Swain Rajesh Kumar Jena Rishab Verma Sabyasachi Mukherjee

Dipak Ranjan


Their products are also well promoted.EXECUTIVE SUMMARY This project report analyses the marketing mix. The Segmentation. The success of the company lies in the fact that 1 . Targeting and Positioning of all their products are discussed in a detailed manner. Almost every shop dealing in mobiles sells Nokia phones apart from their Nokia Care and Nokia priority outlets. Nokia has adopted excellent techniques to influence a consumer. PEST analysis and STP analysis of Nokia. the prices of their phones are reasonable.

Nokia helps people to fulfill this need and they help people feel close to what matters to them. and beautiful HISTORY OF NOKIA:- NOKIA’S FIRST CENTURY: 1865-1967 The first Nokia century began with Fredrik Idestam's paper mill on the banks of the Nokianvirta river. but it 2 . They focus on providing consumers with very human technology – technology that is intuitive. Between 1865 and 1967. the company would become a major industrial force.NOKIA: AN INTRODUCTION Everyone has a need to communicate and share. a joy to use.

1962: First in-house electrical device:The Cable Works electronics department produces its first in-house electrical device . industry heavyweight:Former Olympic wrestler Verner Weckman becomes President of Finnish Cable Works. 1898: Finnish Rubber Works founded:Arvid Wickström founds Finnish Rubber Works. 1960: First electronics department:Cable Works establishes its first electronics department. 1967: The merger:Nokia Ab. where the Nokia story begins. 1937: Verner Weckman. ➢ 1865: The birth of Nokia:- ➢ ➢ ➢ ➢ ➢ ➢ Fredrik Idestam establishes a paper mill at the Tammerkoski Rapids in south western Finland. the foundation of Nokia's cable and electronics businesses. selling and operating computers. which will later become Nokia's rubber business 1912: Finnish Cable Works founded:Eduard Polón starts Finnish Cable Works.a pulse analyzer for nuclear power plants. THE MOVE TO MOBILE: 1968-1991 2 . Finnish Rubber Works and Finnish Cable works formally merge to create Nokia Corporation.took a merger with a cable company and a rubber firm to set the new Nokia Corporation on the path to electronics.

the company’s first digital telephone switch.The newly formed Nokia Corporation was ideally positioned for a pioneering role in the early evolution of mobile communications. early phone maker Radio telephone company Mobira Oy begins life as a joint venture between Nokia and leading Finnish television maker Salora. the first handheld NMT phone.. 1979: Mobira Oy. 1981: The mobile era begins Nordic Mobile Telephone (NMT).. 1982: Nokia makes its first digital telephone switch The Nokia DX200. MOBILE REVOLUTION: 1992-1999 1 . 1991: GSM – a new mobile standard opens up Nokia equipment is used to make the world’s first GSM call. As European telecommunications markets were deregulated and mobile networks became global. 1987: Mobira Cityman – birth of a classic Nokia launches the Mobira Cityman. Nokia led the way with some iconic products. 1984: Mobira Talkman launched Nokia launches the Mobira Talkman portable phone. is built. goes into operation. the first international mobile phone network.

1998: Nokia leads the world:Nokia becomes the world leader in mobile phones. 1997: Snake – a classic mobile game:The Nokia 6110 is the first phone to feature Nokia’s Snake game.. new CEO Jorma Ollila put Nokia at the head of the mobile telephone industry’s global boom – and made it the world leader before the end of the decade. the Nokia 7110. 1992: Nokia’s first GSM handset:Nokia launches its first GSM handset. As adoption of the GSM standard grew. 1999: The Internet goes mobile:Nokia launches the world's first WAP handset.In 1992. using a Nokia GSM handset. 1994: World’s first satellite call:The world’s first satellite call is made. focusing the company on telecommunications.. NOKIA NOW: 2000-TODAY:1 . 1992: Jorma Ollila becomes President and CEO:Jorma Ollila becomes President and CEO of Nokia. This was probably the most important strategic decision in its history. the first phone to feature the Nokia Tune. the Nokia 1011. 1994: Nokia Tune is launched:Nokia launches the 2100. Nokia decided to focus on its telecommunications business.

. THE 4P’S OF THE MARKETING MIX: PRODUCT:1 .Nokia sells its billionth phone – a Nokia 1100 – in Nigeria. 2003: Nokia launches the N-Gage:.Nokia launches its first 3G phone.Olli-Pekka Kallasvuo becomes Nokia’s President and CEO. mobile multiplayer gaming.Mobile gaming goes multiplayer with the N-Gage.Nokia introduces the next generation of multimedia devices. Devices & Services. Nokia Siemens Networks commences operations. 2005: The Nokia Nseries is born:. the Nokia 6650. The ultimate handheld communicator mobiles (Enterprise series) are launched. 2008: Nokia's three mobile device business groups and the supporting horizontal groups are replaced by an integrated business segment. 2007: Nokia recognized as 5th most valued brand in the world. 2006: A new President and CEO:. Global mobile phone subscriptions pass 2 billion. its new internet services brand. The birth of Nokia Eseries. Nokia launches Ovi. the Nokia Nseries. Jorma Ollila becomes Chairman of Nokia’s board. multimedia devices and a look to the future. Nokia and Siemens announce plans for Nokia Siemens Networks.. 2002: First 3G phone:. 2005: The billionth Nokia phone is sold:.Nokia’s story continues with 3G.

Consumers purchase goods and services for a variety of individual reasons and a company must be aware of all of these when selling a product (that is why they conduct market research). Samsung. competitor based. thus appealing to the consumer. The three main factors affecting the amount charged for a product or service. and Motorola who also started offering low-cost handsets. for example. It started focusing on the low-cost mobile phone segment for rural markets in India. are. the cost of production. Nokia has come up with the perfect prices for each 2 . customer demand and competition. Nokia launches special and limited editions of its mobile phones. Since its entry into Indian mobile market in 1995. it focused on manufacturing of mobile handsets based on GSM technology. on special occasions such as the Olympics. Nokia does exactly the same and comes up with innovative phones almost every six months. faced stiff competition from Sony Ericsson. Sometimes. penetration or skimming. Nokia built a strong brand image with focused marketing and distribution network. The new phones that Nokia launches have some new feature or price difference. and is usually the one that is open to the most change based on different pricing strategies.The product is the centre of the marketing mix and the other three P's are based around it. In short they offer phones of great variety with various designs and high quality. Price:Price is a key factor in the selling of a product. but.

it can be classified as international organization. Economics. A lower middle-class person can go for a Nokia 1200 costing around Rs. Society. Macro environmental factors comprise Political. 33. Place:This refers to the chosen outlets for a product or service. Nokia mobile phones are very easy to access nowadays. using radio. Nokia Priority. It is necessary force that Nokia has to concern and know what is happening in the other countries at the moment. and Technology. They also have various sale promotion schemes like offering discounts on special occasions and giving free gifts along with a purchase of a mobile phone. Nokia Care and specialized outlets (eg. Promotion:This involves providing information to the customer over a variety of media platforms.000. 1200 while an executive can opt for N-96 costing around Rs. such as Nokia. they are sold in supermarkets. which is required to focus on macro environmental factors.and every consumer segment in the market. The advertisements are made in such a way that it appeals to the psychology of the consumer. It is basic for global brand. The advertisements that Nokia comes up with are very successful in targeting the customers in a consumer market. viz. 2 . for a product to be very successful it must be easy to access. television and print advertising as well as using other promotional tools such as "money off deals" and "free giveaways". The Mobile Store). PEST ANALYSIS In the case of Nokia. PEST Analysis. Because there are different culture and different external factors between different countries. Nokia has to adjust its strategic plan in order to develop international market.

Political:It is important of a company to acquire resources from government. Economic:According to the fact that Russian Federation was collapsed in early 1990s and it assaulted with Finnish economics. stable currency conditions and the international competitiveness of the tax system form the foundation for the growth of business an improvement in employment. Finnish government best facilitate the efficient functioning of the economy by directing its resources to the reduction of market failures. To operate efficiently. Both policies used by Finnish government and Parliament are crucial for the development both of the Finnish Economy and of national information society. which enables consumers to be more selective with their choice of mobile 1 . and changed its functions from single market and overall products to global market and focusing mobile phone market. internationalized and undergoing rapid structural change requires active support from the public sector. As the result of this. The Finnish policies are the most important factors of Nokia. In its widest sense industrial policy and science and technology (S&T) policy comprise all those measures by which the public sector shapes the operating environment for business and thus fosters public welfare. such as economic policy. such as Nokia. The success of Nokia has obtaine the resources from Finnish policies which assist Nokia to advance its products.and technology-based economy that is highly specialized. a modern knowledge. General macroeconomic stability. and science and technology policy. people have more disposable income. The state must also pursue an industrial and economic policy that provides a stable macroeconomic environment for enterprises. have play very important roles to develop their information society and national technology strength. low interest rates. Nokia also face with the problem. not only Finnish Government but also international companies. With incomes rising.

the global market trends to connect PC and mobile phone. even though to combine these two products together. monitors and TV sets. messaging and phone calls) Nokia being a multinational company operates in many countries. The markets for environmental products are expected to grow rapidly in the near future. To sum up. Innovation also creates new opportunities for promoting sustainable development.phone. both of Nokia and Finnish Government are the winner in the international market. They have to abide by the economic policies in whichever country they are operating. According to the changes in 1990s. Society and Technology:In the 1980s. the main reason of Nokia has success to advance its products are the policies and technology development of Finnish Government. The Finnish government offers goods facilities for taking this opportunity. Nokia must be used to find solution which help to implement environmental objectives as well as the objectives of innovation policy in a balanced way. such as computers. people’s trend to microcomputers and Nokia tried to match the tendency to produce its main products. one important future challenge of Nokia is to establish its policy to follow up the environmental policy and science and technology policy of the Finnish Government. 2 . National and European reforms arising from environmental objectives influence the perquisites from innovation. and Finnish Government has established its position of technology development. looking to other factors rather than fulfilling the most basic of user (text. On the other hand. Nokia also changes its functions to mobile phone market. It cannot be separate between Nokia’s successful of advance its product and Finnish Government’s policies. Sustainable development and environmental protection have various effects on the operation of the innovation system. Nowadays. Nokia has obtained the success of mobile phone market.

200-3. GPRS. 1208. STP ANALYSIS SEGMENTATION AND TARGETING:➢ Entry level: (Rs 1. etc. Sets include in this series are 6300. This series is also called multimedia computer.6233.3120 etc ➢ N gage Series: (Rs 8.000-17.000):. PSP and Xbox.Series: (Rs 7000-35. ➢ N.000):Nokia targeted decent people in this series.000):.Nokia targeted the young generation who wanted to possess mobiles with the latest technologies such as a 5 MP camera.000):.Nokia targeted low income people and first time mobile buyers in this series. Sets include are 1200.At this moment Nokia is the best selling mobile phone company owing to its constant upgradation in the technology of its phones. 1100. a decent music player. 1112 etc ➢ Classic Series: (Rs 7.These sets include game like play station.Nokia targeted game lovers in this series .6120. Named 2 . 1110.000-16.

000-20.000-60. Sets include E90. These phones are enabled with word. 5220. They also are equipped with GPRS/ EDGE technologies thus functioning as a palmtop. 8800Gold. 5610.These mobiles were launched for people who needed mobile computing on the go especially business people. spreadsheet and presentation softwares.Nokia launched this series basically for the people who loved music. E62. N97. N81. 2 . E75. Sets include in this series are Sephiraarte. ➢ Long battery backup. Sets include 5800.000-1. 5310. 5320. 8800arts etc POSITIONING:Positioning of a product refers to creating an image about a particular product.as on step ahead multimedia. Good dolby digital earphones and long battery life are the features of these mobile phones. etc ➢ Xpress music Series: (Rs 6. Nokia has created a distinct position in customer mind by:➢ Nokia logo: ➢ Slogan: ➢ StandardRingtone ➢ Standard message tone. etc ➢ E-Series: (Rs 10. Nokia has been very successful in this strategy.000):. N96. etc ➢ Premium Series:(Rs 80.000):. Sets include N72.500.000):-In this series Nokia targeted people who show visual status. E61. N95.

These specific aspects have been embedded into the mindset of the consumer in such a way that every time they saw the logo or heard the ringtone they associate it with a Nokia product. Hence Nokia has been very successful in positioning it products in the market. 1 . ➢ The specific message that is conveyed to the customers in every advertisement is: “Nokia enable you to get more out of life”.➢ User friendly mobiles.

This strategy worked very well in the past. But times have changed.LOOPHOLES No doubt that the products from the Finnish company. Motorola and Samsung must now be in the FUW (frequently used words) list in Nokia’s board meetings. The N-Series is packed with multimedia features and Nokia believes that these phones might woo the costumers back to the big daddy of the mobile phone world. Nokia from the very start has relied on numbers rather than names. The very reason that other mobile phone companies are fast eating up Nokia’s market share is their superior (yet simple) marketing practices. we have a problem!! (Nokia is headquartered at Espoo. While Motorola (quite intelligently) gives a dashy-flashy name to every phone it brings into the market. But Espoo. quite alarmed by the dropping sales of its phones. The aggressive marketing practices followed by Motorola have hit Nokia very hard and it is losing very crucial global market share every month to its American competitor. Every month the market sees at least a dozen new handsets from an equal number of manufacturers. Finland). Nokia. Consumers are more attracted by names because they can thus easily relate to the features of the phone. but the company still hasn’t found a profitable way to market its goods. Nokia tends to do the exact opposite. These companies have made Nokia pay dearly for its rudimentary approach in marketing its phones. These phones are not packed with heavy multimedia features like the N1 . MotoSlvr. are some of the very best in the world. but only because there wasn’t much competition back then. This is evident from the success of the MotoRazr. Nokia. Consumers now have more than they can choose. MotoRizr and MotoKrzr. is now putting all its weight behind the N-Series range.

still they are selling like hot cakes. Take the example of Apple. Nokia advertises more than Motorola. It did not have to do much to promote its iPhone. It doesn’t have to do anything great. Just by reading the name of the handset. other than just naming its phones. it just simplifies its job by naming its products right.Series. Motorola does not need to spend much money for the promotion of its products and it doesn’t have to worry about the marketing of these phones. Still its market share is dropping. RECOMMENDATIONS: It is high time that Nokia starts applying some sense to its marketing strategies. a highly placed Nokia official told Reuters that his company would soon go the Motorola way 2 . one gets a broad idea what the phone looks like or what its features are. A few months ago.

otherwise the once market leader might see its market share plummeting to even lower depths 2 . It is in Nokia’s best interest that it takes to this path as early as possible.and start using names for its new phones.


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