Sony Mobile Communications is a multinational mobile phone company and is a subsidiary of Sony Corporation.
Chart 1: Smartphone Operating Sales in Q4 2011
[pic]Source: Gartner 2011
Sony has been developing solid phones for more than a decade now, however, it has not been very successful in the smart phone industry. Referring to Chart 1, Sony only has 5% of the market share of the smart phone sales during 4th quarter of 2011. The lack of market share is due to two major reasons. First, there is a lack of awareness with Sony phones. Sony has not spend nearly as much money on advertising compared to competitors, such as Apple and Samsung. Second, Sony's smart phones are currently not technologically as good as its competitors. In the phone market, customers care about the features and specifications of the phones and Sony has not delivered.
Marketing objectives of Sony Mobile
1. Increasing customer awareness of Sony’s new products by expanding the promotion channels 2. Targeting the Asian markets
3. The mobile technologies should be competitive with Samsung 4. Increasing the Andriod market share
Marketing Mix Strategies
1. Enhancing product technologies
With the continuous development of advanced technologies, Samsung has become a leader in the Android smart phone market. In order to compete with Samsung, Sony needs to invest more in research and development for creating attractive devices with better technologies and capabilities. Comparing between a 2012 model from Sony Xperia S and a 2011 model Samsung Galaxy S2 indicates that the screen, weight and storage expansion technologies in Samsung are better than Sony Xperia S. While only the camera and battery technologies in Xperia S are better than Galaxy S2. This shows a critical issue because Samsung’s older devices are more technologically advanced than Sony’s latest devices. In todays’ smartphone market, developing and maintaining up-to-date technology is an important factor to success for the mobile industry (Davis & Rocchio, 2011). Increasing product technologies can be provided a persuasive motivation choosing Sony for a person who is looking for a new Android device.
2. Increasing product categories
Since Samsung and HTC release 6 to 7 phones yearly compared to 2 to 3 phones by Sony, this insufficient variety of products will seem less competitive with its direct competitors. The key success of Android mobile industry is adopting a widely penetration strategy that offers a number of choices to the customers when they are searching a new cell phone. According to a study done by PC World Magazine, Apple will not be as dominant in the phone industry and its strategy of providing one product will not be effective (2011). This also suggests that Sony will need to adapt the strategy of Samsung and HTC in order to compete with its many competitors in the phone market. Thus, in order to gain market shares from Samsung and competitors, Sony should expand its product lines that provide a wide range of phone models to potential customers.
1. Similar pricing position to Samsung
With the well-known brand image built by Sony over the years, the company in a sense still maintains its brilliant persona as the innovative leader in the electronic product industries. Even though the smartphone business of Sony has been shrunk by the rapid growth of Samsung mobile development, lowering the price for Sony’s products will further reinforce a perception to the customers that Sony’s phones are not as good as Samsung’s because of the significant price difference for both mobile device producers. Theoretically, a product with higher price compare to other competitors will be associated with a direct relationship to its product quality. In the smartphone market, the top selling premium Android smartphones are pricing as similar as IPhone. What the most important factor for...
Please join StudyMode to read the full document