Problem Statement

In May 2013, Adobe decided to stop selling its software as a package in favour of creative cloud
where consumers paid a monthly subscription fee. Within a few weeks thousands of consumers
signed petition complaining this decision. Now the company has to decide whom they want to cater
is it the creative people or the CMO’s whom they were earlier reaching indirectly.

Decision

Adobe should cater the CMO’s whom they were earlier catering indirectly

Justification

1) Adobe after the financial crisis started to think differently and think for the change that is
required by them to survive in the competitive future of digital marketing and it will provide
focus to their engineers and the sales team who worked hard for 4 years to launch CC.
2) Yes, there were people who signed petition against the decision but the no. were in
thousands and the people who were opting for subscription were in lakhs and also they
were increasing every year (Table-b). so, it can be concluded easily that the people are liking
the change. And initially customers resist change but they can be convinced
3) The people filling petition offers small business as compared to the CMO’s so monetary wise
the company will be really benefitted in the near future.
4) CC is also far more creative and offers better as compared to CS. CC can be used to store,
sync and share.
5) As the digital consumers are increasing which demands change and innovation so CC is
better.
6) Percentage of revenue from subscription was 15% in 2012 as compared to 11% in 2100 and
10% in 2010 (Exhibit 3b).