razersupport.com/ accessible through their website, which provides support related to various Razer products and also for billing and shipping related support.

- Razer Limited Warranty: Razer provides limited warranty for all its products. The time period of the limited warranty for its products is listed as follows:

 

Product Mix

Product Life Cycle and Industry Life Cycle

Product Life Cycle

A new product  progresses through a sequence of stages from introduction to growth to maturity to decline. the sequence is known as the product life cycle and is associated with changes in the marketing strategy and marketing mix.

Drawing a PLC graph for the various mouse manufactured over the years would be:

Industry Life Cycle

The gaming industry as a whole is in the growth stage, and as such gaming gear manufacturing industry. Even though Peripheral manufacturers like Logitech and Microsoft have been around a long time, Razer caters only to the peripherals for gaming and as such is in the growth stage.