History
BillCutterz.com came into existences at the encouragement of a friend Mindy Niles, who recognized Barry Gross negotiating skills when he was able to reduce her cable bill by 50 percent. She suggested that he should turn his skill into a business. It was from this idea that BillCutterz.com was founded in May 2009 by Barry Gross.
Barry Gross negotiating skills can be traced back to his years in telephone sales with Reef Industries Houston Texas, originator of crime tape. As marketing manager Gross was responsible for marketing the company’s products that include banners and crime tape. In 1976 when he start, Reef Industries annual sales for caution tape was $60,000. Four year later in 1980 when he left the company, Reef Industries annual
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BillCutterz.com indirect competitors in the industry are Mint.com and Billshrink.com. Unlike BillCutterz.com who negotiates on behave of the customer to reduce their monthly bills. These companies help consumers monitor budget and compare prices of competing services. Barry Gross recognized early that there was no direct competition in the negotiation service and because of his of Barry Gross negotiating skills; he was able to dominate the industry by using the provider churn rate as an advantage to negotiate, since it difficult for provider to calculate consumer satisfaction from survey. He found that providers were willing to negotiate with a customer to have their bill reduce rather than have that customer …show more content…
They won’t charge the customer unless they are able to provide the customer with savings on their bill. This type of policy do builds the customer confidence since they have nothing to lose by signing for the service. However, a challenge is created in maintaining that customer beyond the life of the saving on that bill. A suggestion for BillCutterz.com is to provide an incentive to existing customer in the form of a percentage discount to review bills on a yearly basis.
In looking at the company financial statement, there is no provision for advertisement. One of the ways for any business to grow is through advertisement. BillCutterz.com experienced that boast from the ABC interview. Therefore, the company need to incorporate advertisement as a part of their marketing strategy. Additionally, they should expand their target group form individuals to different corporations.
In conclusion, BillCutterz.com currently has a niche market; they are providing a unique service. Barry Gross strong negotiation skills and an informed and train workforce in an industry that has little or no competition. However in order to sustain this grow the company need to re-assess it’s strategy and business model to align it with the company’s growing demand for its service. BillCutterz.com should not lose focus of the fact that if they don’t act at in proving their company strategy then one of their competitor will capitalize on its model
Threat of new entrant is high: With little limitation on capital needs or patents any capable company can easily enter into the already crowded industry.
In the 1990s, the telecommunications market was rapidly changing with the addition of new entrants from a competition standpoint that were forcing WorldCom to decrease prices. Long term leases for
D'Amore, Frank. July 2005. The Art of Negotiation A Package. Corporate Legal Times, pp.64-65. Retrieved October 15, 2005 from EBSCO host.
Telcos have a lot of data in hand. As a telecom provider, the company has access to a wide array of data including subscriber demographic, location, call patterns, websites visited and media watched, network usage, application usage etc. All these data collected provide insights about customer activities. Telco operators collect several terabytes of data on a daily basis. All this data creates a fantastic opportunity for telcos. Latest analytical techniques can be leveraged on these data to analyse and to assist companies to unlock user insights and market intelligence to increase revenue and customer service. In addition to that telcos can also consider selling their customer data to third party companies which will benefit from that data. Monetization of this telecom data generates a new stream of revenue along with its already existing traditional revenue stream.
ZZZZ Best was founded in 1982, by Barry Minkow who was 16 at the time. ZZZZ Best was a carpet cleaning business that was operated by going door-to-door. The business operated out of San Fernando Valley, Southern California in his parent’s garage. The business experienced drastic growth the first three years, bringing an income of no less than $200,000 however no more than $5 million. Prior to going public, ZZZZ Best experienced many struggles such as complaining customers, bank account closures, and bad checks. Therefore, in 1986, ZZZZ Best went public, the owner and his associates were millionaires immediately. Due to Barry’s immediate success he was sought after by many television networks. He appeared on Oprah and many other famous television shows. He sent a message to people that “the sky was the limit” and they could achieve anything. He was an attractive man and very charming. About two years after his appearance on Oprah, Barry was in prison serving a 25 year sentence, he was found guilty on 57 charges of security fraud. Once he was exposed, he was viewed as a fast talking swindler who took people’s money. Barry used his extensive social background to get what he wanted. He realized that his social connection could be used to his advantage. Many of his social connections came from the Los Angeles health club. One of his acquaintances, Tom Paige in particular was a claim’s adjuster, he came up with a scheme to use his relationship to his advantage. Barry created fraudulent insurance contracts to have proof of profit on paper to convince bankers to lend him money. Once he obtained loans he began to expand his business in Southern California. He used his falsified financial statements to attract wealthy indiv...
Lewicki, R. J., Saunders, D. M., & Barry, B. (2010). Negotiation: Readings, exercises, and cases. New York: McGraw-Hill Irwin
...d be in peril because Reliant could essentially control the prices of the product. Then sell it to potential Pacific clients, thus eliminating any future revenue streams. If Reliant insists that this is a deal breaker, then stopping or stalling the negotiations may be the only resort, because Pacific Oil needs to regain control the negotiation. This may allow another competitor to come in and make their pitch, but Pacific Oil cannot afford any more concessions nor can they afford to allow Reliant to take away potential customers or control their formula costs.
Barry gross is the founder and president of billcutterz.com Billcutterz.com was launched in May 2009 when Barry gross decided to pursue a business opportunity presented to him by a close friend. BillCutterz has been helping people save money on
This force states that the consumer base as a whole can bargain for what is considered to be a reasonable cost, and quality or quantity of services offered. (Lester & Parnell, 2006). When working in the health industry, patient or responsible party satisfaction become the essential part of performance. This is highly important because an organization must comply with their product or services that are affordable and competitive with others in their areas. They will lose business if they are overpriced or have a substandard operation. Porter’s five forces offer a framework and evaluation in the industry’s structure and it’s influence on the organizations (Lester & Parnell,
There are high entry costs to enter the market. The large industry competitors already have captured the market share.
Real Threat of New Entrants: Fed Ex, DHL, and TNT have capabilities in certain regions on par with UPS, but new entrants are unlikely to build such a globe-spanning infrastructure, then incur the expense of trying to steal share from these established networks.
Homeowners know that there are home service providers with excellent reputation. They can expect the best service. Definitely, they charge higher than less reputable ones. But, homeowners can rest assured that satisfaction is what they will get.
Lewicki, R. J., Barry, B., & Saunders, D. M. (2007). Essentials of Negotiation. New York: McGraw-Hill/ Irwin.
A few decades ago, businesses considered customer service as an unnecessary expense. Now, companies view it as a competitive advantage in the marketplace.
Advertising lies in the Promotion part of Marketing Mix, but it applies to all the other P's as well. Promoting one’s business is the key ingredient to making one’s business successful. Promotion, along with a great product, key placement, and a reasonable price, will help a marketer work his way to the top. Promoting does not mean leaving his advertising up to the word of mouth of his current customer.