PRODUCT LIFE CUCLE

1. A Presentation on
PLC of Nokia & Samsung

2. Product Life Cycle
Product life cycle describe the changes in consumer demand
over time. No product can be in demand forever.
Trends, technology and lifestyles change, which affects
consumer demand.

3. a

4. 1.Focused on handset manufacture only
2.Enhanced product portfolio
3.Large distribution channels
4.Adjust preferences for specific markets
5.Customer satisfaction
6.Focused on replacement (Recycling)
MARKETING STRATEGIES OF NOKIA

5. Time
Growth
Maturity
Decline
Introduction
Sales curve
The Concept Phones
Nokia E- series
Nokia Symbian
& N- Series
Nokia Windows &
Symbian phones
PRODUCT LIFE CYCLE OF NOKIA
Stages Time Duration
Introduction 1995 - 2002
Growth 2002 - 2009
Maturity 2009 - 2011
Decline 2011 to till now

6. INTRODUCTION STAGE ( 1995 – 2002)
NOKIA 2110

7. PRODUCT
1. Entered India in 1995
2. Launched very few models due to lesser
demand & innovation
3. Sold both GSM & CDMA phones
4. Launched 1st model Nokia 2110 with Nokia
tune
5. 2110 was 1st model capable of
sending/receiving sms
6.Competed with the then market leader
‘Motorola’

8. 1. Followed ‘Price Skimming’ strategy
2. Launched Nokia 2110 at Rs. 22000
(approx.)
3.Launched phones in the range of Rs.
15000 to 25000
PRICE

9. China/Chennai
Gurgaon’s
mother
warehouse
HCL India
warehouse
Sub-distributors
(Marketing-
South Delhi)
Nokia Priority
Dealers/Organised
retail
Customers
PLACE

10. 1. Rarely followed any discounting policy
2. Offered a good amount of backend profit
to retailers
3. Mobility factor of mobiles attracted
customers without any promotional scheme
PROMOTION

11. a
Growth rate 120%
GROWTH STAGE ( 2002 – 2009 )

12. Launched phones without
external antenna
Had better features like games,
alarm, ergonomic keypad,
display etc.
Models like Nokia 3310/3315
marked beginning of growth
stage
Launched models like N95 to
compete with Apple’s i-phone
PRODUCT

13. PRICE
a
1. Followed ‘Price skimming’ strategy in
beginning of ‘growth stage’
2. Launch price of 3310 was approx. Rs.
21000/-
3. As profits & popularity increased prices
were slashed to Rs. 5000/- in 2003 for
popular models like 3310
4. Later-on in coming years, Nokia adopted
‘Price penetration’ strategy

14. 1. Post-paid connections were given free
with select Nokia models
2. Person owning ‘pager’, who purchased
Nokia phones were given discount on post-
paid tariffs
3.Dealers & retailers got a large amount of
‘backend profit’ to increase the sales &
drive growth
PROMOTION

15. a
MATURITY STAGE ( 2009 – 2011 )
Growth rate 45%

16. Launched a lot of touch screen
models
Launched 1st Maemo 5 OS
phone N-900
Launched Qwerty+touch model
N-97
Focussed on E-series phones to
compete with Blackberry
PRODUCT
a

17. 1.During 2007, 15,000 ton packaging material has
been saved by using smaller packaging
2. Nokia have reduced amount of printed material
inside the box
3. In 2007 Nokia began to increase level of
recycled content
Packaging is important because it protects products as they make
their way from factory to customers
 Attractive, Good & Secure packing
PACKAGING
a

18. Followed ‘Price penetration’ strategy to
sustain growing competition
Launched models ranging from Rs.
1000 to Rs. 30000
Frequently reduced prices of popular &
low end models to compete with
Micromax, Samsung, LG, etc.
PRICE

19. PROMOTION
1. Offered combo discount on purchase of
Nokia bluetooth stereo headset with N8.
2. Offered Sennheiser music headset free with
select models
3. During festive occasions Reebok wrist
watches, sunglasses, t-shirts & sling bag
were also given as gift with select models
4. Scratch cards were given to customers to
make them avail instant discount

20. q
DECLINE STAGE ( 2011 – till now )

21. Upgraded its Symbian OS with ‘3’
& ‘Belle’
Shifted focus on Windows as its
main OS
Launched 1st Windows phone,
Lumia 800
Used Symbian only in low end
models
PRODUCT

22. a
PRICE
1. Price penetration strategy was
continued as company’s profits declined
due to cut-throat competition from
Samsung & local players like
Micromax
2. Had phones ranging from Rs. 1000 to
Rs. 30000
3. Reduction in price also lead to
deterioration in quality

23. PROMOTION
1. Companies distributed freebies like wrist
watches & t-shirts with Lumia logo engrossed
2. During festive occasions Reebok wrist
watches, sunglasses, t-shirts & sling bag were
also given as gift with select models
3. Top 3 performing stores from each zone were
selected for foreign trip organized by Nokia
free of cost
4. Retailers were encouraged to sell Lumia
phones by offering them more incentives on
sale

25. 1.Focused on all the electronics manufacture
2.Enhanced product portfolio
3.wide distribution channels
4.Adjust preferences for specific markets
5.Taeget all the segments.
6.Focused on Competition
7.Increased commitment to emerging market
8. Provide more than extra.
MARKETING STRATEGIES OF SAMSUNG

26. Time
Growth
Maturity
Introduction
The Concept Phones
Touch screen &
Dual Series
Smart Android Phone
& Galaxy series
PRODUCT LIFE CYCLE OF SAMSUNG
Stages Time Duration
Introduction 2001 - 2006
Growth 2006 - 2011
Maturity 2011 – till now

27. INTRODUCTION STAGE ( 2001 – 2006)
SAMSUNG R220

28. PRODUCT
1. Entered India in 2001
2. Launched very few models due to lesser demand & innovation
3. Launched 1st model Samsung R220 with Simple blue display.
4. Competed with the then market leader ‘Motorola’ and Nokia.

29. 1. Followed ‘Penetration Pricing’ strategy
2. Launched Samsung R220 of Rs.9000/-
(apx.)
3.Launched phones in the range of Rs.
8000 to 20000
PRICE

30. Koria
mother
warehouse
(Delhi)
Sub-distributors
(All the State)
Samsung
Dealers/
Organised
retail
Customers
PLACE

31. 1. Samsung follow discounting policy. (as par
mobile phone)
2. Offered a good amount of backend profit
to retailers
3. Advertisement in Print Media
PROMOTION

32. GROWTH STAGE ( 2006 – 2011 )
Growth rate 1480%

33. Launched phones without external
antenna
Had better features like
games, alarm, ergonomic
keypad, color display etc.
Wide range of simple or
Dual sim mobile marked
beginning of growth stage
(GURU)
Launched wide range of touch
screen mobile phones to compete
nokia
PRODUCT

34. PRICE
1. Followed ‘Price penetration’ strategy in
beginning of ‘growth stage’
2. Launch simple mobiles with price of Rs.
2000 – 4000
3. Touch screen ( 9000 – 22000)

35. 1. pre-paid connections(Idea,airtel,vdafone)
were given free with select any samsung
models
2. Gifts (kitchen ware).
3.Dealers & retailers got a large amount of
‘backend profit’ to increase the sales & drive
growth,
PROMOTION
a
4. TVC, Sales promotion , Print media

36. a
Growth rate 67%
MATURITY STAGE ( 2011 – till now )

37. Launched Smart phones with android
Galaxy series
Launched Windows phones to
compete Nokia Windows mobile
Focussed on Galaxy S series phones
to compete with All the competitors
PRODUCT

38. Followed ‘Price penetration’ strategy
to sustain growing competition
Launched models ranging from
Rs. 6000 to Rs. 60000
Frequently reduced prices of popular &
low end models to compete with
Micromax, Sony, LG, etc.
PRICE

39. PROMOTION
1. Special Offers on Credit card
payment for above price of Rs.
20000
2. TVC for Galaxy Series
3. Discount Coupons
4. Print Media ( Business Magazines)

40. Comparison of Growth rate
0%
1120%
45% -65%
0%
1480%
67%
-200%
0%
200%
400%
600%
800%
1000%
1200%
1400%
1600%
Introduction Growth Maturity Decline
Growth Rate
Nokia
Samsung

41. 1995 1998 01 04 07 10 13 16
Intro. Intro.
Maturity
Maturity
 Nokia
 Samsung
Year
Growth PLC Comparison