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ACKNOWLEDGEMENT

This project is a combined effort of all the resources and people who
have contributed in their own ways in making this report effective and
purposeful. In our report we would like to take the opportunity to
thank all those who have been instrumental in preparing this project.
We wish to express our deep sense of gratitude to Dr. Kumar mohanty,
Professor, KIIT School of Management, KIIT University for his invaluable
guidance, motivation, constant inspiration and above all for his ever-co-
operative attitude in completing this project

PILOT STUDY
1. Royal Philips Electronics is one of the world's biggest electronics
companies and Europe's largest, with sales of US$ 33.9 billion in
1998. It is a global leader in color television sets, lighting, electric
shavers, color picture tubes for televisions and monitors, and one-
chip TV products. Its 233,700 employees in more than 60
countries are active in the areas of lighting, consumer electronics,
domestic appliances, components, semiconductors, medical
systems, business electronics, and IT services (Origin). Philips is
quoted on the NYSE, London, Frankfurt, Amsterdam and other
stock exchanges.
Philips has some 60,000 patent and design rights and almost
30,000 trademark registrations worldwide .
Safeguarding the company's portfolio of patents and product design
rights are its 130 patents and trademarks specialists. Located
throughout Europe and in the United States, Japan and Singapore, they
help exploit the results of Philips' worldwide R&D activities by licensing
the generated patents.
Philips Marketing Strategy
Segmentation:
Phillips provides products in the market in vast ranges and the product
portfolio is designed to attract the attention to vast ranges of clients.
The product ranges are so extensive that almost everyone can be a
potential consumer of Phillips and mostly those people looking for
reliable products.
Target:
It targets the consumers that are willing to try new innovative products
that Phillips comes up with. It mostly targets the younger generation
who are more open to experimenting on new products and aims to
satisfy them with the brand promise that Phillips tries to fulfill.
Positioning:
The products are advanced and are designed around the needs of
consumers. The company has positioned itself as a brand that aims to
improve people’s lives through innovations that are meaningful. The
R&D efforts are also aligned according to the needs of the consumers.
Phillips has a built a brand image that allows consumers to trust its
products.
BCG matrix :
The star category in the BCG matrix is the healthcare business and
home appliances division because the company gains significant profit
from this division and is putting all its worth into its growth.
Distribution :
Phillips has found that the retailers, departmental stores distribution centers
and internet are important tools to access the consumers. A new strategy has
been applied by Phillips to distribute the products by allocating small territories
to the distributor ensuring a firmer grip.

Brand equity :
The brand name of Phillips is very strong and the consumers believe that
Phillips makes healthy, useful and eco-friendly products. The excellent quality
of the products are well known among the users and thus the brand value of
Phillips has been increasing and is one of the world most valuable brand
ranking 43  with increase it’s brand value form USD 11.5 Billion to 12.1 billion.

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