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Group 16, Sec A, Brand ManagementAbhishu Rakshit FT12182Jayawardhan FT12328Nishtha Dewani FT12143Siddharth Goyal FT12360Sushant Agarwal FT12266

Great Lakes Institute of Management[Pick the date]

Brand Audit

Contents

Nokia’s Vision and strategy..........................................................................................................................................5

Objective of the Brand Audit........................................................................................................................................5

Scope...........................................................................................................................................................................5

Approach.....................................................................................................................................................................6

Origin of NOKIA and the Telecom Industry..................................................................................................................8

Rise of the Telecom Industry.......................................................................................................................................8

Nokia goes Mobile.......................................................................................................................................................9

Nokia- the mobile industry leader...............................................................................................................................9

Nokia’s leadership is threatened................................................................................................................................10

Nokia changes direction.............................................................................................................................................11

Brand Inventory.........................................................................................................................................................13

Brand Values..............................................................................................................................................................13

Product Related Attributes........................................................................................................................................13

Brand Elements..........................................................................................................................................................13

Brand Strategy...........................................................................................................................................................15

POD............................................................................................................................................................................21

POP............................................................................................................................................................................21

Brand and Product Portfolio......................................................................................................................................22

Nokia’s Current Marketing Strategy...........................................................................................................................24

Survey Methodology..................................................................................................................................................27

Consumer Analysis- Product Category Purchase Drivers...........................................................................................27

Brand Exploratory......................................................................................................................................................29

Consumer Brand Imagery Perception – Personality Analysis.....................................................................................30

Brand Reputation of NOKIA.......................................................................................................................................31

Competitor Analysis...................................................................................................................................................34

Brand Equity ..............................................................................................................................................................35

SWOT Analysis……………………………………………………………………………………………………………………………………….36

Respondent Profile………………………………………………………………………………………………………………………………..36

Conclusion and Recommendation.............................................................................................................................38

Questionnaire………………………………………………………………………………………………………………………………………40

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NOKIA- AN OVERVIEW

Nokia’s Vision and strategy

Nokia’s mission is simple, Connecting People.

Nokia’s strategic intent is to build great mobile products.

Nokia’s job is to enable billions of people everywhere to get more of life’s opportunities

through mobile.

Objective of the Brand Audit

The objective of the brand audit is to conduct an in-depth examination of a major brand and

suggest ways to improve and leverage that brand equity by providing recommendations to the

brand concerning how the brand should be managed over the next 5 years by critically

analyzing the brand inventory and brand exploratory.

Scope

The brand audit will be based entirely on information from public secondary sources, company

web sites, as well as our own professional experiences and insights. If possible primary research

will be conducted to some extent and results from that research will be studied in order to

understand the brand positioning, awareness, planning, building and growth. This will also be

considered in suggesting ways as to how the brand should be managed in coming years in order

to enhance its positioning.

3

The final report profiles the positioning of the brand, its sources of brand equity and provides

recommendations concerning how to build and manage equity for the brand chosen.

Approach

As we examine our brand we will answer the following points concerning a brand:

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5

NOKIA & INDUSTRY OVERVIEW

Origin of NOKIA and the Telecom Industry

Nokia Corporation as it is known today didn’t actually start out as a mobile device

manufacturer. The company’s history can be traced back to the mid-19th century, when it was

established as a groundwood pulp mill in 1865 in Finland. The company was formally founded

in 1871, named after the town near which its operations were based. In 1902, Nokia entered

into the business of electricity generation and one of its major clients was a company called

Finnish Rubber Works which was also using Nokia as its product brand. Finnish Rubber Works

went on to acquire the Nokia Company and a company called Finnish Cable Works which

produced telephone, telegraph and electrical cables. By 1967, the three companies were

merged into a conglomerate known as Nokia Corporation. This conglomerate was involved in

the production of a wide variety of goods ranging from paper and plastics to tires and footwear,

and from electric machinery and military equipment to consumer electronics and computers.

Rise of the Telecom Industry

Nokia has been instrumental in developing the mobile technologies that the world relies on.

Right from the 70s through to the 90s, Nokia made major breakthroughs in the field of

communication technology and was the company responsible for bringing out the world’s first

mobile phone. It started in 1981, known as the beginning of the mobile era, when Nordic

Mobile Telephone was built. This was the first ever international mobile phone network. Nokia

followed this up with the DX200, its first digital telephone switch in 1982. The Mobira Talkman

portable phone was launched in 1984 and finally the mobile phone was born in the form of the

Mobira Cityman, the first handheld phone using NMT. In fact, Nokia also happens to have

6

manufactured the equipment that was used to make the first GSM call in 1991. All of this was

done by a joint venture between Nokia and Salora known as Mobira Oy which was later bought

by Nokia.

Nokia goes Mobile

Nokia was also instrumental in helping develop the GSM standard for mobile telephony. GSM

was adopted as the new standard for digital mobile technology by Europe in 1987. Due to the

great potential of the telecommunication business, Nokia decided to consolidate all its other

operations and pursue the manufacturing of mobile phones as its core business in 1992. Soon

after, they launched their first GSM handset known as the Nokia 1011. The following years

made up for a long list of firsts for the iconic brand that Nokia has become. The Nokia Tune as it

is known till today was launched in 1994 with a phone called the 2100, the world’s first satellite

call is made using a Nokia handset also. Snake, the iconic mobile phone game which is still as

popular today, was launched in 1997 with a phone known as the 6110. When the Internet

finally came to mobile phones in 1999, Nokia had already been declared the world leader in

mobile phones, and they capped this glory with the world’s first WAP-enabled phone known as

the Nokia 7110.

Nokia- the mobile industry leader

Since 2000, Nokia has constantly innovated and maintained its position as the market leader.

Right from the introduction of their first 3G phone to their N-Gage gaming platform, from the E-

series and communicator devices to the multimedia centric N-series. But Nokia’s main

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stronghold has been the low-budget and basic handsets. They sold their billionth phone, a

Nokia 1100, in 2005 when the global mobile phone subscription base was a total of 2 billion.

Nokia’s leadership is threatened

In 2007, Nokia was declared as the fifth most valued brand in the world. Later that year, the

iPhone was launched by Apple, and the face of the mobile handset industry was changed

forever. Following Apple’s move, Google launched the open-source Android operating system

which was adopted by other leading manufacturers like Samsung, LG and HTC to name a few.

Nokia refused to migrate to Android and put their faith in the Symbian platform, their long

standing and the most popular mobile OS in the world. Unfortunately, they were not able to

match up to the expectations of the market and have been steadily losing market share since.

Even though the mobile phone market grew by 22% in 2009-10, Nokia’s market share dropped

from almost 64% to 52.2% in just a year.

Its major competitors during this period have been Apple, Samsung, Sony, RIM, LG, HTC,

Motorola and the likes. Apple has continued to surge upwards in terms of market share with a

single phone, which is given new iterations every successive year, each improving on the

features of the previous version. Samsung and LG have launched a slew of phones in all

segments from low-cost to high-end. RIM has always been the main source of competition for

their enterprise services segment and their BlackBerry brand has been synonymous with the

category. Sony and HTC have been competing in the high-end segment mainly. Nokia had a

market-leading presence in almost all the categories all around the world, but quickly lost that

position with the emergence of the new era of smartphones.

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Nokia changes direction

As Nokia was outdone by Apple as the world’s largest smartphone manufacturer in 2011, there

was loss of faith and patience by the investors in the company’s ability to come up with a

respectable answer to Apple’s domination of the industry with the iPhone. In order to bring

about the much needed change to the company, Nokia announced a tie-up with Microsoft for

using their latest mobile OS known as Windows Phone 7 and developing an entirely line of

mobile phones as a result of this partnership. Nokia also said that they would abandon the

MeeGo platform they were developing jointly with Intel and would keep working on Symbian

for the low-end smartphones and the low-cost categories. The initial news about the tie-up was

not received well by the investors and there was a further decline in the stock prices of the

company as Microsoft’s platform was in the nascent stages of its development and was not

seen as a viable enough option to give a match to Apple or Google. Since then, both Microsoft

and Nokia have made major changes and Nokia’s future looks to be heading in the right

direction right now.

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10

BRAND INVENTORY

Brand Inventory

Nokia mobile phones have contributed in redefining the mobile phone industry through its

breakthrough technology, brilliance and efficiency

Brand Values

‘We Recycle’, ‘We Create’, ‘We Energize’, ‘We Support’ and ‘We Evolve’

Product Related Attributes

The attributes of the Nokia mobile phones are in sync with the core business practices of Nokia

namely-style, usability, robustness, expediential and relevance.

Brand Elements

Logos

Nokia’ in Finnish means a dark, furry animal called the Pine Marten weasel. The origin of the

company name, is attributed to the establishment of the wood pulp mill by Knut Fredrik

Idestam, on the Nokianvirta river banks in the town of Nokia. It is not clear how this logo

evolved and how its meaning has changed over the years due to Nokia’s changing business over

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the years. However, this has little to do with the current business and brand image. (20

Corporate Brand Logo Evolution, http://www.instantshift.com/2009/01/29/20-corporate-

brand-logo-evolution/)

Tag Line – Connecting People

Url-

www.nokia.com, www.nokiasiemensnetworks.com/, http://maps.nokia.com , store.ovi.com

Endorsements and Associations

Dallas punk rock band -Greyskull was used as the “face” of Nokia Asia ad campaign in 20071

Social networks and media

1 http://www.pegasusnews.com/news/2007/mar/26/greyskull-becomes-face-nokia-asia-ad-campaign/

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http://nokianewsletter.wordpress.com - Net Talk is a property of Nokia India. This is a monthly

news bulletin on Nokia India’s Social Media campaigns and trends in digital marketing

Brand Strategy

An analysis of Nokia’s promotions shows that Nokia focuses on promoting its new technologies

through big advertising campaigns rather than focusing on new handsets.

Between 2004 and 2007, Nokia appointed 'Moving Bands' as the lead branding agency for

global rebranding which involved brand strategy, identity and experience. Moving bands also

redesigned Nokia's online presence (Nokia.com), digital strategy and designed the brand

identity for Nokia's software and services offer (ovi.com).

In 2006, Nokia realized the need to increase market share, brand preference and customer

retention and approached moving bands with the aim of becoming "World's most loved and

admired brand".

To achieve this aim if Nokia had a two-pronged approach-

This task was undertaken in the following manner-

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1. Moving brands and Nokia first developed the story at the heart of the brand-" very human

technology" by focusing on the new values

2. They then worked on injecting life, love and lust into the brand in order to create a stronger

emotional connection with the customers.

3. They conducted an extensive global consumer research and define a new strategy across

consumer segmentation, product segmentation and naming architecture.

4. A strategy based on current trends and future needs for customers was developed to pro-

white clear strategy and creative direction for all Nokia's agencies globally.

Output- this new identity was launched globally in 2007 and has resulted in an increase of 6% in

the global market share. By 2009, Nokia was number five in global brand rankings2.

Nokia also established a division called as Nokia Design which is group of diverse people

worldwide such as psychologists, industrial designers, materials experts, and anthropologists.

The division uses human-behavioral research to estimate the future requirements of upto 5 to

15 years, and works on spotting and predicting megatrends and coming up with ideas on how

to align mobile design accordingly. The group uses large research groups to look at long-term,

macro, and societal trends as well as more short-term trends around critical design factors such

as - colors, fashions, and textures. They find out local and country-specific trends, and also look

across countries to identify similarities in lifestyles and global trends3.

2 http://www.movingbrands.com3 (Nokia's Design Research for Everyone, http://www.businessweek.com/innovate/content/mar2007/id20070314_689707.htm)

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In 2007, Nokia established nine localized satellite design studios within target nations to create

products reflecting the needs and aspirations of emerging markets. In India, a center was

established in Bangalore.

By 2010 Nokia realized that brand name alone does not make a brand and that it would have to

enhance its market leading capabilities. It was probably losing its competitive position in

relation to brands such as Blackberry and iPhone which were gaining an edge on the basis of

'perceptual sophisticated' brand while Nokia was focusing on 'functional sophistication'. In

other words, leadership position depends upon how

market leadership is conceptualized and what

measures are used. While Nokia adopted a functional

approach and led in terms of reliability and functional

usage, Apple moved ahead with its brand based perceptual sophistication model which enables

it to engage with the market and develop in the long run. Unlike functional sophistication,

perceptual sophistication is difficult to copy and/or acquire. It enables a brand to acquire mind

space and appear 'cool' 'trendy' 'innovative' and 'desirable'4

In 2010 Nokia undertook a changeover of the Nokia Music Store to the Ovi Music Store. It also

accordingly rebranded its “Comes with Music” name to “Ovi Music Unlimited”. 5

In February 2011, Nokia signed a deal with Microsoft for Microsoft's Windows Phone 7, in order

to compete with Apple's IOS or Google's Android.

4 (http://www.palgrave-journals.com/bm/journal/v18/n3/full/bm201048a.html).5 (Nokia Comes with Music rebranded “Ovi Music Unlimited”; Launches in India, http://zomgitscj.com).

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"Nokia is the world leader in mobility, driving the transformation and growth of the converging Internet and communications industries"

The latest rebranding efforts by Nokia involve:.

1. Nokia budgeted £80m for advertising as a part of a major rebranding effort. Nokia will

embark upon a multi-country six-month long campaign with the involvement of a lot of

marketing agencies. The objective is to attempt to again make Nokia devices as appealing as

they were some years ago6

2. Discontinue the use of 'Ovi' brand (used for the service offerings since 2007) and

rebranding the services as "Nokia services" because of the following reasons-

Google's Android and Apple's iPhone products have eclipsed the service despite the fact

that in order to compete with Apple and Google, Nokia had been subsidizing developers to

produce new apps on the Ovi store.

Nokia's smartphone market share slumped to 24% its brand value declined by 28% over the

past one year 7

The expected outcome from the exercise is that this move would allow the company to

centralize its services identity under one brand instead of two and to reinforce the powerful

master brand of Nokia and unify the band architecture. The transition began in July 2011

and is expected to be completed by end of 2012 worldwide.

According to Nokia EVP and Chief Marketing Officer Jerri DeVard, Nokia's philosophy

revolves around the fact that, “Our mobile experiences are tightly integrated with our 6 Nokia will spend £80m on a rebranding effort, http://www.theinquirer.net/inquirer/news/2093188/nokia-spend-gbp80m-rebranding-effort7 (Nokia Services to replace Ovi brand, May 25, 2011, http://articles.economictimes.indiatimes.com).

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“It’s a new brand image that’s simpler, fresher and stronger than before … the letters flow into each other somewhat, creating the impression of forward movement.” - According to Nokia

devices – there is no longer a differentiation". Nokia's mission remains unchanged- "work to

deliver compelling, unified mobile service offerings and next-generation, disruptive

technologies”8. This re-branding is a result of the strategic alliance with Microsoft according

to which the Ovi app store would be rolled into Microsoft's Windows marketplace offering

and Microsoft will provide development tools for these applications. However, Nokia plans

to retain a branded storefront to leverage the Windows marketplace infrastructure.

3. Said goodbye to its Nokia Sans font and

introduced a new typeface and a new look for

promotional materials called as Nokia pure.

This font will be used for the new branding on

billboards and devices in 2011. Thus the new font face is meant to express this new

ambition9

8 Nokia Discontinues Ovi Brand, Roadmaps Not Changed, By Sarah Perez / May 16, 2011, http://www.readwriteweb.com/mobile/2011/05/nokia-discontinues-ovi-brand-roadmaps-not-changed.php9 (Nokia unveils new font and branding, http://conversations.nokia.com)

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“Nokia Pure” is now the primary tag line for the company. In the near future this will probably

be followed by a new logo as well, with the eventual adoption of both into all future Nokia

products and user interfaces 10

Nokia used innovative campaigns to connect with consumers through social networking

Nokia is making changes in its

approach to marketing, with more

budget being devoted to social media

and digital campaigns than above the

line campaigns. For instance, it

sponsored Shah Rukh Khan-owned Kolkata Knight Riders (KKR) IPL campaign on Facebook with

the slogan 'KKR tension mat le yaar’11

10 Nokia’s rebrand, http://www.brandmatters.com.au/nokia-rebrand/ 11 http://www.marketingweek.co.uk/sectors/telecoms-and-it/%E2%80%9Cstep-change%E2%80%9D-in-marketing-will-position-nokia-for-a-bright-future/3031369.article

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In order to attract youth, Nokia has also launched the Epic Dramas and Direct the Drama

campaigns in 2011. Both the campaigns have been well received as they draw a connection to

real life situations and brand Nokia.

POD

The secret to

Nokia's success as

the world's

leading mobile

phone brand is

the recognition of

the fact that the when basic technology questions are solved, instead of voice quality, design

becomes a more important factor. Nokia believes that design will always be as much a language

as any spoken word with a conversation individually as well as socially. Thus, Nokia has typically

maintained its global leadership position by using its product design as a differentiating

competitive factor12. Nokia phone generally have a highly recognizable packaging style and the

with the company name printed just above the screen and just below the earpiece.

Nokia also distinguishes itself through its pricing strategy and segmentation. Its product range

offers options across a continuum of price ranges and technology features. It is known to follow

a price skimming approach - launch a product at a premium price and then gradually decrease it

substantially within a year or so.

12 (http://www.idemployee.id.tue.nl/g.w.m.rauterberg/conferences/cd_donotopen/ADC/final_paper/197.pdf)

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POP

Nokia being a leader in the mobile category has basically defined the category. Its presence

across the entire price line has enabled it to connect with all the mobile segments.

Brand and Product Portfolio

Nokia includes ten different series of mobile phones, each with a subset of different models

which basically define the whole product range:

Nokia 1xxx (basic): These are the most basic mobile phones.

Nokia 2xxx (basic): More or less like 1xxx series, the 2xxx

series are entry-level phones. These however contain more

advanced features than the 1xxx series including color screens,

cameras and Bluetooth.

Nokia 3xxx (Expression): These constitute mid-range phones

targeted at the youth market. Nokia 5xxx (Active): Features are similar to that of the 3xxx

series, though some of the phones feature a rugged construction or contain extra features

for music playback.

Nokia 6xxx (Classic Business Series): This is Nokia's largest family of phones consisting

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mostly of mid-range to high-end phones containing a high amount of features. The series is

characterised by conservative, unisex designs, making this series quite popular among

business users.

Nokia 7xxx (Fashion and Experimental): These are targeted towards the fashion conscious

user, primarily women.

Nokia 8xxx (Premium): This series stresses heavily on ergonomics and attractiveness.

Internally, the phone is quite basic; from a functionality perspective however, the physical

handset appeals to users who focus on ergonomics.

Nokia Eseries: This is an Enterprise series

Nokia Nseries: Mobile Computer series

Nokia Xseries: Multimedia series which is targeted at the trendy youth.

Nokia’s Product Portfolio (Last 4 years) in a chronological order

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“Consumers will be able to instantly recognize that Nokia’s tone of voice has dramatically changed in its marketing. They will go ’wow, I can’t believe that’s Nokia’, the new campaign will make people surprised and delighted that Nokia is doing something this cool”

- John Nichols, Nokia’s UK marketing director

It can thus be seen that Nokia had been fairly consistent in developing and releasing new

models every year. However, in the last 2 years there have been lesser developments and

fewer releases as compared to previous years. This, by itself may not be a cause for concern

but considering the growth in the industry over the last couple of years, it does reflect on the

market leader’s inability to foresee and adapt

to recent changes in consumer preferences.

Nokia’s Current Marketing Strategy

As Nokia looks to reclaim its position at the

top of the smart-phone market, it has

unveiled a new revitalized youthful marketing strategy, using the tagline “the amazing

everyday” for the launch of its debut windows phone. With more funds being allocated to social

media and digital marketing rather than above the line campaigns and less traditional

marketing channels, Nokia looks forward to differentiate itself from the competitors.

Nichols emphasizes that People - not consumers - is where uniquely Nokia stands as a brand.

Only Nokia can globally own that brand essence.

Nokia has planned an extensive marketing strategy set out for all of the countries that will

receive its windows smart-phones. Nokia plans to install large arch installations in malls with

interactive screens to provide information and demonstration of its new windows Smartphone

line.

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The company has planned to supply stores with working phones that customers can play with

instead of the dummy phones that irritate customers and doesn’t give actual look and feel of

the phone. Also in plans is to install in-store large touch screen display to showcase phone’s

features.

The latest and innovative ad format that Nokia has come up with is the vortex type display that

will be displayed on the window of the store with colored glass and web like design showcasing

working Nokia Mobile Phone in the centre. This is surely going to add number of passersby

noticing the phone.

Giving free EA games is also one of the points of focus in the marketing plan which is expected

to add excitement to the phone user.

According to the company’s CEO the launch of Nokia Lumia and 710 is carried on by 3 times the

marketing budget available for the other launches at Nokia in the past. The new youthful in

Nokia marketing is the use of blips which is first of its kind to be used in the telecom industry

for promotion of a product preceding a launch.

Also the communications around the new launches will focus on the practical uses of the phone

and not on the technical specifications by using real people as the brand ambassadors.

The company is partnering with many dailies in order to place cover wraps and other innovative

advertisement formats to showcase the new models and their interface targeting to lure the

customers.

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BRAND EXPLORATORY

Survey Methodology

We conducted an online survey especially targeted towards the youth in the age group 23-30

years since it’s the youth segment which seems to have got disconnected with NOKIA . We

received 45 responses out of which 43 were either existing or current users of NOKIA. The

responses were analyzed using statistical tools and significant factors driving consumer

behavior were found out. We designed the questionnaire using mostly a 5 point Likert Scale in

order to find out the category purchase drivers and motivation, consumers’ perception of

NOKIA as a brand and also with respect to competition , NOKIA brand personality, consumer

associations with NOKIA and if NOKIA enjoyed resonance with the consumers .

Consumer Analysis- Product Category Purchase Drivers

The product category drivers were identified on a 5 point Likert scale (1-Most Dissatisfied,2-

Dissatisfied, 3-Doesn’t Matter, 4-Satisfied, 5- Strongly Satisfied ) and following attributes were

explored. The result summary is attached below -

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Interpretation of Descriptive Statistics for Category Drivers

The above data from survey reveals that people are indifferent towards the Design and Video

attributes for the Nokia Phones. The statistics result shows that people do not think that

Software and its updates, Prestige Image and Delicate can be satisfactorily associated with

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Descriptive Statistics

N Minimum Maximum Mean Std.

Deviation

Design 45 1 5 3.04 .976

Camera 45 1 5 3.40 1.031

Video 45 1 5 3.13 .991

Music 45 1 5 3.31 .949

Software 45 1 5 2.80 .919

Connectivity 45 1 5 3.69 .874

Battery 45 3 5 4.22 .704

Availability 45 2 5 4.40 .688

Reliability 45 1 5 4.20 .919

After Sales Service 45 1 5 3.62 .936

Value for money 45 2 5 4.09 .848

Brand Reputation 45 2 5 3.84 .796

Adds prestige to image 45 1 5 2.78 1.020

Software Updates 45 1 5 2.78 1.020

Rugged 45 2 5 4.00 .853

Delicate 45 1 5 2.33 1.000

Nokia. Drivers for which people are a bit satisfied are Camera, Music, Connectivity, After Sales

and Brand Reputation. Battery, Availability, Reliability, Rugged and Value for money are the key

differentiators for Nokia as per the result of the analysis.

Brand Exploratory

In brand exploratory we researched the brand positioning analysis, the consumer perception

analysis of the NOKIA brand and the associations the users have about NOKIA . Below is the

summary of the associations that users have about NOKIA .

Based on our survey and data obtained on a 5-point Likert Scale , we found out the T-statistics

of the parameters in the above table. These parameters captured the consumer perception as

regards NOKIA Performance, Imagery and also their feelings and Judgement about NOKIA.

With a level of significance of 5 % and T-critical = 1.645,we found that consumers didn’t

27

JudgementSmart & Stylish Expensive Reliable Properly Advertised Easily Available Appealing Pleasant Popular Prestigious High Quality

Mean 3.000 2.711 4.333 3.444 4.667 3.222 3.556 3.956 2.711 3.889Standard Error 0.168 0.133 0.101 0.161 0.071 0.145 0.133 0.131 0.144 0.136Median 3 2 4 4 5 3 4 4 3 4Mode 3 2 5 4 5 4 4 4 2 4Standard Deviation 1.12815215 0.894991677 0.674199862 1.077782984 0.476731295 0.974420315 0.893297 0.877899 0.96818063 0.91010045Sample Variance 1.272727273 0.801010101 0.454545455 1.161616162 0.227272727 0.949494949 0.79798 0.770707 0.93737374 0.828282828Kurtosis -0.578564648 0.049619368 -0.694352159 -0.855149502 -1.534883721 -1.063725638 -0.6254 0.674605 -1.0862119 1.599858987Skewness 0.099389294 1.016209241 -0.517409197 -0.305836972 -0.731727103 0.145355963 -0.17466 -0.9658 -0.004452 -1.09768913Range 4 3 2 4 1 3 3 3 3 4Minimum 1 2 3 1 4 2 2 2 1 1Maximum 5 5 5 5 5 5 5 5 4 5Sum 135 122 195 155 210 145 160 178 122 175Count 45 45 45 45 45 45 45 45 45 45T value 0.000 -2.165 13.266 2.766 23.452 1.530 4.172 7.302 -2.002 6.552Significantly perceived No No Yes Yes Yes No Yes Yes No Yes

Performance Imagery Feelings Performance Imagery Feelings Judgment

perceive NOKIA as being Smart & Stylish, Appealing and Prestigious though they didn’t think it

to be expensive also and rated it high on Reliability, Imagery, Pleasantness , Popularity and High

Quality .

Consumer Brand Imagery Perception – Personality Analysis

The survey revealed that people perceive NOKIA as a sincere brand since they rated it as being

Down-to-Earth, Honest but rated it low on being cheerful signifying that NOKIA is not perceived

as a vibrant and lively brand. Also NOKIA was ranked very low on Excitement since the

repsondents didn’t think NOKIA to be associated with Upper Class and Charming . Apple I-

Phone scored the highest on characteristics such as Cheerfulness , Upper-Class and Charm

signifying its popularity with the survey group . Also NOKIA was rated the highest on reliability

and ruggednes but was rated the lowest on characteristics such as Upper-Class, Intelligence,

Imagination and being Up-to-Date . While Apple scored the highest on all the personality

elements like Excitement, Sophistication, Intelligence and Successful .

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Brand Reputation of NOKIA

The respondents were also asked what they felt about NOKIA’s reputation on a 5-point Likert

Scale (1-Strongly Disagree- 5-Strongly Agree) and and the survey revealed the following -

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I consider NOKIA as the most publicly

recognized brand in terms of brand

reputation.

I consider NOKIA as the most reputed brand.

I consider NOKIA as the most reliable brand.

Mean 3.533 3.267 3.933Standard Error 0.167 0.175 0.150

Median 4 4 4Mode 4 2 4

Standard Deviation 1.120 1.176 1.009Sample Variance 1.255 1.382 1.018

Kurtosis -0.483 -1.368 -0.507Skewness -0.595 -0.022 -0.695

Range 4 4 3Minimum 1 1 2Maximum 5 5 5

Sum 159 147 177Count 45 45 45

T- Value 3.194 1.522 6.205Significantly Perceived Yes No Yes

With a significance level of 5 %, the responses were analyzed using T-test with T-Critical =

1.645. The findings show that people consider NOKIA to be the most publicly recognized brand

in terms of brand reputation but don’t perceive NOKIA to be the most reputed brand however

they perceive it to be a reliable brand which is consistent with NOKIA’s traditional image .

Further we asked the respondents about their perception of NOKIA with respect to competition

on factors such performance, Imagery, Judgement and Resonance . The analysis of the

responses are given in the graphs below –

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Judgement - Quality, Superiority Resonance – Attachment

Though NOKIA has been traditionally known to been good on quality front and has been

perceived as superior to competition but it’s the second both these attributes with Apple

leading by a very wide margin. Though as regards attachment 28.89% respondents said that

they preferred NOKIA and 62.22 % said that they were loyal users of the brand . Hence there is

scope for NOKIA to build again on this loyalty since Apple is though highly popular amongst the

youth but still majority of the youth are loyal to the NOKIA brand and expect it to come up with

a superior performance as always .

Resonance – Engagement Performance – Worth its Price

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Regarding engagement 31.11 % of

respondents said they would

recommend NOKIA phone to others but

here the spread is not as wide as in

other measures and other brands like

Samsung and Blackberry are also highly

recommended by consumers. As

regards price worth NOKIA is definitely in lead (44.44%) as it is considered a fairly good product

at a low price. However NOKIA scored abysmally low (8.89%) as regards consumer feelings of

pride of possessing a NOKIA phone whereas Apple clearly led at 80.00 % hence it is clear that

consumers don’t identify NOKIA with pride but are proud of aspirational brands like Apple .

Competitor Analysis

We have focused on three major players in the world markets as the main competitors to the Nokia

brand. These are Apple, Samsung and RIM’s BlackBerry.

1. Apple

With the introduction of the iPhone, Apple has broken all sales records set by any player in any

industry. In fact, they create new records with every new product launch surpassing even their own

expectations. From the Mac to the iPad, Apple’s product portfolio consists of premium products at

premium prices, and they still sell like hot cakes. This brand is clearly the apple of every consumer’s

eye. Apart from being a revolutionary product, Apple has been able to deliver industry-leading

devices in terms of specifications and design. It has created a very large aspirational value for itself.

This is clearly evident from its scores in the Competence, Sophistication and Excitement sections.

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Feelings- Self Respect

The majority of the respondents consider it to be the most imaginative (91%) and the most up-to-

date (60%). They also rank it the highest in terms of an upper-class (69%) and successful brand

(60%). The one major area where it lags behind is in terms of sincerity and reliability/durability

(ruggedness). Both these spaces are dominated by Nokia which is perceived to be the most reliable,

tough and down-to-earth phone, thought Apple is the most cheerful (53%) of the lot, adding further

to the aspirational value quotient.

2. Samsung

They are one of the largest consumer electronics manufacturers in the world. They not only make

mobile phones, but an entire range of consumer durable devices from refrigerators and washing

machines to televisions and computers. Samsung is well known for the variety it is able to offer in all

of these categories. Samsung had been making a wide range of phones before the launch of the

iPhone, but after the launch they have focused mainly on bringing both low-cost and class-leading

smartphones to the market at lower prices. They had their sights firmly fixed at the top spot which

was held by Apple not too long ago, and have successfully reached the top in terms of sheer volume.

In terms of the brand, it is a mostly distant second to Apple, but constantly ahead of Nokia on many

counts. Leading Nokia by a fair margin on the excitement front, Samsung is more daring (22%) and

up-to-date (27%). It does fairly well on the competence and sophistication counts, being rated as

more intelligent and more charming (15% each) than Nokia and marginally more upper-class. But

Nokia is perceived to be a more successful brand, probably owing to the history and presence of the

brand.

3. BlackBerry

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Research In Motion, a Canadian telecommunications firm, can be considered to be a major success

in terms of building the BlackBerry brand because the name is synonymous with its category and is

much more well known than RIM itself. BlackBerry is known for making mobile phones which are

focused on providing enterprise services to their customers. They have a distinctive design which

has become synonymous with the form-factor. Recently, RIM has made the foray into making

devices for everyone instead of just focusing on enterprise customers. Unlike Apple and Samsung,

BlackBerry does much better on the sincerity front, coming a distant second to Nokia on the basis of

down-to-earth (9%) and honesty (15%). It is also considered to an upper-class brand (20%) ahead of

Nokia and Samsung due to the premium and features and prices and the image of being a product

used by serious professionals. It also fairs well on ruggedness and reliability (9% each) compared to

Apple and Samsung.

Overall, Nokia rules the roost in terms of reliability, ruggedness and sincerity. This can be attributed to

the wide range of Nokia devices in the low-cost segments, which were the first ever phones that many

people had owned. In particular, devices like the Nokia 1100, which was a global phenomenon and

still holds the title of being the single largest selling mobile phone model in the world (250 million

units), have cemented Nokia’s brand image as a highly durable and rugged device. The areas where it

lags behind are Excitement, Competence and Sophistication, all of which play an important role in the

purchase decision of the consumer. Hence, the Nokia brand has suffered immensely in the past few

years as it has not been able to innovate in the right direction so as to keep up with the competition.

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Nokia’s Brand Equity Rankings 2011

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Nokia’s brand image has indeed suffered a setback in 2011 which is evident from its rankings in the

current year. It managed to garner the top rank in only the All India Brand Trust Ranking. This lays stress

on the fact that Nokia is still a formidable force in India and that it is high time for it reconsider its

branding strategies in order to regain the trust and faith of customers worldwide.

Respondent Profile

The respondents were mostly present NOKIA

users (51.11%) though around 95 % of the

users were previous or existing ones hence had

a fairly good idea of NOKIA phone

performance.

Nokia SWOT Analysis

SWOT analysis as a tool helps an organization understand where it stands. Conducting a SWOT

analysis of Nokia makes us understand where Nokia stands in the market:

Strengths

Brand Name: Nokia has a strong brand name which works in its favour especially in the

event of launching new products as the brand has high recall value in the minds of the

customers enabling strong brand association.

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Global Distribution Network: Enables easy availability of products across different

markets.

Financial Strength: It serves as the backbone for the company enabling it to concentrate

on innovations.

Ease of Use: Nokia is known for its user friendly products which make it popular among

users irrespective of how savvy they are with gadgets.

Varied Range: Nokia has a wide range of products which makes it an attractive brand.

Also the products have a relatively decent resale value which increases its popularity

especially in markets like India.

Weaknesses

Price: Nokia products are priced higher as compared to other substitutes like Micromax,

Samsung and Spice, though this gets covered by the quality and reliability of its

products.

Unable to keep up with the times: Nokia has been unable to keep up with the times

and has been a follower so far as innovativeness is concerned for the better part of the

last decade.

Size: Nokia suffers from being the behemoth market leader susceptible to ‘attacks’ from

emerging and established competitors.

Difficulty of use in recent products: Nokia’s newer models are somewhat difficult to use

which has caused an erosion of trust in the brand.

Opportunities

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Identifying New Markets: Nokia can leverage its position as Market leader by expanding

to newer markets.

Changing Price Structure: Price change can help it position itself as a more economical

option thereby enabling it to capture greater market share.

New Product Range: A more attractive product range can bring it in sync with changing

tastes and preferences and introduce it to a new target market.

Riding the crest of the telecommunication boom: Nokia is well suited to exploit the

global telecommunications boom to seal its position as the market leader and expand its

reach and market share.

Reputation building: Through aggressive advertisements and effective market

communication thus building the brand image further.

Threats

Competition: Entry of more competitors as a result of excessive growth of the industry.

Price War: Nokia is facing a price war from the competitors threatening its market

share.

Growth of WLL: Nokia’s forte lies with CDMA technology, while WLL phones are going

from strength to strength.

Innovation: Innovation on the part of the competitors threatens Nokia’s hold over the

market.

Conclusion and Recommendation

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NOKIA has been a top performing brand and a market leader by market share all along . It

enjoys strong loyalty and is perceived as a reliable, value for money brand however with the

advent of Apple and other high end phones using newest technologies to woo the customers

especially the youth , the market share for NOKIA has been declining . As can be seen clearly

from the results of the survey, Nokia has established itself as a reliable and rugged mobile

phone brand. But these aren’t the only factors that determine the purchase decision of the

customer. With the increase in the use of mobile internet and rapid advances in mobile

technology, the customers are moving towards smarter and faster mobile phones.

Smartphones, which used to be a core area of strength for Nokia in the past, have changed

drastically after the introduction of the iPhone in 2007 and Nokia has not kept pace with this

development. Its market share in this segment has been completely obliterated by the iPhone

and devices manufactured by Samsung and other leading brands running on Android. These

brands have made the smartphones more exciting, competent and sophisticated and Nokia has

fallen behind. To regain its lost market share, Nokia needs to reinvent itself and introduce an

entirely new range of smartphones which capitalize on Nokia’s strengths of reliability, which

none of the other brands have, and combines it with new elements which create excitement.

Hence NOKIA needs to be innovative and should update the features of its phone to delight the

customers and regain its market share . The brand needs to been seen as cool and happening

by the youth which are the major segment driving Apple’s sales in India .

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Questionnaire- Is Nokia Connecting with the People?

This survey is aimed at collecting information about the consumer perception of the NOKIA brand. Thank you for helping us.

Are you an existing or previous user of a NOKIA phone? *

( ) Existing ( ) Previous ( ) Never Used

Which brand do you recall first when thinking of a mobile phone? *

( ) NOKIA ( ) APPLE ( ) BLACKBERRY ( ) SAMSUNG ( ) Other:

If you have an intention to buy a mobile phone, which brand will you prefer the most? *

( ) NOKIA ( ) APPLE ( ) BLACKBERRY ( ) SAMSUNG ( ) Other:

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Strongly Agree

AgreeNeither

Agree nor Disagree

DisagreeStrongly Disagree

Pl indicate your preference

( ) ( ) ( ) ( ) ( )

Strongly Agree

AgreeNeither

Agree nor Disagree

DisagreeStrongly Disagree

Pl indicate your preference

( ) ( ) ( ) ( ) ( )

Strongly Agree

AgreeNeither

Agree nor Disagree

DisagreeStrongly Disagree

Pl indicate your preference

( ) ( ) ( ) ( ) ( )

Strongly Agree

AgreeNeither

Agree nor Disagree

DisagreeStrongly Disagree

Appealing ( ) ( ) ( ) ( ) ( )

High Quality ( ) ( ) ( ) ( ) ( )

Pleasant ( ) ( ) ( ) ( ) ( )

Popular ( ) ( ) ( ) ( ) ( )

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Strongly Agree

AgreeNeither

Agree nor Disagree

DisagreeStrongly Disagree

Prestigious ( ) ( ) ( ) ( ) ( )

Smart & Stylish ( ) ( ) ( ) ( ) ( )

Expensive ( ) ( ) ( ) ( ) ( )

Reliable ( ) ( ) ( ) ( ) ( )

Properly Advertised ( ) ( ) ( ) ( ) ( )

Easily Available ( ) ( ) ( ) ( ) ( )

NOKIA APPLE BLACKBERRY SAMSUNG

Down to Earth ( ) ( ) ( ) ( )

Honest ( ) ( ) ( ) ( )

Cheerful ( ) ( ) ( ) ( )

Daring ( ) ( ) ( ) ( )

Imaginative ( ) ( ) ( ) ( )

Up-to-Date ( ) ( ) ( ) ( )

Reliable ( ) ( ) ( ) ( )

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NOKIA APPLE BLACKBERRY SAMSUNG

Intelligent ( ) ( ) ( ) ( )

Successful ( ) ( ) ( ) ( )

Upper Class ( ) ( ) ( ) ( )

Charming ( ) ( ) ( ) ( )

Tough ( ) ( ) ( ) ( )

1 2 3 4 5

Design ( ) ( ) ( ) ( ) ( )

Camera ( ) ( ) ( ) ( ) ( )

Video ( ) ( ) ( ) ( ) ( )

Music ( ) ( ) ( ) ( ) ( )

Software ( ) ( ) ( ) ( ) ( )

Connectivity ( ) ( ) ( ) ( ) ( )

Battery ( ) ( ) ( ) ( ) ( )

Availability ( ) ( ) ( ) ( ) ( )

Reliability ( ) ( ) ( ) ( ) ( )

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1 2 3 4 5

After-sales Service ( ) ( ) ( ) ( ) ( )

Value for money ( ) ( ) ( ) ( ) ( )

Brand Reputation ( ) ( ) ( ) ( ) ( )

Adds prestige to your image

( ) ( ) ( ) ( ) ( )

Software updates ( ) ( ) ( ) ( ) ( )

Rugged ( ) ( ) ( ) ( ) ( )

Delicate ( ) ( ) ( ) ( ) ( )

Nokia Apple Samsung Blackberry

Always maintains high level of quality

( ) ( ) ( ) ( )

Worth its price ( ) ( ) ( ) ( )

I prefer this brand ( ) ( ) ( ) ( )

I will recommend this to others

( ) ( ) ( ) ( )

It has something that other brands don't have

( ) ( ) ( ) ( )

It gives a feeling of sense ( ) ( ) ( ) ( )

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Nokia Apple Samsung Blackberry

and pride to others

I am a loyal user of this brand

( ) ( ) ( ) ( )

It is a very special brand and I have unique feelings

about it( ) ( ) ( ) ( )

Please enter your name. *

Please specify your gender. *

( ) Male ( ) Female

Please select the age group you belong to. *

( ) 21-25 years ( ) 25-30 years ( ) 30-40 years ( ) > 40 years

Which brand of mobile phone are you currently using? *

( ) Nokia ( ) Apple ( ) Samsung ( ) Blackberry ( ) Other:

[Submit]

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