VALUE BASED

SEGMENTATION

By Group F:
Jeevan Upreti, Manish Verma,
Prashant Sinha, Priya
& Rohan Kumar
Definition: Value-based segmentation process
identifies customers willing to pay more for a
particular service that they perceive has a greater
value.

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Value Based Market Segmentation Process
Determine Basic Segmentation
01 criteria

Identify Discriminating Price

02 Drivers

Determine Operational
03 Constraints & advantages

Create Primary & Secondary

04 segments

Create Detailed segment

05 description
3

Develop segment matrix and

06 fences
Value Based Market segmentation of
G Suite vs Google Apps

4
Value Based Market Segmentation Process
Determine Basic Segmentation
01 criteria

Identify Discriminating Price

02 Drivers

Determine Operational
03 Constraints & advantages

Create Primary & Secondary

04 segments

Create Detailed segment

05 description
5

Develop segment matrix and

06 fences
Personal Use

VS
Business Use 6
Value Based Market Segmentation Process
Determine Basic Segmentation
01 criteria

Identify Discriminating Price

02 Drivers

Determine Operational
03 Constraints & advantages

Create Primary & Secondary

04 segments

Create Detailed segment

05 description
7

Develop segment matrix and

06 fences
 Discriminating Value Drivers
q Google Drive, G- Document &
Business Gmail lead the
differentiation Feature

q Data Loss Prevention & Security

& Compliance are in the enterprise
section

q None of the feature coming in the

trash land signifies that everything
being offered drives value

X Axis - Value
Y Axis – Willingness to Pay 8
 Discriminating Value Drivers
Monthly WTP per user

IT Decision Business Business Non Solo 2 to 10 11 to 25 26-50 51+

Maker Decision Maker Decision Maker
Role Team Size

q IT Decision maker Enterprise is spot on q Solo price right on the spot

q $10 professional & $5 basic G-Suite is underselling
q Business decision maker & non decision maker are
willing to pay twice the price
q Some flattening is observed between 2-10 & 11-25
team size
q 26-50 & 51+ team size shows the willingness to pay
higher signifies that the enterprise pricing can be 9
increased without loosing customer
Value Based Market Segmentation Process
Determine Basic Segmentation
01 criteria

Identify Discriminating Price

02 Drivers

Determine Operational
03 Constraints & advantages

Create Primary & Secondary

04 segments

Create Detailed segment

05 description
10

Develop segment matrix and

06 fences
 Determine Operational
Constraints and Advantages
Advantages Disadvantages
◎Cloud server economy of scale from search ◎Google products not identical to Microsoft
business. Enterprise Products.

◎Best search algorithm for cloud storage
management.
◎Mass adoption of Android ecosystem for cross
platform collaboration.
◎Cloud Business model suitable for rising trend
of SaaS.( Software as a Service)
◎No compatibility with existing macros automation,
since google products are hosted and not run on
local machines.
◎Poor ecosystem integration with IOS.
◎Only works with internet.
◎Data privacy issue with add revenue business
model.

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Value Based Market Segmentation Process
Determine Basic Segmentation
01 criteria

Identify Discriminating Price

02 Drivers

Determine Operational
03 Constraints & advantages

Create Primary & Secondary

04 segments

Create Detailed segment

05 description
12

Develop segment matrix and

06 fences
 Create Primary and Secondary Segments

Private/ Personal Business Segment

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 Free Paid
Basic Business Enterprise
Free Rs 125/per user/ mon Rs 672 /per user/mon Rs1599 /per user/mon
Individuals new Business Small to Mid Size Business Large Business
Gmail Business email through Gmail Business email through Gmail Business email through Gmail
Video and voice conferencing & Video and voice conferencing & Video and voice conferencing &
Video and voice conferencing
Recording Recording Recording
Smart shared calendars Smart shared calendars Smart shared calendars Smart shared calendars
Documents, spreadsheets, and Documents, spreadsheets, and Documents, spreadsheets, and
Smart shared calendars
presentations presentations presentations
24/7 support by phone, email, and 24/7 support by phone, email, and 24/7 support by phone, email, and
Email online online online
Security and administration controls Security and administration controls Security and administration controls
Security
Unlimited cloud storage (or 1TB Unlimited cloud storage (or 1TB
15GB cloud storage 30GB cloud storage
per user if fewer than 5 users) per user if fewer than 5 users)
Archive and set retention policies for Archive and set retention policies for
emails and chats emails and chats
eDiscovery for emails, chats, and eDiscovery for emails, chats, and
files files
Audit reports to track user activity Audit reports to track user activity
Data loss prevention for Gmail
Data loss prevention for Drive
Integrate Gmail with compliant 14
third-party archiving tools
Enterprise-grade access control with
security key enforcement
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Gmail log analysis in BigQuery
Value Based Market Segmentation Process
Determine Basic Segmentation
01 criteria

Identify Discriminating Price

02 Drivers

Determine Operational
03 Constraints & advantages

Create Primary & Secondary

04 segments

Create Detailed segment

05 description
15

Develop segment matrix and

06 fences
 Create Detailed Segment description
Private/ Personal Business
◎ Consumers using Android Phones. ◎Small Business ( Less than 5 Users) &
freelancers.
◎Consumers using chrome book.
◎Medium sized business with employees in
◎Consumer using chrome browser hundreds.

◎Consumer using competitor email client
◎Consumer using free Microsoft office suite on
Android/Windows /IOS
◎Businesses with flexible work location
◎Business with cloud integration and SaaS use
◎Enterprise using competitor product Microsoft
office suite.

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Value Based Market Segmentation Process
Determine Basic Segmentation
01 criteria

Identify Discriminating Price

02 Drivers

Determine Operational
03 Constraints & advantages

Create Primary & Secondary

04 segments

Create Detailed segment

05 description
17

Develop segment matrix and

06 fences
 Create Detailed Segment description
Private/ Personal Business
◎Individual registration with verification requiring ◎Cloud storage limited to 1 Tb/user for business
mobile no mandatory to use google product. up to 5 user. Basic plan with 30 Gb. Unlimited for
users more than 5.
◎All android users by default have to register.
◎Smart search across G Suite and Cloud Search
◎All chrome book users need to register. not available in Basic plan.

◎Single user can only register once with mobile
verification for google products.
◎Free limit of 15 Gb cloud can only be increased
post subscription for heavy users
◎Data loss prevention across suite only available
in top tier plan as it is more relevant for big
businesses.
◎Email client without add and domain name only
on subscription.

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Feature G Suite (56.97%) Office 365 (42.63%)
Pricing Basic - $5 / user / month Business Essentials - $6 / user / month
Business - $10 / user / month Business - $10 / user / month
Enterprise - $29 / user / month Business Premium - $15 / user / month
Enterprise Plans starting from $8 / user / month
with annual commitment

Cloud Storage 30 GB 1 TB for all plans

Unlimited (1 TB for less than 5 users) 50 GB email storage

Apps Docs, Sheets, Slides, Keep, Calendar, Hangouts, Gmail, Photos Word, Excel, PowerPoint, OneNote, Outlook

Ease of Use Better admin controls Better Desktop Apps

Better web and mobile apps

Collaboration Live multi-user editing Live multi-user editing

Hangouts for video conferencing and texts Skype for Business (available only with Business
Google Voice for phone calls and SMS Premium or Enterprise plans)

Security Secure professional business email Secure professional business email

Google's cloud security protection Microsoft's cloud security technology
Two-Factor Authentication Multi-Factor Authentication
Data Loss and Leak Prevention Data Loss and Leak Prevention
Built-in spam, virus, and unusual activity detection Built-in spam, virus, and unusual activity detection
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 Thanks!

Any questions?
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