Monthly Archives: October 2015

Snapchat’s new update. Source

Source

Do rainbows spewing out of mouths appeal to you? Tweets have fired everywhere about the new filters on Snapchat.

Snapchat, the popular social media photo hub is expecting to generate a whopping 100 million dollars of revenue this year. One may wonder, “How did this start up company even get here?” Their strategic ad placement has contributed largely to incoming revenue. They have constantly revamped their app through updates that include new filters, stories, and events that occur around the world in real time. Recently they have also put a fee on replaying snaps.

Through my analysis, I believe that Snapchat will continue to expand as fast as they are now. The start up’s platform has an innovative team that is constantly trying to look into the minds of customers. I’ve noticed how other social media platforms like Vine have flat-lined and lost a significant number of users almost as quickly as they started. I wonder what would happen if Snapchat used their app as a service for businesses to promote their events and share information. BuzzFeed has revealed where they have attracted many of their viewers—Snapchat! I admire their strategy of advertising and continually finding quirks to their app that will attract consumers which applies Rita McGrath’s tool of constantly changing strategies.

Snapchat’s annually increasing revenue is definitely a story that I will be following.

Word Count: 228

References:

1. “10 Things You Need To Know About Snapchat.” The Guardian, n.d. Web. 2 Oct. 2015. <http://www.theguardian.com/technology/2013/nov/13/snapchat-app-sexting-lawsuits-valuation>.
2. Kosoff, Maya. “Snapchat Is on Track to Generate $100 Million in Revenue.” Business Insider. Business Insider, Inc, 01 Oct. 2015. Web. 03 Oct. 2015. <http://www.businessinsider.com/snapchat-is-on-track-to-generate-100-million-in-revenue-2015-10>.
3. Kosoff, Maya. “Snapchat Is Reportedly Generating $50 Million in Revenue This Year.” Business Insider. Business Insider, Inc, 31 July 2015. Web. 03 Oct. 2015. <http://www.businessinsider.com/snapchat-said-to-be-generating-50-million-in-revenue-this-year-2015-7>.
4. McAlone, Nathan. “Snapchat Provides a Firehose of Readers to BuzzFeed.” Business Insider. Business Insider, Inc, 16 Sept. 2015. Web. 03 Oct. 2015. <http://www.businessinsider.com/buzzfeed-gets-21-of-its-traffic-from-snapchat-2015-9>.
5. Shontell, Alyson. “Snapchat Generated Only $3.1 Million Last Year.” Business Insider. Business Insider, Inc, 19 Aug. 2015. Web. 03 Oct. 2015. <http://www.businessinsider.com/snapchat-only-generated-31-million-last-year-2015-8>.
6. “Snapchat Now Charges If You Want to Replay Snaps.” Wired.com. Conde Nast Digital, n.d. Web. 03 Oct. 2015. <http://www.wired.com/2015/09/snapchat-replay-paid/>.

Tesla’s unique differentiation has singled the company out like a sore thumb. As a rapidly growing company in the emerging market of electric, sustainable cars, Tesla has managed to create itself a top-notch brand. Customization allows for consumers to find little to no substitutes; their models encompass safety, sustainability, style, service, and speed exceptionally.

Tesla Model X Source

Tesla also differs from other car dealerships as they channel direct sales. Their partnership with companies like Daimler, aid in their vehicle programs and the development of their battery system. However, critics continue to weigh out Tesla’s future. Currently, there are a limited amount of models being sold due to constrained manufacturing—conversely, plans of revamping their production will enable them to produce to their full capacity.

Tesla Logo Source

I believe Tesla is on the right path to sculpting sustainable transportation. Their values of creating sustainable and safe transportation is extremely attractive to consumers. In my opinion, a company that pushes its boundaries through constant technological advancements and improves its customer experience will go far in the long run. (Or shall I say “drive”)? This does not guarantee an easy road in their future. As demand for sustainability increases, competition will increase as well.

As the saying goes, “It’s not about the destination. It’s about the journey (in your Tesla) along the way.”

Word Count: 215

References:

1. “Blog.” Strategic Partnership: Daimler Acquires Stake in Tesla. N.p., n.d. Web. 02 Oct. 2015. <http://www.teslamotors.com/en_CA/blog/strategic-partnership-daimler-acquires-stake-tesla>.
2. “Meet Model X.” Model X. N.p., n.d. Web. 02 Oct. 2015. <http://www.teslamotors.com/modelx>.
3. McDonald, Michael. “Tesla’s Profit Margin Might Be about to Skyrocket.” Business Insider. Business Insider, Inc, 01 Oct. 2015. Web. 02 Oct. 2015. <http://www.businessinsider.com/tesla-profit-margins-about-to-skyrocket-2015-10>.
4. Orwig, Jessica. “We Used Physics to Show What It’s like to Take Tesla’s Newest Car for a Spin.” Business Insider. Business Insider, Inc, 01 Oct. 2015. Web. 02 Oct. 2015. <http://www.businessinsider.com/science-explains-why-tesla-model-x-is-great-2015-9>.
5. “Tesla’s Model X Falcon Wing Door Design Is an Engineering Marvel.” Tesla’s Model X Falcon Wing Door Design Is an Engineering Marvel. N.p., n.d. Web. 02 Oct. 2015. <https://www.yahoo.com/tech/s/tesla-model-x-falcon-wing-door-design-engineering-114507970.html>.
6. “What Makes Tesla’s Business Model Different? (TSLA,GM).” Investopedia. N.p., 21 July 2015. Web. 02 Oct. 2015. <http://www.investopedia.com/articles/active-trading/072115/what-makes-teslas-business-model-different.asp>.

Kellogg’s is taking a big step by investing 450 million dollars to build an arm in Africa for a 50% stake in hopes of reaching a new target market. Many have asked the question: “Why is the company looking at this expansion in such a relatively diverse culture?”

Kellogg’s Logo.

The answer is simple: cereal is losing its appeal amongst North Americans. Sales and revenues for cereal-based companies in North America have decreased significantly. Consumers prefer less carbs, more protein, and hot breakfasts on the go due to busy schedules, fewer children, and increased health awareness.

Students in Africa learning about nutrition.

This expansion into other countries could mean increased revenue, lower costs, and fresh, new target audiences. Through my analysis, I believe that this is beneficial for the company. By targeting an audience of a different demographic, they can attract those in developing countries; who may appeal to the company’s sugary breakfast cereals. I do not believe that new revenue streams will be profitable in developed countries because the value of their brand is decreasing. I still wonder how far the company will go if they do not increase sales through this hefty bet and if the 450 million dollars is a gamble for the company.

Word Count: 199

Sources:

1. Baer, Drake. “Americans Have Changed the Way They Eat Breakfast – and It’s Killing Kellogg’s.” Business Insider. Business Insider, Inc, 03 Mar. 2015. Web. 01 Oct. 2015. <http://www.businessinsider.com/slow-death-of-kelloggs-cereal-2015-3>.
2. “Creating Brands.” Kellogg Company. N.p., n.d. Web. 01 Oct. 2015. <http://www.kelloggcompany.com/en_US/brandportfolio.html>.
3. Lutz, Ashley. “3 Reasons Americans Are Abandoning Cereal.” Business Insider. Business Insider, Inc, 26 Feb. 2015. Web. 01 Oct. 2015. <http://www.businessinsider.com/3-reasons-americans-are-abandoning-cereal-2015-2>.
4. “Overview.” Kelloggs Corporate Responsibility. N.p., n.d. Web. 01 Oct. 2015. <http://crr.kelloggcompany.com/en_US/corporate-responsibility/overview/business-strategy.html>.
5. Reuters. “Kellogg Is Making a $450 Million Bet to Build a New Empire.” Business Insider. Business Insider, Inc, 15 Sept. 2015. Web. 01 Oct. 2015. <http://www.businessinsider.com/r-kellogg-to-spend-450-million-to-expand-in-africa-2015-9>.
6. “What Kelloggs’ Spread to Other African Countries Really Means – Ventures Africa.” Ventures Africa. N.p., 17 Sept. 2015. Web. 01 Oct. 2015. <http://venturesafrica.com/what-kelloggs-spread-to-other-african-countries-really-means/>

Photo Sources:

1. “Aspire Africa.” Aspire Africa. N.p., n.d. Web. 01 Oct. 2015. <http://aspire-africa.com/2015/09/15/kellogg-company-and-tolaram-announce-new-long-term-partnership-to-significantly-expand-presence-in-africa/>.
2. “How Are We Helping?” How Are We Helping? N.p., n.d. Web. 01 Oct. 2015. <http://chezmandn.weebly.com/how-are-we-helping.html>.