In 2000, Monster.com is already a successful career-building business. They are at the top of the online job-recruitment industry. Now that they have created a successful company, they need to be able to sustain their success. CEO Jeff Taylor is interested in what the next 5 years will look like for Monster.com. He wants the company to continue to grow and innovate. Just because the company is #1 today, doesn’t mean they will be able to sustain that status. In order for the company to continue to succeed, they will need to broaden their services. The goal is to develop a relationship with both job seekers and recruiters. Monster.com must find a way to sustain relationships with their customers after they have located the perfect job or found the perfect employee.
1.1 Situation Analysis
* Internet is a newer technology that is rapidly expanding * Newspapers are no longer the main source for recruitment advertising * Monster.com has the highest market share among competitors in the online job-recruitment industry * Monster.com revenue is increasing significantly
* Monster.com advertising campaign has been highly successful
1.2 Marketing Objectives
* Increase Monster.com market share and brand equity
* Increase revenues through more job listings
* Increase customer services
* Build stronger relationships with HR Recruiters
1.3. Marketing Strategies
* Expand career development information on website
* Allowing success stories from jobseekers to be shared
* Offer free employment advise to job seekers who register on the site * Highlight the assistance offered to HR professionals
1.4 Action Plan
* Develop more in-depth marketing plan to promote higher level service * Adding a higher level of service for customers for a small fee * Adding career/personality tests to help job-seekers locate the perfect job * Develop more in-depth online community with career tips, updates on new advances in technology, forums, etc.
1.5 Contingency Plan
* In a bad economy offer the higher level of service for a free trial period * In a good economy offer free online career training
2.0 Situation Analysis
2.1 Market Analysis
In 1996, when Monster.com was started, 85% of employers placed ads in newspapers to recruit new hires. Advertising for jobs was the major source of revenue for most newspapers with $12 billion being spent in 1998.The recruitment industry included job placement firms for temporary help, permanent placement and retainer firms. Temporary help firms usually filled anything from clerical to medical to technical positions, and included temp-perm placement. Permanent placement firms included filling administrative through middle-management positions and usually earned a commission only after successful placement. Retainer firms focused on positions earning a minimum of $70K and were paid a fee at the beginning of service. The creation and expansion of the internet allowed these types of firms to reach a greater market size at a faster rate than normal newspaper advertising. By 2000, the internet had 25,000 active job sites and the recruiting industry was expected to grow to $1.74 billion dollars by 2003. With the prediction that the size of Internet users could increase from 80 million to 120 million, and companies using online recruitment advertising could increase from 17% to 70% by 2000, the ability to increase market share was high. Most companies are now shifting their recruitment advertising budgets from print to internet ads. The internet provided a faster and cheaper way to get out to potential employees and in 1999 it was estimated that 20% of job seekers were using the internet to search for jobs. Newspapers and store windows were not the only ways to try and recruit new employees anymore.
The expansion of the internet also played a role in economic growth with countries such as China and India....