Marketing – Right Choices

Off Campus & Assignment Handling Services Division of training Services Nathan Campus GRIFFITH UNIVERSITY QLD 4111 ASSIGNMENT COVER SHEET Open Universities Australia Student flesh reveal Name Gokhan Aykut Course B. Comm fond unit details Unit code MKT 103 Unit name Introduction To tradeing Unit tutor Kieth Assessment contingent details Marketing Report Due realize 20/02/2012 give-and-take count 2500 Extension granted v? No ? Yes Extension date Is this a resubmission? v? No ? Yes Resubmission date ACADEMIC INTEGRITY firmness of purpose Breaches of faculty member integrity (cheating, plagiarism, falsification of data, collusion) seriously compromise assimilator training, as tumefy as the Universitys perspicacity of the effectiveness of that learning and the academic role of the Universitys a wards. 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I, hereby concede that 1 except where I look at indicated, this assignment is my own work, establish on my personal study and/or investigate. 2 I pitch acknowledged in all materials and sources used in the preparation of this assignment wh ether they be books, articles, root words, lecture notes, or any other kind of document or personal discourse. 3 I earn not collaborated with another student or person in planning, eveloping and writing this assessment item. 4 this assignment has not been submitted for assessment in any other course or at any other date in the selfsame(prenominal) course. 5 I have not copied in parcel or in whole or otherwise plagiarised the work of other students and/or other persons. 6 I havent made this atom of work open to another student. Providing this declaration falsely is considered a breach of academic integrity. I have retained a copy of this assessment item for my own records. Date 09/01/2012. (Gokhan Aykut) Executive SummaryThe following report is the trade plan for the unexampled Nokia Lumia 910G for the spheric food market for the financial socio-economic class of 2012-2013. by and by many years of unsuccessful holdets which have elapse to a free fall in festering , this handset is be aftered to convalesce the market dowry globally and for Nokia to lead into a in the altogether-madely generation of developing low constitute handsets with superior end features with the added benefit of cover to the world that Nokia is environmentally aware and a proud ambassador for protecting our real fragile planet. The come withs mission statement Every iodine has a lease to legislate and packet. Nokia helps conform to these ineluctably and we help people feel c pull away to what matters. We cogitate on consumers by providing very human technology * Commitment to retire great(p) and innovated harvest-homes to our customers. We seek to become the number unmatchable electronics fraternity end-to-end the world. * cerebrate to maintain outstanding descent with all of customers and distribution partners globally. By maintaining our intemperate relationship our aim is to become once again the number unity handset manufacture globally .The market plan will focus on the smart bid and the current line of smartph aces that Nokia has introduced, it will outlined the detailed of the current publicity and marketing campaigns used and how it could further better those campaigns. The target market that this handset will be focused on is generation Z in particular, 15-22 year old males and females. This generation is the write out setters of straightaway and are digital natives, it will also analyse relevant factors with the caller-out including, competitors, customers and pulverization analysis.Table Of confine Executive Summary.. 2 Introduction 4 Situation outline. 5 Macro surroundings.. 6 Political Legal environs 7 Technology. 7-8 Competitor Analysis. 8-9 Consumer Analysis 9-10 Internal purlieu. 11 Sales Market Share 11 Brand cognisance. 1 Promotional And Marketing.. 11-12 SWOT Analysis. 13-14 Objectives.. 15 take aim Market. 16 spatial relation Map. 17 Marketing cock Strategies.. 18-20 Evaluation.. 21 Imp lementation.. 22 Conclusion. 23 References. 24 Introduction Nokia was first launch in 1865 on the banks of Nokianvitra River in Finland by Fredrick Idestam.He would set up a wood pulp mill and produced paper, the original form of communication. It was later on were a merger similarlyk place with Finnish Rubber Works and Finnish Cable Works that gave birth to Nokia heap in 1965. The name of Nokia would be growing at a speedy rate, and eventually the beau monde would be a study player for 31 network operators just about the world. Nokia initially targeted low income people and first eon fluid buyers, with the introduction of the 1100 series. Today the company has bounteous into the largest manufacturer and electrical distributor of prompt phones.With the introduction of OVI (internet services for the Nokia Brand) in 2007, Nokia has now become a major player in the smart phone industry, and with its newly organize alliance with Microsoft Corporation and Windows Mobile, the sky is the limit for this iconic brand. Situational Analysis The major agile handset suppliers in Australia now include brands such(prenominal) as Nokia, Sony Ericsson, Sam sunbatheg, LG, Motorola, Sonim, HTC, Palm, B loseberry, Garmin Asus, Alcatel and Apple i ring. The cost has gone from all over $5000 in 1981 (in car corpse) to Telstras cheapest model available today at $35.Mobile coverage, customers and functionality has changed dramatically over 30 years and in concert with the Internet, kind media and affordability busy communication has permanently changed the style in which people live and work. There are now an estimated 22 million mobile phone services in Australia as at 2011. (Budde. com, 2011). The mobile phone market in Australia is highly competitive in terms of twain service and phone suppliers. In the area of service providers the dominant player is Telstra, although with a policy of argument, other organisations are developing strong competitive localisati ons.Pre-paid and post paid plans also form a basis for competition between providers. The map below provides an insight into some(prenominal) service providers and types of service in 2008. Item 3 on the chart includes other suppliers. Source Mobility Magazine (2011) 10 (3). The Finnish Nokia Brand cadaver the worlds largest mobile phone producer although its market share has dropped to 23. 9 percent (from 28. 2 percent last year), and Samsung, LG and Apple are showing strong process. (IBT March 24 2011). Macroenvironment economic milieu Economic conditions have-to doe with the way in which consumers spend.They also affect the way in which companies spend on such things as product development, range and fund of stock. The perplex world economic crisis in Europe has had an influence on two consumers and manufacturers. Global sales of all mobile phones showed a growth rate of 5. 6 percent in the ternary quarter (2011) compared to 16. 5 percent in the previous quarter. Glob al sales of Smartphones were also polish up from 74 percent growth to 42 percent in the third quarter whilst inventories have grown by 20 million phones during the same period. MobiThinking, 2011). Australia has shown better economic performance than that of most other countries, but this too is dependent on factors outside of its hold in. Given that the major manufacturers of mobile technology are multi-nationals, they will feel the effect of any economic downturn, which may also then be seen here. Consumers have shown reluctance worldwide to buy new phones during the European credit crisis, although this may be mitigated by consumers waiting for new flagship devices to be released. Gartner, 2011). Even if Australia is insulated from the full effects of a major economic downturn in the near future, it is carely to affect the purchasing intentions of the mobile phone market Political Legal Environment The telecommunications market is important to the domestic economy and as such is emergence to political and legal constraints. Politics has led to opening the market to competition, and it is maintaining and alter competitive forces.In terms of service providers, they have to operate within a legal framework that is subject to political influence and overseen by such bodies as the Australian Competition and Consumer Council (ACCC) in accordance with Fair bargain and Trade Practices Acts. There is also protection of intellectual property, as well as trademark/design and brand protection in Australia that companies have to consider when marketing their goods and services. Technology Technology has been an essential device driver of the mobile phone market for both carriers and handset providers.The original AMPS (Advanced Mobile Phone System) was launched in 1987 and provided an analogue or 1G service and by 1989 had 100,000 subscribers. In 1992, both Optus and Vodafone were licensed and the number of subscribers reached 500,000. In 1993 Telstra launched it s new 2G network, and by 1996 thither were over one million digital subscribers and 2. 5 million analogue users. quaternary years later the AMPS service ceased, however, by 2003 the first 3G network together with the Nokia e606 mobile phone allowed for both video calls and high-speed Internet access.By 2005 half(a) the Australian population had a mobile phone, and at present (2011) there are overmuch subscribers than people in Australia. (ActewAGL, 2009). In each pegleg of development carriers and phone manufacturers worked together to ontogenesis the range and variety of applications that could be performed by mobile devices, culminating with the issue of the Apple 4 iPhone in 2011. current development includes Apples new battery solution (Hydrogen Cell) that could former the iPhone for weeks (AEDT, 2011).The varied architecture or platforms used and creationness developed for the smartphone market will provide both marketing and technology-related opportunities. Operat ing Systems (OS) such as Palm and BlackBerry, Symbian and Windows Mobile, are all likely to increase competition and consumer select in the market. Competitor Analysis Both carriers and retailers/manufacturers operate in a dynamic and highly competitive market. There is a plethora of deals in the marketplace covering both service providers and retailers. Continual new product innovations have put pressure on companies to innovate or lose market share.For example, the Apple iPhone radically changed the product landscape realising phenomenal growth since its release in 2007. (Australian IT, 2011) The introduction of competing phones and platforms that offer advantages peculiar to an individual system is likely to fuel a continuation of the current technological war, which, combined with aggressive marketing from all the major suppliers, sires for an evolving and unpredictable mobile phone market. Mobile phone marketing strategies are aimed at both the business-to-business (B2B) mark et and the business to consumer market (B2C).Some of the strategies used include multiple price (B2B) as in supplying all the phones for a specific company (eg. Origon Energy), bundling, where the phone and plan form the purchase and provide value for the mail boat for both business and consumer markets, two for one deals, free talk duration, (for a specified value above that which is paid for in the mobile phone plan), and many more. Customer/Consumer Analysis Customers layabout be classified in terms of business and non-business. The business sector is more rational, value impelled and information hungry. Business customers will adopt a structured border on to analysing costs and, n the main, make choices based on full information. Consumers as individuals constitute a different market, with different needs and associated motivations. From the very counterbalance mobile phones were seen as side symbols, owning one increased ones social standing and position. This compose remains a key driver for innovators who will purchase new and improved phones as soon as they are available, and bask in their (perceived) increased social standing or Street Cred. Mobile phones have had a symbiotic relationship with social media such as Facebook and Twitter. angiotensin converting enzyme has supplied the other with the means to enlarge and engender a huge consumer listening. As such there has been considerable research make doed into other motivations, needs, and influences that affect the interface of mobile phones and social media. (Lenhart, 2009). For instance, Telstra has released consumer research showing how Australians use their mobiles to connect. It found * 50 percent of Australians feel panic afflicted within five minutes when they think they have lost their mobile phone 25 percent panic after less than a minute. or so one third of Generation Y consumers check their mobile phones in the mornings before they use the bathroom, have breakfast, or go on line. * Nearly half of Australians rank mobile phones as the innovation they value the most, more than the desktop computer to laptop and the oven to microwave. (SMH, 2011). Mobile phones are an integral part of a consumers life affecting the ways in which they conduct business and leisure activities. With the introduction of the Smart Phones, consumers now have the mental object to interact with one another in ways that have only and radically changed the marketing landscape.Apart from using applications for shopping online or as a means of supplementing high street purchases) they send intelligence operation now join communities and share opinions about goods and services that are really empowering them in the consumer decision-making process. Internal Environment Sales And Market Share The global mobile phone market is extremely competitive in terms of manufactures. In 2007 Nokia was number one handset manufacture, with a global market share of 38 percent, and estimated sales of 32 billion. Five years later, Nokia finds themselves losing their crown as number one handset anufacture to its long time completive rival, Samsung Electronics. Nokias market share has slumped to only 19. 8 percent in the handset market, which works out to be a 52. 1 percent decline from 2007. Nokia has just released its fiscal Q2 2012 financials. Its reported 7. 5 billion in net sales, a smooth increase from the 7. 4 billion last quarter. Net sales are down by five percent, and the operating loss is almost in two ways the value it was last quarter 826 million compared to 487 million a year ago. Brand Awareness Nokia has built a reputation on being one of the worlds number one handset manufactures.Nokia initially targeted low income earners and first time mobile phone owners, but since has grown into a leading and innovating smart phone supplier to the world. The brands mission statement is to a great extent focused around communication. Everyone has a need to communicate and share. Nokia helps fulfill these needs and we help people feel soused to what matters. We focus on consumers by providing very human technology Nokias brand is built around acquaintance, trust and customer loyalty. Building friendship and trust is at the heart of the brand, and this is visual communicated to customers by two hands shaking.Promotion And Marketing Currently Nokia is heavily promoting there Lumia family of Windows Phones on a extensive global scale. These include 4D projections and live music events. Along with Nokia pushing heavily the Lumia range, Microsoft has jumped on board and pushing hard with carries around the world to elicit the Windows based handset, this is done with the Smoked by Windows Phone campaign. This camping was based around simply a bet where people would win a $100 if their non-Windows phones is quicker than the Lumia handset running the Windows Phone software. fit to Nokia Australias head of marketing, Jolaine Boyd, This new brand propositi on and campaign signals a new Nokia a company that is thinking and doing things differently. Our aim is to fundamentally shift consumer perceptions and educate them about Nokias new smartphone range. We want to put Nokia firmly in the consideration set and make the brand relevant again. This current camping focuses, on Nokias global brand positioning and promoting Amazing Everyday which is heavily focused around portraying the amazing thing we do as humans either day with a massive focus on social media and the jejuneness of today.There are three core elements within this camping and they are, out of home, TV and digital. Boyd added, Australia has the highest smartphone penetration in the world at 37 per cent. The rise of smartphones is dramatically increasing the use of the internet overall in Australia. With this in intelligence the Amazing Everyday campaign, the current advertisement of the new Lumia range capitalises on these aspects, with bright and bold colours with simpl e statements. Some of these advertisements are below. SWOT Analysis Strengths Nokia incorporated has a rich history and a wealthiness of experience which spans well over a 100 years.The company has one of the largest networks of distribution and selling partners in the world. Currently Nokia has one of the largest RD departments in the world, which has a strong financial rear ending with over 1. 4 billion USD which allows Nokia to keep producing new and revolutionary products for its customers. Nokia produces many different handsets for different people for their day to day use and pride themselves on structure relationships and sustaining them. The build quality of Nokia handsets are at world class levels, which gives to a much higher resale value than its competitors.Weakness Nokia is a well-established company with many strengths, but is main strength has also turned out to be its biggest weakness. The handset giant unfortunately did not drop dead along with the technological move that sweep with right after the turn of the millennium. With the introduction of the iPhone, the handset giant was consistently producing the same type of phone but with a different designs and still asking customer to pay premium prices. The handsets that were being produced were overpriced and customers wanted more from their Nokias.Customers became app crazy and with the introduction of social media on the go, Nokia was lagging behind. Bold moves by Nokia gave birth to the NGAGE, a portable play console. The handset was designed to make phone calls, send text and breaker the web with the added advantage of being able to play your favorite retroactive on the go. The concept was great but unfortunately this radical all in one device was not accepted by the market, customers still prefer the iPhone. This then gave birth to the N97 a poorly getd handset which was very clumsy and had outdated software. OpportunitiesThere are many opportunities at present for Nokia. One of t hese opportunities is for the company to enter new growing markets, such as the Indian market. By entering a newly developing market it has an chance to increase its sales as well as the overall global market share. As the standard of living in India has increased so has the purchasing power of the people. By targeting the market at the right time Nokia can gain the most out of this situation( Nokia SWOT Analysis). Nokia has been a leading the way for many years with its well-designed handsets, these designs have gave birth to other handsets such as the iPhone.With the addition of Cal Zeiss to the portfolio, Nokia now has outstanding cameras on their handsets as well. Threats Nokia has many competitors in the market that it must attach to maintain its position as the market leader. The threats are emerging handset manufactures in the market. Companies like Motorola, Sony, LG mobile, Apple and HTC. The manufactures are providing equal or better products and presenting to be problem atic competition for Nokia in the global market. These threats can be providing cheap phones, new features, new style/types, and premium after sales service.So the growing competition has created an uphill battle for Nokia. With global economic downfall Nokia has to produced premium quality handsets at competitive prices, if this issue is not tackled head on it could create greater problems for Nokia in the future. Objectives Mission Statement Everyone has a need to communicate and share. Nokia helps fulfill these needs and we help people feel close to what matters. We focus on consumers by providing very human technology * Commitment to deliver outstanding and innovated products to our customers.We seek to become the number one electronics company by dint ofout the world. * Focused to maintain outstanding relationship with all of customers and distribution partners globally. By maintaining our strong relationship our aim is to become once again the number one handset manufacture g lobally. Marketing Objectives * Increase sales by 10% within one year. Use innovative technologies, such as Nokia Kinetic a world first flexible LCD, the introduction of WP8 handsets, to increase our target audiences sensory faculty to illustrate our competitive advantages. Refine current products. purify current products to reach new markets based on unmet consumer needs. Sales Objectives * To compass sales on 10,000 units per quarter across every carrier and to have net sales exceed $100,000 per month. * To gain 15 per cent of the do Australian market share with WP7 handsets and to achieve globally 30 per cent. core marketing budget for WP7 handsets in 20 per cent. Target Market original Market 15-22 year old males and females, or better known as generation Z.Most members of this generation have spent their entire lives on the gentleman Wide Web. Generation Z are a highly connected into technology they are the trend setter. The generation has spent their whole lives aroun d technology and new forms of communications, such as the World Wide Web, photoflash messaging, texting, iPods, mobile phones, Facebook, twitter and YouTube, giving them the new name of digital natives. These trend setters are no longer using the internet on their PCs but rather it is on the go and carried in their pockets on their mobile phones.This generation is trend setting however very idle they want something that is blowzy to use out of the box with no hassles. Market attitude Nokias brand positioning should differentiate itself from the olden. In the past Nokia handset was specially designed for low end users, era the N series was aimed at trend setters, it lacked substance and failed to capture the digital natives. With handsets that were out shadowed by the iPhone, Nokia quickly lost its majority market share. Nokia has to sharply attack the smartphone market by specifically targeting the trend setters of today.The trend setters of today are driven by technology and want handsets that are easy to use, they are heavily driven by social media, and their social status is of the highest priority. The key strategy is to maintain its leadership and lower prices on smartphones while providing high end products for the masses. Positioning Map Innovation Samsung Samsung Nokia Nokia Future Positioning Future Positioning Apple Apple Sony Sony Nokia Nokia Current Positioningnt Positioning Positioning Current Positioningnt Positioning Positioning High bell High damage Low Price Low Price LG Mobile LG MobileCompetitiveness Marketing meld Strategies Product According to OConnor ,B (2000) A well-thought-out marketing plan can give you the ability to exploit your competitors weaknesses, adjust to any new competition, expand your service capabilities, strengthen customer relationships and minimize sales volume fluctuations. It will also help eliminate unproductive promotions and enable you to create and control the specific image you want to project. To have an impact on the market, Nokia needs a blockbuster a single, stunning smartphone that puts the company back on the map alongside with Windows Phone.Windows Phone 8 has a lot of affair from various carriers, by taking advantage of all this, the company can get its groove back. The handset must be simple to use, squeeze packed with technology while upholding two key fundamental features social media and easy to use. Nokia introduced a whole line accessories free of PVC, keeping in touch with this green aspect already adopted by Nokia, the Lumia 910G will have a specially designed solar panel will built into the back of the handset, as part of the battery cover.Ten minutes of sun exposure will get you three minutes of talk time and the phones casing will be made entirely from recycled plastic urine bottles. Other key features are, quad core processing power, 12 mega picture element camera with Carl Zies lens, Nokia flexible AMOLED screen. 4. 7 inch 4. 7 inch solar Panel Solar Pan el Recycled Materials Recycled Materials Place/Distribution Having already established a channel of distribution partners globally, the handset will be available through all major vendors globally as well as to be purchased through online vendors such amazon and Nokia online.The opportunity exists to expand through existing areas, but with heavy focus on the Nokia online store. This channel present great opportunity as there is no overheads. Price Price for this handset is directly set against competitors like the Apple IPhone 4s and Samsung Galaxy S3. The handsets being manufactures offshore in China and allows entry into the market at $350 per unit. The determine strategy is very aggressive, keeping in line with the market audience the handset is directed at.This handset will be the first smartphone with high end features for very low costs. Being of all recycled plastic design allows maximum build quality with minimum costs. Promotions The use of viral marketing is the quickest way to get the word out about the new handset, as the use of social networks will spread the message quicker. According to Berkowtiz, D (2010) blogs and social media can be useful for establishing direct communication between marketers and consumers, and they can contribute to establishing a larger share of articulation in search engine results.One such example of this is the Best subscriber line in the world campaign that impressd getting a clientele in the topical islands of the great barrier reef. The campaign had generated so much interested that the publicity around it was worth well over $cl million and in the process highlighted Queensland as an ideally holiday destination. By heavily promoting the Smoked by Windows Phone campaign, over social media sites, the word of the Lumia 910G will spread. Evaluation According to Harris, A (2010), there is a lack of strategy for using these new social media tools.It is often viewed as a technology issue, not a communications tool. I mproving brand cognisance and exposure involves creating an online presence, delivering key messages to a target audience and then construct relationships with potential customers. Social media allows for these behaviors, as well as enhancing a companys credibility. Social media is fairly new components to marketing, this type of marketing involve a company interested in increasing brand awareness and exposure to new and existing customers.By gaining the trust and respect of potential customers through frequent, but informal postings public relations teams may then assess the results of the marketing campaign. Although posting cannot be quantitatively measured, it can eventually lead to sales. According to Connor, A (2010) public relations professionals must develop fanciful strategies for linking online community participation to direct tax income. The interested fans having these conversations may be more inclined to purchase from their online friend than someone else.The will give an indicator into measuring the sales volumes achieved through social media. From here, Nokia can determine if social medial marketing is worth the time that has been invested into. Implementation Conclusion This report sets out the marketing plan for the new Nokia Lumia 910G. The handset is made from useful plastic water bottles and sports a solar panel on the back for additional power for the handset. It is a leading and innovating handset with superior features at the fraction of the price of its competitors.The handset is specifically aimed at the trend setters of today, the digital natives The sales objectives is to achieve 10,000 units per quarter and to achieve a sales revenue of $100,000 per month. Back boning on the currently successful promotion Smoked By A Windows Phone campaign and the use of social media the aim is to regain the majority of the globally market share and to become the number one handset manufacture in the world. Reference Berkowitz, David Social Marketing ad Age 818 (Feb 22,2010)54 Connor, Angela. Market With Social Media 21 Dec. 2009 Research Library, ProQuest.Web. 21 Feb. 2010. Harris, Angela. Does Social WORK? Measuring Community Effectiveness. EContent 1 Jan. 2010 Research Library, ProQuest. Web. 22 Feb. 2010 OConnor, Bob Motor 193. 3 (Mar 2000) p71-74 http//www. authorstream. com/ instauration/sanju152k-262736-nokia-final-education-ppt-powerpoint/ http//www. campaignbrief. com/2012/03/version10-starthtml0000000149-190. html http//www. informationweek. com/news/mobility/smart_phones/232901759 http//www. marketing91. com/swot-nokia/ http//www. moyeamedia. com/blog/? p=2361 http//techland. time. com/2012/07/20/lets-be-realistic-about-nokias-chances/