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Rizwan Tahir

MBA
072107

PAK-AIMS Lahore. Pakistan


Institute of management Sciences
www.pakaims.edu.pk

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Table of contents
Introduction ____________________________________4
History _________________________________________4
Company profile..................................................................................................... ..................5
Nokia says, “Connecting People”..................................................................... .......................6

Ad#1 of Nokia N95_______________________________6


Core benefit....................................................................................................................... ........6
Functional benefits.......................................................................................... ........................6
Psychological benefits....................................................................................................... ........7
Description ............................................................................................................. ..................7
Target market................................................................................................... ........................8
Positioning strategy............................................................................................ ......................9

Ad#2 of Nokia N70, N90___________________________9


Functional benefits........................................................................................... ........................9
Psychological benefits.................................................................................................... .........10
Description .......................................................................................................... ...................10
Target market....................................................................................................................... ...11
Positioning strategies ................................................................................................. ............12

Ad#3 of Nokia __________________________________12


Description........................................................................................................... ...................12
Functional and psychological benefits ............................................................................... ...13

Ad# of Nokia 5700/5310__________________________14


Functional benefits........................................................................................ .........................14
Psychological benefits.................................................................................................... .........14
Description .......................................................................................................... ...................15
................................................................................................................................................ ..16
Target market................................................................................................ .........................16

Ad#5 of Nokia 1650 /2626_________________________17


Functional benefits........................................................................................ .........................17

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Psychological benefits.................................................................................................... .........17
Description .......................................................................................................... ...................18
Target market................................................................................................ .........................19
Positioning strategy......................................................................................... .......................19

Ad#7 of Nokia focusing Ramadan__________________21


Description .......................................................................................................... ...................21
Functional and psychological benefits ............................................................................... ...22

Ad#8 of Nokia 1208 color phone___________________23


Functional benefits........................................................................................ .........................23
Description........................................................................................................... ...................24
Target market................................................................................................ .........................24
Positioning strategy......................................................................................... .......................24

Ad#9 of Nokia starring Shah Rukh Khan____________25


Functional and psychological benefits................................................................................ ...25
Description .......................................................................................................... ...................25
Target market................................................................................................ .........................26
Positioning strategy......................................................................................... .......................26

Conclusion ____________________________________27
Suggestions and recommendations__________________27

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Introduction

Nokia Corporation is the world's largest manufacturer of mobile phones, serving


customers in 130 countries. Nokia is divided into four business groups: Mobile Phones,
Multimedia, Enterprise Solutions, and Networks. The Mobile Phones group markets
wireless voice and data products in consumer and corporate markets. The Multimedia
segment sells mobile gaming devices, home satellite systems, and cable television set-top
boxes. The Enterprise Solutions group develops wireless systems for use in the corporate
sector. Wireless switching and transmission equipment is sold through the company's
Networks division. Nokia operates 15 manufacturing facilities in nine countries and
maintains research and development facilities in 12 countries.

History

The roots of this internationally renowned Finnish telecommunications company lay in a


number of earlier companies, two of which were established in what became the town of
Nokia. The first, established in 1865, manufactured paper and built up an international
client base in Russia, Britain, France, and China. It was followed by the Finnish Rubber
Works, founded in 1898, whose products were sold under the Nokia brand name in the
1920s. The third, the Finnish Cable Works, was established in 1912 and grew rapidly in
tandem with the growth of electricity. All three companies were eventually merged in
1967 as the Nokia Group which, by the early 21st century, employed 24,000 in Finland
alone.

Fredrik Idestam, an engineer by trade and founder of Nokia, built a wood pulp mill on the
banks of the Tammerkoski rapids, in southern Finland. A few years later, he built a
second mill by the Nokianvirta River – the place that gave Nokia its name. Brief history
is given in following lines;

• 1865: Nokia is founded as a maker of pulp and paper.

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• 1898: Finnish Rubber Works is founded.
• 1912: Finnish Cable Works is formed.
• 1915: Nokia shares are first listed on the Helsinki exchange.
• 1967: Nokia merges with Finnish Rubber Works and Finnish Cable Works to form
Nokia Corporation.
• 1979: Mobira Oy is formed as a mobile phone company.
• 1981: The first international cellular system, the Nordic Mobile Telephone network,
comes on line, having been developed with the help of Nokia.
• 1982: Nokia acquires Mobira, which later becomes the Nokia Mobile Phones
division.
• 1986: Company markets internationally the first Nokia mobile telephone.
• 1993: The first Nokia digital cellular phone hits the market.
• 1998: Nokia surpasses Motorola as the world's number one maker of mobile phones.
• 2002: Nokia introduces the first third-generation compliant mobile phone.
• 2005: Jorma Ollila announces he will step down as chief executive officer in 2006.

Company profile

Brief profile of company at fiscal year ending December, 2007:

Type: Public
On the web: http://www.nokia.com
Employees: 68,483
Employee growth: 16.3%

Sales: $75,203.3M
One year growth: 38.5%
Net income: $10,612.2M
Income growth: 88.0%

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Chairman: Jorma Ollila
President, CEO, and Director: Olli-Pekka Kallasvuo
EVP and CFO: Richard A. (Rick) Simonson

General Manager, Nokia Pakistan and Afghanistan; Imran Khalid Mehmood

Nokia says, “Connecting People”

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.

Ad#1 of Nokia N95


Core benefit
Core benefit of all models of Nokia is communication

Functional benefits
• GPS
• PS
• Media player
• MP3 player
• Camera

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Psychological benefits
• Style
• Satisfaction
• Self actualization

Description

The concept of the ad is that people generally put those important things in their pockets
that serve their specific needs, but in this ad it is shown that putting a Nokia N95 in your
pocket servers a bundle of needs and relieves you from putting different devices for
different purposes.

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The message is communicated in the ad very simply and people of different walks of life
are shown with what they carry in their pocket while moving. Then very beautifully it is
shown that just putting a Nokia set in your pocket makes you free from putting different
things in your pocket as this model itself fulfills lots of needs.

Target market
• Corporate customers
• Self expressive and recognition demanding people
• On the move internet and computer users
• Professionals and hi_tech users

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Positioning strategy

• Attributes and benefits positioning


• Product category positioning

Ad#2 of Nokia N70, N90

Functional benefits
• GPS
• 2 mega pixel camera
• 2 hr video
• Media player
• Games
• Blue tooth and infra red
• Call recording
• Internet TV

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Psychological benefits
• Image
• Style
• Expression
• Brand
• Look
• Self actualization

Description

The ad is focusing on many tangible and abstract benefits and covers many cultures, age,
groups and people of different walks of life. The ad projects beautifully its product i.e.
N70 and N90 as a device that makes you expressive, participative and stylish at the same
time and brings you closer to your loved ones and to the information.

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It very effectively portrays that this product fulfills your self actualization needs. The
theme used in the ad very precisely gives synergy to Nokia’s message “connecting
people” and ads gives thrush to its campaign.

Target market
• Business class
• Professionals
• Fun seeking youth
• Innovation and technology demanding people
• Variety seeking customers

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Positioning strategies
• Benefit positioning
• Product category positioning

Ad#3 of Nokia

Description
The ad is more abstract and strengths the Nokia’s statement “connecting people”
as in this ad people are expressing themselves and are linked with the help of Nokia
mobiles. This ad is not projecting any specific Nokia model but overall Nokia’s image as
a stylish device that connects you with the world and information.

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The outcome of this ad may be translated in two ways. Firstly it is inviting new
customers to Nokia family and giving them a psychological incentive of self
actualization. On the other hand it is avoiding any psychological dissonance of style and
repute, if any in the mind of already member of Nokia that they have bought a prestigious
and well repute product that is owned by millions of people globally and brand is
renowned.

Functional and psychological benefits

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Communication is the functional benefit shown in this ad. A feeling of association
with the Nokia family is shown as a prestige in the ad and is also eliminating any post
purchase dissonance.

Ad# of Nokia 5700/5310

Functional benefits
• 18 hrs playback music time
• 3D surround
• Up to 4GB memory
• 2 mega pixel camera
• Blue tooth and infra red
• Digital radio

Psychological benefits
• Style
• Status
• Satisfaction
• Prestige
• Repute and brand name

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Description
This ad is focused on young, self expressive, music lovers and is differentiating
the mobiles from its competitors as a high beat, 3D surround, and high base device. The
music used in ad is of high beat having high base. This type of music is usually used for
checking the woofer systems.

So this music, presence of fun loving youths, dancing moves are making this ad
music oriented and is precisely depicting the features of the mobile phone with effective
attachment with youth, music, fun and dance.

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Target market
• Music lovers and fun seeking youth of middle and upper class
• Style and masti oriented people
• Self expressive people of middle and upper class

Positioning strategy
• Attribute positioning
• Benefit positioning

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Ad#5 of Nokia 1650 /2626

Functional benefits
• Communication
• Digital FM radio
• Colored phone
• Games
• Hands free

Psychological benefits
• Style
• Self fulfillment
• Brand name , image and repute

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Description
The basic effort of the ad is to introduce the new digital FM radio which is of
economical price ranging from 3000 to 32000Rs into energetic, fun seeking, music
lovers, and masti_oriented youth. A sequence of songs from old songs to new ones
depicts that you may tune a channel of your own choice and can listen music of your own
choice. In another interpretation, it may be seen in this way as well that mature aged
people can also use this phone to listen music of olden days.

The sets of ad are changing that represent that how FM channels playing music of
different times can transport you in different moods and different songs are used to show
that this digital phone is offering you a choice to listen music of your own type and
interest from any FM channel of your choice.

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Target market
• Energetic, fun loving, music lover youth of middle and lower class
• School and college going youth
• Style oriented youth

Positioning strategy
• Attribute positioning
• Benefit positioning
• Product category positioning

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Ad#6 0f Nokia starring Shakira

Description
This ad was released in 2001 and Shakira was used as a celebrity in it. She was
appointed brand ambassador of Nokia in Europe. This ad is an example of buzz
marketing where reputation of brand is tried to generate by using Shakira and the
association of popular singer is shown with brand that creates a differentiated position of
the brand.

Functional and psychological benefits


Functional benefit is communication and renowned pop singer Shakira is
associated with the brand to generate an attraction for the brand. It gives a psychological
benefit of using a device that your favorite celebrity uses.

Positioning strategy

• Benefit positioning
• User positioning

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Ad#7 of Nokia focusing Ramadan

Description
The theme of this ad is to portray an image of brand as it considers religious
ceremonies and obligations of nations. It is an effort to maintain good relations with
Muslim community worldwide and muslin traditions, prayers, and iftar with friends and
relatives is shown in a very noble, pious and prestigious way. As the month of Ramadan
is observed with very piety and respectable way globally, so to create a soft corner in
hearts of Muslims who are 41% of the total customers of Nokia, brand has made this
effort and words used are very light and highly toned for Muslims i.e.

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• Eeman
• Eesar
• Hamdardi
• Muhabbet

Nokia mobile are also there in ad showing time of prayer and iftar. This type of
goodwill measures necessarily adds to the customers of the brand.

Functional and psychological benefits


Functional benefit is communication but psychological benefit of this particular
ad is that a message is portrayed to the Muslims that brand cares about you and your
religious occasions.

Positioning strategy
Positioning by cultural symbols

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Ad#8 of Nokia 1208 color phone

Functional benefits
• Communication
• Torch
• Colored display
• Easy to use

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Description
This sell phone is an economical price phone and focuses more on the lower
income people. In the ad as well a passenger bus of some remote area is shown in which
people of low income are traveling and their bus stuck in the mid way. It is shown that
this cell is that easy to use that an older age person can use it as well. The crowd used in
the ad is a representative that the people of remote areas where income level is low, this
device is a solution to the communication and also serves the need of torch as it is having
a torch.

Target market
• Lower income class
• People from remote areas
• People who want easy to use mobiles

Positioning strategy
• Attribute and benefit positioning
• Application positioning
• Product class positioning

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Ad#9 of Nokia starring Shah Rukh Khan

Functional and psychological benefits

Communication is the functional benefit of the ad. Shahrukh Khan is having a


huge fan following in world and people feel satisfied and elevated after buying a product
that is associated with their favorite celebrity.

Description

This ad is not focusing on overall image of Nokia and brand is associated with
king Khan, who has been signed as a brand ambassador for Nokia and is having a huge
fan –club. In the ad brand is associated with Khan and different periods in his life are
shown to depict that he is a loyal and old consumer of Nokia and brand remained with in
different successes of his life.

People of different walks of life are also shown in the ad using Nokia cell phone
and it is portrayed that brand is serving the needs of a broad spectrum of life. This is an
example of buzz marketing and a buzz is created for the customers by associating the
brand with a highly reputed celebrity.

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Target market

In this ad versatile segments of people are targeted and focus is on the overall
image of Nokia rather than on any specific cell phone. It is portrayed that Nokia is
serving all the mobile communication needs of all age groups, in all type of periods in
life and all income level.

Positioning strategy
• Benefit positioning

• User positioning

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Conclusion
Nokia is using different types of ads in different countries. The theme of ads are
developed according to the product, target Markey, culture, desired results and
positioning strategies. Nokia changes its ads time to time to bring innovation as
demanded by the environment. It uses different celebrities in different countries for buzz
marketing depending upon fan following of the media figure in the respective market.

Nokia is largest mobile selling company and is having a positioning statement


“connecting people” and all its ad campaigns are developed to add synergy to its
message. Even though all the mobile models are having their own attributes and benefit
statements as well, but the overall impact is always supporting to the positioning
statement of Nokia.

Suggestions and recommendations


Following recommendations are made to Nokia
• Nokia is using most of its international ads in Pakistan and originally Pakistani
culture based ads are very rare. Most Indian ads are also released in Pakistan with
a minute alteration of language. It is not a good practice and it may develop a
feeling that perhaps brand is not considering our cultural values seriously. It may
cause dissonance in the minds of Pakistani customers.
• The prices of Nokia mobiles are not shown in most of the ads. So although the
message is communicated and consumer is made aware of the new mobile, but at
the time of information gathering and decision making it may be difficult for the
consumer to get information about price. So to make decision of the consumer
easy to buy the product it is good if Nokia advertise the prices of the sets at the
same time. It will make the message of ad more comprehensive.

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