Rabu, 07 April 2010

Marketing Final Project

Background Info

We choose this product, because K800i has 3.2 Megapixel, and the camera has auto focus. The sound of Sony Ericsson is clear. Sony Ericsson is a joint venture established in 2001 by the Japanese consumer electronics company Sony Corporation and the Swedish telecommunication company Ericsson to make mobile phones. The stated reason for this venture is to combine Sony’s consumer electronics expertise with Ericsson technological leadership in the communications sector. Both companies have stopped making their own mobile phones.
The company’s global management is based in Hammer-smith, London, and it has research and developments teams in Swedish, Japan, China, Canada, the Netherlands, the United States, India, and the United Kingdom.


Objective
We want to increase sales Sony Ericsson K800i as big as 20% in the end of 2008.


Current Market Situation
(MARKET)
The market is about industries mobile phone. Nowadays, mobile phone industries is stable, many people are able to buy mobile phone. Example: In the past, a lot of people communicate in “Wartel”. But now many people communicate by mobile phone. From this case, we can summarize that many people using mobile phone to communicate. So in this case we can sales increase. As the mobile phone industries we must be in a big market. Sony Ericsson has many competitors, like Nokia, Samsung, Motorola, and LG.

Current Market Situation
(PRODUCT)
People who buy this product arrange between 25-50 years old. Especially for the employees, and the social grade arrange by A-C2. The target of K800i is people who always interest in the development of camera.
As we know the trend, nowadays a lot of people are able to buy mobile. Many people think mobile phone as their primary needs.

SWOT Analysis
Strength

Sony Ericsson acquired UIQ Technology, a Swedish software company from Symbian Ltd. In February 2007. UIQ will remain an independent company, Miles of Flint announced. Sony Ericsson posted its first profit in the second half of 2003. Its sales phones were :
- 2004 : 42 million
- 2005 : 50 million
- 2006 : 74 million

Sony Ericsson’s three main areas of interest are :
o The Walkman branded W series music phones, launched in 2005. The Sony Ericsson W-Series music phones are notable for being the first music-centric series mobile phone, prompting a whole new high end market for portable music that was developing at the time.
o The Cybershot branded line of phones, introduced starting in 2006. Sony Ericsson kicked off its global marketing campaign for Cybershot phone with the launch of ‘ Never Miss a Shot’.
o The UIQ smart phone range of mobiles, introduced with the P series in 2003. They are notable for their touch screen QWERTY keypads (on most model), and use of the UIQ operation system. This has since expanded into the M series and W series phones.
Sony Ericsson is the second-most profitable phone maker behind Nokia and has achieved this status because of its growth in high end handset market.
Weaknesses

 Sony company has not many branches so it is influence its selling. Customers finding some difficulty to get the items and accessories of sony mobiles.
 Sony ericsson does not held a corporation with the other companies to distribute its products, different with its competitors.
Opportunities

According to the IT research firm Gartner in the third quarter of 2006, Sony Ericsson was the fourth largest mobile phone manufacture in the world after Nokia, Motorola, and Samsung. It held a 9% global market share.

Threats

The main competitor of Sony Ericsson is Nokia. STEEPLE also can be threats for Sony Ericsson company.


STEEPLE Analysis
Social and Culture Environmental

Indonesia has a lot of culture. Beside that, Indonesia contains of many islands, so, like it or not, an individual or a group of people who would like to move in a new area, they must follow the rules of that area.
Example: people who come from NTT go to Jakarta, the capital city of Indonesia. In Jakarta, the society have a priority to “self-confidence”. In Jakarta, even “tukang ojek” have their own cellphone. It is not a problem whether the cellphone has a good quality or not, but they are very proud if they can have it or even they cannot buy the“pulse” regularly.
The conclusion is Indonesian’s principles are quiet low. They are easy influenced by a particular situation.

Technological and Market Innovation

As a time goes, nowadays the technology is also developing. With this technology development, we can create a new innovation to attract society to create a product itself. Nowadays many people are busy with their job and activities so that these society need practical and sophisticated thing in order to make them feel comfortable with those new thing.
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Economic and market competition

 Economic condition of Indonesia is becoming weak because of the unstable dollar condition. If this condition is going weak more and more, it will affect the buying power of the society. While the employee’s salary is usually stable, it doesn’t depend on dollar which is going stronger, so that the employee salary will not increase. Because of this, the society buying power will go down.
Example: dollar grow up until 9500 rupiah, but the employee salary is only approximately 2 million rupiah. And electronic things usually be sold by dollar so automatically when the electronic things are calculated in rupiah the price will increase so the employee will think moreover to buy electronic thing while the dollar is increasing and rupiah is decreasing. So the conclusion is, if the economic condition in Indonesia is going down, it will affect the society’s buying power.
 In Indonesia, there are so many competitor in business world. Because of this competition, Indonesian people are so active in creating something that will be need by many people. This gives positive effect because Indonesia will be able to develop well.

Education, Training, and Employment

 Education rate of Indonesia is still being doubt because in Indonesia there are still many homeless children or with their poor family economic condition.that causing them not be able to get education like others children.
The literature range of Indonesian:
Until the last 2004, the literate range in Indonesia is still 10.5% from the total of all Indonesia society. And data from BPS shows that the literate category of the upper 15 years old is still 15.4 million more people, who 81.26% scattered in 9 provinces: East Java (29.32%), Center Java (21.39%), West Java (10.66%), South Sulawesi (6.07%), NTB (4.29%), NTT (2.51%), Papua (2.49%), Banten (2.41%), and West Kalimantan (2.13%).
 Because of this low education of Indonesian people, it will be difficult to look for a job. It is impossible for us to hire someone with low educational background because a company has to create a good image to become number one on its customers mind.
 A company always gives priority to someone with excellent educational background and in attitude as well.


• Political

Indonesia is a republic with a presidential system. Being unitary state, power is concentrated in the national government. Following the downfall of the Soeharto administration in 1998, Indonesian political and governmental structures has under gone major reforms. The 1945 constitution of Indonesia has been amended four times in 1999, 2000, 2http://www.blogger.com/img/blank.gif001 and 2002.

Legal

Indonesia is a law country so if we want to open a company or corporate, we must have the license from government. In this case Sony Ericsson has to follow the rules and laws and has to get the license first. The real form if they follow the rules and laws, they have to pay the taxes and all the laws rules that they have to do.

Environmental Protection

 Equatorial Indonesia has a tropical climate with two distinct monsoonal wet and dry seasons, so that the economy activity happens and continuous whole year. No need to postpone like other country which has winter.
 By looking the condition and situation in Jakarta that more stable now and its location as the capital city of Indonesia where all the business are taken place here, many companies were built here whether local or international to enlarge their business to reach Jakarta or even Indonesia market


Marketing Strategy
Product


K310
Color : Silver Blue
Facilities : mp3, the features are complete, camera VGA, battery: 15 hours/6, 8 hours.

K800i
Color http://www.blogger.com/img/blank.gif : Silver Black
Facilities : Camera 2 megapixel.

K850i
Color : Silver Black
Facilities : 3G, camera 3 megapixel, mp3, battery: 2 days/ 8 hours


PRICE

K310
new : Rp1.200.000,00
second hand price :Rp800.000,00

K800i
new : Rp4.200.000,00
second hand price :Rp2.300.00,00

K850i
new : Rp4.200.000,00
second hand price :--
http://www.blogger.com/img/blank.gif


PLACE


Modern market:

Exclusive:
department stores that have special counters to sell mobiles, e.g: Roxy
exhibition.

Tradition Market:

Seller who are selling mobiles in a small counter by their own.


PROMO

PUBLIC RELATION
Held events:
Held exhibitions for example: exhibitions in malls.

Sales promotion:
Spread brochures in exhibitions to the visitors.

Advertising:
Printed media
KOMPAS
due to almost public read KOMPAS for their daily news. Beside that, news in KOMPAS always up to date everyday and the circulation are the best compared by others.

Electronic Media
RCTI
due to RCTI rating is higher than other television although is not the highest. Beside that, the entertainment in RCTI is various and RCTI shows a lot of cinema electronic that public likes to watch usually that high rating. Than RCTI sometimes to be an official television for football match, such as world cup and EURO 2008.
Newspaper: Kompas (up to date and the circulations are the best compared by others


STP

Segmentation
demographic
age : 17-22
sex : male and female
religion : all
job : student and employee
social grade : B and C1

Positioning

very stylish, luxurious, and elegant

Targeting
age : 17-22
on this ages, they use this handphone to support their study process.

e.g. : in a library, sometimes there are some books that may not borrowed. so, they use the camera in this handphone to take page in the book that want to known in the book.

note: with the price Rp2,300,000,00 and social grade B and C1, the parents will have a mind set that it is not expensive for their social grade. it is relevant target market because their parents can reach the price


Market Campaign

The strategies to increase sales are :

• Sony Ericsson as a sponsorship, like photo competition. So, Sony Ericsson can involve a lot of customer in the event. Beside that Sony Eriscson can also using the public relation as the presentation to introduce an also promote the product.

• Sony Ericsson join exhibition in June or July and the end of year 2008.So Sony Ericsson can introduce the new product.

Sony Ericsson give the prize when the customer buy the handphone. Example when the customers buy the new product they give discount to all.

Conclusion and Suggestion
Sony Ericsson’s strategy is good, because every year their company always increase sales. Now their positioning is in the second in cell phone industries. Sony Ericsson must make a new innovation to increase sales their product.

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