EXECUTIVE SUMMARY
Sony Ericsson Mobile Marketing communications is a global company of mobile multimedia system devices, including feature-rich devices, accessories and Computer cards. The merchandise incorporate powerful technology with progressive applications for mobile imaging, music, communications and entertainment. The web result is that Sony Ericsson is an enticing brand that creates persuasive business opportunities for mobile providers and desirable, fun products for end users. Sony Ericsson Mobile Communications was proven in 2001 by telecommunications head Ericsson and consumer electronics powerhouse Sony Firm. The business is owned similarly by Ericsson and Sony and released its first joint products in March 2002.
Sony Ericsson products have universal appeal and are different in the main element areas of imaging, music, design and applications. The company has launched products that make best use of the major mobile communications technologies, such as the 2G and 3G platforms, while improving its offerings to entry level markets.
The Sony Ericsson XPERIA focuses on consumers who need to store information and communicate, or people who would like entertainment on the run. Sony Ericsson target segments consist of professionals, students, corporate users, business people, and healthcare workers. Currently, the market for high-end cell phones like the Sony Ericsson XPERIA is small. Few people want Internet, video recording, and PDA features in a single device as a result of high price. The smart phone market continues to be relatively small weighed against general mobile market. The marketplace will rapidly increase in coming years scheduled to lessen prices and greater power.
1. INTRODUCTION
Marketing is defined by the Institute of marketing as the management of process responsible for identifying, anticipating and fulfilling customer requirements success (Gerry Finnegan, 1985). It was on this description that in December 2006, Martin Blomkvist, Director Head and of Content Acquisition and Partner Management at Sony Ericsson mentioned that music has become one of the main individuals for 3G and large data entertainment services for the mobile phone end-user and can continue to gain in importance. Sony Ericsson is focused on maximizing the value and experience for the end-user also to increasing income for providers, and the Walkman category of mobile phones do this through music. Music-related services, content and applications are key elements of our overall content strategy. (www. sonyericsson. com)
Sony Ericsson is focused on continuously increasing our impact on the surroundings and population, and striving to follow the holistic approach to business with the triple important thing thinking or the three sizes of sustainability: economic, environmental and public aspects of the company. Sony Ericsson is one of the most notable, global, mobile phone manufacturers which serve the worldwide marketing communications market with innovative and feature-rich mobile technology. (www. sonyericsson. com)
1. 1 PRODUCT BACKGROUND
Sony Ericsson XPERIA is a GSM 850 / 900 / 1800 / 1900 cellphone, with the capabilities of 3G HSDPA 900 / 1900 / 2100, HSDPA 850 / 1900 / 2100 - XPERIA X2a. They have cool features like: TFT resistive touch screen, 65K colors, Full QWERTY key pad, Optical record pad, XPERIA panel user interface, and Accelerometer sensor.
Memory: 110 MB safe-keeping, 256 MB RAM 512 MB ROM, microSD (TransFlash) up to 16GB
Data Transfer and Connectivity: GPRS, HSCSD, Advantage, 3G, WLAN(Wi-Fi 802. 11b/g, DLNA), Bluetooth, USB.
Camera: 8 MP, 3264x2448 pixels, autofocus, LED flash, Touch concentrate, geo-tagging, face detection, image stabilizer, smart comparison,
Other Features include: Microsoft Windows Mobile 6. 5 Professional, Qualcomm MSM 7200 528 MHz processor, Text (threaded view), MMS, Email, Thrust email, IM, WAP 2. 0/HTML (IE), RSS feeds, MP3/WAV/eAAC+/WMA player, TV Out, YouTube request, Pocket Office (Word, Excel, PowerPoint, OneNote, PDF viewer), Picture editor/blogging. (www. gsmarena. com)
1. 2 THE OBJECTIVE
We are confronted with the choice of PC and the multifunctional mobile phone that can be used on the go. Technology has developed exponentially giving us with an enormous appetite for more, because
2. 0 SITUATIONAL ANALYSIS
The complexness of the macro-environment can be scrutinized using a strategy known as Infestations analysis that will try to list all the macro-environmental factors impacting after a business. (Pergamon Flexible Learning, 2005)
Political Situation
- Taxation is something that governments put and Sony Ericsson should examine this as it is observed in the UK case to anticipate success, and rates strategy.
- Countries are extremely variable in stableness of prices so that it is in the united kingdom.
Economical Situation
- Economic tough economy of the past twelve months has crippled a lot of cooperation, Sony Ericsson must be strategic in their special offers.
- Potentiality of the market is decreasing but it is higher than any others in the Telecom sector.
Socio-cultural Analysis
- Population progress has resulted in the extension of the mobile phones to meet with requirements.
- People depend increasingly more on mobile communication all over.
- There is educational development on earth.
- Over the years, cultural belief of the technical devices is becoming positive.
- Acceptance of brought in products in some countries is less when there is a local provider
- There are different social views that could affect product should be considered.
Technological Situation
- There is a technical increase in the planet.
- Internet degree of awareness & utilization for individuals & industrial aspect are increasing worldwide
- New systems in the mobile phones are increasing.
- Future programs for technological linkage between locations, universities, colleges, clinics and other institutes are increasing and can be connected to cell phones
- Level of use of the E- Technology (online bidding, billing, grievances, blogging etc) is massively high and trendy.
Competition Situations
- There are 19260 cell phone producers on the planet (http://www. gsmarena. com/makers. php3), but there tend to be than 15 big companies rivalling at the entire world level Market. To mention few:
- NOKIA
- APPLE
- BLACKBERRY
- ALCATEL
- MOTOROLA
- SAMSUNG
- LG
- HTC
- BENQ
- PALM
- PHILIPS
- SAGEM
- HUAWEI
Environmental Situation
- The global concern of the Global Warming issue & other pollution effects concerning the packaging materials and radiation of the cell phones
- The demand of the international environmental approvals is compulsory.
Sales Situation
Cell phones establishments are one of the very most profitable industries all over the place and the market is increasing
INTERNAL FACTORS
The internal analysis will be looking at our performance, our interior firm and our customers to be able to identify our strengths and weaknesses.
PERFORMANCE
Sony Ericsson is committed to continuously bettering our effect on the surroundings and culture, and striving to check out the holistic method of business with the triple bottom line thinking or the three proportions of sustainability: financial, environmental and sociable aspects of the business (http://www. sonyericsson. com/cws/corporate/company/sustainability/overview)
This sustainability article is actually a first by any cellular phone maker; they desire to achieve this by increasing their processing, products, logistic and supply chain.
PRODUCT
Sony Ericsson has utilized the precautionary principle described in the United Nations' Rio Declaration on Environment and Development. Sony Ericsson strictly follows the laws and regulations such as the EU RoHS directive, (the restriction of the use of certain unsafe substances in electro-mechanical and electric equipment) (http://www. rohs. gov. uk/Default. aspx) also having instigated activities against a number of their substances that we consider unwanted in our products for environmental reasons.
Sony Ericsson, in June 2009 also initiated the GreenHeartTM collection. That is an advancement to enable you to get phones that provide you with a greener choice. The inexperienced innovation is aimed at reducing the entire environmental impact of the phone without compromising on style or features. The GreenHeartTM telephones are built on our goal of minimizing skin tightening and emissions over the company by 20% by 2015 in absolute terms. Within the strategy, Sony Ericsson launched its new GreenHeart products: C901 GreenHeart and Naite, and the MH300 headset. (Datamonitor. com)
INFRASTUCTURE
SWOT ANALYSIS
Strengths
Innovative - The Sony Ericsson XPERIA comes with an impressive TFT resistive touchscreen. In addition, it has many functions of other mobile products all in a single device.
Compatibility -The mobile will work with any mobile network software this means limitless prospect of upgradeability.
Ease-of-Use - The all-new TFT resistive touchscreen interface recognizes multi-finger gestures, just like the human side normally behaves.
Brand awareness - Sony Ericsson established fact for cool essential devices like PDAs Music and Video tutorial mobile phones along great technologies.
Price - Sony Ericsson XPERIA would be sold at an acceptable price for its value.
Quality - Scuff resistant screen - durable and light metallic carry out - software suite resistance to computer trojans.
Opportunities
Increasing demand and extension to a new target portion -
As technology improvements and smart mobile phones get cheaper Sony Ericsson will entice consumers and get standard Music player users to up grade to a Sony Ericsson XPERIA
Upgradeable - Sony Ericsson XPERIA software allows new interesting features to be brought in which take good thing about the touch screen ability. Future variants may also be hardware upgradeable.
Partnerships - Sony Ericsson can collaborate with many powerful global mobile phone companies to flood the market with Sony Ericsson XPERIA, which reduces costs in marketing and rises revenue through long-term agreement offers.
Weaknesses
Image - The Sony Ericsson brand is not targeted towards business people and doesn't have a reputation as being compatible with the corporate world.
Price - Sony Ericsson will not yet offer more affordable models to get more detailed cost mindful consumers.
User Interface - Touch screen interfaces have problems with the situation of "gorilla arm"
Gorilla arm is a side-effect that humans face when using touch monitors for long times as humans aren't built to keep their biceps and triceps at waistline or head-height, making small and correct motions. After a brief period of your time, cramp may get started to create in, and arm activity becomes agonizing and clumsy. This is now considered a vintage cautionary tale to human-factors designers.
Threats
Increased competition - Smart devices are much easier to make now as part of your. More companies may enter into the market, and competition or even Sony Ericsson contractors can maneuver around patents to create similar devices. An example is the imitation of various brand products in the Chinese market, that provides more options and features at cheaper prices.
Downward pricing pressure - The Sony Ericsson XPERIA is promoted as a high-end cellphone, but telephone prices are probably going to fall season when others undercut the price of Sony Ericsson XPERIA.
Difficulty growing into Asian market - There exists less hoopla and desire for Asia since smart cell phones are better known and already trusted.
Competition (Blackberry) - Blackberry has the longest history in PDA market after Hand and has experience-developing software for cellular devices. Additionally it is a well-known brand for business people. Existing software is more developed and compatible with many products for this market. The marketplace is familiar with Blackberry products; significant switching costs are involved in heading to a Sony Ericsson XPERIA. Blackberry can add many similar capabilities with their products that match the Sony Ericsson XPERIA and expand to a wider market through less expensive and higher-power products.
MARKETING OBJECTIVES
- Set an ambitious buy achievable objective for the first few months of market:
- First-2months Goals - We are aiming for a 2 percent show of the U. K. PDA/Mobile phone market through device sales volume of 500, 000.
- First-year Goals - are to accomplish a 10 percent share based on sales.
- Extend on the Sony Ericsson brand name and connect to the established significant positioning.
- Extend on Sony Ericsson image of innovation, quality, and value.
- Measure the recognition and response in order to make alterations to the marketing promotions as necessary.
Target Market
- Differentiate the Sony Ericsson XPERIA from other PDA's on the marketplace.
- Primary customer goals are the middle-upper income professional to coordinate their active schedules and talk to colleagues, friends and family.
- Secondary consumer targets are senior high school, school and graduate students who need one lightweight multifunction device.
- Large business software organizations where information is crucial to the finish user.
- Secondary business focus on is mid-to mid-size organizations that are looking to help professionals and employees stay static in communication or access critical data on the run.
- Market portion will consist of companies with ? million in annual sales.
Positioning
- Using product differentiation, setting the Sony Ericsson XPERIA as the versatile, convenient, value-added device for personal and professional use.
- Focus on the capability of having one device for communication, but also music, pictures, and video, and full Internet access.
- The Sony Ericsson XPERIA will be marketed as both professional and hip
Marketing Combination Strategy
Product
- Full year warranty along with an optional three-year Sony Ericsson Care warranty
- Same preference as all the Sony Ericsson products
- Launching a cheaper version after 6months of release with less advanced features along with a more complex version for professional use
- Adding the following features to the Sony Ericsson XPERIA (large disk storage area capacity, lower weight, thinner device, long power supply life, 4G cellular, GPS and increased camera)
Marketing Combine Strategy
Price
- Set the base model at a cheap price of
- A more advanced model for
- Special limited edition Sony Ericsson XPERIA (advanced version for professional use) for special prices
- Generally lower our prices to ensure we establish market dominance in as lacking time as possible
Marketing Mix Strategy
Place
- Massive rollout worldwide at all reputable major retailers
- Massive rollout Online, Showrooms and in all cellphone providers
- All Sony Ericsson Stores, the Sony Ericsson website will dedicate themselves to the Sony Ericsson XPERIA
- Eye catching exhibits will be found at all physical stores boasting the Sony Ericsson XPERIA to help make the product stick out from the pack
- Sony Ericsson Stores will possess the Sony Ericsson XPERIA on screen a full month before its worldwide release
Free DIY courses/ request installed to ease users operating problems
Promotion
- Integrate Sony Ericsson XPERIA subject matter of revolutionary marketing communications and audio/visual experience together in all media adverts.
- Differentiate the Sony Ericsson XPERIA against others is the innovative TFT touch screen functionality
- Emphasize Sony Ericsson brand prominently and connect the XPERIA with the Sony Ericsson Xpress music mobile phone lineage
- Original but tasteful advertisements at the same time
- A massive Television set campaign is designed before launching the Sony Ericsson XPERIA having a soon to be legendary ad to be the talk of the country
- Advertising will be appearing on a regular basis to maintain general public awareness using the mark market's various accessible mass media such as public networking sites e. g. Facebook.
MARKETING RESEARCH
- Four age groups will be targeted: 15-20 years, 20-25 years, 25-45 years, and 45 years and up
- High Institution and College aged people will show social uses
- The 25-45 years group will be used to determine business request and interpersonal/personal use
- The 45 years and above will give us a plan to market to more mature well-refined group
- This research will be done through surveys (via email plan through portals such as, Facebook and other on-line program developed for the Sony Ericsson XPERIA) and interviews (in Sony Ericsson stores) with the same age ranges listed before
- To bring the XPERIA to the front of the business world, it is important to research different ways to increase the 15-25 calendar year old group into business uses of the product
- Brand recognition will be an important tool in taking the Apple brand from "sociable cool" to "business cool".
- We will ask for responses on Sony Ericsson XPERIA features, and apply those changes most important to the finish user within the next era Sony Ericsson XPERIA
- We allows users themselves to design their own ideal Sony Ericsson XPERIA online and use any useful ideas to further refine future Sony Ericsson XPERIA models
- We will constantly scour the Sony Ericsson supporter websites to comprehend the actual Sony Ericsson faithful say, because they are our best customers.
IMPLEMENTATION
Compensation system
- workers incentive pay for every non reject phone they produce
- per phone six sigma quality program
- each worker each year for best practice training
Use control methods to closely keep an eye on quality and customer support satisfaction consumers can contact the key headquarters about any possible technological problems - by using Sony Ericsson CUSTOMER SUPPORT Bar and a customer service phone number stored in the phone book.
In circumstance of gradual sales
- Offer Sony Ericsson XPERIA to customers who've purchased or used other Sony Ericsson products per phone six sigma quality program, that may lead to:
- demonstrate the merchandise for consumers, it'll promote synergy and lure purchasers.
- develop deep romantic relationships with two completely different segments: those people who have it and the ones who aspire
BUDGET
- Our break-even evaluation assumes wholesale income of per device changing cost of per device and estimated set cost of. Predicated on these assumptions the break-even computation is divided by minus equals 200, 000 units sold.
- Break-even calculations indicate that Sony Ericsson can be profitable after the sales volume exceeds 200, 000. Following the first yr Sony Ericsson can make a profit of minus in set costs.
- Recommended price is. The markup is 40 percent.
- It is predicted that sales volume level increase at least 60 percent out of this change; this will reduce the impact of fixed costs and improve opportunities to increase our development scale, which will further improve gains in the long run
CONTROL
To plan further marketing strategy, meeting regular monthly with the panel of Sony Ericsson, present our information, and make a proposal for continuing marketing efforts. Before each ending up in the table, feedbacks from every sales executive person will be presenting their own proposal predicated on the information they have got learnt. Following the initial proposals, we will vote on the best one or come to a bargain. The final proposal sent before Sony Ericsson is the consequence of our feedbacks.
REFERENCES
- www. sonyericsson. com
(All phone properties and specimen model, comparison with other devices, users view and feedbacks)
- www. google. com
- www. cuil. com