Customer Segmentation and Business Model Evolution at Unbounce Harvard Case Solution & Analysis

In 2011, the co-founder of Unbounce, a software service provider startup located in Vancouver, is contemplating the approaches to diversify the business through targeting enterprise user market. The turnkey landing pages, particularly the existing advertising campaigns’ web pages, was the first offering of Unbounce to the SMEs industry. The company has gained an effective leadership in this unit, within 18 months, and has achieved a significant market share along with this it succeeded to form its support team to 25 people from just 5 people. The key challenge was to develop an effective business model for the enterprise user market as the current attention of the company was only on its main market segment. Will entering into the enterprise user space would reduce the customer engagement and may lose its existing customers or it would prevent the competition from targeting this market? What could be an effective strategy for Unbounce to move ahead?

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