Bonum Certa Men Certa

Switcher tactics and WordPerfect

Date: June 1994

Synopsis

As a unique insight into the corporate mind at Redmond, these emails are priceless.

Assuming they are a statistical sample, then they spend about 1% of the time in writing code, 30% in finding bugs in other peoples code (and not telling them) and the rest in sabotaging their competitors/partners business.

What's Smorg stuff referring to? (small/medium-size orgs?) Why did WP have lots of work to get ready for Chicago.

Snippet

From: Robbie Bach To: Hank Vigil; Jeff Raikes; Pete Higgins Co: Mark Nickerson; Michael Herert Subject: RE: Word market share Date: Thursday, June 09, 1994 6:40 PM

PeteH and HankV are out. Here=3Fs a summary of our plans to make Word win and an overview of the Office plans - pardon the foremat but i tried to cut this down to the main points. MikeHeb: feel free to add to the Word stuff where I missed some things - you might forward some of the docs on TimeSavings as well.

1) We are pursuing a strategy to keep WordPerfect on the defensive. In effect, this means acting like we are still the "trailer" and explicitly calling them out with aggressive switcher tactics. The $99 upgrade promo effort is the first wave of this with the second wave this summer and fall focusing on the "TimeSavings" research we have done. This is quantitative research showing that Word makes you more productive, helps you complete your work faster than WP, is preferred by WP users, etc. It includes:

  • National ads (WSJ, USAToday and PC press ads pushing TimeSavings and our switcher message


  • $99 upgrade promo thru August with endcaps, local ads, etc. in June and July.


  • Distribution of Time Savers "proof kit" with video that shows the research and how people saved time.


  • Major focus at the upcoming set of tradeshows including signage, literature, etc,


  • Press release on the research and follow up press work to drive the points home.


  • 2) As we have discussed in the past, we will push hard in Smorgs to try and capture WP DOS users and new computer users. The general Smorg efforts for the Office apps (including DwayneW=3Fs work) includes things like raising awareness thru our Biz press advertising, targeted user stories in Smorg pubs, generating trial thru relationships with Smorg/Trade associations and Smorg service companies (like kinko=3Fs), and Smorg tradeshow/seminar work (often done by the field). In addition, Word will focus on the legal market with ads, pr, OEM "legal PC" bundles, legal tradeshows, etc.

    3) In many ways, the best way to get Word over 60% is to win with Office. If you look at the budget, we are actually forecasting Word standalone share to drop 1%. We will get the 4% point increase in Word total share (up from 51% to 55%) from the continued success of Office and the shift in the market toward office suites. Even if we only get the 78% share number for Office, this helps Word relative to WP and hits them where they are at their biggest disadvantage. If we do better than 78%, we can close the gap on 60%. Our plans for Office are summarized below.

    4) In the second half of the year Word 95 (or whatever we call it) starts to become a factor. We will have PR and "advanced leak" work for this product which should ultimately help us win relative to WP. Note that they have lots of work to do to get WP and their office suite ready for Chicago and we hope to beat them to the punch. We don't have the specifics of this worked out but "levereging the Chicago launch" is clearly part of the strategy to beat WP.

    5) Steve has made the point recently that one factor in getting over 60% is to knock one of the competitors out of the category...which means Ami Pro. I actually think this is a false aspiration. I don't believe that AmiPro is really a factor in the standalone business and for all intents and purposes is not a player there. But we will not get them out of the category because they generate sales thru SmartSuite. This means we need to continue winning with Office (#3 above) end fight for share from WP (#1,2 above).

    My final point on this is one that you, PeteH, and HankV know only too welll. There are not alot of silver bullets lying around in terms of taking share from WP. We are going to win this war with some creative ideas (like TimeSavings!, some trench fighting (like the block and tackle Smorg stuff), great products, and with Office. Its frustrating to me that this doesn=3Ft sound more "revolutionary" (something we will keep trying to achieve) but to some degree its the nature of our mission.

    In terms of keeping Office above 80%, the real issue is that Lotus is making an explicit effort to move 123 buyers all the way up to SmartSuite - much more so than in the past. Since many of these users are effectively "captive Lotus" accounts, they can drive up their run rate of SmertSuite even if the user is only =nterested in 123. In addition, they will have a new version which will be a much more competitive (but still trailing) product. Here are some things we can do to prevent this from happening:

    1) Win with XL: The best way to keep their SmartSuite share down is to beat 123. Our activites on this area will mirror those for Word. We will start an XL $99 promo similar to the Word one as of July 1. We will also conduct TimeSavings research to see if we can achieve the same results as Word. Excel will push the accounting vertical market in the same way that Word will push legal. Excel 95 will obviously be key going forward.

    2) Disrupt the SmartSuite launch: This is a fairly tactical effort to maintain our own momentum thru their launch. This includes heavy PR messaging during the summer with several press tours, weekly editor buddy calls, press releases on Office and XL momentum, switcher message at tradeshows, etc. We=3Fll also push Access in this messaging pretty heavily since lots of the new stuff in SmarSuite is in Approach.

    3) Increase awareness: both Office and SmartSuite have very low top of mind awareness. They will spend heavily to increase this and have already closed the gap -- we are at 8% with Fringe IEUs, they are at 6%. We will focus our business press ads almost exclusively on Office (a few promotion based ads for Word/XL) to continue building our own awareness.

    4) Win in the Channel: Today, Lotus probably does a better job in the channel getting merchandising space, keeping awareness high, etc. We are making progress here and want to keep that up. This inclucles increasing distribution for the Office upgrade SKUs (especially OfficePro), running a major value-add fall promotion (buy Office get other bits free), improving our POP materials and frequency of usage, etc.

    5) Sell Office as s solutions platform: This is arguably the area where we have under-achieved so far. We have a clear product advantage with VBA (they will not have OLE 2 or LotusScript until 1995) and customers love the Office solutions platform message when they hear it. We have not done a good job yet of synching up our message with DDT and NT/NTAS/SQL/EMSIetc. and are working with RichT/CameronM/JohnNi=3Fs group on that right now. Target is to have a unified message and approach to this to roll-out at the NSM/ESM. This will also help us fight Notes -- where Lotus really does a good job selling the solution even if the tools, implementation, etc. are not greet.

    I know I=3Fve left lots of Office tactics out of this summary, but this will give you a good sense for where we are focusing. I=3Fve attached the Desktop apps marketing plan overview (easiest to print this in PPT outline view) and some timelines which take a crack at this from a different angle. Note that we are working on cletailed drill down plans in all areas and should have that finished in the next two weeks.

    < < File Attachment: FY95SUMM.PPT> > < < File Attachment: TIMELIN.XLS > >

    Thanks

    Robbie From: Jeff Raikes TO: Hank Vigil; Pate Higgins Cc: Mark Nickerson; Robbie Bach Subject: Word market share Date: Thursday, June O9, 1994 9:59AM

    I believe SteveB will make a big deal about us not being at > 60% market share in Word processing. I am not arguing the numbers in the forecast. But I must have a good story about what we think we can do to get above 80%. Can you help? I haven=3Ft seen anything but analysis on standalone share; ie. no real plans tO do something about the problem, do you think that is the key to greater than 60% share? or do you

    have a different strategy?

    Help please. Dry run on presentation is tomorrow afternoon.

    Separate question:

    What do we do to keep Office above 80% share? Your numbers show it dropping to 78%, and Lotus gaining to 21%.

    Thx.

    https://techrights.org/o/wp-content/uploads/2009/01/px02117.pdf

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    I have decided that we should not publish these extensions .. We can't compete with Lotus and Wordperfect/Novell without this ..

    https://techrights.org/o/wp-content/uploads/2009/01/plex0_5673.pdf

    Full Exhibits

    https://techrights.org/o/wp-content/uploads/2009/01/px02117.pdf

    https://techrights.org/o/wp-content/uploads/2009/01/plex0_5673.pdf