- by Rory Ramsden
I admit that, like many others, I am no big fan of Microsoft or its founder Bill Gates. But if we stop for a minute to reflect, his marketing strategy has been an incredible success. In fact, one could say Bill is a genius with balls. He was the one who came up with the idea of integrating MS Dos as it was then into IBM’s transaction stream. He approached the computer giant just as they were moving into the personal computer business and suggested that they bundle his software with their offering. It was and is a complimentary product so IBM did not perceive a threat to their dominant position.
But the stroke of genius was that Bill negotiated two additional clauses into the agreement with Big Blue.
- That he could form one to one relationships with the users of his software introduced by IBM and sell them updates
- That he could approach any other computer hardware producers and offer them the same deal.
The rest, as they say is history.
Just about every personal computer on the planet from that day forward was bundled with the Microsoft operating system. The beauty of the arangement was that once the partnership deals were done, Bill could sit back knowing that he would benefit from every marketing dollar IBM or anyone else spent.
His business grew exponentially. The production, packaging and shipping costs of the digital products he sold were and are low. He had in fact come up with a business model which many have tried to replicate with lesser success.
This type of integrated marketing works just as well today for a company of any size. You too could build your business quickly and cost effectively in just the same way. Perhaps its time you gave it a try!
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