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- 2. • 1865 – The Beginning • 1968 – The move to Tele-Communication • 1992 – Strategically repositioned to Business Communications • 2002 – The launch of the first 3G phone • 2011 - Nokia today
- 3. • Nokia net value is £36.7 million (Nokia, 2011) compared to Samsung’s £6.6 billion (Samsung, 2011) Market share •Mobile Communication Vs. Smartphone 9% 4% 31% Nokia 6% Samsung Sony Ericsson 6% Apple LG 8% Blackberry Motorola Others 15% Source: 21% Mintel, 2011
- 4. Smartphone industry is still in its growth stages Projected Life cycle Nokia is currently at its growth / maturity stage as its rapidly loosing market share Introduction Growth Maturity Decline
- 5. Political Economical Licensing of technology Recession PDI has slightly increased (Mintel, 2010) Socio-cultural Technological Strong brand penetration The integration of Microsoft (Mintel, 2011) into the Nokia handsets Technology savvy mobile Advent of 4G
- 6. Strength Weaknesses Brand power Lack of styling Global market Cost cuts Market share Weak transfer into smartphone market Threats Opportunities Popularity of other smartphones Innovations into 4G market Late in the game Partnership with Microsoft 18% slump in shares Source: Mintel, 2011
- 7. From From £519.00 Galaxy S2 Nokia N8 £419.95 Source: Carphonewarehouse, 2011
- 8. Mobile devices Tech. Networks Technology Brazil, China, Finland, GB, China Finland Hungary, India, Mexico, R Germany omania, South Korea India Penetration into 50 countries worldwide
- 9. ATL (Picktion & TV Radio Outdoor cinema posters Broderick 2005) Nokia Samsung Through the Line BTL (Picktion & PR WOM E-WOM E-Marketing sponsorship Broderick 2005) Nokia Samsung
- 10. Samsung Galaxy 2 (TV Advert) Nokia N8 (TV Advert)
- 13. • A product which caters to individual needs • Price and features of the phone • High bargaining power
- 14. Targeting Positioning • Mainstreamers • Trust / Loyalty • Aspirers • Brand power • Succeeders Segmentation • Geographical •Demographical •Psychographical •Behavioural
- 16. Increase awareness of the Nokia N8 handset Refresh and create a lasting impression in the minds of existing and potential buyers Reposition Nokia as a more cool stylish and fun brand as well as trusted Increase sales figures from -0.7% (Mintell, 2011) to 0.5%
- 17. The improved campaign will run across 6 months starting from late November 2011 in time for Christmas Budget = £5 Million with a 2% extension if needed Agency fee = 7% with 3% bonus if the campaign is successful
- 18. Let’s get Connecting! Feel free to ask any questions?
- 19. Carphone Warehouse, 2011. Carphone Warehouse. [Online] Available at: http://www.carphonewarehouse.com [Accessed 29 October 2011] Mintel, 2011. Companies and Products. [Online] Available at: http://0- academic.mintel.com.lispac.lsbu.ac.uk/sinatra/oxygen_academic/search_results/show&/display/id=54519 9/display/id=563179?select_section=563180 [Accessed 29 October 2011] Mintel, 2011. Mobile Phones and Network Providers - UK - January 2011. [Online] Available at: http://0- academic.mintel.com.lispac.lsbu.ac.uk/sinatra/oxygen_academic/search_results/show&/display/id=54519 9/display/id=563172/display/id=563181#atom3 [Accessed 29 October 2011] Nokia, 2011. Story of Nokia. [Online] Available at: http://www.nokia.com/about-nokia/company/story- of-nokia [Accessed 29 October 2011] Samsung, 2011. Samsung Electronics Announces Fourth Quarter & FY 2010 Results. [Online] Available at: http://www.samsung.com/us/aboutsamsung/ir/financialinformation/earningsrelease/downloads/2010/201 04Q_Earnings_Announcement.pdf [Accessed 29 October 2011]
Editor's Notes
- Nokia Mission Statement is simple, Connecting people! Plus peoples names Rodrigue
- Nokia began its journey in 1865 with Fredrick Idestam, in 1968 it integrated into the telecommunications market, to later become one of the worlds leaders in innovative mobile phones targeting business communications.. 2002 marked Nokia’s release of the first 3G handset which would soon set new standards for mobile phone makers. Today Nokia has found this success very hard to merge with the Smartphone market as they are failing to compete with the likes of Samsung. Natasha
- http://0-academic.mintel.com.lispac.lsbu.ac.uk/sinatra/oxygen_academic/search_results/show&/display/id=545199/display/id=563172/display/id=563181#atom3http://www.nokia.com/about-nokia/company/story-of-nokiahttp://www.samsung.com/us/aboutsamsung/ir/financialinformation/earningsrelease/downloads/2010/20104Q_Earnings_Announcement.pdfNokia prides itself as the most popular mobile brand, owned by approximately one in three mobile usersEnjoying a 31% market share. Nokia’s net value is 36.7 million compared to Samsung’s 6.6.However as of yet Nokiahas not been ableto fully transfer this success to the Smartphone sector, Compared to their rivals Samsung,. Natasha
- As we can see from the PLC the Smartphone industry is still in its growth stage, however with recent sales figures Nokia are finding themselves slowly approaching maturity stage with the lack of handset sales.
- Political - Patent laws surrounding the Smartphone industry Economical - Recession has forced the closure of its plants around the world, however according to Mintel reports there has been a slight increase in personal disposable income. Socio-cultural – Nokia has a strong penetration in the market. Smartphone’s are also continuously rising in sales due to young people seeking technologically savvy mobiles looking for pocket PC type devices. Technological – Nokia has integrated its with Microsoft software's. Technological advances in introducing 4G into smart phones. Ummaima
- Strength – The strength of Nokia lies in its brand power and its spread in the global market, this is also evident In its market share. Weakness - Nokia’s weaknesses is caused by its failure to compete with the likes of the Samsung Glalaxy S, Nokia cost cutting plans in a bid to save the company resulted a weak infiltration into the smartphone market. Opportunities – The development of 4G and Nokia’s partnership with Microsoft poses 2 of its biggest opportunities..Threats – Nokia’s late entry into the Smartphone market, made it unpopular amongst other smart phones. Causing an 18% slump in share. Ummaima
- http://www.carphonewarehouse.comBoth phones offer customers more or less the same thing, however Saumsung does give a little extra but that is shown in the extra premium that you have to pay for it. Nokia handsets are more reasonably priced for the specifications provided.Natasha
- As you can see Nokia has a distribution channel in around 50 countries selling in major shops such as the carphonewarehouse, and even online on websites such as Amazon.comNatasha
- ATL – this is generally described as mass paid mediaTTL – this is marketing communications which span both ATL and BTL communications together to get synergy where 2 + 2 = 5 BTL – This is marketing that is not commission paying media.
- This slide is about ATL promotion, we will first look at adverts both Samsung and Nokia have implemented. As you can see the advert Samsung have made show off their phone more of a handy tool which is necessary for every day life and also for everyone to use by relating it to this man organising a breakfast for his girlfriend, which appeals to the majority of people. Whereas the Nokia advert has a blind man using the camera on a Nokia N8 to take a photo of a rollercoaster as well as getting his picture taken with two girls, this appeals to the minority of people as not many will be able to relate to how the phone can also help them in their day to day life. The Samsung advert is more useful showing off various functions and uses for the phone where as we feel that the Nokia advert fails to deliver that. Rodrigue
- Again as we can see from these outdoor adverts, Samsung are stronger in communicating their message more effectively to its consumers managing to highlight more than one of it features and capturing their attention with this. As the saying goes a picture tells a million stories and with the Samsung we genuinely believe that they accomplish this. Whereas in Nokias case we feel that the miss is by miles, there is no thorough message communicated to its audience, the phone is not even in sight for the consumer so that they can specifically tell that it is the Nokia N8 model. It also does not show the features of the phone. The way the Samsung is photographed is very effective as it shows the users hands as if to say this could be you using the phone where as with the Nokia there is no interaction with its potential users at all. Rodrigue
- Rodrigue
- http://0-academic.mintel.com.lispac.lsbu.ac.uk/sinatra/oxygen_academic/search_results/show&/display/id=545199/display/id=563179?select_section=563180
- Marcomms theory needs to be applied based on historical methods last year Nokia spent 9.3 million pound on advertising, bearing in mind its financial state and cost cuts we will be reducing the budget to 5 Million pounds