marketing concepts,mobile phone industry

8/9/2019 marketing concepts,mobile phone industry

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Introduction

What is marketed in mobile industry?

In industry mobile phone, Land Line Phones, pagers, chargers, memory card etc.

Prominent players

Nokia LG

Samsung Apple

Sony Ericsson Motorola



NEED A ND WA NT



MISSION STA TE MENTSONYERICSSON

³Our mission is to establish Sony Ericsson as the most attractive andinnovative global brand in the mobile hand set industry.´

NOK IA

Everyone has a need to communicate and share. Nokia helps Peopleto full fill this need and we help people feel close to what matters tothem. We focus on providing consumers with very humantechnology ± technology that is intuitive, a joy to use, and beautiful.

We are living in an era where connectivity is becoming trulyubiquitous. The communications industry continues to change and

the internet is at the centre of this transformation. Today, the internetis Nokia's quest.



A NSOFF MA TRIX

Market penetration strategy

(CURRENT MARKET AND

CURRESNT PRODUCT)

Product development

strategy

(CURRENT MARKET AND

NEW PRODUCT)N-Series, E-series etc.

Market development

strategy

(NEW MARKET AND

CURRENT PRODUCT)

Diversification strategy

(NEW MARKET AND NEW

PRODUCT)

Eg. Nokia Siemens network

business, OVI internet

service



SW OT A NALY SIS OF NOKIA

Strengths

One of the most popular mobile Brand offering high

product quality.

Wide range of product and price.

Product warrantee worldwide.

Fashionable product ( serve new trend).

Global marketing (product)

Good distribution channels



WEAKNESSES

Higher price as compared to competitors

High supply chain cost



OPPORTUNITIES

Increase their presence in the CDMA market, which

they are just entering, as well as 3G and Edge.

New growth markets where cell phone adoption still

has room to go, including India and other countries. Joint venture in Technology.

± Nokia with NAVTEQ for providing Navigation

Technology.



THREATS

Looking mainly at the competition that are

taking away Nokia¶s market share.

Government legislations that hinder Nokia¶s

development as a company (total cost of 3Glicensing in Europe is 110 billion Euros).

Higher import charges.

Gray market Presence of CHINA MOBILE in India.



PRODUCT LIFE CYCLE



ENVIRONMENT FACTOR

POLITICAL FACTOR:

Nokia reported spending $5.4 mn on lobbying in theU.S. in 2007 and $2 mn on lobbying in 2008.

ECONOMIC FACTOR

Nokia had to change its functions from single market toglobal market due to collapse of Russian Federation.

SOCIAL FACTOR Nokia has been a member of the United Nations GlobalCompact since 2001.



TECHNOLOGICAL FACTOR

Changes in technology

LEGAL FACTOR

Patents and technology:

Health risk and regulation

ENVIRONMENTAL FACTOR

Environmental impact of suppliers products andprocesses Environmentally ethical considerationsamongst suppliers Life cycle impact of productsthroughout the supply chain.



INV OLVE MENT



MOBILE BUY ING PROCE SS

Total set Awareness set Consideration set choice set decision

NOKIA

LG

SONY ERICSSON

MOTOROLA

VIRGIN

SPICE

VID

EOCO

NONIDA

BOSS

CHINA

APPLE

NOKIA

LG

SONY ERICSSON

MOTOROLA

VIRGIN

SPICE

NOKIA

SONY ERICSSON

MOTOROLA

NOKIA

SONY

ERICSSON



TA RGET SEGMENTS

Communication-centric users

Information-centric users

Entertainment-centric users



PRICING STRETEGY Market skimming pricing: Sony Ericsson k-790i

cyber shot mobile was sold at Rs 16000 in 2007 while

now its current price is approximately Rs 8700.

Market penetration pricing: To gain market & fight

Gray market, to tap rural market

Optional product pricing: Accessory like Blue tooth

hands free, memory card of higher memory storage,

multi media speakers, car charger, carrying cover, car

holder, captive charger etc. e.g. Sony Ericsson



Allowances:

Nokia also offer cash allowances: By buying 1200 and 1208 get 50Rs

75Rs on buying 1650

100R

s on buying 2630 and 3110 200 and 250 Rs on buying 6300 and 5310

1 GB card free with N-72



SEGMENTED PRICING:

Entry level: (Rs 2,500-6,000)

Nokia: 3310,3315,5510,1100,1110

Classic Series: (Rs 7,000-17,000)

Nokia:6300,6233,6120,3120 etc Xpress music: (Rs 13,000-35,000)

Nokia: 5220, 5310, 5800, 5610, 5320

E-series: (Rs 18,000-60,000)

Nokia: N70, N73, N95, N96, N80, N81, N91

Premium series: (Rs 80,000-1,500,000)

8800Gold, 8800arts



Distribution Channel



Distribution cost:

2.7 per cent of the revenues for the half year

Nokia Regional Distributor (3 to 4 % )

HCL Distributor (2%)

RDSS [Re - Retailer distributor stockist] (2% )RDSS City & RDSS MD (2% &1%)

MD [micro distributor] (1% )

Retailer ( super market, malls, mobile next, mobile

store, hot spot ) [1%]

Nokia also sells Nokia mobile through franchisee.



Distribution through bundling offers:

Nokia handsets will be offered with a free

Airtel Prepaid SIM Card with validity options

ranging from 18 months to lifetime.

Distribution through CDMA player:

Nokia with TATA Indicom

Nokia with reliance

Samsung with TATA Indicom



Promotional Tools

Celebrity endorsement:

Nokia : Shah rukh khan, priyanka chopra

Samsung : Aamir khan

Sony Ericsson : Hrithik roshan

Motorola : Abhisekh bachan

Spice : katrina kaif

Nokia strategy for promotion is Eye level is buy

level.



EVENTS & EXPERIENCES

Sponsor of Kolkata knight Rider, IPL

Nokia football crazy

Nokia had signed on as the Official Sponsor of the

50th Annual Grammy Awards. Sony Ericsson is official sponsor of WTA tour.

SAMSUNG is also among the chief sponsor of IPL

2009.



SALES PROMOTION Sony Ericsson Mobile Communications has

launched a wide range of embedded Star Wars,

Spiderman 2-3, Jems bond 007 wallpapers and

ringtones in the selected handsets of Sony Ericsson

mobile phones.

NOK IA:

N73 mobile offer 2500Rs original Blue tooth Free

NOK IA 6220 offer leather Wallet

NOK IA 6300 offer caps and shirts



Public Relation N-gage.com for game lovers

Samsung fun club site for downloading wallpapers,

videos, ringtones etc.

Sony Ericsson has tied up with Star Television¶smobile interactive division µPlus¶ to pre-install its

portal on its phones. Which allows users to view the

synopsis of daily soaps and entertainment shows on

leading channels of the Star India network.

Doordarshan launched a mobile TV service for eight

channels that were made available by Nokia on its N-

series phones.

marketing concepts,mobile phone industry

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