Marketing Plan of Nokia

Introduction:
Nokia is well known and world known company for mobile devices. They have branches in 120
countries and sales in 150 countries with 128,445 employees. The operating profit of this world’s
largest mobile manufacturers is EUR 1.14 billion and 51% of world’s market share according to
latest reports released for Q4 2009. This popular public liability company is listed on stock
exchanges of New York, Helsinki, and Frankfurt. At the Nokia’s recent organizational
restructure, there was a change in strategy, mission and goal of the Company into precise
objectives.

Nokia stated that ‘Our goal is to be a good corporate citizen wherever we operate, as a
responsible and contributing member of society. We take part in long-term projects aimed at
helping young people create their own place in the world, for example through our global youth
programs.’

To achieve this goal they following this mission statement ‘By connecting people, we
help 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 people and the information they need.’

In order to pursue its mission and to achieve its goal they implementing the strategy of
‘Expand mobile voice, drive consumer multimedia and bring extended mobility to enterprises.’

Products & Services:

1. For every market segment they introduce mobile devices of different technology like W-
CDMA (UMTS), CDMA, and GSM.
2. Nokia Siemens network make services and solution along with telecommunication
network equipment.
3. They are providing digital map information and internet services through owned
subsidiary.
 However Nokia has a very limited product line but when considering development and
research areas, manufacturing and service portfolios it’s an impressive company. . The advanced
mobile technology of Nokia includes information transfers through blue tooth, wireless internet
capabilities and data synchronization. The cutting edge technology of Nokia in imaging, video,
audio, browsing and in mobile instant messaging made them contrast from their competitors.
Hence they are pioneers in the mobile phone capabilities.

Marketing Mix:
The grouping element in the marketing strategy of company is known as marketing mix. This
marketing mix designed to present what the customer want. The marketing mix of Nokia based
on four “P’s” are-
 Product: The product is considered as a vital point for marketing mix and. In fact
following three P’s also fabricated around the company product. Nokia always conduct a
market research to identify the consumer requirements and specific needs because each
and every customer has their own purpose or reason to buy a particular product.
 Price: Pricing is an important factor in a sale of product. There are different strategies for
a single product. And its gets change depends on penetration and competitor. In case of
Nokia mobiles customer demand, competition, charge of service and production are the
main factors in finalizing price.
 Place: A suitable place is necessary for successful launching of the product. A powerful
market for a product can be generated only when its service is easy to accessible. In that
way Nokia mobile phones can be easily accessible and sold in super markets, specialized
locations and all important departmental stores.
 Promotion: Creating publicity and reaching the target audience is very important to
promote a product. The impressive advertisements of Nokia through televisions, radios,
prints and also the free giveaways, money off deals attracted people towards its products.
These are all the very powerful promotional tools.

Targeting and Positioning of Nokia:

Targeting the potential customer is the main target of the every marketing plan. Positioning is
placing the product in the different types of population. The process of identification of the
potential customers is the main thing that needs to be done to sell the product. Nokia has also
some serious concerns to choose the right target audience. They chose the youth market that is
falling between the ages of 13-19. They conducted a research that the youths receiving lot of
pocket money and they are not having any commitments to spend that money. So they can easily
buy mobiles from the pocket money. Nokia is branded company and can able spend lot of money
on promoting and advertising the product. However companies smaller than Nokia cannot able to
afford big amount for the ads. Television ads gives good results but it must be played at right
time to attract huge number of audiences. Nokia has also had the idea of targeting the business
people. For this reason Nokia conducted some events to promote the product among the
businessmen’s. They placed the ad in television and banner where the large number of audience
can get view the ads. Nokia spreads the product also in the magazines. Particularly in men’s
magazines, because the large amount of Nokia Phones are bought by the Men’s. Nokia’s
targeting and positioning is been good. It contains the mix of attracting the large viewers as well
as they are attracting more specific ones. By following this method, Nokia’s marketing won’t let
them down in any recession.

Competitive Analysis:

Nokia suffers huge competition from the Mobile Manufactures like Sony Ericsson, Samsung,
Motorola, Siemens, Panasonic, Sagem, NEG and Toplux. These manufacturers are having the
technology in their hand and providing the mobile at the cheapest prices. However the customer
care of Nokia is extremely providing the incomparable service to their customer base. Nokia is
also getting fresh new competition from the Google and Apple. These companies are branded
companies in 3G technologies available in the market. Smart Phone is the latest buzz in the
mobile industry that spreads around for quite some time Nokia should consider the importance of
introducing the mobiles having different variations from the previous releases. Nokia released its
first touch screen after the long release of LG only. Nokia is the big player in the Mobile industry
for the past 10 years, but they are not eager to experiment things. Other competitors like LG,
Samsung released the touch screen as soon as their entered into the mobile industry market.

Nokia have to concentrate on making the mobile based on the open platform and they
have to cope up with market expectations. Many customers of Nokia expecting Nokia to release
mobile phones that works like PDA. Many other Mobile Manufacturers like BlackBerry released
the Computer like Mobile Phone. Nokia should take some effective measures to introduce some
new models that are expected by the Nokia’s evergreen customers. They need to concentrate
more on the marketing strategies to boost the sale of the new model Nokia Phones. They need to
focus on the principles of marketing to reach out for potential customers.

Market Analysis:
Nokia’s marketing strategy is based on the customer needs. That is why Nokia is successfully
running a customer oriented marketing plan. For the past few years’ customer feedback of Nokia
is extremely high. . Nokia customers are getting the product for the money; the quality of the
product is extremely high when compared to other mobiles in the market. The Nokia Products
are fashionable and looks great for the money the customer spent on it. The reliability of the
Product is considerable increased for the past few reports. Nokia’s predictability is low when
comes to customer needs and expectations.
Nokia’s market prediction needs to be improved and they have to implement the
expectations of the customer in quick time. Customer prediction plays the important role in
keeping the current share of the Nokia in the Global Mobile market intact. Nokia have to keep
track of the technology advancement in the mobile technology. It is high time that Nokia needs
to take care of the slowdown in the market. Every change in the market must be watched to take
effective actions in the marketing plan. Environmental Analysis European commission has given
a good review about the good reviews of Nokia’s Mobile Phones. This is a positive side for
Nokia’s marketing strategy.

Customer Analysis:

Nokia is having one of the best customer care support among the many mobile phone
manufacturers. Many customers said that they are prefer Nokia because of its reliability when
compare to other branded mobile phone manufacturers. The wide spread customer care support
of Nokia provides the customer to get the service whenever is it necessary. This makes them
more preferable than the other mobile phone manufacturers. Then the clean operation of the
Nokia Phones makes them easily accessible even by the uneducated. Nokia makes their ideas
simple. Simple ideas reach to the people than the complicated ones.

SWOT analysis:

SWOT is expanded as the Strength, Weakness, Opportunity and Threat. These parameters are
needed to study the market scheme of any company. Nokia’s Strength is the Popularity of the
Company. Weakness is considered to be the internal factors. Below are some of the weaknesses
of the Nokia’s Product:

 They are only targeting their product at a drenched market sector.

 Their salary cost is rising forever.
 Some of the countries placing high tax for the imported products and no tax cut for the
Nokia mobile phones.
 Supply chain cost is increased considerably and it is incurred in the cost of the product.
 Nokia is losing its reliability among the customers. It’s not a big decline but in the future
it may give big worries for Nokia.

Opportunity is the other main parameter that gives you more focus about what are all the external
factors that can be added to improve the performance of a company. Nokia’s External Factors are
mainly dependent on two things-

 Innovation is the key thing for every business to grow upwards in the market. They have
to continuously reinvent the strategies and give the customer something new.
 The reduction in cost of the call charges in many countries provides the opportunity to
Nokia to sell more products.
Threat is also one of the external factors to effectively analyze the Companies situation in the
Market. Nokia’s development is hampered by the Losing Market Share and the legislations
prevailing in most countries. For e.g. - To get a 3G License in Europe, the company had to spend
Euro 110 billion. Below are the Key threats to Nokia-

 Market Penetration – The main purpose of the market penetration is to sell the current
products into the current market. They must change the pricing scheme to match the
competitor’s price.
 Market Development – Nokia’s Market development to achieve the complete
development effectively. They have to find the new market to sell its product, if the
market attains the saturation level. Changing the times of the Television ads and
changing the place of the print ads will give some results effectively.
 Product Development – Since from the launch of the particular product, the product must
be continuously updated with the current technology. Nokia stopped some products after
the poor performance in the market. However some of the products of Nokia are still in
operation and also in Manufacturing. They need to update with the latest technology and
make them appealing to the large customer base.
 Diversification – Nokia have to contribute something different to the customer. This is
the most common way of getting the desired Market and also it leads to the high profits.

Marketing Objectives of Nokia:

Because of the Successful marketing plan, Nokia has reached all over the world. The objectives
of marketing plan should be clear and legitimate. Below are some of the main objectives of
Nokia-

 Customer satisfaction: In every business customer satisfaction is very important. Nokia

has taken utmost care to find out whether the product has given 100% satisfaction. Even
they conducted some research regarding the customer satisfaction and expectation. Those
results prove to be good for Nokia.
 Customer perception: Before buying the product of any branded company, the customer
may have some perception about the product. Similarly Nokia tries to catch the
 perception of a customer through various feedback systems. Customer can interact with
the nearest store and get some ideas about the Product.
 Customer needs and expectations: Satisfying the customer needs and expectation is the
main goal of any branded company. Nokia spent some time on this to develop products
according to the Customer expectations. It is totally a waste of time, if you cannot
manufacture according to the customer needs.
 Generating income or profit: Every organization needs to be function only if they are
getting sufficient profit from the business. Obviously providing quality service is the
main objective but without money you cannot provide quality service. Getting high
returns will also satisfy your shareholders as well as it will provide the opportunity to get
more investment on the Nokia.
 Be aware of the environment: Every organization must have a look around the
environment to perceive what is happening in the market. Nokia has given some high
priority to this issue. Some of the key things are mobile technology advancement, slow
down of the market, rapid growth of the market, updating the mobile technology news,
saturation level in the market and changing trends with the market.

Growth Strategies:

The growth strategies are one of the essential factors for every company to keep eye on it.
Nokia is one of the marketing leaders who are coming up with well-packed marketing
objectives. It is giving some reasonable attentions for how to develop them in a market and how
to make a way for grow rapidly in a limited periods. This is the basic objectives for this
company. In this world, the advertisement is one of the unavoidable factors especially in the
field of marketing. So having some proper awareness about it, the company is also coming up
with innovative Growth Strategies. Being one of the best contenders, the company, Nokia is
giving more importance for advertisements. For them, the advertisements have proved to be an
effective tool for marketing their every product. When comes to marketing development,
catching up the customers is the main task. So keeping that in mind, the company, Nokia is
using such advertisements as the main objectives for their rapid growth in the market. The
customer satisfaction is the main subject for improving any kinds of marketing business. The
company, Nokia, is giving more freedom for their every employee to create their own
development plan. The on-the-job learning is yet another factor that Nokia is encouraging
reasonably. The Nokia is providing some best coaching methods for improving the skills
reasonably for every employee. They also providing best platform for their every employee to
share their thoughts with the every leader of the industry. The Nokia has used to give some
effective training for their every employee. Having touched with global network of learning
centers, Nokia offers some innovative training for their employees for further improvement in
their own skills. The development of managers is the main thing, which cannot be, evade at any
cost. When comes to growth for a company, the managers have to develop their skills for
interacting freely with their employees. In that sense, the Nokia are giving more rooms for every
manager to improve their leadership skills. The company Nokia is offering jobs internally for
their employees. Therefore, it is sufficient for the every employee to shine in his or her careers.
If doing so, the company will automatically find a way for reasonable growth. This is the basic
Growth Strategies for the well-known company Nokia.

To conclude, Nokia is very conscious about the business mobility market and with the
support of its reliable partners, is able to extend its mobile business solution worldwide.
Mobilization is very easy and cost effective with the IT involvement. Nokia completely relies on
phased approach, developing a particular area of mobility after another. Hence organization can
easily take advantage of mobilization and attain benefits of workforce like high employee
flexibility and increased productivity within very short time period. The balanced various
approaches of Nokia made it as a leader in the market. By aligning the internal strengths and
external opportunities, balancing the emergent and planned strategies Nokia retrieved the market
share. Hence the Phased approach is basic reason for the long development of Nokia in mobile
phone industry.