1. INTRODUCTION: 1.1.

Review of Literature This literature review will analyze the project on Market segmentation, target market, marketing mix and advertising of Nokia and on past and current research that has been done which relates to the market segmentation. This critical analysis of literature contains data about marketing strategies collected from various sources. It is important to understand why people and market needs to be divided into different segments. A segmented market is seen as an opportunity to effectively focus on particular customers. This appeal to potential customers and also marketers, as they know that this is what they will have to do. The medium of advertisement that has to hire through which we can reach maximum number of people. The style, word and tone that has to be used in the advertisement that attracts more number of people. The type of feeling that is created by the advertisement and the strategies to adopt that attract the people toward those feelings. 1.2. Objectives of the study The objectives of the present study are:1) To know about Nokia Company. 2) To know about the strengths, weaknesses, opportunities and 3) To know about marketing. 4) To know about market segmentation. 5) To know the market segmentation used by Nokia. 6) To know about marketing mix of Nokia. 7) To know about promotional and pricing strategies. threats of Nokia.

1.3. Methodology Research always starts with a question or a problem. It is a systematic and intensive study directed towards a more complete knowledge of the subject studied. Marketing research is the function which links the consumer, customer and public to the marketer through information used to identify and define marketing opportunities and problems generate, refine, and evaluate marketing actions, monitor marketing actions, monitor marketing performance and improve understanding of market as a process. There are two types of data collection method use in my project report. Primary data Secondary data. For my project, I decided on secondary data collection method to know about the company. Secondary data collection method was used by referring to various websites for collecting information regarding project under study.

2.INTRODUCTION: 2.1. NOKIA The company I have chosen to analyze in my project is the mobile phone giant Nokia. This project tells us briefly what Nokia actually is, its company structure and overall view on the size and sales of the company & also the various Market Strategies followed by them. Since January 2004, Nokia Group has consisted of four different business groups: Mobile Phones, Multimedia, Enterprise Solutions and Networks. In addition, there are two horizontal groups that support the mobile device business groups: Customer and Market Operations and Technology Platforms. In the year 2004 Nokias net sales for mobile phones were 18507 million euro, which went down 12% from 2003. Nokias market areas were Europe/Africa/Middle East (55% of net sales), Asian Pacific and China (25%) and Americas (20%). Nokias market share in Europe was 45.8% in 2003, in 2004 it was 34.8% and in the third quarter of 2005 it was 36%. The average number of personnel for 2004 was 53511. At the end of 2004, Nokia employed 55505 people worldwide. In 2004, Nokias personnel increased by a total of 4146 employees. Nokias turnover for the third quarter of 2005 was 8403 million euro from which mobile phones brought in 62%, multimedia 17%, Enterprise solutions 2% and Networks 9%. The year 2004 was demanding for Nokia. In response, the company set five top priorities in the areas of customer relations, product offering, R&D efficiency, demand supply management and the companys ability to offer end-to-end solutions. Nokia is making good progress in these areas, and is now better positioned to meet future challenges. 2.1.1 Nokia Vision/Mission Vision Statement A world where everyone can be connected. In 2015, 5 billion people always connected, and 100 fold more network traffic. Its a world of experiences, shared experiences. Promise We help people feel close to what matters to them. One of our basic needs as human beings is the need to communicate and share. Our promise is to help fulfill this need, to help them feel close to what matters to them. 2

Mission Statement:Many organizations develop formal mission statements that answer these questions. A mission statement is a statement of the organizations purposewhat it wants to accomplish in the larger environment. A clear mission statement acts as an invisible hand that guides people in the organization. The mission statement of NOKIA is CONNECTING PEOPLE 2.1.2. About the Company Nokia- Connecting People! Nokia Corporation (NYSE: NOK) is one of the world's largest telecommunications equipment manufacturers. With headquarters in Keilaniemi of Espoo, Finland, this Finnish telecommunications company is best known today for its leading range of mobile phones. Nokia also produces mobile phone infrastructure and other telecommunications equipment for applications such as traditional voice telephony, ISDN, broadband access, professional mobile radio, voice over IP, wireless LAN and a line of satellite receivers.Nokia provides mobile communication equipment for every major market and protocol, including GSM, CDMA, and WCDMA. Nokia was established in 1865 as a wood-pulp mill by Fredrik Idestam on the banks of Nokia rapids. Finnish Rubber Works established its factories in the beginning of 20th century nearby and began using Nokia as its brand.Shortly after World War I Finnish Rubber Works acquired Nokia wood mills as well as Finnish Cable Works, a producer of telephone and telegraph cables. All three companies were merged as Nokia Corporation in 1967. The name Nokia originated from the river which flowed through the town of the same name (Nokia).In the 1970s Nokia became more involved in the telecommunications industry by developing the Nokia DX 200, a digital switch for telephone exchanges. In the 1980s, Nokia offered a series of personal computers called Mikro Mikko. However, these operations were sold to International Computers, Ltd. (ICL), which was later merged with Fujitsu-Siemens AG. Nokia also began developing mobile phones for the NMT network; unfortunately, the company ran afoul of serious financial problems in the 1990s and streamlined its manufacturing of mobile phones, mobile phone infrastructure, and other telecommunications areas, divesting itself of other items, such as televisions and personal 2

computers. In 2004, Nokia resorted to similar streamlining practices with layoffs and organizational restructuring, although on a significantly smaller scale. This, however, diminished Nokia's public image in Finland, and produced a number of court cases along with, at least, one television show critical of Nokia. Nokia joined other mobile phone manufacturers to embrace Taiwanese Original Device Manufacturers. Nokia signed a contract with BenQ, a Taiwanese Original Device Manufacturer, to develop three high end mobile phones, which are scheduled to retail by the end of 2005. 2.1.3 History of Nokia In 1865, an engineer named Fredrik Idestam established a wood-pulp mill and started manufacturing paper in southern Finland near the banks of a river. Those were the days when there was a strong demand for paper in the industry, the company's sales achieved its high-stakes and Nokia grew faster and faster. The Nokia exported paper to Russia first and then to the United Kingdom and France. The Nokia factory employed a fairly large workforce and a small community grew around it. In southern Finland a community called Nokia still exists on the riverbank of Emkoski. Finnish Rubber Works, a manufacturer a Rubber goods, impressed with the hydroelectricity produced by the Nokia wood-pulp (from river Emkoski), merged up and started selling goods under the brand name on Nokia. After World War II, it acquired a major part of the Finnish Cable Works shares. The Finnish Cable Works had grown quickly due to the increasing need for power transmission and telegraph and telephone networks in the World War II. Gradually the ownership of the Rubber Works and the Cable Works companies consolidated. In 1967, all the 3 companies merged-up to form the Nokia Group. The Electronics Department generated 3 % of the Group's net sales and provided work for 460 people in 1967, when the Nokia Group was formed. In the beginning of 1970, the telephone exchanges consisted of electro-mechanical analog switches. Soon Nokia successfully developed the digital switch (Nokia DX 200) thereby replacing the prior electro mechanical analog switch. The Nokia DX 200 was embedded with high-level computer language as well as Intel microprocessors which in turn allowed computer-controlled telephone exchanges to be on the top and which is till date the basis for Nokiasnetworkinfrastructure. Introduction of mobile network began enabling the Nokia production to invent the Nordic Mobile Telephony (NMT), the world's very first multinational cellular network in 1981. The NMT was later on introduced in other countries. Very soon Global System for Mobile Communication (GSM), a digital mobile telephony, was launched and Nokia started the development of GSM phones. Beginning of the 1990 brought 2

about an economic recession in Finland.(Rumour has it that Nokia was offered to the Swedish telecom company Ericsson during this time which was refused) Due to this Nokia increased its sale of GSM phones that was enormous. This was the main reason for Nokia to not only be one of the largest but also the most important companies in Finland. As per the sources, in August 1997, Nokia supplied GSM systems to 59 operators in 31 countries. Slowly and steadily, Nokia became a large television manufacturer and also the largest information technology company in the Nordic countries. During the economic recession the Nokia was committed to telecommunications. The 2100 series of the production was so successful that inspite of its goal to sell 500,000 units, it marvelously sold 20 million. Presently, Nokia is the number 1 production in digital technologies; it invests 8.5% of net sales in research and development. Also has its annual Nokia Game. 2.1.4. Company Profile The mid-2000s represent something of a high-water mark for Nokia. In 2005, it was the undisputed king of the mobile market having sold its billionth handset. Today, while Nokia remains the world's largest seller of mobile phones, its prospects have changed dramatically. The company now faces slipping market share, competing mobile operating systems and a world where Apple and Android are regarded as the smartphone leaders. Nokia's history For a tech company, Nokia has a longer history than most. The company started life as a paper mill at the Tammerkoski Rapids in south-western Finland in 1865. Over the years, it added business lines including rubber boot manufacture - the wellies are still sold at Nokia's Finnish HQ in a nod to the company's past - and cable-making before it ended up as an electronics company in the 1960s. Despite first making computers, Nokia really made its name as a manufacturer of portable phones. Its first mobile - in the way it's understood today - was a GSM phone launched in 1992, the same year that Jorma Ollila became Nokia's president and CEO. Ollila steered the company though the mobile boom of the 1990s and early 2000s and remains the company's chairman to this day. Today, the company has expanded beyond simply selling mobile devices and now has four main business strands: devices - its handset business; services - apps and software;

Navteq, which covers mapping and location services; and its networking joint venture, Nokia Siemens Networks. Devices Apart from a tentative return to its computing roots with a net book launch last year, Nokia's hardware business is focused on mobile handsets. Nokia breaks its handsets down into two categories: common-or-garden mobiles and "converged internet devices". The pure-play mobiles often bear a model name made up of numbers and are voice- and text-centric. The converged internet devices, which sport model names often consisting of a letter and a number, are more expensive and come with the usual array of features expected from high-end handsets, including apps, GPS, a multi-megapixel camera and perhaps an accelerometer. The best-known product lines in the converged internet devices section are the Nseries high-end entertainment handsets such as the N97 - and the Eseries of business-focused mobiles. Services Nokia's Services unit looks after its software and, as the name suggests, internet services which are brought together under the Ovi brand - Ovi is the Finnish word for door. The usual suspects are available through Ovi both via the desktop and Nokia mobiles online storage and back-up for photos, videos, calendar and contacts; mobile email; music; gaming; maps and Files, an application that allows users to download and view files held on your PC via your mobile. Nokia also runs the Ovi Store, the Nokia equivalent of Apple's all-conquering App Store, where users can download extra apps for their devices from Nokia as well as third-party developers. 2.1.5. SWOT analysis Strengths: Nokia has largest network of distribution and selling as compared to other mobile phone company in the world. It is backed with the high quality and professional team in the HRD Dept. The financial aspect is very strong in case of Nokia as it has much more profitable business. The products being user friendly and have all the accessories one want that is why is in great demand making it No-1 selling mobile phones in the world. Wide range of products for all class. The re-sell value of Nokia phones are high compared to other companys product. 2

Weakness: Nokia has many strengths and some weakness. Some of the weakness includes the price of the product offered by the company. Some of the products are not user friendly. Not concern about the lower class f the society people. Not targeting promotion toward them. The price of the product is the main issue. The service centers in India are very few and scare. So after sales service is not good. Opportunity: Nokia has ample of opportunity to expand its business. With the wide range in products, features and different price range for different people, it has an advantage over the competitors around. With the opportunity like Telecom penetration in India being at the peak time, Nokia has an opportunity to increase its sales as well as the market share. As the standard of living in India has increased the purchasing power of the people as increased as well, so Nokia has to target right customer at right time to gain the most out of the situation. Threats: Nokia has many threats to tackle to maintain its position as market leader. The threats like emerging of other mobile companies in the market. The companies like Motorola, Sony Eriksson, Cingular (U.S) etc. these companies have come to the stand of tough competition with Nokia in the field of Mobile Phones. Threats can be like providing cheap phones, new features, new style and type, good after sales service etc. So, Nokia has to keep in mind the growing competition around Nokia has to make strategies to tackle problems in the present and the near future. The growing demand of WLL network can cause drop in sales for Nokia, as Nokia provides many less CDMA phones to the customer.

2.2. Introduction of Marketing "Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, services, organizations, and events to create and maintain relationships that will satisfy individual and organizational objectives." The new definition of marketing, as released by the American Marketing Association is: Marketing is an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders. "Marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others." (Kotler & Armstrong 1987) Traditionally, marketing has been seen as a link between production and customer. The situation could be captured better by using the term selling. Selling is associated to the so- called "Production and Sales Eras of Marketing". Slogans: "Make what you can make" and "Get rid of what you have made" describe the traditional view of marketing/selling. The following figure shows the role of traditionally oriented marketing in (traditionally oriented) management.

Marketing was born out of a need to take better into consideration the demand factors in production planning. The function of marketing is to channel information of consumer needs to the production and satisfaction of needs to consumers. The basic power of marketing is the aspiration to produce and sell only that kind of products which have demand. Marketing integrates the whole company to serve this demand. Marketing aims at effective production systems, where information is transmitted effectively between production and consumption.

2.3. Market segmentation: Market segmentation is dividing the heterogeneous market into homogeneous market. In the market-segmentation approach, the total market is viewed as being made up of several smaller segments, each different from the other. This approach enables businesses to identify one or more appealing segments to which they can profitably target their products and marketing efforts. Geographic Segmentation This is perhaps the most common form of market segmentation, wherein companies segment the market by attacking a restricted geographic area. For example, corporations may choose to market their brands in certain countries, but not in others. 3

Demographic Segmentation Gender, age, income, housing type, and education level are common demographic variables. Some brands are targeted only to women, others only to men. Music downloads tend to be targeted to the young, while hearing aids are targeted to the elderly. Education levels often define market segments. For instance, private elementary schools might define their target market as highly educated households containing women of childbearing age. Demographic segmentation almost always plays some role in a segmentation strategy. Time Segmentation Time segmentation is less common, but can be highly effective. Some stores stay open later than others, or stay open on weekends. Some products are sold only at certain times of the year (e.g., Christmas cards, fireworks). Chili is marketed more aggressively in the fall, with the onset of cooler weather. Football is played in the fall, basketball in the winter and spring, and baseball in the spring and summer. Psychographic Segmentation Lastly, we come to psychographic (or lifestyle) segmentation, based upon multivariate analyses of consumer attitudes, values, behaviors, emotions, perceptions, beliefs, and interests. Psychographic segmentation is a legitimate way to segment a market, if we can identify the proper segmentation variables (or lifestyle statements, words, pictures, etc.). 2.3.1. Market segmentation for Nokia Nokia India had a 74% market share in the GSM mobile handset market at the end of the year 2006. And the company has found a new way of connecting with its consumers. The company has embarked upon a brand new retail strategy that is based on the classification of its consumers into four major groups that segment consumers in terms of product usage, income level and lifestyle. The classification is based on an extensive survey - the Nokia Segmentation Study - involving 42,000 consumers from 16 countries. The survey studied the impact that lifestyle choices and attitudes have on the mobile devices purchased by consumers and how they use them. The company is following separate marketing strategies for the four different segments that emerged from this survey. The advertising campaigns for the segments are also different. Nokias entire product portfolio has now been re-aligned towards these four groups to address the specific needs of each. 3

The first of these segments is Live. This segment comprises first time users whose basic need is to stay in touch, with voice as the main driver. This segment would be served basic handsets which would be low on features and price. These will be functional phones and the target group for these phones range from SEC C (low socio-economic class) to SEC A1+ (very high socioeconomic class) markets. The second segment Connect comprises more evolved users who look for more functionality, features and connectivity. Accordingly, phones in this segment would have GPRS, camera and music capabilities. The next two segments, Achieve and Explore, consist of high-end users who would be offered Nokias top-end handsets. For example, Achieve segment comprises company executives who need to have business functionalities in their phones. Nokias E-series (Enterprise series) is aimed at this segment with handsets having QWERTY keyboards and full Internet capabilities. Explore would be the most prominent segment for the company in the coming years. This segment comprises high lifestyle users. This segment would see the most vibrant growth in the coming years. The phones aimed at this segment will focus on five different functionalities: applications, imaging, mobile TV, music and gaming. The company is fast developing the ecosystem to support these functionalities. Nokia acquired music solution and content provider Loud Eye and GPS solution provider Gate5. It has also launched its most high profile handset, which boasts of having a 5 megapixel camera and GPS capabilities apart from iPod quality music. There is an increasing demand for convergence and multiple functionalities in high-end handsets. The N-series will try to address this demand. Nokia feels that the new platform strategy wherein different handsets are launched under a platform, like the N-Series, will become a status and style statement, and bring in revenues. 2.3.2. Target Market The target market of NOKIA is very wide. Its products are demanded worldwide and are given preference at any other cellular company in the world. They have comparatively low rates than the other companies and have a very good and interactive performance and interesting features, so because of these features, people prefer NOKIA than the other companies. Specially in Asia, Europe, America and the Middle East, NOKIA has a very big market. It is manufacturing GSM and AMPS technologies cellular sets which are

meeting every kind of consumers requirements. In 2002, Nokia's largest markets were US, UK, China, Germany, Italy, France, UAE, Thailand, Brazil and Poland. 1

2.3.3. Positioning The cell phone giant Nokia shocked the European and US financial markets with the announcement that its Q3 market share would reduce significantly. The company blamed this downturn on several factors including a decision not to compete on price with its major competitors and the slower-than-expected ramp-up of a mid-range device. The UK division of Nokia accused Samsung and Sony Ericsson of aggressively cutting their prices simply to gain market share. The company's MD, Simon Ainslie, said that this level of pricing couldn't sustain a business, and pointed to a similar attempt several years ago by Motorola that ended in failure. Samsung and Sony Ericsson have both targeted Nokia's prepay heartland with low-cost and mid-range handsets, and have gained share as a result, bringing them within three to five per cent of Nokia's No. 1 market position. Some operators, notably Orange, have reduced the number of Nokia handsets on offer, while O2 recently turned down the chance to resell the new N96 smart phone. Despite this gloomy picture Nokia remains upbeat. The company maintains it is still targeting an increase in its device market share in 2008, and still expecting industry mobile device volumes to grow 10 percent or more from the approximately 1.14 billion units it estimated for 2007. Nokia Group the Finland-based manufacturer of mobile phones has been steadily working on its corporate brand name and the management of consumer perceptions over the last few years. Its efforts have paid off, because it is now the number one brand in many markets around the world, effectively dislodging Motorola from that position. The brand has been built using the principles, and has been consistently well managed across all markets. Nokia has succeeded in lending personality to its products, without even giving them names. In other words, it has not created any sub-brands but has concentrated on the corporate brand, giving individual products a generic brand personality. Only numeric descriptors are used for the products, which do not even appear on the product themselves. Such is the strength of the corporate brand. Nokia has succeeded where other big brand names have so far failed, chiefly by putting across the human face technology-taking and dominating the emotional high ground. It has done so in the following way.

Nokia Brand Personality Nokia has detailed many personality characteristics for its brand, but employees do not have to remember every characteristic. They do, however, have to remember the overall 2

impression of the list of attributes, as you would when thinking about someone you have met. As the focus is on customer relationships, the Nokia personality is like a trusted friend. Building friendship and trust is at the heart of the Nokia brand. And the human dimension created by the brand personality carries over into the positioning strategy for the brand. Nokia Positioning When Nokia positions its brand in the crowded mobile phone marketplace, its message must clearly bring together the technology and human side of its offer in a powerful way. The specific message that is conveyed to consumers in every advertisement and market communication (though not necessarily in these words) is Only Nokia Human Technology enables you to get more out of life" In many cases, this is represented by the tag line, "We call this human technology". This gives consumers a sense of trust and consideration by the company, as though to say that Nokia understand what they want in life, and how it can help. And it knows that technology is really only an enabler so that you-the customer-can enjoy a better life. Nokia thus uses a combination of aspiration, benefit-based, emotional features, and competition-driven positioning strategies. It owns the "human" dimension of mobile communications, leaving its competitors wondering what to own (or how to position themselves), having taken the best position for itself. Nokia Product Design Nokia is a great brand because it knows that the essence of the brand needs to be reflected in everything the company does, especially those that impact the consumer. Product design is clearly critical to the success of the brand, but how does Nokia manage to inject personality into product design? The answer is that it gives a great deal of thought to how the user of its phones will experience the brand, and how it can make that experience reflect its brand character. The large display screen, for example, is the "face" of the phone.Nokia designers describe it as the "eye into the soul of the product". The shape of phones is curvy and easy to hold. The faceplates and their different colors can be changed to fit the personality, lifestyle, and mood of the user. The soft key touch pads also add to the feeling of friendliness, expressing the brand personality. Product design focuses on the consumer and his needs, and is summed up in the slogan, "human technology." 2.4. Marketing Mix 1. Product The product aspects of marketing deal with the specifications of the actual goods or services, plus how it relates to the end users needs and wants. The range of a product normally includes supporting elements such as warranties, guarantees, and support. 2

2. Pricing This refers to the process of setting a price for a product, together with discounts. The price need not be monetary; it can plainly be what is exchanged for the product or services, e.g. time, energy, or attention. Methods of setting prices optimally are in the domain of pricing art. 3. Place (or distribution) It refers to how the product gets to the buyer; for instance, point-of-sale assignment or retailing. This third P has furthermore at times been called Place, referring to the channel by which a product or service is sold (e.g. online vs. retail), which geographic region or industry, to which division (young adults, families, business citizens), etc. also referring to how the surroundings in which the product is sold in can influence sales. 4. Promotion This includes advertising, sales promotion, including promotional education, publicity, and individual selling. Branding refers to the assorted strategies of promoting the product, brand or company. All the 4 marketing P's are also known as "the marketing mix" furthermore are frequently used by a marketer to plot a plan, and place the foundations of fresh projects/campaigns, it is a astonishingly useful strategy that has been used ever since the early 1960's, and will be constant for as long as new-found projects/campaigns are being produced.

2.5. Marketing Mix of Nokia Product There are various ranges of products that Nokia offers. Especially in mobile phones Nokia is the leading manufacturer in it. Nokia offers various mobile phones with varied quality, shape, size, color, etc. Nokia offers a varied range of mobile phones & other accessories with it. All Mobile phones are having different specifications in it. Nokia is launching new products every year. It first does analysis of market & according to taste of consumers It launches its Products in Market. Till now Nokia has launched a no. of products in market & it had been very successful for Nokia after launching so many products. Nokia has strengthened its Strategy of Working in Market. It has revolutionized all sectors in Market. No one is as powerful as Nokia in field of mobile phones in India. There are so many mobile phones been in market by Nokia. Several new techniques & up 2

gradation is being done to enhance & launch a new product every time in Market. Nokias R& D Department is very much in progress for working over bringing a special change in every mobile phone its launching in market. After Launching Various Mobile phones in market till now, Nokia is now launching various new models of mobile Phones i.e. it is bringing new changes in the series of mobile Phones. Firstly all mobile phones used to have only Black& White/ Color display, Messaging. But now Nokia has launched various new models of mobile phones in Mobile Series that it has rocked the market. The new models are having various greater, advanced facilities from that of other phones till now. These new models which Nokia is going to launch in market are having all types of features/facilities like:1) Instant Messaging 2) Brighter/Broader Enhanced Color Display 3) Large Screen 4) Touch Screen System 5) Enhanced Radio Facility 6) Mp3 System 7) Internet/GPRS 2.0 8) Support for Ms-Office 9) Cool Applications & Games 10) Bluetooth Connectivity 11) Wireless Earphones 12) Slim Body 13) 2.0 Mega pixel Camera etc

Products of Nokia

All Nokia Phone

C6-01

E7-00

5232

X3-02

C1-01

C7-00

5228

C5-03

5250

6120ci

E5-00

E73

X5-01

C3-00

X2-00

X5-00

5233

C6-00

5235

2710c

7705

Price Pricing of the phones was of prime importance for success in India. Being a developing country, the purchasing power of the people was not high as compared 2

to other developed countries. Research unveiled that phones of lower price range (below Rs8000 or $200 approx.) amounted for 65% of the total sales in India. Nokia depended majorly on rural market, therefore, pricing was a major success factor for the company. Nokia did achieve success in India, in spite of the fact, that its handsets were not the cheapest in the market.
Nokia mobile price list in India 2011 with pictures

Nokia E7
Rs. 24,990

Nokia N8
Rs. 21,490

Nokia X7
Rs. 21,165

Nokia N900
Rs. 20,990

Nokia E6
Rs. 16,980

Nokia C7
Rs. 16,390

Nokia X6 16GB
Rs. 15,290

Nokia E72
Rs. 14,990

Nokia C601
Rs. 13,418

Nokia C6
Rs. 11,745

Nokia X501
Rs. 9,165

Nokia E5
Rs. 8,975

Nokia C503
Rs. 8,390

Nokia C3 Touch And Type

Rs. 7,980

Nokia E63
Rs. 7,780

Nokia Touch & Type X3-02

Rs. 7,590

Nokia C5
Rs. 7,225

Nokia 5230 Xpress Music

Rs. 6,990

Nokia 6303i Classic

Rs. 5,999

Nokia 7230
Rs. 5,789

Nokia C3
Rs. 5,770

Nokia 5233
Rs. 5,693

Nokia X2
Rs. 4,275

Nokia C201
Rs. 3,849

Nokia 5130 XpressMusic

Rs. 3,844

Nokia 2730 Classic

Rs. 3,490

Nokia X201
Rs. 3,410

Nokia 2700 Classic

Rs. 3,390

Nokia C2
Rs. 2,690

Nokia 2690
Rs. 2,547

Nokia C101
Rs. 2,169

Nokia X101
Rs. 1,825

Nokia C102
Rs. 1,730

Nokia 5030 Xpress Radio

Rs. 1,590

Nokia 1800
Rs. 1,374

Nokia C100
Rs. 1,240

Nokia 1616
Rs. 1,149

Nokia 1280
Rs. 961

Place Nokia did not concentrate more on rural market as the products are widely in urban cities but due to the competition in the market Nokia planning to venture in rural marketing along with the concept of micro financing for its product which would help in covering high market share. Nokia planning to leverage the distribution network in order to expand to rural sectors and to serve untapped market. The company planned to educate the benefits of the mobile to the villagers. Apart from its Nokia concept stores they distribute the products to many multi brand mobile stores which are well known in India for their services and price discounts. They are: Hotspot Univercell The mobile store Promotion Nokia entered India with one for mobile services to start, and had to establish its nonpopular brand. To build credentials the company used both print and television campaigns. In the early days, print media concentrated on Nokias status, global R&D and international awards won to establish brand awareness. Even after the market grew, Nokias advertisements concentrated on product attributes. Nokia followed modelspecific advertising for most part. Different advertisements were made for each model of Nokia, making it easy to target the specific audience, which will demand that model. Even different media was used according to the audience. Nokia even faced the problem of brand 62 identification in the early stages as there were no specific signs suggesting that it was an advertisement from Nokia. Since 2005, Nokia has embarked a new advertising plan to consolidate its ad campaigns and strengthen its brand identity. Marketing theory distinguish between two main kinds of promotional strategy - "push" and "pull". Push A push promotional strategy makes use of a company's sales force and trade promotion activities to create consumer demand for a product. The producer promotes the product 3

to wholesalers, the wholesalers promote it to retailers, and the retailers promote it to consumers. A good example of "push" selling is mobile phones, where the major handset manufacturers such as Nokia promote their products via retailers such as Carphone Warehouse. Personal selling and trade promotions are often the most effective promotional tools for companies such as Nokia for example offering subsidies on the handsets to encourage retailers to sell higher volumes. A "push" strategy tries to sell directly to the consumer, bypassing other distribution channels (e.g. selling insurance or holidays directly). With this type of strategy, consumer promotions and advertising are the most likely promotional tools. Pull A pull selling strategy is one that requires high spending on advertising and consumer promotion to build up consumer demand for a product. If the strategy is successful, consumers will ask their retailers for the product, the retailers will ask the wholesalers, and the wholesalers will ask the producers. 2.6. Marketing Strategy: STRATEGY is a very broad term which commonly describes any thinking that looks at the bigger picture. Successful companies are those that focus their efforts strategically. To meet and exceed customer satisfaction, the business team needs to follow an overall organizational strategy. A successful strategy adds value for the targeted customers over the long run by consistently meeting their needs better than the competition does. Strategy is the way in which a company orients itself towards the market in which it operates and towards the other companies in the marketplace against which it competes. It is a plan an organization formulates to gain a Sustainable Advantage over the competition. The Marketing Concept of building an organization around the profitable satisfaction of customer needs has helped firms to achieve success in high growth, moderately competitive markets. However, to be successful in markets in which economic growth has leveled and in which there exist many competitors who follow the marketing concept, a well-developed marketing strategy is required. Such a strategy considers a portfolio of products and takes into account the anticipated moves of competitors in the market. Consumers seek certain attributes in products and these attributes lead to certain benefits for them. When the benefits matter to them, over time they learn to choose products which possess those attributes that lead to the relevant consequences. Understanding these linkages between product attributes, their consequences and their ultimate consumer values are important if one has to arrive at a positioning that the consumer can relate to. 2

2.6.1. Marketing Strategy of Nokia Nokia has introduced a collection of three trend-inspired mobile phones, the Nokia 7360, Nokia 7370 and Nokia 7380. Each model in Nokia's the L'Amour Collection offers a beautiful mix of contrasts infusing cultural and ethnic influences with luxurious touches of the unexpected. Hints of vintage and craftsmanship, are fused with natural materials, colours and patterns, all carefully crafted and layered with a passion for detail. In the design and development of the L'Amour Collection, Nokia's Design team has looked to materials such as amber, ceramic, turquoise, silk andenamel for inspiration. Craft techniques such as enamelling and etching added a creative spark to the graphics, finishes and colours selected for each model in the collection. Nokia 7380: With etched mirrored surface and discreet keyless dial, the Nokia 7380 comes with a leather cover and a mirrored display. The technology includes a 2 megapixel camera and intuitive voice dialing. Key features: Keyless dial 2-megapixel camera, 4x zoom Enhanced Voice Commands MP3 player Nokia 7370: The Nokia 7370 "swivels" open to reveal its elegantly hidden keypad. Beautiful patterns into the elegant metal trims are contrasted by leather-inspired faceplates. The Nokia 7370 is available in two colour schemes, coffee brown and warm amber, with each model offering a distinct set of graphics, screensavers and even dedicated camera keys. Key features: 1.3 megapixel camera, 8x zoom 2-inch QVGA colour screen (320 x 240 pixels) Stereo speakers with 3D sound effects Video ring tones FM Radio Nokia 7360: Trend-conscious men and women will appreciate the Nokia 7360's mixture of patterns and textures, which are perfectly complemented by elegant accessories, including straps and carrying pouches. The Nokia 7360 is also available in two signature L'Amour Collection colour schemes, coffee brown and warm amber. Nokia has jumped 2

into the growing market of online distribution of tones, graphics and games downloads in India and is offering a choice of 120 games which can be downloaded at Rs 50 per game. However, users will have to shell out additional Rs 10-25 for the airtime depending on the size of the game. Nokia claims to be the first handset manufacturer to enter this business in India and the first company to launch games downloads in the Indian market. So far, only online content and utility services companies such as MSN and Yahoo have been offering ringtones and graphics downloads to mobile phone enthusiasts. The business of offering ringtones and graphics is growing almost by 100 per cent, according to industry experts. The download business for the calendar year 2003 was estimated to be around Rs 10 crore and is expected to touch Rs 20 crore this year. These estimates do not take airtime charges paid by the users for downloads. Nokia is not entering this business to make money. In fact, a large part of the revenue will be shared by the service operators and content providers. Our interest is to help mobile service operators to increase their average revenue per user (ARPU) and to influence mobile phone users to upgrade to the latest models being launched by the company, Nokia India marketing head Gautam Advani said. Mr Advani claimed that the company launched a game named Makhan Chor during Janmasthmi Utsav last month and the response was very encouraging. Nokia India has already tied up with with Bollywood production houses such as Harry Baweja, Rajshri Pictures and RS entertainment for graphics and movies. It has also entered into an agreement with Indian performing rights society for ringtones.

3. Conclusion and Recommendations:

This chapter concludes the study by highlighting the key findings of the study and then some recommendations for Nokia for future. Then the chapter discusses to the limitations of the study and endows the suggestions for future research. The aim of the study is to critically analyze Nokias marketing strategy in India and to examine the effect on its sales. For this purpose secondary sources were used to collect the information of marketing strategies. The conclusions that could be drawn were, the main drivers of sales of Nokia are the product features. The marketing strategy though aggressive and very customer specific was not the prime force towards the sales. The prices of Nokia phones are competitive but they are not the price leaders. However, much information on the distribution network could not be gathered. There is need for Nokia to differentiate itself from the past. This should be done by becoming more customer-friendly to the Asian markets. Nokia should project itself more aggressively to the low end, mass market with its low range (but hi-quality) products. There is also a need to develop a PDA phone for its high range customers. Over the time, quality has been Nokias success factor. They have developed a brand name, and the consumers have a high brand preference. There is need to in cash on this by continuing to launch the good quality products. The major drawback was not up to the mark after sales customer services. The key strategy that can be suggested is to maintain its leadership with reasonably quality driven, low end products for the mass market. Considering the future, this will be wise investment. With this they can bank upon the brand preference and increase the margin instead of sales.

4.Bibliography:

www.google.com www.tutor2.com www.netmba.com