E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies “Market-oriented strategic planning is the managerial

process of developing and maintaining a viable fit between the organisation’s objectives, skills
and resources and its changing market opportunities”. “The aim of strategic planning is to shape
and reshape the company’s businesses and products so that they yield target profits and growth”.
Kotler, P. (1997) Marketing management, (9th ed), Upper Saddle River, NJ: Prentice Hall
International, p.63

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Competition - competitive forces, analysing competitors

Monitoring environmental change - managing strategic environmental issues Opportunities -
market and sales opportunity analysis Competitive advantage - distinctive capabilities, cost and
differentiation strategies, product differentiation strategies Resource reviews Strategic fit - fitting
both market opportunities and internal capabilities

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies There are five types of company: 1. those who make things
happen 2. those who think they make things happen 3. those who watch things happen 4. those
who wonder what happened, and 5. those that did not know that anything had happened

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Without planning a company drifts without realising it
Drifting means the company can end up anywhere There is no sense of purpose, or direction End
result is usually liquidation or take-over Cash flows usually become erratic

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Planning is essential It gives a sense of purpose and
direction Stops constant fire-fighting Stops panicking Put managers in control

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies marketing strategy is a series of integrated actions leading
to a sustainable competitive advantage strategic marketing seeks to secure and maintain
competitive advantage in order to meet the goals of the organisation searching for advantage
involves both an inward-looking resource-based view and an outward-looking view of market
and selling opportunities it involves consideration of the interaction of three key variables:
external environment, organisation goals and strategies

Slide 8:

E-Marketing Planning and Strategies vision corporate objectives marketing audit SWOT analysis
formulate strategies forecasts budgets Implementation programme control Performance review
and evaluation 1 objectives 2 situation review 3 strategies and plans 4 action Strategic Focus
what business are we in? what business should we be in? what business should we not be in?
identify opportunities target markets product, price, promotion and distribution strategies action:
products, prices, promotion, distribution

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies An e-marketing strategy needs to be fully integrated into an
organisation’s business and marketing strategies and plans Rather than have a separate e-
marketing strategy it is important to have an integrated marketing plan with an e-marketing plan
as a sub-set of that marketing plan

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies E-marketing strategy as a detailed sub-set of overall

marketing planning But also part of the investment for a new web site And part of the investment
in upgrading and extending a website

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies E S P Legal-ethical Technology Competition Other factors

markets internet SWOT E-business strategy Performance metrics E-marketing plan E-marketing
strategy E-marketing mix CRM Environment-strategy-performance model Source: Strauss, El-
Ansary & Frost (2006:23)

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Environmental Influences broad environmental variables:

economy, technology, society industry variables: industry structure, lifecycle, specific
technology, structure of competition, strategies and performance market variables: lifecycle,
segment structure, demand influences, purchase size and frequency
E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Goals (Objectives) sustainable competitive advantage as a

means to sales, market share, profit and other objectives to satisfy stakeholders

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies PURPOSE why the company exists VALUES what the
company believes in STRATEGY competitive position and distinctive competence
STANDARDS AND BEHAVIOURS policies and behaviour patterns underpinning the
distinctive competence and value system The Ashridge Mission Model

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Target customers suppliers Marketing and sales
intermediaries publics competitors promotion product place price Demographic/ economic
environment Political/ legal environment Technical/ physical environment Social/ cultural
environment Marketing and sales information system Marketing organisation and
implementation system Marketing planning system Marketing & sales organisation system
Factors influencing company marketing strategies publics

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Environmental factors e.g. rate of technological change
nature of competition intensity of competition Strategic factors e.g. long-term objectives
strategic time horizon product-market strategy Managerial factors e.g. communication attitudes
leadership style Organisational factors e.g. size structure culture innovation capability Marketing
factors e.g. use of market research customer service product quality Business Performance
Source: after Baker & Hart (1989) Factors influencing competitive success

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Strategies bedrock strategy - to build and sustain
capabilities of reputation, know-how, relationships, physical resources then determine strategies
to transform these into positional advantage vis a vis competitors must derive strategies for
market positioning in the chosen target segments have strategies to deliver continuing customer
satisfaction

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Organisation capabilities Used to create value for
customers Provide customers with desired benefits Careful assessment of these capabilities what
capabilities to build analysis of opportunities choice of opportunities to address Value creation
for customers Internet website and e-commerce

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Creating value for customers surest way of gaining and
keeping competitive advantage is to create better value for customers customer come back for
more and a long-term customer relationship develops The internet and development of e-
commerce offers great opportunities for creating value for customers

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies value-defining processes [influenced by e-marketing]

market sensing to understand what customers value (what benefits buying) assess what the
organisation creates from a customer perspective value-developing processes [influenced by e-
marketing] what creates customer value in the value chain? how can customer value be enhanced
through product and service development? what facilitates and inhibits better product or service
delivery

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Value-delivering processes [influenced by e-marketing]

can the product or service be better delivered? can it be made available at better times in better
locations? Value-maintaining processes [influenced by e-marketing customer linking, channel
bonding, managing brand equity

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies But customer expectations change what customers consider
excellent value today will probably be average value tomorrow customers are increasingly
demanding this is exacerbated by competitors who see advantage in meeting these higher
demands other companies develop product and service enhancements which set new expectation
standards change is endemic and built-in to most markets therefore, there is a need to
continuously monitor and adapt

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Potential benefits of an Internet site: Improvement in

corporate identity and image Improved customer service Increased visibility among targeted
segments Market expansion Online transactions Lower communication costs Source: Sterne
(1999)

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Website generations: First generation: static electronic
brochures, supplier broadcasting to many potential and existing customers Second generation:
interactive website, with product stock availability, FAQs and pricing information; still supplier
driven Third generation: fully interactive website, personalisation and market research
information collection

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Intended strategy Realised strategy Deliberate strategy
Emergent strategy Unrealised strategy Deliberate and emergent strategies Source: Baker, M.J.
(2000) Marketing strategy and management, (3rd Ed), Basingstoke: Macmillan

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Intended strategy Desired objective Unpredictable factors
Predictable factors Course plotted Source: Baker, M.J. (2000) Marketing strategy and
management, (3rd ed), Basingstoke: Macmillan

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Strategic planning calls for action on: managing the
company’s businesses as an investment portfolio (each business has a different profit potential so
should allocate resources accordingly) assessing each business by considering the market’s
growth rate, the company’s position and fit in that market strategy - each business needs to
develop a game plan for achieving its long-run objectives

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Demand price elasticity substitutes rate of growth cyclical,
seasonal Market structure number of buyers and sellers product differentiation barriers to entry
cost structures vertical integration diversification Conduct pricing behaviour product strategy and
advertising research and innovation plant investment legal tactics Performance production and
allocative efficiency progress, full employment equity Public Policy taxes and subsidies
regulation price controls antitrust information Supply raw material technology product durability
value/weight Basic Conditions The structure-conduct- performance paradigm
E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Threat of new entrants Bargaining power of customers
Threat of substitute products or services Bargaining power of suppliers The industry jockeying
for position among current competitors Porter’s five forces

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies corporate planning division planning business planning
product planning E-marketing planning organising implementing action Measuring results
diagnosing results taking corrective action Planning Implementing Controlling

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Business mission External environment (opportunities and
threats) Internal environment (strength and weaknesses analysis) Goal formulation Strategy
formulation Programme formulation implementation Feedback and control Business strategic
planning process SWOT Analysis

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Objectives: what business do we want to be in? (where do
we want to be?) Situation Review: where are we now? Strategies, Tactics and Plans: how do we
get there?, how do we exactly get there? Action and Control: doing it and asking did we get
there?

E-Marketing Planning and Strategies :

E-Marketing Planning and Strategies Business definition Environmental situation Competitive

situation Resources and capabilities Analysis of past performance Preliminary objectives
Opportunities and threats Strengths and weaknesses Specification of present strategy Strategic
thinking identify key issues develop strategy options Analysis resolve issues evaluate options
Decisions strategy performance objectives

Presentation Include :

Presentation Include Why Nokia ? History Mission statement Brand personality Market
Segmentation Target Market Positioning 4Ps BCG Matrix SWOT analysis
NOKIA :

NOKIA Nokia Corporation is a Finland based multinational company Headquarter -- Keilaniemi,

Espoo, city neighboring Finland's capital Helsinki. CEO -- Olli-Pekka Kallasvuo Chairman --
Jorma Ollila. Founder -- Fredrik Idestam in 1865. Nokia started as a pulp, rubber and cable
manufacturer

Slide 6:

“ Nokia is world third richest company ”

LOGOS… :

LOGOS… NOKIA Company logo, 1966. The NOKIA "arrows" logo before its Connecting
People logo. "Connecting People" slogan, invented by Ove Strandberg.

Present Logo :

Present Logo

HISTORY OF NOKIA :

HISTORY OF NOKIA It also provides the services for network operators. Company recorded
revenues of 41,121 Million € in 2007 about 20.3% increase from 2006. Company offers its
products in 150 countries. Its HQ is in Espoo, Finland and employees about 68,500 people .
Other company of Nokia are in China , Hungry , Germany , Korea and India

Slide 10:

Financial… Revenue €50.722 bn (2008) Operating income €4.966 bn (2008) Net income €3.988
bn (2008) Total assets €39.582 bn (2008) Total equity €16.510 bn (2008) Employees 120,827 in
120 countries (June 30, 2009)

Slide 11:

Nokia Industries… Paper products Tires (car and bicycle) Footwear (including Wellington
boots) Communications cables Consumer electronics such as televisions Personal computers
Electricity generation machinery Military technology and equipment Robotics Capacitors
Plastics Aluminium Chemicals
Slide 12:

Nokia products… Military communications and equipment Message device system“ ADSL
modems Digital television – (digital set-top boxes) Personal computers (1980)

Slide 13:

Mini laptops – On August 24, 2009, Nokia announced that they will be entering the PC business
with a high-end mini laptop called the Nokia Booklet 3G Internet Tablet GPS products Global
Positioning System Nokia products…

NOKIA Accessories … :

NOKIA Accessories … Carrying and styling: carrying cases, phone jewellery Car solutions: car
kits, car phones, mobile holders Headsets: audio adapters, bluetooth headsets, wired headsets,
loopsets Memory cards and cables Music related products: speakers Navigation: navigation kits,
car navigation Home and office: desk stands, imaging, wireless digital pens, wireless keyboards,
mobile TV receivers Power: batteries, chargers, charger adapters

Concept Phones… :

Concept Phones… Nokia is working on future of mobile with their new concept Nokia
"Scentsory". This new mobile device uses the sense of smell, sight, hearing, and touch to create a
multiscensory environment for the caller. Scentsory would be able to detect smells as well as
radiate colors, lighting, and temperature of the caller with Dual screens and hidden camera

Slide 17:

Time Sales or Profits Growth Maturity Decline Introduction Sales curve The Concept Phones
Nokia E- series Nokia Symbian & N- Series Nokia 30 & 40 Series Product life cycle of NOKIA

Joint Venture… :

Joint Venture… Nokia Siemens Networks is a joint venture between Nokia and Siemens AG on
19 June 2006. Nokia Siemens Networks services division is based in INDIA Nokia Siemens
Networks has operations in some 150 countries They merge their mobile and fixed-line phone
network equipment businesses to create one of the world's largest network Both company has a
50% stake The companies predicted annual sales of €16 bn and cost savings of €1.5 bn a year by
2010.
Slide 19:

Acquisitions… Since December 1997, Nokia has acquired 37 companies or businesses On

August 5, 2009, Nokia acquire Cellity, a mobile software company In September, 2008, Nokia
acquired OZ Communications of Canada

Slide 20:

In July 10, 2008, Nokia bought Navteq, a U.S.-based supplier for a price of $8.1 billion
Acquisitions… In September 2007, Nokia acquire Enpocket, a supplier of mobile advertising
technology In July 2007, Nokia acquired Twango

Net Sales 2009 :

Net Sales 2009 Nokia Mobile Phones net sales by region Europe & Africa46% Americas 35%
Asia Pacific18%

Statistics… :

Statistics… World's largest manufacturer of mobile phone since 1998 Market share -- 38% in Q2
2009 Sales volume 210 million units in 2008 (total market volume 520 million units) employed
39,350 people in research and development, representing approximately 31% of the group's total
workforce

Industry Analysis :

Industry Analysis Number of mobile subscribers in INDIA has crossed the 250 million mark.
Mobile phone production in India was expected to grow from 51 million units to 110 million
units by 2011. Handset Market Share Nokia: 49.5% Sony: 10.1% Samsung: 12% Motorola: 9.9%
Others: remaining

Marketing Strategies Nokia… :

Marketing Strategies Nokia… Focused on Handset Manufacture only Enhance Product Portfolio
Increase Distribution Channels Adjust Preferences for specific markets Customer Satisfaction
Focused on Replacement Increase Commitment to Emerging Market Improve Collaboration on
Designs Ensure Accountability and Quality Aggressive Pricing
Slide 25:

Macro Enviroment of NOKIA POLITICAL FACTOR: ECONOMIC FACTOR: SOCIAL

FACTOR: Nokia has been a member of the United Nations Global Compact since 2001 Nokia
reported spending $5.4 million on lobbying in the U.S. in 2007 and $2 million on lobbying in
2008. Nokia had to change its functions from single market to global market due to collapse of
Russian Federation.

Slide 26:

TECHNOLOGICAL FACTOR: LEGAL FACTOR: Patents right on technology

ENVIRONMENTAL FACTOR: Environmentally ethical considerations amongst suppliers. Life
cycle impact of NOKIA throughout the supply chain Improvement or Changes in technology
Macro Enviroment of NOKIA

Segmentation Strategy :

Segmentation Strategy Geographic: Nokia immediate geographic target is rural India. The total
targeted population is estimated at 100 million. Demographic: Male and female. Ages 25-50, this
is the segment that makes up 80% of the Nokia mobile phone market

Consumer Segment :

Consumer Segment Light Users Medium Users Heavy Users

Slide 30:

BCG Matrix of NOKIA Premium Series N-Series Entry Level N-Gage

Price Mix :

Price Mix Nokia uses a pricing strategy that best suits the product. Market Penetration- Nokia
1100. Market Skimming- N-95. Hence, The Strategy which was used for N-Series & E-Series
was Market Skimming.

Estimating cost – Experience Curve Theory : :

Estimating cost – Experience Curve Theory :

Place Mix :

Place Mix Nokia has opened its retail outlet ‘Nokia Priority’ as well as many authorized dealers
at various places. Consumer Manufacturer Dealer

Promotion Mix :

Promotion Mix AIDA in Nokia – : A – Attention : attract the attention of the customer. I –
Interest : raise customer interest by demonstrating features, advantages, and benefits. D –
Desire : convince customers that they want and desire the product or service and that it will
satisfy their needs. A – Action : lead customers towards taking action and/or purchasing.

Supply Chain Management :

Supply Chain Management Channels: Nokia > Distributer >> Whole seller >>> Retailer >>>>
Customer

Slide 36:

Discounts are provided to online Nokia purchasers through Nokia discount coupons or coupon
codes Commission is also provided to retailers on the sale of every Nokia cell phones and
accessories. Product Promotion… Advertising: Through TV, Sign boards, Bill boards, Radio,
Newspaper, Broachers, Posters, Dummies and display stands

Slide 37:

Public Relations ( PR )… Nokia has strong PR. They keep on doing some or the other new
events, programmes and publicity, so as to keep up with the brilliant image of the company and
also to enhance the brand equity. Direct Marketing : Nokia does not perform Direct Sales
activities on its official website www.nokia.com. Nokia use DEMO style of Direct Marketing.
Nokia does not use Direct Mail or Telemarketing styles of Direct Marketing.

Slide 38:

During 2007, 15,000 ton packaging material has been saved by using smaller packaging. Nokia
have reduced the amount of printed material inside the box, In 2007 Nokia began to increase the
level of recycled content Packaging… Packaging is important because it protects products as
they make their way from factory to customers. Attractive, Good & Secure Packing
Slide 39:

Branding Decisions : Nokia follows Umbrella branding “N Series” & “E Series” Logo shows
their brand personality Nokia focused on building customer, relationship and trust Building
friendship and trust is the heart Nokia brand Branding… Nokia built its brand with high-end
multimedia handsets for upscale buyers and low-priced phones for emerging countries.

Slide 40:

Nokia’s key quality targets are: For Nokia to be number one in customer and consumer loyalty.
For Nokia to be number one in product leadership. For Nokia to be number one in operational
excellence. Quality… Quality is at the heart of Nokia’s brand promise, very human technology.

Emerging Markets… :

Emerging Markets… 1. Break out of cities to rural areas: Focus on areas, where the cost of
building wireless infrastructure is more cost effective than in building a fixed line (China/India)
2. Focus on Youth: Imaging and games (China/India)

Slide 42:

Lifecycle … Globally Nokia’s market is at maturity, where as in India it is still in the Growth
stage.

THREATS :

THREATS China Mobile made Copy Of NOKIA Sets. Looking mainly at the competition that
are taking away Nokia’s market share. Orange, Vodafone and O2 and many other operators are
globally selling their own brands of phone. Higher import charges.

Slide 44:

Production Unit : Networks Technology ChinaFinland India Mobile Devices and Enhancements  
BrazilChinaFinlandGreat BritainHungaryIndiaMexicoRomaniaSouth Korea