Wordperfect Corporation Enters Home Computer Market with 25 Software Products

Strategic Insights -

The Wordperfect Corporation has announced the introduction of 25 software products, aimed at the fast-growing home computer market. The new line of products, called Main Street, will compete directly with Microsoft Corporation's software titles for the home market. The push into the home market has been in the works since before merger talks began with Novell Inc., and Wordperfect is increasing its presence in retail and computer stores.

Key Takeaways:

  • Wordperfect plans to introduce 25 software products, including children's titles, home-office programs, and CD-ROM player titles, to compete with Microsoft Corporation's software titles.
  • The company aims to reach $150 million to $175 million in annual sales from its consumer products business by 1996, representing about 15% of its total revenues.
  • Wordperfect has signed up approximately 3,300 stores in the United States to sell its new products, a significant increase from the 2,000 stores before the merger with Novell Inc.
  • The company has hired a cartoonist from The New Yorker magazine to create the package design for the new titles and plans aggressive in-store merchandising and innovative marketing events.
  • Wordperfect will announce a deal with the Walt Disney Company to sell games in Europe featuring Mickey Mouse and Roger Rabbit characters, with the potential for a larger deal in the future.
  • The company had revenues of $700 million in 1993.
  • Wordperfect will go head-to-head with Microsoft Corporation's Creative Writer and Fine Artist programs for children aged 8 to 14.

Statistics:

  • 25 software products to be introduced by Wordperfect Corporation.
  • $150 million to $175 million: the annual sales goal for Wordperfect's consumer products business by 1996.
  • 15%: the target percentage of total revenues from consumer sales by the end of 1996.
  • Approximately 3,300 stores: the number of retailers signed up to sell Wordperfect's new products in the United States.
  • $700 million: Wordperfect's revenues in 1993.
  • 2,000 stores: the number of retailers signed up to sell Wordperfect's products before the merger with Novell Inc.

Sources:

  • "Novell to Acquire Wordperfect in $1.4 Billion Stock Swap" (March 21, no year mentioned)
  • Wordperfect Corporation press release regarding new software products and retail presence.