Market analysis of nokia

The Nokia target market segment consists of specific group of customers like various age groups of people who focuses its marketing efforts. The Nokia target is likely to have two main reasons; the first is to gain profit and secondly is to aim at consumers that need form of communication. For example, it is targeted mostly at consumers with the age of 19-39 years old looking for entertainment. It is to attract them to use this specific brand and to promote itself in the market.

Nokia can be described as a means of communication in today technological world. In terms of demographics it can define that Nokia target market apply to marketers commonly use in segmenting markets which also include gender, ethnicity, income, and social class. For example, to attract customers Nokia would have to come out with new ways of improving their cell phones, to add new applications or software to make it unique from its competitors. Not to mention, to gain reputation as a company that manufactures quality and provisionary cell phones. Gender on the other hand is another demographic variable commonly used, for example if Nokia were to aim their products at various age groups they would have to know when, where and how to aim. Thus, results could be astonishing then what seem to be. Ethnicity is a another variable of segmenting markets like Nokia, for example Nokia captures market in Asia hoping to attract buyers and dealers to sell their products and in turn gain status at that. Another is income, it often provides way to divide markets because it strongly influences people product needs. Product like Nokia segmented by income include, cell phones, wireless headset, memory cards and other small parts like battery, cable and installation Cd guide. For social class, consumers tend to be more alike as occupying inferiority or superiority according to their own, thus they are able to move up or down during their lifetime.

Psychographics variables of Nokia include personality characteristic, motives and lifestyles, to segment markets. Personality characteristics can be useful for segmentation, like when Nokia is competing with other competitors like Motorola, Samsung, and Sony Ericsson. However, this segmentation can also be very risky, although when appealing to a personality characteristic Nokia also must view opinion from different view. When motives are used, Nokia will probably be divided into different types of categories and likely will be judge by consumers like dealers and buyers. For example, Nokia target from various age groups but mostly aim at 19-39 years old to attract the younger generations into buying their products and hence enjoy growth rate sales as a result.

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Lastly, behavioral variables for Nokia can be defined as a market according to some feature of consumer behaviors towards it. For example, Nokia can be group into environmentally friendly and will most probably be careful in producing cell phones in the near future due to popular demands. To satisfy the consumers needs Nokia have to be fully aware that setting prices, or even initiate special promotion and distribution activities are very vital in the upbringing of the brand name. For example, a consumer who purchases a cell phone is interested in the specifications or software. Thus, consumers are segmented directly according to their needs and wants.

B. Product (Core, Actual and Augmented Products)

nokia core_10nokia core_07 (Nokia Core Product)

As you can see in the picture above, this particular cell phone happens to be a Nokia core product. The design is taken from a famous movie call the Star Wars, this product has many features that are able to solve problems for consumers. For example, if a consumer were to purchase this particular product expects it to be in ‘tip top’ condition which means brand new and not spoilt. Without the benefits, this product has no value in the market.

The actual product of Nokia which includes the core product represents the consumer most basic expectations of a product or service. It is here that basic and identifiable differences between dealers begin to surface. For example, in order to meet expectations of the actual product Nokia has created the product so that consumers have fully understanding of. In the second picture above, it tells that consumers can drag and drop the things that they wan onto the computer using the Nokia cell phone as a mouse. For example, when purchasing this particular device it is also important that a consumer consider the style of the device, the choice of applications, operational software and other extras.

Lastly, the augmented products of Nokia, can be define as a bundle for a specific product or service that the consumers expect. For example, the augmentations for a Nokia product may include an extensive warranty and product support package. But it also comes with a disadvantage like differentiating features and consumer needs or wants. Plus such augmentations are not always successful, particularly when it’s faced in reality majority does not like it because it have’s too many hardware or it could also mean that it is too complicated and not user friendly at all. Another reason is that Nokia cell phone could have lots of functions that users find it very difficult to use and instead prefer a less sophisticated cell phone. Hence, consumers should be very careful in choosing the right product to avoid regrets and dissatisfactory results.

(Branding, Packaging, Warranties and Customer Service)

Nokia branding has been recognize worldwide in today world, Nokia branding strategy involves or shall I say Nokia Group the Finland based manufacturer of mobile has been steadily working on the brand name. Its effectiveness and efficiency has even knock off mobile producer Motorola for the number 1 spot. Nokia has even succeeded in lending their personality and not even give out them names. Not to mention, there are three degrees of brand loyalty which includes recognition, preference and insistence. Brand recognition occurs when consumers see that Nokia exists and views it as an alternative purchase if the preferred brand is unavailable. For example, the Nokia branding strategy proves that its brand can be intangible, including ideas and places. Whereas, brand preference is a stronger degree of brand loyalty and brand insistence occurs when a consumer wants a specific brand like Nokia and will accept no substitute and is willing to spend a great deal of time and effort to acquire it.

http://popsop.ru/wp-content/uploads/nokia_smart_pack.gif(Nokia packaging)

The picture shows the packaging of Nokia cell phones, packaging functions are manufacture from Nokia on factory and company which is located in Finland. Its purpose is to provide protection from any damages to the cell phone. Another function of this packaging is to offer convenience to consumers and also dealers. For example, the manual guide and installation is provided in the package when consumers buy the cell phone. Not to mention, cable memory card and battery are also put into the box for protection and it’s also easier to manage rather than splitting them and costing of the outcome is also not cheap. A third function of packaging is also to promote the product by explaining the details of the cell phones like the features, benefits and image to the consumer.

Nokia warranties usually include 24 months for the mobile device, twelve months for accessories (whether included in the mobile device sales package or sold separately). Six months for the batteries, chargers, headset and so on and a ninety days period for the replacement, and the repairing of any other items.

Lastly, the Nokia Customer Service is usually directed at their website, this is to ensure that consumers do not get the wrong idea and will ask question when is necessary. Consumers can always go to the Nokia website and ask question regarding their cell phone and get feedback from the Nokia Company. Also, remember to ask questions only related to Nokia else questions that do not regard the specific request will most probably be ignored. Also, instead of email-ing those consumers can give Nokia a call also if they find that email is a slow process of having questions being answer slowly. Nokia deserves the right to help those in need of their assistance and requirements. Nokia customer care line is usually the form or means of communicating and getting answers quickly then email.

D. Distribution

Nokia distribution channels would involve activities that make products available to consumers when and where they want to purchase them. For example, Nokia Corporation has signed with VoIP service of Vyke AS, Mobile IP under the terms of distributing their cell phones or shall I say their products worldwide. This in turns also helps VoIP service of Vyke AS, Mobile IP gain profit and help raise their reputation to be expertise. The ways that consumers can obtain the product is by finding its location of the whereabouts of the Nokia retailer, as for the service of the product consumers can visit the Nokia website for more details and information regarding it. Other channels include TESSCO technologies; to expand the distribution Nokia has selected this particular company to leverage its customer network and superior supply chain management capabilities to open new distribution channels for Nokia cell phone original accessories.

Lastly Nokia brilliant strategy is to have its products at the right time and in convenient locations. In dealing with the TESSCO technologies and Vyke AS, it is vital that Nokia carefully plan and strategize their work plan and their workforce together. With these objectives in mind, Nokia will be able to succeed and make its product available to consumers through stores, mail order, catalogues and website ordering. Nowadays, ordering and buying online is one of the common things in consumers. But what is more surprising is how Nokia can achieve it by supplying all the products and in time. The basic strategy of Nokia is to be present in all price ranges. This strategic plan helps them by attracting consumers from around the world to buy their product, for example like the Nokia Smartphone N97 has sold 500,000 since its launch in June.

E. Promotion http://www.youtube.com/watch?v=SbxyLnwFSvI http://www.facebook.com/#!/nokia http://blogs.nokia.com/

There are four possible elements of a promotion mix which are advertising, personal selling, public relations and sales promotion. As you can see in the video above you, this is the advertisement of Nokia product n900. We can conclude that advertising is a paid non-personal communication about an organization and its products transmitted to a target audience through mass media like the video shown above. Advertising on YouTube also helps consumers to see and review the specifications of the product that they might consider buying it. Not to mention, Nokia nowadays has been so popular that advertising on the social network call “Facebook” has even pop out. Consumers who have an account with Facebook can also see the ongoing promotions that Nokia has produce. As for the blogs, Nokia has created a website that helps consumers read about the featured articles and helps them gain knowledge about Nokia particular products.

Whereas, for personal selling Nokia would probably be paid personal communication that seeks to inform customers and persuade them to purchase products in an exchange situation. Personal selling also consists of three types of communication for Nokia, which are the kinesics communication, proxemic communication, and tactile communication. Kinesics communications are usually movement from the head, eyes, arms hands, legs and body. Nokia form of proxemic communication is by communicating in the physical distance like face to face. For example, a consumer may be displaying a lack of interest in the Nokia product or expressing a dislike to the dealer.

Public relations for Nokia are also important to the organization as well, public relations are a broad set of communication efforts to create and maintain favorable relationships between Nokia and its stakeholders. Nokia also share public relations with top video sharing sites like ‘YouTube’, ‘Vidder’ and ‘Tubemogul’. This websites help Nokia promote its product while receiving reputation for it, other website also includes photo sharing sites like ‘Flickr’ and ‘Picasa’.

Lastly, the sales promotion although Nokia doesn’t stress much on it, the Nokia company stresses more on the advertising rather than on the promotion itself. The Nokia sales promotion is an activity that acts as a direct inducement, offering added value or incentive product. I will try to emphasize on how Nokia are doing the sales promotion, first of all we must know that sales promotion and promotion is on a totally different level. Generally, when Nokia companies employ advertising or personal selling, they depend on them continuously or cyclically. However, a marketer’s use of sales promotions tends to be irregular and seasonal. With that I conclude that Nokia is a large company that has benefits that some may agree or disagree.