samsung vs nokia- 4 ps

PLACE• Available at the right place, at the right time, in

the right quantities• Nokia has opened its retail outlet ‘Nokia Priority”

as well as many authorized dealers around the world

• They the world’s largest vendor of mobile phone’s from 1998-2012

PRICE

• Nokia uses a pricing strategy that best suits the product

• Market Penetration- Nokia 1100• Market Skimming- N-95• Hence, The strategy which was used for N-Series & E-

Series was Market Skimming

PRODUCT

• Nokia’s thinking: A good product sells itself

PROMOTION

• Advertising, selling, sales promotions, Public Relations, etc. are the major weapons of Marketing.

• Promotion has become the most important P to focus on: Advertising, PR Sales, Message, Media

Promotion mix

• Advertising• Discounts• Commission• Public Relation• Direct Marketing

PRINT ADS

SEGMENTATION STRATEGY

Geographic:• Nokia immediate geographic target is rural India• The total targeted population is estimated at 100 million

Demographic:• Male and female• Ages 25-50, this is the segment that makes up 80% of the Nokia mobile

phone market

Consumers segment

Light users Medium users Heavy users

TARGETING STRATEGY

• TARGET MARKET FOR THE Nokia Mobile Phone is between 20-40 years.

• Mainly for people who want to use something different.• Teenagers and Business Class People.

POSITIONING STRATEGY

Nokia has created a distinct position in the customer mind by:• Nokia logo• Slogan- “Know our past, Create the future”• Innovative handsets with updated software’s.• For example N-series, E- series and now X3, X4, X5, X6 and Lumia

series.

Introduction The Samsung Group was founded in 1938 by Lee Byung-chul

(1910-1987).

The meaning of the Korean word Samsung is "Tri-Star" or "three stars".

Samsung India commenced its operations in India in December 1995 enjoys a sales turnover of over US$ 1Bn in just a decade of operations in the country.

VISION

“Our aim is to gain technological leadership in the

Indian marketplace even as our goal is to earn the

love and respect of more and more of our Indian

consumers.”

Product

Mobile Phone Second largest player after Nokia (In India).

Products line comprising over 50 models.

TV / Audio / Video

Known for their innovation and technology.

First to bring the concept of LED technology in televisions.

Camera / Camcorder

Fine technology and optical innovations such as auto focus and “optical zoom” capabilities.

Though high on technology are at affordable range.

Home Appliances

Leading home appliances manufacturer.

Vision in terms of product innovations like silver nanotechnology, twin cooling etc.

PC / Peripherals / Printers

Not a leader in this segment.

But inclination of high end technology shows into these products also.

Market Share

Colour Television forms 30% share of the sales volume.

Refrigerators & Air Conditioners together form 30% share of sales volume.

Refrigirators & AC's TV's Others

Price Strategy

Pricing strategies followed by Samsung

Competition-based pricing.

Based on distinctiveness and value proposition.

Premium pricing.

Introduction of innovative technology.

Focus on cost-cutting measures.

Not offer any discount and exchange offers.

Fixed market operating pricing(MoP).

Newer been a price warrior.

Contd….

Place Strategy

Customer marketing channels

• Channel 1

• Channel 2

• Channel 3

• Channel 4 25

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Channel Design Decisions

26

Analyzing consumer service needs.

Analyzing consumer service needs.

Setting the channel objectivesand constraints

Setting the channel objectivesand constraints

Identifying major alternatives.

Identifying major alternatives.

Evaluating the major alternatives.

Evaluating the major alternatives.

Designingdistributionchannel.

Designingdistributionchannel.

Place Strategy of Samsung

• Three types:

Available everywhere

Selective

Exclusive

PLACE STRATEGY

•24 state level distribution offices

•Direct Dealer interface

•Regional dispatch centers(RDC)

Distribution System

• One level channel

• Two level channel

• Shop-in-shop

• Exclusive Showrooms

• Sales and Service network all-over the India.

Distribution Network

• Factory

• Regional distributin

g center

• Branch warehouse

• Direct dealer

• Modern retail/

• Exclusive

• stores &

• Samsung digital

• plazas •

• Distributor

• Sub - Dealer

• Consumer/Customer

Original equipment manufacturer/vendor or supplier

Promotion Strategy

• PRINT MEDIA• TELEVISION ADVERTISING• INTERNET ADVERTISING

Other Advertising• Official Sponsor:

1) Vancouver 2010 Paralympics Winter Games.

2) Samsung Cup. 3) Chelsea Football Club. 4) Sydney Roosters. 5) NASCAR Nextel Cup 6) French People’s Baseball Team 7) Texas Motor Speedway.

Sales Promotion

• Diwali Offer to the Customers.

Rural Promotion• Challenges: Electricity Shortage. Acute Water Shortage. Poor Transportation availability. Consumer Finance Options. Literacy rate. Culture and traditions. Rural reach. Too many languages and dialects.

Rural Promotional Strategies: Haat or weekly markets Melas (25,000 melas; 7.6lakhs visits annually)� Wall paintings� Customer contacts (home-to-home)� Van campaigns� Event management�

Segmentation

• Segmenting is the process of dividing the market into segment based on customer characteristics & needs.

•Geographic segmentation

•Demographic segmentation •Psychographic segmentation

Targeting

Targeting is the process of focusing on a particular

market with a particular product .

• LOCAL MARKET

• TIER 1 CITIES• TIER 2 CITIES

Positioning : “Digital technology leader”

Appoints AAMIR KHAN As Its Brand Ambassador For Mobile Phones.

Appoints Olympic Gold Medalist ABHINAV BINDRA As Brand Ambassador for its consumer Electronics Business.

Thank You