NOKIANOKIASubmitted to Dr:

Ezz El Arab Alaawor

Preparation by:

Ziad RamadanMohammed Abu Shammala

2

• Company Description• SWOT analysis • Competitors • Objectives• Market and Consumer • Marketing Strategies• Conclusion• References• Q&A

AgendaAgenda

3

Company Description Company Description

Background– Nokia is the world leader in mobile communications– Provide easy-to-use and innovative products like

mobile phones, and solutions for imaging, games, media, mobile network operators and businesses.

Mission– By connecting people, Nokia helps fulfill a

fundamental human need for social connections and contact. Nokia builds bridges between people both when they are far apart and face-to-face, and also bridges the gap between the information they need.

4

SWOT analysisSWOT analysis

STRENGTH-The Leader in the Industry

-Strong Financial Support for Investment

-Strong R&D Unit

-Strong Customers Relation

OPPORTUNITIES-Close cooperation with Suppliers and Intermediaries

-Tax Reduction

-New Demand Created From the Advancement of Technology

WEAKNESS-Lack of Innovation

-Human Resources Management

THREATS-Keen and Strong Competitors

-Saturation in Current Market

-Challenges of Continuous Technological Development

5

CompetitorsCompetitors

• Many Competitors in this area– Motorola– Sony Ericsson– Samsung– LG– Sharp– Panasonic – etc

6

Objectives Objectives

• To set up a new brand image for Nokia’s mobile phone: Creative and Trendy

• To meet the needs of the niche: Young and Rich customers who are pursuing stylish lifestyle

• To maximize current profit

• To lead the mobile phone market with innovative and modern new products

7

Nokia’s Financial ConditionsNokia’s Financial Conditions

• A moderate increase in revenue in the year 2005, after a decrease in 2004.

• The overall performance has not been improved much

• An increase in net profit is largely due to the cut in taxation. 0

5

10

15

20

25

30

35

Revenue GrossProfi t

Operat i ngProfi t

NetProfi t

200320042005

8

Market and ConsumersMarket and Consumers

• In this period, the world market as a whole expanded and became almost saturated now.

• So far Nokia still has the No.1 market share of 33%, but it is far from its objective 40%. And its ASP (average selling price) is decreasing.

Launch a new program!

9

What should we do What should we do Explore such new market needs Explore such new market needs and act accordingly to satisfy them. and act accordingly to satisfy them.

10

ProductProduct

• New series: Exquisite• Luxurious recombination of fashion and

mobile technology • Target group: Young and wealthy adult who

capable and enjoy spending on consuming product

• Positioning statement:– To our target customer, Exquisite series is a

revolutionary mobile phone that allows you to experience prestige and the latest Nokia mobile technology

11

ProductProduct

• Product features:– Hot key to LV website – Compact design– Two integrated cameras: Back side 2-

megapixel camera with full-screen landscape camera mode and camera flash, front side VGA camera for video calling

– High-speed connections with 3G – Two-way video call capability for face-to-face

communication

12

ProductProduct

• Product features (cont’d):– Video ringtones – Fast, convenient email access – High-resolution, 262,144-color display – Music player with stereo audio

13

ProductProduct

X01

14

ProductProduct

X02

15

ProductProduct

X03

16

Product Product

• Product bundle– Protective case– Phone strap

• Accessories design changes seasonally

17

PricePrice

• Psychological pricing– Consider the psychological approach rather

than economic approach– LV is a high-end brand– Therefore, people are willing to spend on one

a “LV-branded” mobile phone

18

• Market-Skimming Pricing– Set a high price– Skim the maximum revenue– Decrease the price gradually– Intiailly we will set a high price around $1200,

gradually decrease and replaced by a newer model

– Maintain a high profit margin

PricePrice

19

Distribution channelsDistribution channels

Number of channel level Indirect marketing channel

Sold in LV specialty shop &Nokia specialty shop

Horizontal marketing systemNokia join forces with LV at one levelShare the distribution outlets with each other

————————> —> Producer(LV &Nokia)

Retailer(Specialty shop)

consumer

20

Type of intermediariesCompany sales force

Use their own specialty shop

Exclusive distributionOnly allow the product sold in specialty

shopOnly sold in designated territories

Distribution channelsDistribution channels

21

• Printed advertisement

• Goal: to create a new reason to buy our new cell phone

• Focus on masculine and feminine magazine, etc:

Car Audio/Video products Cosmetics Fashion

Promotion Promotion

22

Promotion Promotion

• Online - Advertisement

• Objective: raise awareness of the mass people

• Bid on cell-phone before the launch of our product

23

Promotion Promotion

• TV advertisement

• Objective: raise people interest of our new product

• Demonstrate its outlook and style

• Encourage people to bid our product online

24

Promotion Promotion

• Road show advertisement• Objective: raise awareness

of mass people• Large banner and poster in

shopping district• Urge people to experience

new product at place of selling.

25

IT UsageIT Usage

• Internet Marketing- Advertise & service- Expand market- Online bid

26

IT UsageIT Usage

• CRM system– optimize the time spent on developing and maintaining

successful relationships and maximizing opportunities

– catalog information from initial marketing campaigns and sales contacts through quoting, customer orders, production, shipping, invoicing and payment

– capture, manage and track every interaction with customers and suppliers in one place- putting it in front of ours sales and customer service people, right when they need it

27

ConclusionConclusion

• Nokia currently still the no.1 in mobile industry

• Its growth in profit not comparable to main competitor - Motorola

• New series of phone: “exquisite” series

• Target on wealthy young adults

• To maintain leadership position and generate more profit to Nokia

28

Reference Reference

• Nokia official website• http://www.nokia.com/• http://www.nokia.com/A402777 • http://www.nokia.com/A402917• http://www.nokia.com/newhorizonsthankyou• Louis Vuitton official website• http://www.louisvuitton.com/• Investors.com• http://www.investors.com/breakingnews.asp?journalid=34649123&brk=1• International Herald Tribunne• http://www.iht.com/articles/2006/02/28/yourmoney/mobile-5806545.php• http://www.iht.com/articles/2005/04/14/yourmoney/mobile.php• Ewireless News• http://www.ewirelessnews.com/Features/35/Nokia-sets-out-its-growth-strate

gy-in-the-face-of.html• http://www2.hs.fi/english/archive/news.asp?id=20000731xx12

29

Nokia is working on the design of strategies

is very strong and successful in all areas, such as

"production, marketing, development, pricing, manufacturing, etc. .."

Commensurate with the time and geographical distribution

all over the world and this is the main reason

for the success and excellence.

I Suggest that NokiaMake part of products

to facilitate the services within the security firms

and to provide easy communication for The V.I.P in the world.