Business Analysis of Timken Company
The Timken Company is a global leader in three complementary product and service lines: tapered roller bearings, needle roller bearings and alloy steels. In 2002, it became a $3.8 billion company with operations in 29 countries. It is headquartered in Canton, OH. (but notice where it started).
Timken is a classic business-to-business marketing example because all its products and services are purchased by other organizations for use in their operations or as components in the products they manufacture and sell. Timken serves a number of major industries, including automotive, rail, mining, construction, agriculture, oil and gas, pulp and paper, rolling mill (steel, aluminum), power generation, semiconductor, medical, and aerospace (commercial and military aircraft, space shuttles, satellites, missiles).
The keys to marketing success in Timken are innovative customized solutions to customer needs, value-added products (bundling), customer service (bearing maintenance and repair, e-business strategies), and quality. The video also features a discussion of Timken’s brand management and presentation strategies.
After reading Chapter 6 and watching “Business-to-Business Marketing at The Timken Company” .mpg file attached, answer the following questions and submit your responses via the assignment link above.
- How would you describe Timken’s customers? How do they differ from end-users?
- How does the marketing mix for Timken differ from a consumer products company like Pepsi Cola?
- How would you characterize Timken’s marketing strategies over its history?
For evaluation information, please review the Case Study Rubric located in the Course Information folder. Refer to the Syllabus for specific due date information.
- Timken’s customers are primarily businesses and industries that use their products as components in their own manufacturing processes. These customers are referred to as B2B customers. They differ from end-users in that they do not purchase the products for their own personal use, but rather to incorporate them into their own products or processes. End-users, on the other hand, are individuals or organizations that purchase products for their own personal use.
- The marketing mix for Timken differs from a consumer products company like Pepsi Cola in several ways. Timken’s focus is on selling components and products to other businesses, while Pepsi Cola sells products directly to consumers. Timken’s marketing efforts are targeted at the specific needs of their B2B customers, such as product performance, reliability, and availability, whereas Pepsi Cola’s marketing efforts are focused on appealing to consumer preferences and tastes. Additionally, Timken’s sales process often involves personal relationships with customers, while Pepsi Cola relies more heavily on mass advertising to reach consumers.
- Timken’s marketing strategies have evolved over its history. In the early days, the company relied on word-of-mouth and personal relationships to sell its products to customers. As the company grew, it developed more sophisticated marketing techniques, including the use of trade shows, advertising, and market research. Today, Timken continues to focus on building strong relationships with its customers, while also leveraging digital marketing tools to reach new customers and promote its products. Additionally, the company has a strong commitment to product innovation, and invests heavily in research and development to stay ahead of the competition.
