Abstract

This case is about the innovative public relations campaign initiated by Microsoft Corporation (Microsoft) for its MS Office Accounting Express software - MS Office Accounting Express 2007 (OAE 2007) and MS Office Accounting Professional 2007 (OAP 2007), which were targeted at small and medium businesses (SMBs). As part of its pull strategy, Microsoft organized a contest called ‘IdeaWins - The Ultimate Challenge’ targeted at entrepreneurs and small business owners in the US. Microsoft attracted its target customers to the contest website IdeaWins.com, where in the contestants could submit their innovative business idea. The winner of the campaign would receive a US$100,000 cash prize as start-up capital and other related support from Microsoft and its partners to implement the winning business idea. Microsoft also gave away OAE 2007 as a free download on the IdeaWins.com website. The campaign generated a lot of buzz among the target audience and succeeded in the publicity of OAE 2007 and OAP 2007. The case discusses the accounting software market for SMBs as well as the competitive landscape in this segment. The case also looks at the reasons for Microsoft’s strategic shift toward providing Internet-based software and services and its growing competition with Internet-based firms such as Google, Inc., and Yahoo!, Inc.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Understand the issues and challenges faced by IT companies in targeting the small and medium businesses market
• Understand the need for innovative marketing strategies to attract the attention of customers spread across different industry verticals and geographic regions
• Appreciate the role of PR campaigns in creating credibility for the launch of a new product
• and Understand the issues and challenges faced by a mature business organization to keep itself abreast of the changes in a dynamic and competitive business environment.

Keywords

Public relations, Microsoft Corporation, IdeaWins - The Ultimate Challenge, Google, Intuit Quickbooks, Information Technology, Small business, Strategy , Internet-based software, Unique selling proposition , Strategic shift, Buzz marketing, Loss leader strategy, Pull strategy, Branding , Search marketing, Innovation contest, Business model, Target marketing, Microsoft Office Accounting Express