Analysis of Durhamlane’s Spanish Market Niche

Durhamlane: Sales Transformation Consultancy

Durhamlane is a sales transformation consultancy. The corporation offers expert counsel to organizations to maximize on revenues and profits by cultivating robust customer relationships through inculcation of unflinching focus on sales performance. Durhamlane assists organizations become more effective by improving on delivery on people, processes and operations as well as managing outsourced campaigns, which creates new business opportunities. The key facets of specialty include sales strategy, process designs, sales training and coaching programs, business development outsourcing, sales technological solutions, graduates recruitment, market intelligence, building, cleansing data and sales recruitment. The research paper will advise Durhamlane on how the firm should develop and penetrate Spanish market niche. The study will include an analysis of suitability of services offered towards betterment of human resource. Research will present an analysis of digital disruptive opportunities capable of channeling sales to a global level.

The Company’s Current Situation

Significant strides have been made by Durhamlane in offering consultancy services including sales and non-sales personnel training. Technology serves as a backbone that enables integration of the firm’s core offerings. Augmenting the outfit’s footprint and new business support for the firm’s diverse clients is enabled through delivering outsourced sales and business development services. The company is endowed with capacity to provide audits on sales through an analysis of organization’s position, goals and aspirations. Through scrutiny, the company provides suitable recommendations designed to revamp a client organization’s sales performance. Durhamlane accords sales training courses and programs that deliver sales coaching to develop staff ultimately improving the intended outcomes. Training takes the form of workshops or via online from a professional viewpoint. Organizations reap from creation of business opportunities and leads through market intelligence at every stage of business development though focus on key clients positioning. According to Rodriguez and Nollenberger (17), there exists evidence of commitment to excellence in sales profession at a global level, which denotes high-level proficiency, credibility and intelligence towards ensuring that customers obtain the right and quality goods and services to meet diverse needs.

The External Environment (Spain)

Castellaci (183) delineated that the Spanish economy ranks fifth in Europe and the fourth largest in the euro zone founded on nominal GDP statistics. The United Nations in terms of Human Development and GDP also ranks Spain in 25th position per capita. World Bank statistics as illustrated by scholarly research by Angus (43) elucidated listed Spain on 28th position globally. Spain is a high-income country categorized amongst countries with high levels of human development. In accordance to the Economist, Spain has the world’s 10th peak superiority of human life. Regarding analysis of its economic market, scholarly evidence unraveled that there occurred an economic crisis from 2007 to 2008 owing to an economic recession (Castellaci 184). The scenario inflated employment rates to a quarter of the human workforce leading to a total retraction in terms of aggregate economy. However, Castellaci (184) explains that the situation improved between years 2013-2014 where the country made successful strides in eradication of trade deficit consequently attaining a level of surplus, which strengthened during 2014 and 2015. In 2015, Castellaci (185) expostulated that the Spanish economy growth ranked the highest in Europe; the same was sustained in 2016 where it grew with a rate double the normal growth in the Euro-zone. In reference to Angus (45), there occurred an economic boom in Spain between 2013 to 2017 consequently leading to a significant rise in employment during the same fiscal period. In terms of human work force, there exists a prospect of millions regarding labor force working for the grey market in the unemployed segment. There are numerous opportunities of Durhamlane in Spanish from the performing economy. Stability of the economy reveals balance in the forces of demand and supply and inflationary forces are at a balance (Harris 915). Likewise, stability in the human work force in terms of employment opportunities makes the services offered by the organization suitable for the market. Durhamlane can work to ensure that the available human resource gets the right technical training to meet the disruption in the business models and technology. There is an opportunity to develop leaders capable of outsmarting the changing patterns at a global level. Similarly, it is an opportunity to discover more opportunities for investment in the various sectors of the economy.

The Findings of Desk Research Undertaken in Relation to the Country Market Including Competitor Analysis

There exists a strong competition force on operations in Spain springing from increased investment in training courses in management and leadership, administrative skills and teamwork. Desk research revealed that the sector has revolutionized the human resource sector in Spain by delivering world class exerts in respective fields (Harris 915). Training courses availed by Durhamlane will equip client employee’s on how to display confidence in their leadership tools. Amidst the competitive nature in Spain, Durhamlane can acquire an edge by availing best practices to firms on need to work in teams to realize the desired objectives. Such courses have occasioned the springing of competition owing to rising training demand by firms in Spain which is suitable for growth and development of human resource function. Durhamlane must innovate by providing technical skills to overcome the challenge.

Identification of Target Markets

Tourism Sector

Spain ranks the second- biggest player globally in terms of foreign tourist industry. Surveys in 2015 by the World Economic Forum listed the country’s tourism sector as a global player and contributor (Hidalgo and Maene 34). During the financial year, Spain remained the third most-visited country across the globe. Hidalgo and Maene (35) noted that the highest record was in 2016 where Spain hosted 75.3 million visitors with the size of revenue earned from the sector amounting to a total of $77 billion in 2016. Hidalgo and Maene (35) affirmed that the sector plays an integral role to Spain not only in terms of revenue but also as a form of employment for 2 million people. Madrid Spain is a global host for the World’s tourism organization. Tourism provides numerous opportunities for Durhamlane in various aspects. In this sector, there exists dire need to invest in service quality to fulfill expected utility levels for customer satisfaction. Likewise, the sector needs to revolutionize with changes in technology. Durhamlane can invest in effective training of employees in Spanish Tourism firms to offer service quality to enable meeting of dynamic demands in consumer behavior and trends. Durhamlane can also grab the opportunity and invest in technology as a way of disrupting conventional tourism by changing traditional operations through effective digital solutions capable of streamlining market in the Spanish tourism sector (Hidalgo and Maene 39).

Infrastructure

In a recent edition of “Global competitiveness” report, Spain ranked position 10 based on most developed infrastructure (Harris 916). Mate and Harris (916) acclaimed that in European Union countries, Spain was listed fifth in terms of infrastructure classified in terms of high-speed rail, with the second lengthiest systems in the world. Other available opportunities exist courtesy of existence of Port of Valencia, cited as the most industrious seaport in the Mediterranean amongst other ports, which are well ranked globally. Quality infrastructure presents adequate room for Durhamlane to promote the Spanish industries through offering expert advice to capacitate firms towards maximizing on sales and effective employee training.

Technology

In terms of innovation, Spain leads the pack in terms advanced technology, IT and telecom technologies which are integrated in multiple sectors. Espana (21) explained that in terms of digital penetration, more than 33,000 ICT companies constitute digital companies that have employed over 47,000 technicians in their operations. Spain has featured as one of Europe’s most important and strategic ICT markets. Castellaci (185) explained that regarding network distribution, statistics expostulate that almost 99% of all Spanish companies having more than 10 employees also have an ingrained seamless internet connection. Espana (23) expostulated that concerning households, 90% utilize broadband, with 95% of consumers having an uninterrupted access to 4G network. Strategies are underway to expand ultrafast broadband connection. In Spain, over 120,000 stations guarantee mobile network telecommunications; hence, Harris (918) explicated that mobile distribution is also a significant digitalization factor where penetration of mobile telephone lines exceeded 110%. Analysis undertaken in households revealed that 78% have computers with 83.4% having at least stable internet connectivity (Espana 25).

Scrutiny of the public sector showcased a remarkable integration of digital services in the Spanish public sector including level of modernization in government, healthcare, transport and energy sectors. According to Espana (27), Spain is on the lead in Europe following garnering of 0.72 points higher than the average of 0.55. According to Espana (31), the exponential growth in Spanish internet connection is also attributed to the fact that Spanish language is the second most spoken dialect embraced by over 400 million native speakers. Language is core not only in business sector but also to a nation’s economic growth. Notably, the high level of digitalization in Spain plays an integral role in creating vast opportunity for Durhamlane to enhance more digital disrupt solutions in other sectors including the Spanish health sector, transport and industries.

Customer segmentation and information in relation to the customer segments in the chosen market

Rodriguez and Nollenberger (29) affirmed that Spain has 46 million people with 12% of the total being immigrants. In terms of rates of un-employment, Spain accounts for 4 million unemployed people; statistics propound that there is a remarkable availability of skilled workers segment with high chances of employment but lacking a standard pay (Rodriguez and Nollenberger 32). Rodriguez and Nollenberger (32) attested that there is a double rate of increase on graduates in different skills, hence making the Spanish human resource market flooded. The INE has created strategies to encourage more companies to hire. Measures have been implemented to employ permanent and temporary workers to increase the rates of revenues and taxes. There are numerous opportunities available for Durhamlane. Increase in the number of graduates in different sector creates the suitable market to establish graduate trainee programs that will equip them with the skills. Such strategies will enable graduates understand the market and acquire skills that will aid them navigate the industry’s future trends. The graduates will also train on how to be innovative to fill the market gaps through disruption both in academia and technology.

Product / service suitability / proposed adaptations

One key strategic strength that Durhamlane prides to have in Spain is in technology and tourism sectors. The endowment makes pragmatic services offered by Durhamlane including training, recruitment and outsourcing in many diverse and disruptive ways. For instance, the tourism sector is heavily reliant on service quality as the key source of comparative advantage where key players must invest in customer-centric measures that meet increasing customer needs. However, in the tourism sector, different customers have varying level of expectations and utility, which creates need for proper training to meet global demands. Tourism sector is a key player in Spain, hence makes the service suitable. Mate and Harris (25) argued that in terms of technology, Spain is on the lead in innovation and digitalization of all services including the public sector. The gap serves as an opportunity for even more disruption and innovation in not only training and recruitment but also outsourcing. Outsourcing stands to enable Durhamlane partner with other global players to channel more opportunities for disruption in Spain. Spain has experienced increased graduates flow in different sectors of its economy. The job seekers require a suitable body such as Durhamlane to offer effective train on organizations skills and expectations, to shape and prepare graduates for the industry. The need presents a viable opportunity for Durhamlane to collaborate with organizations to train and recruit graduates in their relevant fields. Some of the most effective adaptations capable of enabling Durhamlane invest in Spain include investing in Corporate Social Responsibility(CSR) strategies where the firm can give focus to the external community through which it operates. Projects in the sector include green energy solutions; education initiatives to support the disabled and health and disease awareness program. Durhamlane should cultivate a good reputation with community in Spain to increase the customer’s base. In addition, investing in green energy solution would promote environmental outcomes, hence attracting quality partnership with the government in its projects. Espana (34) affirmed that CSR activities serve as suitable sustainability measure for integration as part of the service package for firm such as Durhamlane in all its operations.

Brand Positioning

Some of the most potent tactics that would enable Durhamlane secure build brand in Spain include quality partnerships with other service providers including trainers or lead experts in outsourcing. For instance, some of the most worthwhile partnerships that have channeled success in previous years include Connect Yokshire as its official training partner and the TechUK. Fruition in the Spain market will be dependent on ability to onboard more people and partners for mutual benefits to enable the organization diversify its capabilities to meet the needs in Spain and realize its objectives. Another efficacious strategy that would enable Durhamlane expand its position is through acquisition. In this sector, Durhamlane should enact strategies to extend and expand its knowledge base on specific Spain market to address the real needs in the country, different from any other country. Leadership development is a tactic embraced by ThinkFreer organization targeting leaders to manage the digital revolution and make the most of opportunities existing in such type of disrupt. Adoption of a similar strategy is a key tool in brand positioning owing to its capability to communicate to business leaders on the likelihood of channeling innovation to a greater level through partnership with Durhamlane. In such a scenario, the organization will be obliged to address real needs in Spain through disruption.

Market entry mode

The most suited entry strategy for Durhamlane to enable penetration is Foreign Direct Investment owing to diversity of its operations. Spain is a green investment arena following the fact that Spanish government has increased regulation at all levels and augmented inducements in a struggle to lure more foreign firms and investors. In recent years, such incentives were rewarded to foreign investors to spur establishment of industrial procedures in less developed areas. The Spanish law favors Durhamlane courtesy of the permission that paves way for foreign investment of up to 100 percent of total equity (Espana 37). Superlative business communication skills with the Spanish government serve as a suitable investment opportunity, to enable Durhamlane obtain a permit to operate directly in the Spanish economy. Espana (41) presented substantial evidence that large government and private sectors are more confident in dealing with other established and well-renown reputable administrations recognized as lead outfits in the specific sectors. The stipulations give remarkable evidence proving that FDI is the most suitable strategy that can enable Durhamlane build quality partnerships and market its services throughout Spain.

Distribution Channels within the Country

Durhamlane is a result oriented organization, which embarks on contracts to help organizations achieve predetermined objectives. The outfit has succeeded through trusted partnerships with companies like Xero, Sage, HP, Repknight and Symantec. There is a sustained reputation regarding making a remarkable difference in business growth. Trusted and effective partnerships qualify as the most effective distribution channels in its line of business for Durhamlane to ensure that organization’s needs are addressed satisfactorily. The partnerships will pave way for expansion of organization strategic networks to anchor company growth. Digital disruption will equip Durhamlane to create a digital disruption center to network and offer quality services and communication to its clients. In such a platform, effective management will play a key role in availing business needs through analysis to attend to clients (Castellaci 189). Implementation strategies can be communicated directly to clients and leaders. However, other operations including training and coaching demand crafty arrangement by the organization to address identified needs within required span and expectations. However, the expressed objectives are achievable through effective and well-planned partnerships.

Pricing

Pricing plays a pivotal role in any organization. Since Durhamlane is a service sector, prices are reliant on type of service offered to client organizations. However, different outfits have varying needs. Also, the service scope differs depending on type of industry. Durhamlane must undertake a keen evaluation regarding its pricing strategies to accommodate diverse needs in different clients considering scales of work. For instance, the human training is different from outsourcing. According to Harris (941), standard costing however can be employed to standardize revenues earned by the organization to avoid any negative perception owing to bias. For instance, regarding recruitment and training, a fixed price is suitable regardless of team size. However, concerning outsourcing, different organizations present varying products, which call for marketing strategies disruption and hence demand adequate financing. In reference to outsourcing, the organization may price according to performance index. The index will take into account factors including size of the firm, product type and prices, and marketing costs of the outsourced venture.

Marketing communications

Utilizing digital marketing tools will serve as a strategic tool for Durhamlane. Such tools prove effective by taking advantage of marketing skills on a global internet network (Harris 943). The firm can utilize tools such as ads on specific websites, video marketing, information sharing through web platforms and email marketing. Deployment of the identified means will raise awareness in the Spanish target market by addressing and informing a wide network of potential clients on services offered by Durhamlane.

Risk

One key vagary that may directly affect Durhamlane is FDI risk associated with investment in a foreign market. Castellaci (187) outlined that Spain has been recovering from a period of economic recession in the past years. Though the economy is still stable, Spain still faces risk of uncertainty to any potential investor intending to make a venture. Likewise, increased governmental regulation serves as a challenge towards market entry in Spain. Durhamlane may contend with risks linked to face stiff competition force from other service providers. There exists a dire need to invest technical expertise to grab available opportunities in Spain and create a formidable customer base.

Potential rewards

There will be increased growth in terms of clients and revenues earned ultimately maximizing Durhamlane profitability level. A strong focus on maximizing sales through training and investment in human resource is a crucial tool capable of enabling the organizations capitalize on delivery. Mate and Harris (29) explined that investment in technology would uplift the organizations towards venturing in disruptive opportunities that are likely to change businesses through innovation.

Marketing budget

According to Harris (948), a marketing budget is a vital part in any organization. Financial outline will give Durhamlane an overview regarding costs linked with carrying out promotions including publicizing, online content, branding. The organization must carry out budget estimation regarding the following services.

Staff/personnel

Sales support

Advertising

Public relations

Research

Corporate Social Responsibility

Costs of taxation in Spain

Miscellaneous

Conclusion

The study has presented sufficient evidence and advice to Durhamlane regarding aspects of international marketing, penetration and development in Spain. One key considerations that will channel more opportunities for Durhamlane in Spain include investment in innovation. Provision of more disruptive solutions will revolutionize all aspects of outsourcing and marketing. Effective training and recruitment will enable organizations maximize on production and profitability by recognizing the need to invest in human resource function which plays an integral role in organizations. Digital and technological innovation accord a wide range of opportunities for Durhamlane acquire an expanded client base

Works Cited

Angus. Development centre studies the world economy historical statistics: historical statistics. OECD Publishing, 2003.

Castellaci , F. “Closing the technological gap?” review od developmental economies 2011: 180-197.

Espana, Gorbieno De. ”Spanish innovation Strategy .” 2016.

Harris. ”Models of regional growth, past present and future .” journal of economic surveys 2011: 913-951.

Hidalgo and Maene . ”The nature of Spain’s international cultural tourism throughout the Economic crisis(2008-2016).” economics 2017.

Mate and Harris . ”Differential empirical innovation for Spain an the UK.” 2014.

Rodriguez , Nuria and Natalia Nollenberger . ”Labor market integration of new immigrants in Spain .” IZA journal of labor policy 2016.